Hong Kong's Hang Seng Index mildly recovered from previous days' losses and finished 0.2% or 36.47 points higher at 18,434.39. Volumes were low as investors stayed cautious amid global uncertainty. Companies that are seriously exposed to Europe demand experienced appreciation as HSBC Holdings PLC gained 1% and Prada SpA advanced 1.6%. Chinese property firms listed in Hong Kong traded mixed on Friday. China Resources Land
17-nation currency depreciated 0.2% against US Dollar reaching $1.2937on London morning trade, escalating current year's drop to 3.3%. The euro is moving towards its first continuous fall since 2001 amid growing concerns about Europe's ability to tame debt crisis. The Euro Zone probably is in a slight recession already, suggests Michael Turner, a currency strategist at Royal Bank of Canada. EUR/USD currently trades at $1.2917.
European equity markets opened higher on last trading session in 2011 led by metal and energy stocks. Stoxx Europe 600 index and German DAX 30 index both gained 0.3% at 243.26 and 5,864.06 respectively. French CAC 40 index added 0.4% reaching 3,140.69. British FTSE 100 index traded flat at 5,571.20.
Canadian Dollar appreciated against European common currency reaching 11-month record-high on investor speculation ECB will have to enlarge cash infusions after Italy did not manage to auction the planned amount of bonds. Canadian Dollar added 0.3% against the Euro, reaching C$1.3221 in Toronto session. Currently USD/CAD is trading at C$1.0209.
Greece faced a decline in the retail sales in October, according to official data. The retail sales decreased by 10.8% in October on an annual basis after declining by 6.5% in the preceding month, according to ELSTAT. The revenue generated by sales decreased by 8.1% in October as compared to 3.7% slump in September.
Russia's currency and gold reserves rose 4.92% to $503.0 billion from $479 billion last year, reported Russian Central Bank. The reserves jumped by $ 1.7 billion during the last week. India, one more member of BRIC, also saw a jump of the foreign exchange reserves by $2.48 billion. Analysts explain the increase by the rising value of gold holdings and foreign currency during the
India's parliament has delayed the vote on the anti-corruption Lockpal bill on the strong opposition. The debates lasted till midnight of the local time with the opposition claiming the PM has to resign as the government does not comply with regulation. The government said it respects constitution and blamed the opposition in failure to pass the law. The bill will be revised and discussed
Currently the commodity market provides an advantage to traders as price for precious metal declines but the metals are likely to appreciate in the nearest future, said James West, advisor of the Midas Letter Opportunity Fund. He expects the silver price to become about one-sixteenth of the gold one. The silver is likely to outperform the gold in the following year, according to Eric Sprott.
Crude oil futures edged down during the early European trade on Friday despite supply concerns due to Iranian issue. On the New York Mercantile Exchange, crude oil futures for February delivery lost 29 cents to $99.39 a barrel. Brent oil eased down 34 cents to $107.69 a barrel, on the ICE Futures Exchange.
Despite the fall in steel price, Indian steel producers are optimistic about the base metal's price prospects. During this year the demand for the metal declined by 3%; however, it is still higher than in 2010, according to Business Standard. The production is likely to jump in the next months but the demand is likely to take longer to follow an upward trend, said
Hungary plans to accept changes to constitution that limits the independence of the Hungary's central bank. The changes are expected to be approved during the last session of the parliament in 2011. The country has applied for aid package of 20bn Euros from the IMF and the EU. Currently, the organizations ceased the negotiations as the new law undermines the independence of the country's
Japan's leading party, the DPJ, agreed to put on hold an increase of the sales tax as the opposition expressed strong protest to the move. The party agreed to postpone 8% tax increase due April 2013 until April 2014. The measure pursues the improvement of country's finances amid increasing debt level. Japan has the highest portion of debt to the GDP among the developed countries.
China's tightening policy aimed at cooling exorbitantly growing property market has led to slowdown of the real estate sector's expansion. Experts predict the next year will be even tougher to the industry. Expected amount of sales contracts to be signed by the end of 2011 equals 9.5 million sq m for new houses that is 23% lower than a year before and is the smallest
Silver price was falling in December as traders not only stayed away from the white metal, but also opened more short positions in silver. Experts predict further fall in prices of precious metals as risk in the market grows and such commodities as silver and gold are now considered as risk assets. Moreover, silver and gold started to show strong correlation with equities thus increasing
The overwhelming majority of the economists surveyed by BBC believe the crisis will return in 2012 to Europe. Many economists saw the possibility of the Euro Zone's break-up as 30%-40%. The poll also indicated that the interest rates are likely to stay at 0.5% in the UK next year. The survey was conducted among 34 economists, regular advisers of the Bank of England.
CNOOC, China's owner of oilfield which spilled about 700 barrels of oil in Bohai Bay, will establish nonprofit fund aimed at protection of marine environment. The company donated 500 million yuan as an initial amount for the fund; in future the funds will be provided through the CNOOC's subsidies, said the company.
Copper price increased on Friday even despite reports on low PMI in China that was 48.7 in December while reading below 50 indicates contraction. However, the metal found support in the increasing pending home sales in the US. COMEX copper for delivery in January traded at $3.373 a pound, advancing $0.075.
The Yuan added 148 basis points against the USD in today's trade, approaching a new record of 6.3009 versus the US Dollar. Yearly Renminbi's appreciation against the USD achieved 4.86%, reported the China Foreign Exchange Trading System. The Yuan is likely to experience larger fluctuations against the USD in 2012, said Zhao Qingming, researcher from China Construction Bank.
The number of hotels in China touched 13,908 with 607 five-star hotels, signaling on rapidly growing truism infrastructure in the country. China's travel agencies totaled 23,315 and the tourist arrivals for the period between 2006 and 2011 amounted 9.3 billion, bringing 6 trillion yuan revenue to the country, reported Shao Qiwei, director of China's National Tourism Administration.
The UK's Nationwide home price index decreased more than expected in November. The index dropped to minus 0.2% in November from 0.4% in October. Experts predicted the index to grow 0.3% in November. Following the data release, the Pound decreased against the USD and the pair GBP/USD is currently trading at 1.5417, losing 0.001%.
Deutsche Telekom and Magyar Telekom, its Hungarian subsidiary, agreed to pay about $95m to settle the charges of the US that accused the companies in bribing the officials in Macedonia and Montenegro. The companies wanted officials to keep the competitions out of the market. Deutsche Telekom will not be prosecuted for two years in case the company improves compliance to the law, said the Justice
China's factory activity fell for the second month in line in December on the weak global demand and ongoing tightening of the real estate market, according to HSBC. The HSBC Purchasing Managers' Index slightly gained this month to 48.7 from 47.7 in November on a seasonally adjusted basis. A reading below 50 indicates contraction. Companies also reported about inventory buildup for the first time in
Canada may sell its oil to China amid the delay in the US decision on the Keystone's pipeline. US government postponed the approval of the pipeline project that proposes to build a Keystone XL pipeline between Texas and Alberta and is expected to pump more than 830,000 barrels daily. The projects also met resistance from the environmentalists as they claim it may impact the environment.
South Korea's inflation stayed above the target of the country's central bank in December. Consumer prices added 4.2% this month on a yearly basis and 0.4% on a monthly basis. The Bank of Korea attempts to slow the inflation to 4% by increasing the interest rates. Analysts are concerned that higher interest rates may accelerate the economic slowdown.