FTSE 100 Index soared 1.48% to trade at 5676.80 after UK factory output posted an increase of 1.2% in May on a monthly basis compared to expectations for a 0.1% decline. Unexpected jump in Italian industrial production also supported UK stocks. Barclays added 2.1% as the firm's former CEO agreed to forgo deferred bonuses after LIBOL scandal. Marks & Spencer
Asian stocks eased down on Tuesday after China's trade data indicated that domestic demand continued to weaken in June. Imports rose only by annualized 6.3% in June, confronting expectations for a 12.7% increase. Hang Seng Index lost 0.16% over the trading day. Meanwhile, concerns that regulators will continue China's prudent property policies weighted down on property developers, with Sino Land
Japanese equities declined after China reported a slowdown in imports' growth in June. Nikon Corp tumbled more than 7% as Intel Corp decided to invest in another Japanese chip-making equipment manufacturer. Oil and gas sector was the top-performer on lingering oil supply worries, with Showa Shell Sekiyu climbing 1.76%. Meanwhile, financials followed bearish trend, dropping by 1.19%. Aozora Bank, Mizuho
Dow Jones Industry Average inched down 0.28% to trade at 12736.29 amid dismal inflation data form China and Eurozone's fiscal instability. However, speculation that the Fed will launch extra monetary stimulus limited losses of the blue chips index. Oil and gas companies moved lower on global energy demand concerns. Chevron and Exxon Mobil both plunged by 0.59% and 1.36%. Meanwhile,
S&P 500 Index closed lower on Monday as Friday's disappointing labour data continued to weight on the US stock market. Adding pressure on the US equities, Spain's borrowing costs soared to almost 7%, level considered to be unsustainable. S&P 500 closed 0.16% lower at 1349.25. Apple rose 0.72% despite losing the case filed by Samsung Electronics. Shares of Celgene added
The Federal Reserve announced growth of USD 17.12 billion of consumer credit in May. It is USD 8.62 billion more than predicted by Wall Street economists. Revolving credits (through credit cards) increased by USD 8.01 billion, whereas non-revolving, including cars and student loans, gained USD 9.10 billion. Consumers are spending more , which is likely to stimulate the economy and new work places creation,
China is about to face a deflationary spiral. In 2011 the real money supply (M1) decreased the most since the modern history of China records. Additionally, producer and consumer prices fell during the last months. Orders from Japanese machine factories dropped by 14.8% in May, which is the biggest fall since 2001. Moreover, the joint volume of lending by the four biggest banks contracted
China's imports grew only by 6.3% last month, confronting expectations of an increase of 11.3% as seen from the results of the Dow Jones Newswires pool. The country's exports added 11.3% in June 2012; however, they are still below their peak of 15.3% in May this year. This slowdown shows that the Chinese economy needs additional stimulus, say experts.
Italian national statistics office announced on Tuesday, July 4, that industrial production recovered by 0.8% in May after contraction of 1.9% in April. However, economists still expect economy to contract by 2.4% by the end of the year. Total industrial output declined by 6.9% in May for the year period. Mario Monti, Italian Prime Minister, started to implement austerity measures for the economy in December 2011.
Norway's government managed to stop 16-day strike and pushed oil and gas workers to continue their job. This intervention will lead to the arbitration process in the National Wages Board to end disputes about retirement rights. Oil prices rose on Monday. The Norwegian Oil Industry Association assumes the strike to cost NOK2.9 billion.
As the sovereign debt crisis prevails in the Eurozone, the 17-nation currency continues to depreciate further. On Tuesday, July 10, the Euro has declined by 0.4% against the Us Dollar, reaching two-year low. Joseph Capurso, a strategist from Commonwealth Bank of Australia, claimed the Euro is expected to stay especially weak against the US Dollar and the Yen. Current trading rates are USD 1.2297 and
EU governments will start with providing EUR100 billion loans to help Spanish banks to recover and could write off these costs from the Spain's government balance sheet. EUR30 billion will be provided by the end of July to support banks directly, without adding to the existing government debts as it was initially planned. Policymakers also expressed their intentions to offer
Economists changed forecasts about India from 0% growth to 4.8% expansion this year. Such change was determined by Industrial Production index that rose from 0.1% in April to 1.8% in the beginning of July. Infrastructure sector also recovered slightly, with its output growing by 3.8% in May on an annual basis. However, eight core industries faced contraction. Though the economy growth is still below average
As reported by the World Gold Council, the demand for gold will strengthen in 2012 and reach 870 metric tons,13% more than in 2011. Commerzbank AG pointed out in its report the increasing interest from the growing middle class and the rising capacity of China's Central Bank as main factors. China is on the second place after India with a
The Canadian Dollar fell to a week low against the US counterpart on Tuesday, July 10. The greenback is currently trading at CAD 1.0221, though MacNeil Curry, an expert from Bank of America, proposed that loonie might slide to CAD 1.05 per USD in the near future. On the other hand, after the ECB lowered interest rates, the Canadian Dollar appreciated against the
On Tuesday, July 10, Japanese Cabinet Office presented results on consumer confidence survey conducted in June. The participants were general households (two or more people in family) and survey took into consideration such factors as jobs and incomes. The results showed that slowdown of the world economy and European debt crisis worsened sentiment. Consumer confidence index decreased from 40.7 in May to 40.4 in the previous
Mariano Rajoy, the Prime Minister of Spain, might announce new austerity measures in the upcoming days. Currently the government faces the third largest budget deficit in the Eurozone, EUR 95.5 billion in 2011. Due to increasing risks ten-year public bonds' interest rate has reached 7.06% on Monday, July 4. To deal with the deficit the government is considering such policies as rising taxes for food,
German shares edged down on early Monday's session on persistent worries over the Eurozone's financial instability after Spain's 10-year bond yields rose to 7%. German DAX 30 Index lost 0.03% to 6417.00 in early European trading. Consumer services and basic materials faced the largest losses on Monday while telecommunications sector was the strongest performer, with Deutsche Telekom gaining 0.99%.The country's
UK stocks declined on Monday after Spanish borrowing costs sparked again, escalating worries over worsening debt crisis in the area. Commodity-heavy index dropped 0.36% to trade at 5646.30, led by mining stocks. Shares of Xtrata, Rio Tinto and BHP Billiton all tumbled 1.83%, 1.16% and 1.11%, respectively. Oil and gas sector also added pressure on the FTSE 100 Index, with
China's stocks fell sharply on Monday's trading hours as recent cut of benchmark interest rate by PBoC continued to weight on the country's stock markets. Moreover, dismal headlines from the US pushed Chinese equities down. The worst-performing sectors were basic materials and technology amid. Property developers also plunged after Chinese Premier Wen Jiabao said that measures aimed at controlling speculative
Japanese stocks posted sharp losses on Monday's session after US labour report indicated that employers created less than expected jobs in June. Nikkei 225 sank 1.37% to 8896.88 after reports that Japan's core machinery orders plunged 14.8% in May compared to a forecast of a 2.4% decline. Heavy Machinery producers as Komatsu and Sumitomo Heavy Industries both slid 4% and
Blue chip stocks plunged 0.96% on Friday after dispiriting US jobs report. Traders turned to safe-haven assets as analysts are not convinced that the Fed will launch more easing measures to stimulate sluggish economic recovery in the nearest term. Technology and base materials sectors were the worst performers in the index, losing 1.95% and 1.54%. IBM, Microsoft and Intel Corp
US stocks slid on Friday after news about dismal performance of the US labour market last month. The data spurred risk-aversion among investors as it may signal stagnation of the world's largest economy. From another side of the Atlantics headlines were also disappointing as borrowing costs of peripheral countries of the single currency union rose again. S&P 500 declined by
Rural commodities mostly retreated from recent highs on Friday as weather conditions are likely to improve in the US.Wheat was the top-loser after AccuWeather reported that temperatures in the US are expected to decrease in the next days. Cooler weather is likely to boost crop prospects in the country.Corn retreated from the nine-month high as exports demand started to slow