The Canada's Dollar reached the highest level since May against the U.S. counterpart as Mario Draghi pledged to sustain the Euro. The Loonie rose 0.9% to C$1.0102 , touching the highest since May 16. The S&P 500 Index increased 1.7%, September delivery crude gained 1.7% to $90.47 per barrel. Changes in commodities and stocks influence Canada's currency the most.
On Friday, the U.K. currency rose versus most of its major counterparts on the optimistic promise of the ECB President, increasing demand for riskier assets. The Sterling gained 1.2% to $1.5690, after having a 1.5% rise, the highest since Dec. 31, 2010. The Pound advanced 0.1% to 78.38 per Euro.
On Friday, Spain's unemployment rate climbed to 24.6% from 24.4% in the first quarter as reported by the National Statistic Institute. The number of jobless Spaniards increased to 5.7 million, showing the record level since mid-1970s. The government announced it doesn't expect the rate to tumble below 22% until 2015 least.
On Friday, spot gold rose 0.3% to $1,620.15 per ounce, after reaching the month high of $1,622 yesterday. ECB President's promise about preserving the Euro boosted bullion 2.2% to the weeks high. December-delivery bullion gained 0.3% to $1,623.80 per ounce in New York.
The Australian Dollar gained for a third day versus the U.S. Dollar and the Yen, and the 10-year government bond yield rose to 2.94% on Mario Draghi's vow to do everything needed to sustain the Euro. The Aussie advanced to $1.0411, after 0.9% rise yesterday. The currency gained 1.7% this month versus the U.S. counterpart.
The number of the U.S. unemployment claims considerably declined last week, sinking by 35,000 to 353,000 and presenting the biggest 1-week decrease of the year. Economists expected jobless claims to fall to 378,000. The main reason is a decreased number of layoffs in the automotive industry, indicating a changing pattern in industry employment.
The U.S. economy possibly grew at its slowest pace in a year in the Q2 due to job market concerns which forced Americans to reduce their spending due to limited corporate investment caused by the deepening Eurozone debt crisis and U.S. tax policy changes. Annual growth rate of GDP was 1.4%, following a rise of 1.9% in the beginning of
ECB President Mario Draghi assured that the central bank is prepared to do everything that requires to save the Euro, indicating the bank might interfere in the bond markets as Spain's and Italy's bond yields are surging, hence threatening the existence of the monetary bloc. Following the statement financial markets surged.
The BOJ should consider purchasing euro bonds in order to curb the Yen's advance against the shared currency that is putting a pressure on the Japanese exporters, said Ministry of Finance ex-official Takatoshi Ito. BOJ bond purchases would be "surprising" and indicate that Japan is backing up Eurozone while implementing measures to halt the Yen's strengthening.
Changsha, the central city of China, announced an $130 billion investment plan aimed at boosting national economy at the period amid its growth slows. The city is addressing banks to fund 195 projects, including subway lines and airport. Local governments are pushing efforts to support the economy, introducing measures such as tax cuts to boost consumption.
On Thursday, July 26, European markets pushed higher after ending a four-day drop, as Mario Draghi pledged to support the shared currency. The Stoxx Europe 600 Index rocketed 2.5 per cent to 256.58, the Spanish IBEX 35 index soared 6.1 per cent to 6,368.80, while Italy's FTSE MIB Index jumped 5.6% to 13,210.04. The pressure at the Italian and Spanish bonds came off, as the
According to the National Association of Realtors report, pending home sales in the U.S. fell unexpectedly in June. The Index fell by 1.4 per cent in June, despite growing optimism about the U.S. property market recovery. Regionally, pending home sales in the Northeast declined by 7.6%, 0.4 per cent in the Midwest and 2.0 and 2.6 per cent drop in the South and in the
Oil futures increased for a third day in a row on good economic news from the U.S. and signs of hope for Europe, after Mario Draghi's report. Crude oil for September settlement jumped 0.5 %, to $89.38 per barrel, while Brent oil for September delivery advanced 0.7 per cent to $105.06 per barrel.
On Thursday, July 26, gold futures edged higher as Mario Draghi said the ECB will do whatever is needed in order to save the Euro and amid growing expectations of another quantitative easing in the U.S. December gold jumped 0.6 per cent to $1,621.60 per ounce during today's New York trading session. At the same time, silver futures for September settlement advanced by 0.6 per
Wall Street turned green on ECB's President words of hope for the single currency. Meanwhile, the U.S. jobless claims came fewer-than-expected and durable-goods orders increased, providing more than 1 per cent boost to U.S. stocks. The Dow Jones Index jumped 1.4 per cent, to 12,856.33, the Standard & Poor 500 Index rose 1.3 per cent, to 1,355.21 and the Nasdaq Composite soared 1.2%, to 2,888.06.
South Korea's economy slowed down in the second quarter due to the growing investors' pessimism and weakening exports. Korean GDP rose by 0.4% in the second quarter, while in the previous three months it added 0.9 per cent. As reported by the Bank of Korea, nation's exports declined by 0.6% in the April to June period. Gloomy fundamental news in Asia's fourth-largest economy proves that nation's
After fluctuating during the first half of the trading day, the Euro rocketed versus the greenback after Mario Draghi's report. The President of ECB claimed that the European Central Bank will take any necessary measures in order to save the single currency. The Euro jumped more than one per cent against the U.S. Dollar to $1.2329, up from yesterday's $1.2152. On the contrary, the
Despite heightened worries about Europe's future, German consumer climate remained constant at 5.8 points in July. Still, the indicator is forecasting an increase by 0.1 point to 5.9 in the next month. German's willingness to buy and income expectations remained at a very good level; while the overall nation's economic growth is expected to decelerate.
According to the Labor Department, fewer Americans filed first-time applications for unemployment insurance payments. The figures showed that the number of claims declined by 35,000 to 353,000, during the previous week. Meanwhile, the unemployment rate remained stable at 8.2 per cent. The main reasons for curbing employment are slowing China's economy and deepening Eurozone's debt crisis.
Ford Motor posted a second quarter report with higher than expected earnings, but also the company doubled its estimates for losses in Europe, where debt crisis is far away from being resolved. Soon after the report, company's shares jumped higher than 1 per cent. Company's quarterly revenue declined by 6.2 per cent to $33.3 billion, mostly because of the loss of $404 million in
Gold futures rocketed above $1600 per ounce during New York trading session, boosted by Fed's speculation about another quantitative easing in order to stimulate world's biggest economy. Gold futures climbed 1.8 per cent to $1,605.15, the highest level since July 6. Moreover, other precious metals added in value. Silver for September settlement jumped 1.5 per cent to $27.21 per ounce, while September copper added 1 per
According to the Bank of Korea, the nation's consumer confidence declined to the five-month low in July. The sentiment index declined to 100, compared with 101 in the previous month, indicating the numbers of optimists and pessimists are equal. Korean Finance Ministry's representatives added that nation's economic growth is slowing down amid worsening global outlook. South Korean currency declined by 0.4 per cent to 1,150.65 per
On Wednesday, July 25, corn jumped as rains may not be able to reverse crop losses after the draught. Corn for December settlement rocketed 1.1 per cent to $7.87 per bushel during today's New York trading session. At the same time November soybeans increased by 0.5 per cent to $15.7725 per bushel and wheat for September settlement edged higher 1.2 per cent to $8.895 per
Spanish and Italian bond increased on hopes for European Stability Mechanism enhancement, after ECB's approval to get a banking license. The yields on Spain's two-year government bonds dropped from a Eurozone's high, falling to 6.46 per cent, after rocketing to 7.147 per cent, the ten-year yield tumbled 21 percentage point to 7.41 per cent. At the same time, the yield on two-year Italian bond declined