Dow erased this week's gains on concerns Fed will end the bond purchasing somewhere this year. After the budget deal this week, investors are now paying their attention to confrontations between Republicans and White House over government spending. In addition, a larger number of Americans than forecast claimed for unemployment benefits last week. The Dow Jones Industrial Average slumped 0.2%
U.S. Stocks dropped after Fed policy makers announced they might end their $85 billion monthly bond-purchase program in 2013. The S&P 500 index tumbled 0.2% to 1,459.37. The benchmark index touched its highest level in 3 months on Wednesday, as the lawmakers passed a budget bill. Seven out of ten groups in the index inched lower with basic materials pairing
The greenback bounced back from early losses versus majority of its European peers as Democrats and Republicans reached an agreement to avert the "fiscal cliff". The U.S. Dollar recovered to around $1.3180 versus the Euro and to $1.6250 against the Pound Sterling, while it climbed Y87.090 versus the Japanese Yen.
Australian stocks plummeted as the Fed lawmakers claimed they would stop their $85 billion monthly bond-buying plan sometime in 2013. Japanese equity contracts spiked before markets reopening. Australia's S&P/ASX 200 Index plunged 0.3% to 4,727.90 in Sydney, bouncing back from most since May 2011.
Farm commodities apart from wheat tumbled on Thursday amid weak demand for riskier assets as several Fed officials are against continuation of USD85 billion monthly bond-buying plan. Firm US Dollar also pressurized rural commodities. Meanwhile, market players awaited USDA report on US export sales due on Friday.Wheat inched up on concerns over drought in the US southern Great Plains. Moreover,
Energy futures finished Thursday's session in a red territory as market players shunned riskier assets after the Fed hinted it may end its bond-purchasing program this year. Mixed signals from the US job market also pushed energy prices lower. Meanwhile, traders were cautious ahead of the EIA weekly stockpiles report due on Friday.Crude oil lost 0.22% on US stimulus concerns
Industrial metals were bearish on Thursday amid escalated worries that the Fed may slow or even end its asset-purchasing program. Mixed data from the US labour market as well as increased caution ahead of final services PMI releases from the US and Europe due on Friday also weighed on the market sentiment.Aluminum tanked amid firm US Dollar, elevated LME inventories
Swiss stocks increased to four-year high as U.S. policy makers launched a budget that averted most scheduled tax increases which put a recovery of the U.S. economy under a threat. The benchmark Swiss Market Index gained 2.9% to 7.020.46 in Zurich, the most since September 2008, while the broader Swiss Performance Index appreciated 2.9%.
U.S. stocks fell after the Fed lawmakers indicated they would most likely stop their $85 billion monthly bond-buying plan sometime in 2013. The Standard & Poor's 500 Index plunged 0.2% to 1,459.37, it was at its highest level since September as policy makers introduced a budget bill averting ‘fiscal cliff', while the Dow Jones Industrial Average was down 21.19 points,
Precious metals swung to losses on Thursday as investors focused on upcoming debates over lifting US debt ceiling. Fed comments also weighted. The Fed minutes indicated several officials consider it is appropriate to slow or even end Fed's USD85 billion monthly bond-purchasing program.Gold slid on lingering concerns that the Fed may stop its bond-purchasing plan this year. Moreover, worries over
Activity in India's service sector increased at the fastest pace in 3 months in December, data by Markit Economics and HSBC Bank showed today. The Seasonally adjusted PMI for service sector climbed to 55.6 from 52.1 a month earlier, with reading above 50 indicating expansion in the sector. The composite output index also increased to 56.3 from 53.2 a month
China's service sector continued to expand in December but at slower pace than a month earlier, according to data by Markit Economics on Friday. The HSBC business activity index fell from 52.1 in November to 51.7 in December, still showing a growth in service sector with reading above 50 indicating expansion. The composite output index, which measures both manufacturing and
Asian shares excluding Japan declined as Fed policymakers said the bond purchase programme will be ended this year. The MSCI Asia Pacific Excluding Japan Index fell 0.7% to 474.99, the most in 2 weeks and snapping its weekly gain to 1.9%. Japan's Nikkei 225 Stock Average rose 2.9%, while Hong Kong's Hang Seng Index declined 0.6% and China's Shanghai Composite
The Australian Dollar declined versus the U.S. Dollar, snapping its weekly gain, as Australia's and China's service industry indexes fell. The Aussie touched $1.0441, down 0.2% from the close yesterday, while it rose 0.4% to 91.66 yen from a day earlier, when it fetched 91.76, the highest level since September 2008. The kiwi fell 0.4% to 82.47 U.S. cents and
Japan's currency was set for the longest weekly streak of loses since 1989 versus the greenback ahead of data that may show hiring rose the most in 4 months. The Japanese Yen fell to 87.83 per U.S. Dollar, the lowest level since July 28, 2010 before touching 87.77, down 0.6% from the yesterday's close. The currency lost 0.5% to 114.43
Japanese stocks climbed, with the Nikkei 225 Stock Average poised for its strongest close since March 2011, after shares tracked gains in Asian markets and a weaker Yen increased the earnings outlook for traders. The Nikkei 225 surged 2.6% to 10,663.08, while the broader Topix Index advanced 2.9% to 884.33. The Yen slid to the lowest in two-and-half years versus
South Korean's Won and Malaysia's Ringgit advanced in Asian currencies as the U.S. prevented $600 billion of spending cuts and tax increases, lowering the risk of the U.S. economy's recession. The Won advanced 0.6% to 1,064.53 per greenback, while the Ringgit gained 0.6% to 3.0457 and Thailand's baht rose 0.5% to 30.46, and the Asia Dollar Index increased 0.1%.
Bullion traders forecast prices to bounce back from the longest eight-year losing streak after mounting concern that the U.S. policy makers are not doing enough to supervise the budget deficit stimulates demand for a wealth protection. Gold dropped 1% to $1,647.35 an ounce, while it climbed 7.1% in 2012; presently it is poised for a loss for the six week,
Oil cut fourth weekly gain as U.S. Fed lawmakers indicated they might end monetary easing this year, increasing concern that recovery of the U.S. economy might falter. Prices fell 0.8%, trimming crude's weekly rise to 1.5%. WTI oil for February settlement surged to $92.14 a barrel, down 78 cents, while Brent crude for February delivery fell 74 cents, or 0.7%,
German shares fell on Thursday on concerns about the budget bill not being able to reduce fiscal deficit of the U.S. government. However, the losses were capped on better than forecast unemployment data. German unemployment advanced a seasonally adjusted 3,000 to 2.942 million instead of the expected 10,000 estimate, and the adjusted unemployment rate stayed at 6.9%. The DAX index
U.K. blue chips were little changed, as investors switched to talks on lowering the U.S. budget deficit. The FTSE 100 benchmark index reached its highest level in 17 months yesterday after U.S. lawmakers passed a budget bill avoiding automatic tax increase and spending cuts. However, U.S. budget package will not diminish the deficit to a level that would enable to
Hong Kong equities extended their gains, as data showed China's non-manufacturing PMI gained December, the most in four months. The index advanced from 55.6 in November to 56.1 in December, contributing to economic rebound. The Hang Seng index increased 0.4% to 23,398.60 after earlier losing 0.3%. The benchmark index closed at its 19-month high yesterday. All but two groups in
U.S. blue chips rallied on Wednesday, as a budget deal was reached to halt the so-called "fiscal cliff" effect with automatic tax increases and spending cuts that would push the world's biggest economy into recession. The Dow Jones Industrial Average added 2.4% to 13,412.55 with all 30 stocks in the index edging higher. Investors' confidence was also boosted up by
U.S. equities surged after lawmakers passed a budget bill averting automatic spending cuts and tax increases. The S&P index rallied 2.5% to 1,462.42, the biggest gain in one year. All 10 groups in the benchmark index edged at least 1.8% higher. The S&P jumped 1.7% on December 31, showing the biggest gain in the last day of year since 1974.