Bearing in mind Italy's high level of debt (EUR 1.9T) combined with near-zero growth rate, investors believe it could potentially become the next victim of sovereign debt crisis despite a rather low budget deficit. Meanwhile, European flagman Germany has reached EUR 15.3B trade balance in September amid forecast of 12.9B.
Japanese stocks declined on Monday amid uncertainty over the new government in Greece and rising yields in Italy. The Nikkei 225 lost 0.39%, or 34.31 points, to 8,767.09, while the broader Topix decreased 0.21%, or 1.57 points, to 750.45.
Swiss stocks declined on Monday amid concerns Italy is next to suffer from the debt crisis as the country's yields rose to record highs. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, declined 0.25%, or 13.87 points, to 5,645.96. The broader Swiss Performance Index slid 0.20%, or 10.31 points, to 5,143.34.
U.K. house prices increased for the first month in three to an average of 163,311 pounds, said the Halifax Bank of Scotland on Monday. Prices rose 1.2 percent in October, compared to September, when they declined 0.3 percent.
President of the Federal Reserve Bank of Boston, Eric Rosengren, said the central bank should take action to decrease "stubbornly, and unacceptably, high" unemployment rate, which remains unchanged near 9 percent since April 2009.
Greek leaders agreed to form a unity government with Lucas Papademos, a former deputy head of the European Central Bank, as a possible prime minister to ensure outside financing and prevent a breakdown of the nation's economy.
Japanese stocks gained on Friday after the European Central Bank decreased interest rates and Greek officials disagreed over referendum. The Nikkei 225 advanced 1.86%, or 160.98 points, to 8,801.40, while the broader Topix rose 1.82%, or 13.44 points, to 752.02.
Swiss stocks declined on Friday ahead of confidence vote and after world leaders failed to reach a consensus on enlargement of the International Monetary Fund. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, lost 0.29%, or 16.16 points, to 5,651.89 at 4:08 PM CET. The broader Swiss Performance Index dropped 0.46%, or 23.77
Royal Bank of Scotland, U.K.'s largest government-controlled bank, announced lower than expected pre-tax profit of 2 billion in third quarter 2011, as sovereign debt crisis in Europe slashed revenue from holding securities.
Number of Americans, who have found a job in October decreased to 80 thousand from 103 thousand in September, while the unemployment slid 0.1% to 9.0%, the Bureau of Labor Statistics said on Friday. Economists expected the economy to add 97 thousand jobs and the unemployment rate to remain unchanged at 9.1%.
Italy will allow the International Monetary Fund to monitor implementation of its austerity reforms, said European leaders on Friday. "We need to make sure there is credibility with Italy's targets -- that it is going to meet them," one EU source said.
Japanese stocks tumbled for a third consecutive day on Wednesday, after Greek Prime Minister George Papandreou promised a referen-dum on a new aid package from European Union. The Nikkei 225 lost 2.21%, or 195.10 points, to 8,640.42, while the broader Topix de-creased 2.11%, or 15.92 points, to 738.58.
Swiss stocks rose for a second consecutive day on Thursday, after the European Central Bank lowered the key interest rate to 1.25 percent. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, gained 1.02%, or 57.00 points, to 5,668.05. The broader Swiss Performance Index increased 1.22%, or 62.03 points, to 5,161.72.
The U.K. service sector expansion slowed sharply in October. The Markit/Cips services purchasing managers' index (PMI) decreased to 51.3 from 52.9 in September, the Markit research agency announced on Thursday. Still, the reading above 50.0 shows industry expansion.
Number of Americans, claiming for unemployment benefits, decreased to 397 thousand last week from 406 thousand the week before, said the Department of Labour on Thursday. Economists expected the reading to decline to 401 thousand.
The European Central Bank unexpectedly decreased the key interest rate by 25 basis points to 1.25 percent on Thursday and new president Mario Draghi told the single currency union may slide into recession at the end of 2011.
Japanese stocks tumbled for a third consecutive day on Wednesday amid worries Greek referendum will undermine Europe's rescue plan. The Nikkei 225 lost 2.21%, or 195.10 points, to 8,640.42, while the broader Topix decreased 2.11%, or 15.92 points, to 738.58.
Swiss stocks gained on Wednesday, rebounding from two day losses. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, gained 0.40%, or 22.48 points, to 5,611.05. The broader Swiss Performance Index rose 0.43%, or 22.01 points, to 5,099.69.
U.K. construction purchasing managers' index (PMI) unexpectedly advanced to 53.9 in October from 50.1 in September, said the Markit research agency on Wednesday. Economists expected the reading to stagnate at 50.1.
Number of Americans, who have found a job in October decreased to 110 thousand from 116 thousand the previous month, the ADP Employer Services said on Wednesday. Economists expected the figure to decline to 102 thousand.
France and Germany told Greece it should decide whether to stay in the monetary union by mid-December. "The Greeks must say quickly and without ambiguity whether they choose to keep their place in the euro zone or not," said prime minister of France, Francois Fillon.
"Papandreou's comments poured cold water on agreements that Europe finally got into shape last week"- Ayako Sera, a market strategist at Sumitomo Trust & Banking Co.Japanese stocks plunged on Tuesday after Greek Prime Minister called for a referendum on a new rescue package agreed at a European Union summit last week . The Nikkei 225 lost 1.70%, or 152.87 points,
Swiss stocks dropped on Tuesday after Greek prime minister George Papandreou decided to put the latest bailout package for the nation to a public referendum. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, lost 2.49%, or 142.70 points, to 5,588.57. The broader Swiss Performance Index dropped 2.58%, or 134.23 points, to 5,077.68.
U.K. house prices rose for a second consecutive month in October, said property researcher Hometrack Ltd. The average price of a home increased 0.4% from September to ВЈ165,650 and was up 0.8% from a previous year.