US President Obama called the government to impose higher taxes on country's wealthy to restore income equality in US economy, fueling predictions he will use this call in his election campaign. Obama claims that those who earn millions must pay at least 30% tax to make sure more citizens have a fair share of income. President also demanded to create more jobs
German DAX Index climbed 0.5% on Monday, but pulled back 1.1% to 6,365.95 during Tuesday session, pushed down by domestic banks. DAX index posted loss, as private creditors put pressure on Greek officials to raise coupon rate above 4%. Commerzbank gave up 4%, and Deutsche Bank dropped 3.3%. Siemens AG declined 3.6% after reporting a fall in earnings. At the
After jumping 0.9% on Monday, UK FTSE 100 Index retreated on Tuesday, as investors lost patience on lingering Greek debt swap agreement. UK benchmark fell 0.8% to 5,737.97, weighted down by financial shares. Royal Bank of Scotland dropped 4%, while Lloyds Banking edged down 4.2%. Essar Energy PLC was among few winners, fluctuating into positive area after the company reported
Japan's Nikkei Stock Average slightly recovered on Tuesday amid surge in crude prices, though the gains were limited as trading volumes were low and BoJ reduced the growth outlook for 2012. Nikkei 225 index added 0.15% or 12.78 points and closed at 8,785.33, lifted by energy shares. Inpex Corp. advanced 2.2%, while Japan Petroleum Exploration Corp climbed 1.4%. Automaker Toyota
Australian S&P/ASX 200 traded flat on Tuesday, erasing early gains as worries about Greece and Portugal debt problems returned to markets. Australian benchmark index declined 0.02% or 0.9 points and settled at 4,224.20, supported by the jump in oil prices. Energy shares climbed, while mining stocks showed mixed performance. White energy soared 3.8%, Woodside Petroleum Ltd advanced 0.7% and Coalspur
Dow Jones Industrial Average Index pulled back on Monday, as investors remained worried about possible outcome of Greek debt talks. Blue chip index lost 0.09% or 2.53 points and finished at 12,708.82. 12 of 30 stocks within the index posted gains, led by technology shares. Bank of America jumped 10.3% despite the relatively poor performance of index's financial sector. Hewlett
Agricultural commodities advanced on Monday on the unfavorable weather conditions in South America that weighted down on the crop forecast. Softer US Dollar also contributed to gains. However, meteorologists claimed that cold front is likely to bring rains in the major grain-growing areas. The only loser was coffee that dropped by 2.64% over the day on the expected ample global
Energy futures, except for heating oil, advanced on Monday following the announcement that the EU agreed to ban Iranian oil exports from July 1, 2012, while Iran threatened to block the Strait of Hormuz. Natural gas rebounded from almost 10-year low as Chesapeake Energy reported an essential cut in drilling. The energy prices are expected to climb higher on the
Industrial metals advanced on Monday amid eased EU debt worries and inspiring base metals imports in China. However, Barclays projects fall in the China metals imports, especially copper, in Q1 of 2012 due saturation in the market. Nickel was the only loser amid the buildup of the LME inventory and weak cancelled warrants. Zinc, the top performer, soared 2.3% despite
Precious metals posted gains on Monday amid softer US Dollar and signs of further quantitative easing in the US. Gold futures attained six-week high, finding additional support in the global concerns about the Iranian oil embargo imposed by the EU. Market sentiment also was improved due to expected increase in gold purchases by the central banks. However, demand for gold-backed
Primary reading indicated that the Markit Eurozone PMI Composite Output Index rose to 50.4 in January from 48.3 in the preceding month. Manufacturing PMI expanded to 48.7 while analysts predicted the indicator to rise to 47.8. Services sector posted the largest gains, advancing to 50.5 in January from 48.8 in the preceding month.
S&P 500 Index traded almost flat on Monday, as investors remained cautious about the enduring Greek debt write down talks. US benchmark index closed 0.05% or 0.62 points higher at 1,316, the highest reading since July 26. Energy and technology stocks provided major contribution to the index, as oil prices rallied, after EU imposed embargo on Iran crude. Southwestern Energy
European markets closed higher on Monday as Greeks and private creditors continued to discuss debt swap and investors were hoping that both parties will reach an agreement about debt write down at around 70%. Stoxx 600 index added 0.5% to 257.01, Greek ASE composite rocketed 5.1% to 744.26 and French CAC 40 index gained 0.5%, finishing at 3,388.42. Meanwhile the
France's private business activity eased up in January, reflecting the first increase in the four consecutive months. The Markit Flash France Composite Output Index approached 50.9 in January from 50.0 last month. The increase was mainly based on the rapid expansion of the service sector that achieved 51.7 from 50.5 last month. At the same time, manufacturing sector production declined
Gold futures declined after hitting six week high during Asian session on Tuesday. Firmer US Dollar and closed Chinese markets both weighted down on the yellow metal's price. Gold futures for February delivery traded at USD1,672.80 an ounce during the Asian trade, losing 0.3% from the yesterday's close.
Copper imports in China were firm in December but they are likely to decline in Q1 of 2012, according to Barclays' forecast. Overall refined copper imports approached a record high of 406,937 tons in December. The average monthly import requirement is expected to level off at about 200,000 tons this year amid the saturation of the market.
India agreed with Iran to pay for oil purchases in gold rather than in the US Dollars, DEBKA reported. Paying in gold India allows Iran to bypass the forthcoming freeze of the central bank assets and oil embargo. India is the first buyer to pay in gold but experts predict China is likely to follow the trend. Both China and
Skandinaviska Enskilda Banken and Daiwa Securities Group underwrote record high number of green bonds since their issuance in 2007, showing the dominance of Japanese and Swedish banks in the bond market. Five of ten biggest green bond underwriters were drawn either from Japan or Sweden. Statistics suggests, lawmakers are willing to stimulate investment in environmental projects.
The International Labour Organization announced that overall outlook for the world's labour market worsened in 2011. The organization urged the government has to create more than 600 million jobs over the next 10 years. Currently there are about 1.1 billion individuals that are either living in poverty or unemployed.
Indian central bank cut outlook for the expansion of the country's economy. The RBI said the growth for 2011 and 2012 is likely to be more moderate than expected. Bank blamed the high inflation rate that hit 7.47% last month, the lowest level in the last two year but still above the bank's target. The RBI also added that spillover
Crude oil soared to USD110.80 on Monday after the EU approved embargo on Iranian oil. Iran continues to repeat threats of blocking the Strait of Hormuz in case of any disruptions to sale of the country's oil products. However, Britain and American warships sailed freely through Strait of Hormuz on Sunday. EU ministers consider the attempt to close the channel
The EU announced it does not approve the offer of Greece's PSI that was reached with private bondholders. The EU asked for a coupon on the new Greek debts below 4%, reported the Euro Zone sources, late on Monday. Following the announcement, the Euro paired losses against the US Dollar, losing 20 basis points. The pair EUR/USD was approaching 1.3000
According to analysts, Hungary is likely to increase its key interest rate to back local securities as country's bailout talks with IMF stay frozen. Economists predict that central bank of Hungary may raise the key two-week interest rate for a third straight month to 7.5%, making the highest interest rate in European Union. Talks with IMF were interrupted after Hungary
The Bank of Japan lowered growth predictions for the 2012, starting from April and kept its benchmark interest rate unchanged. The growth expectations for the year was cut from 2.2% to 2.0%, said central bank's governor Masaaki Shirakawa. The predicted inflation level was unchanged at 0.1%. The revisions depict Japanese official concerns, debt crisis in Europe will harm the demand