News

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Wed, 30 Nov 2011 12:54:42 GMT

Dow Jones slightly up

Dow Jones Industrial Average Index gained 0.28% or 32.62 points and ended at 11,555.63 on Tuesday trade mirroring modest investor optimism towards Europe. Home Depot and Chevron Corp. posted biggest gains for the index adding 4.45% and 1.69% accordingly. Amid earlier successful retail data Coca-Cola Company and Wal-Mart Stores also positively contributed to index trading up 1.57% and 1.61% respectively. Gains were offset by financials as

Wed, 30 Nov 2011 12:54:34 GMT

Aluminium production increases

World aluminium production rose by 5.85% in the 10 months of 2011, according to the report of International Aluminium Institute. The level of aluminium output continues to increase even despite this year's sharp price fall by 20% caused by global economic uncertainty. Currently LME Aluminium is trading at $2100/tonne.

Wed, 30 Nov 2011 12:54:34 GMT

Aluminium production increases

World aluminium production rose by 5.85% in the 10 months of 2011, according to the report of International Aluminium Institute. The level of aluminium output continues to increase even despite this year's sharp price fall by 20% caused by global economic uncertainty. Currently LME Aluminium is trading at $2100/tonne.

Wed, 30 Nov 2011 12:54:34 GMT

Aluminium production increases

World aluminium production rose by 5.85% in the 10 months of 2011, according to the report of International Aluminium Institute. The level of aluminium output continues to increase even despite this year's sharp price fall by 20% caused by global economic uncertainty. Currently LME Aluminium is trading at $2100/tonne.

Wed, 30 Nov 2011 12:54:22 GMT

British stocks decline

British stocks fall sharply after Standard & Poor's Ratings Services downgraded ratings of many global financial institutions.  The FTSE declined by 0.5% to 5,312.12 in early trade. The bank shares lead the decrease, Barclays PLC shares lost 1.8% and HSBC Holdings PLC edged down by 1.2% in early London trade.

Wed, 30 Nov 2011 12:53:08 GMT

Natural gas market waits for U.S. Energy Information Administration's weekly report

US natural gas market waits for Energy Information Administration's weekly report on the commodity stockpiles for last week due on Thursday. Recent estimates show the stockpiles were at 3.852 trillion cubic feet just below the ever-high level of 3.867 in the beginning of November.

Wed, 30 Nov 2011 12:53:08 GMT

Natural gas market waits for U.S. Energy Information Administration's weekly report

US natural gas market waits for Energy Information Administration's weekly report on the commodity stockpiles for last week due on Thursday. Recent estimates show the stockpiles were at 3.852 trillion cubic feet just below the ever-high level of 3.867 in the beginning of November.

Wed, 30 Nov 2011 12:52:51 GMT

Bullish sentiment for silver

Despite fall by more than 35% in silver prices since May, silver market seems bullish as many investors anticipate the third round of quantitative easing by US Fed and were affected by Eric Sprott's statement that he is going to buy $1.5 billion worth of white metal. After news about the previous QEs silver prices almost doubled while after Eric Sprott's said he would buy

Wed, 30 Nov 2011 12:52:38 GMT

Outcome of the EU finance ministers meeting

EUministers of finance  are discussing the prospects of the EU in Brussels. The meeting was organized after the announcement that the EU is very short of time to take action towards crisis resolution. The outcome was expansion of the EFSF to be capable to provide bailout funds if economies as Spain or Italy need them. The leaders also agreed on allowing the EFSF to secure

Wed, 30 Nov 2011 12:52:38 GMT

OPEC plans to cut oil production

OPEC considers a possibility to decrease oil output. During OPEC meeting due December 14 the members are expected to change the level of oil output as Iraq, Iran and Venezuela said they would also support the production cut. Moreover, Saudi Arabia showed signs it would agree on the cause.

Wed, 30 Nov 2011 12:52:23 GMT

Copper prices may boost on the possible supply shortage

Ongoing strikes in the mines producing copper coupled with rising concerns over political clashes in Congo, the second largest copper producer, add to the probability of copper deficit in the next year. Currently copper prices are weak due to pessimistic economic outlook; however, decreasing supply of the raw metal may lead to a highly bullish sentiment on the market. At the moment copper is trading

Wed, 30 Nov 2011 12:52:05 GMT

S&P 100 Index sticks to upward path

On Tuesday Standard & Poor's 500 Index extended gains adding 0.22% or 2.64 points closing at 1,195.19. Index appreciated for the second trading day in a row led by energy companies. Cabot Oil & Gas Corp. added 3.84%, Teco Energy edged up 2.65%, while Denbury Resources jumped 4.24%. Financial shares that were leading the gains on Monday became the major losers on Tuesday after Italian

Wed, 30 Nov 2011 11:02:58 GMT

Euro drops on worries whether officials will stop crisis

17-nation currency plunged toward 8-week record low against greenback on rising concerns that instruments proposed by European leaders will cease debt affliction. The common currency fell against the US Dollar for the second consecutive day. Euro lost 0.3% reaching $1.3284 in London morning trade. The pair currently is trading at $1.3301. Jeremy Hale, Citigroup Inc. executive of macro strategy, believes the markets are expecting

Wed, 30 Nov 2011 10:58:52 GMT

European FMs call for expanding IMF role

Euro zone officials announced they would like IMF to expand its role in tackling Europe sovereign debt crisis as the EFSF leverage still does not meet the target. Finance ministers agreed during their meeting to attempt to increase the IMF resources and to allow it join forces with EFSF. Dutch FM, Jan Kees de Jager, told IMF capital reserves should be increased to provide lending

Wed, 30 Nov 2011 10:56:39 GMT

South Korean manufacturing output drops amid debt crisis

According to Statistics Korea, South Korea's factory output dropped 0.7% in October compared to previous month. European debt turmoil is shrinking demand for goods from highly export-dependent Asian economies. Samsung Electronics Co. and LG Electronics Inc. have already reported declines in their profit as Europe struggles with surging borrowing costs. 

Wed, 30 Nov 2011 10:53:34 GMT

Thailand reduces borrowing costs to stimulate recovery

The Bank of Thailand lowered borrowing rates for the first time since 2009. Thailand's national bank has cut its overnight rate by 0.25 percentage points to 3.25%. Central bank expects Thailand's economy will grow at 1.8% rate next year or 0.8% less than was predicted earlier. Nalin Chutchotitham, Kasikornbank Pcl's economist forecasts further cut of 0.5% percentage points in forthcoming two months.  

Wed, 30 Nov 2011 10:52:14 GMT

Stark suggests Eurozone must reduce salaries

Juergen Stark, the member of European Central Bank Executive Board said substantial wage cuts are the last instrument left for Eurozone to stop debt crisis. He argued that adjustment in relative prices through salary reductions may be the only approach to lessen total debt. Stark also reminded that ECB rejects calls to be a creditor of last resort as it doesn't have capacities to back

Wed, 30 Nov 2011 10:51:27 GMT

US stocks close higher amid European signals of progress

US stocks mostly extended gains on Tuesday as markets monitored European summit in Brussels, hoping for progress in tackling debt crisis. Standard & Poor's 500 Index gained 0.22% or 2.64 points closing at 1,195.19. Dow Jones Industrial Average Index edged up 0.3% or 32.62 points to 11,555.63. Nasdaq Composite Index did not follow its major peers and fell 0.5% or 11.83 points to 2,515.51.

Wed, 30 Nov 2011 08:52:57 GMT

Australia to cut budget by $6.7bn

Australian government is going to implement budget cuts worth A$6.8 bn ($6.7 bn) in order to decrease spending and meet PM's Julia Gillard's oath to provide a budget surplus, as European debt problems fold economic growth. The surplus is forecast to reach A$1.5 billion. Australia holds the highest AAA grade received from all main rating agencies. Wayne Swan, a treasurer,

Wed, 30 Nov 2011 08:52:29 GMT

European stocks open lower on S&P bank downgrade

On Wednesday morning European stock markets traded down as S&P ratings agency reported downgrade of 37 international banks including major US and European financials. Moreover, investors kept monitoring developments in Brussels. FTSE 100 and French CAC 40 Index both dropped 0.8% to 5,294.98, and 3,003.05 respectively, while German DAX edged down 0.7% reaching 5,761.17.

Wed, 30 Nov 2011 08:46:37 GMT

UK consumer confidence remains low

In November UK's consumer confidence remained near to its 2.5 year-low. The sentiment index added 1 point reaching -31 or 1 point higher compared to October. The estimate for the expectations for British economy lost 2 points to -33 hitting 2.5 year-low. According to Nick Moon, GfK Social Research's director, the results are not surprising, taking into account pessimism in mass media. 

Wed, 30 Nov 2011 08:46:10 GMT

Kiwi and Aussie hit the one-week high but retreat later

The New Zealand and Australian Dollars reached the week record high against their US peer after European Finance Ministers reached an agreement how to extend EFSF bailout firepower and said to provide more details on December 9. However, both currencies offset gains as Asian stock markets escalated a drop. Kiwi fell from $0.7610 to $0. 7606 while Aussie dropped to $0.9978 after hitting $1.0087. NZD/USD currently

Wed, 30 Nov 2011 08:45:23 GMT

Canadian dollar appreciates for the fourth day in a row

Canada's dollar gained against US dollar for the fourth consecutive day, as US reported a surge in American customer confidence. An increase in oil prices also fuelled the escalation of the so-called loonie. Canadian national currency climbed 0.2% on Tuesday reaching C$1.0321 per one US dollar in Toronto trading session. Despite the recent appreciation, Canadian dollar has weakened 3.2% on a yearly basis. The

Wed, 30 Nov 2011 08:44:38 GMT

European FMs agree on EFSF leverage rules

On Tuesday evening European officials finally agreed on two options how to increase firepower of EFSF bailout package. The first option implies that bond holders can get limited risk protection of about 20-30% guaranteed by EFSF. The other option denotes the creation of co-investment funds to allow combining private and public funding in order to purchase bonds both from primary and secondary markets. Also ministers

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