Oil continued its gain on speculation of slowing US shale boom that could reduce global glut, which has driven prices to the weakest in more than five years. Oil futures added 1.7% in New York, cooling a seventh weekly drop, and WTI crude for February settlement rose 82% to $49.61 a barrel and traded at $49.05 in Singapore.
Fewer Americans applied for unemployment benefits, since the labour market forces employers to hold seasonal workers due to the economic expansion and an increase in consumer spending. As a result, jobless claims slipped to 294,000 during the week ended on 3rd of January. The necessity to keep employees may compel companies to raise wages. The previous week's figure was 298,000
OPEC countries are not planning an oil output cut in order to underpin the prices. Benchmark Brent fell to $49.66, the lowest level since April 2009, and then retreating back to $51 on 8th of January. Meanwhile, OPEC predicted a growing production surplus, taking into account increasing production levels and slowing growth in global demand.
US and European share prices increased on Wednesday assuming that the European Central Bank would inject more stimulus to prevent deflation in the Euro zone. The FTSE 300 index surged 1%, while the DJI and S&P 500 jumped 1.22% and 1.16%, respectively. Meanwhile, oil prices did not show any signs for a possible rebound from their lowest levels since 2009.
Gold futures declined on Thursday, as US data on monetary policy and economy strength had taken too long to wait for. Gold prices for February dropped 0.22% to $1208 per troy ounce, compared to yesterday's loss of $8.70 to $1210.70. During 2014 gold slid approximately 2% due to speculation that the Fed will start raising rates sooner rather than later. However,
On Thursday prices for copper rose, as sentiment recovered due to increased stimulus by the ECB and US economy being unaffected by the global growth slowdown. The expectation of the ECB to implement QE earlier than anticipated played its part at the sentiment recovery. Copper futures for March added 1.2 cents and traded at $2.771 per pound, compared to $2.758
Euro Zone CPI declined more than estimated due to sliding oil prices, which may in turn stimulate the European Central Bank to start the government bond buying programme. The Euro zone's price level deflated 0.2% in December, compared to a 0.3% increase a month earlier. The price growth entered the negative territory for the first time since October 2009.
Japanese manufacturing activity strengthened in December, showing that domestic demand is strengthening after the economy slipped into a recession last year due to April's sales tax hike. The Markit Manufacturing PMI stood 52.0 in December, namely at the same level as in November.
On Wednesday the Sterling slid to a new low for the past 17 months versus the US Dollar, as concerns over Greece exiting the Eurozone persisted along with poor UK data. GBP/USD hit 1.5115, the lowest since 2013, amid Yesterday's weak PMI data. UK PMI was lower than expected, dropped from 58.6 to 55.8, and met expectations that the Bank
The Yen lost its position and fell from the highest level in three weeks versus the Dollar, since US stock futures gave a signs of a gain after five days loss, cooling safer assets demand. Japan's currency lost 0.6% to 119.04 against the Dollar after reaching to 118.06, the highest since December 17. Moreover, the Yen fell 0.4% to 141.26
On Wednesday gold futures slumped, but held close to the three-week high, as investors were impatient about the Fed's data release. Gold futures slid 0.37%, or $4.50, to $1214.90 per troy ounce, compared to Yesterday's three-week peak of $1223.30. During 2014 gold lost approximately 2% amid anticipated strong economic recovery, that would force the Fed to rise interest rates sooner
Unemployment in Germany fell to its lowest level in December, indicating the Europe's largest economy recovery outlook is improving. The number of unemployed dropped seasonally adjusted 27,000 to 2.841 million previous month, the Federal Labor Agency reported today. There are now 10,000 and 17,000 less unemployed in eastern and western parts, respectively.
The Euro slid to the weakest level in nine years as concerns about global economy and collapsing Brent crude oil prices, which fell below $50 a barrel for the first time since May 2009, drove investors to turn to safe-haven assets. The Euro dropped to $1.1842 amid speculation the European Central Bank will deploy quantitative easing soon.
Oil experienced a record drop since May 2009 of below $50 per barrel due to speculation that US inventories will rise, increasing global oversupply. Brent futures slid 2.3% for five consecutive days of losses, while crude stockpiles in the US largely expanded, whereas oil's second-largest consumer, China, is expecting slower imports. During last year oil slumped by the largest amount
On Wednesday the Euro declined to a nine-year low versus the US Dollar before the Eurozone inflation data release. EUR/USD hit a low of 1.1851, the weakest since 2006, amid expectation that stimulus measures by the ECB will be set early this year. One of the reasons of Euro's weakness was the US Dollar index, which hit a nine-year high
On Tuesday US natural gas prices fluctuated due to investors monitoring unstable changing weather forecasts for the next two-week period. In February natural gas tacked on 0.6 cents at $2.889 a million British thermal units. Short-term weather forecasts called for chill temperatures, boosting demand for heating fuel, while extended forecasts showed that colder readings were expected closer to the end
Oil declines below $55 per barrel and rises rumors about Norway's central bank will be forced to lower rates again. Brent crude experienced a 54% decline since June's high, which had a great impact on Norway's industry, where oil and gas make up to 22% of GDP. In the same amount of time the Krone lost approximately 20% versus the
Russian bond insurance cost against default jumped to the highest level in nearly six years amid concerns the nation's credit rating cut to junk is imminent. Thus Russian Ruble declined for a second day, while contracts increased to 126 basis points in three days, along with five-year credit default swaps gaining 63 basis points up to 601. The Ruble weakened
US stock futures almost unchanged, since investors are weighting whether the signals of a stable economy will lift equities after the drop in energy shares that headed the S&P 500 Index to its highest decline since October. The S&P 500 Index futures rose 0.1% to 2,016.6 in New York, comparing with an earlier 0.3% advance.
The Yen reached its highest two-day gain during last three weeks versus the Dollar, since a drop in stocks and oil stocked Japan's haven assets demand. The Yen added 0.7% to 118.81 against the Dollar at the trading session in London. Moreover, the Yen advanced 0.9% to 141.44 versus the Euro after touching 141.39, the highest level since November 3.
On Tuesday gold futures reached a new high of the past three weeks amid Greece's unknown future in the Eurozone. After metal's futures for February hit a three-week peak of $1211.80, they slid slightly and remained at $1209.80 per ounce. Competition against yield-bearing assets is tough for precious metals when rates are rising, as high borrowing rates are bearish for
Gold gained for a third day, setting the longest run of advances since October, as political uncertainty and slumping equity markets in Greece boosted demand for the yellow matal. Gold for immediate delivery climbed 0.8% to $1,214.43 an ounce, the strongest since December 16. Bullion for February settlement at Comex added 0.6% to trade at $1,211.60 per ounce.
Oil fell through $50 a barrel on speculation the US crude inventories are expanding, developing a global glut supply that was leading prices to the weakest level since 2009. Futures dropped 3.1% in New York. Oil lost as much as 50% in 2014, the biggest drop since the financial crisis in 2008, after the OPEC rejected cutting output.
On Tuesday the Euro nearly reached a nine-year low versus the US Dollar amid the Eurozone's private sector activity data showing a much slower rate than anticipated in December. EUR/USD was at a 1.1905, down 0.22%, posting the worst performance since February 2006. Last month's services PMI declined from 51.7 to 51.4 points, still above the threshold level of below