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.
U.S. manufacturing index declined to 50.8 in October, from 51.6 in September, the Institute for Supply Management said on Tuesday, as sales overseas declined on weaker consumer spending. Still, reading above 50.0 indicates industry expansion.
Greek Prime Minister George Papandreou decided to put the latest bailout package for the nation to a public referendum late Monday. "The Greek prime minister has taken this decision without talking it through with his European colleagues," said Jean-Claude Juncker, who chairs meetings of euro zone finance ministers.
The nation's currency plunged the most since 2008 versus the greenback after Japan intervened in the foreign exchange market on Monday. Finance Minister Jun Azumi declined to comment on the size of the intervention.
Swiss stocks plunged on Monday as some investors are worried that larger bailout fund will not prevent Europe's debt crisis from spreading. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, lost 1.70%, or 99.36 points, to 5,753.30. The broader Swiss Performance Index advanced 2.29%, or 118.70 points, to 5,297.06.
U.K. house prices declined for a sixth consecutive month in October, said property researcher Hometrack Ltd. The average price of a home dropped 0.2% from September and was down 2.8% from a previous year.
U.S. business activity advanced at a slower pace in October, com-pared to September. An index measuring business conditions de-clined to 58.4 points in October from 60.4 points the prior month, said the Kingsbury International Ltd. A level above 50 points indi-cates expansion.
Italian Prime Minister Silvio Berlusconi told that only his cabinet can deliver the nation's promised austerity cuts as European leaders demand the country's government to do its part in combating Europe's debt crisis.
“Investors are recovering their risk appetite”- Kenichi Hirano, general manager and strategist at Tachibana Securities Co.Japanese stocks edged higher on Monday after G20 finance chiefs approved some of the measures to contain Europe’s debt crisis. The Nikkei 225 rose 1.50%, or 131.64 points, to 8,879.60, while the broader Topix surged 1.75%, or 13.07 points, to 761.88.“Investors are recovering their risk
“Investors remain cautious and we don’t think the market already managed to re-price to a more benign scenario”- Mislav Matejka, chief equity strategist at JPMorgan Chase & Co.Swiss stocks erased last week gains as Germany said there is no swift solution to Europe’s debt crisis. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies,
“Sellers will find that their increasingly lofty price aspirations [for London’s real estate] are not being met”- Miles Shipside, director at Rightmove$London house prices rose the most sharply, 5.2%, in two years in October, after 2.4% increase in September, said Rightmove, UK largest real estate portal on Monday. The average value of a home advanced to 450,210 pounds.$“If prices are
“You can’t scare America into recession right now”- David Kelly, chief market strategist at JPMorgan FundsU.S. month on month industrial production rose 0.2% in September on increasing demand for computers and automobiles, after stagnating in August, said the Federal Reserve on Monday. An increase is in line with economists’ expectations.“You can’t scare America into recession right now,” said David Kelly,
“Dreams that are taking hold again now that with this pack-age everything will be solved and everything will be over on Monday won’t be able to be fulfilled”- Steffen Seibert, German Chancellor’s chief spokesmanGerman Chancellor’s chief spokesman, Steffen Seibert, said EU law-makers won’t be able to solve the debt crisis in one step at October 23 summit.“Dreams that are taking
“Continuing funding to Greece is the least worst option available”- Peter Dixon, an economist at Commerzbank AG$International Monetary Fund and European Union officials hinted Greece will receive next tranche of financial aid of 8 billion euros in early November. Troika also said “it is essential that the authorities put more emphasis on structural reforms in the public sector and the
Japanese stocks rose the most in two weeks on Tuesday as Merkel and Sarkozy pledged to support the region’s banks. The Nikkei 225 advanced 1.95%, or 168.06 points, to 8,773.68, while the broader Topix rose 1.81%, or 13.45 points, to 755.00.“Europe is starting to take some concrete steps toward recapitalizing its banks,” said Kiyoshi Ishigane, a senior strategist at Mitsubishi
Swiss stocks rose on Tuesday for a fifth continuous day as Actelion Ltd., Switzerland’s largest biotechnology company, and Givaudan SA, the producer of the fragrances, rallied. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, rose 0.24%, or 13.63 points, to 5,732.19. The broader Swiss Performance Index edged higher 0.21%, or 10.71 points, to