Mark Carney, governor of the Bank of England, will probably give to his successor a 375 billion-pound ($630 billion) puzzle: which actions should be implemented with accumulated by the BOE during its economic stimulus plan government bonds. Derivatives contracts show that point could be not achieved before Carney leaves in 2018.
West Texas Intermwdiate oil prices decline slightly in Thursday, trading almost on the lowest level in a week, as supplies of crude oil in the United States advanced. Futures with delivery in July trade at $102.84, being little changed from yesterday, when it rose 0.4%. At the same time, Brent prices are more stable at $110.08, as escalation of conflict
Stoxx Europe 600 Index decreased from the highest level since January 2008, as investors are preparing for the data on U.S. Economic growth and unemployment claims. Stoxx Europe 600 Index fell 0.4% or 0.83, including Kingfisher decrease 4.6%, and Tate&Lyle Plc fall 1.3%. The Stoxx 600 gained 8.5% from a February 4, reaching its highest level in more than six
The global bond market surge, as economists predict that governments will continue stimulating growth amid high unemployment and low aggregate demand. Moreover, the support will most likely not cause a rise in inflation. As example, the yields on 10-year Australian and Japanese securities fell to the minimum in 11 and 12 months, respectively, with European and U.S. bond also rising.
The Central Bank of Brazil is planning to resume the key interest rate increases after elections in October, as the annual inflation level in the country still remains far away from the target of 4.5%, being on the 6.31% level. Analysts expect actions to start in December. The main rate is currently 11%. At the same time, recent raises of
Retail sales in Japan fell with the fastest speed in more than 14 years as first consumption-tax was increased in April 1. Japan's retail sales in April dropped 13.7% from the month earlier, the biggest monthly decrease since 1997. Sales in April declined 4.4% from a previous year with falls in all trading sectors including clothing, food and beverages, autos.
The volume of retail sales, taking a significant part of the service sector, which accounts for more than 50% of Norwegian economy, advanced 0.5% in April of the current year in this country. Therefore, the increase take place for the fourth consecutive month. Analysts, in turn, waited for a 0.3% decline, however, the overall volume of sales decreased the pace
Economic growth in Switzerland increased the pace of advance in the first three months of the year 2014, as the GDP added 0.5% on a quarterly basis after a slight 0.2% rise in October-December. Therefore, the country outpaced the Eurozone in terms of growth in Q1. According to the report, exports returned to surge of 2% in January-March, while construction
A significant number of state bonds in Europe jump today, as experts prepare for further stimulus from the ECB, which can be announced the next week. Belgian 10-year bonds' yields plummeted to 1.9%, the record minimum. Spanish securities with the same maturity rise, with yields dropping to 2.86%, while German and Italian yields are decreasing to 1.37% and 2.97%, respectively.
Economy of Denmark returned to advance in the first three months of this year, as domestic consumption added 2% and investment increased. GDP of the country jumped 0.9% quarter-on-quarter after a 0.5% slid in October-December. As expected, the weakest economy of Scandinavia will continue to recover. Moreover, the country still holds the highest credit rating of AAA.
Equities of the biggest European companies decline on Wednesday, as investors evaluate their performance for work in the first quarter, while some of them decreased future profit projections. The benchmark Europe Stoxx 600 Index drops 0.2% to 343.75 points, down from the highest level in six years. Among losers, Elektra AB and Osram Light AG decrease 7.7% and 7.6%, respectively.
Unemployment in the Europe's largest economy held steady in April with overall employment advanced on a monthly basis in April, the latest report released by the statistical office Destatis showed on Wednesday. The country's jobless rate posted 5.2% in April, unchanged from March, while employment grew by 0.4% in April.
Spain's retail sales accelerated in April rising for the second successive month, however the pace of growth weakened on the month, the latest report unveiled by the statistical office INE showed on Wednesday. According to the report, the country's retail sales added 0.1% year-on-year in April after gaining 0.5% in the prior month.
Producer prices in France slipped in April matching economists' expectations, a report unveiled by the statistical office showed on Wednesday. According to the report, the country's producer prices fell by 0.9% on an annual basis in April after falling by 0.2% in the prior month, while month-on-month the prices declined by 0.1% in April.
Industrial profits in the world's second largest economy advanced in the January-April period, according to a report released by the National Bureau of Statistics showed on Wednesday, as utilities added 27.2% on an annual basis and mining industry dropped 16%. The report also showed that the country's industrial profits grew 10.0% totaling 1.762 trillion yuan.
A leading economic indicator in Australia eased slightly in the months of April after it was flat in March, the latest survey released by the Westpac Bank showed on Wednesday. According to the survey, the country's leading economic index dropped by 0.5% recording 98.0 points in April after it was seen at 98.38 in March.
Construction work in Australia grew in the quarter first of this year, the latest report revealed by the Australian Bureau of Statistics showed on Wednesday. According to the report, the country's total value of completed construction work rose by 0.3% on a sequential basis in the Q1 totalling A$53.621 billion, while it was forecast to drop on the quarter.
Business sentiment in New Zealand weakened in May, however the indicator measuring outlook for general business conditions stayed in positive figures on the month, a report published by the ANZ Bank unveiled on Wednesday. According to the report, the country's business confidence index fell by 11 points in May to 53.5.
Housing affordability in Australia increased in the first three months of this year as the country's central bank lowered interest rates which pushed the affordability higher, a data revealed by the Housing Industry Association showed on Wednesday. According to the report, the country's housing affordability index grew from 75.6 in the Q4 to 77.2 in the Q1 of 2014.
Consumer sentiment in the world's largest economy advanced in May rising in line with economists' predictions, the latest report revealed by the Conference Board showed on Tuesday. According to the report, the U.S. consumer confidence index jumped from April's level of 81.7 points to a level of 83.0 points in May.
The New Zealand's currency declined on Wednesday trading session easing from yesterday's level after a private report showed that the country's business confidence dropped to the lowest level in a seven-month period. The so-called Kiwi fell 0.2% to $0.8545, however technical analysts see the currency on the market's support level.
The European currency slightly advanced on Wednesday trading session recovering from the weakest level in three months recorded yesterday after the European Central Bank President Mario Draghi showed discomfort with the weak level of inflation and signaled policy action on the next meeting. The Euro added to $1.3636, up from 3-month low of $1.3612 hit on Tuesday.
The U.S. currency traded steady earlier on Wednesday trading session and fluctuated near the highest level in eight weeks versus its most-traded peers after it strengthened yesterday on favourbale economic data. The U.S. Dollar index was last seen at 80.340 following an increase to 80.470, the strongest level since April.
Japanese equities advanced on Wednesday rising for the fifth successive session as Mitsui Fudosan Co led gains gaining by 4.7% and as U.S. data raised risk appetite of investors. The benchmark stock index Nikkei 225 average added as much as 0.2% to 14,670.95, while the Topix surged 0.3% to 1,198.17 and the JPX-Nikkei Index 400 jumped 0.2% to 10,926.66.