The U.S. Dollar dropped 0.5% against the Yen to 96.44 from 97.52 earlier today and Japanese stocks sank before today's non-farm employment change and unemployment rate data releases in the U.S, which might shed light on the future of Fed's monetary easing. Nikkei 225 index shrank 1.9%, while Topix fell 2.4%. Economists expect the U.S. unemployment to stay at 7.5%
The Japanese Yen gained the most in three years as country's Finance Minister Taro Aso stated that there would not be an intervention. The Japan's currency appreciated 1.4% to 95.65 per Dollar at 1:20 p.m. Tokyo time and it is headed for a 5.1% jump weekly, the currency advanced 2.2% on Thursday. The Yen rose 1.1% to 127.02 per Euro,
Inflation expectations in the U.S., calculated as the difference between 10-year Treasuries and similar-maturity Inflation Protected Securities, fell to 10-month low as the spread narrowed to 2.14% today, before tomorrow's wage gains data. The current real yield on 10-year government bonds is 0.98%, while it is expected that yield will rise 40 basis point by the end of the year.
Share prices in the U.S. dropped on Wednesday as investors speculated that the Fed might slow down its bond purchasing programme. Experts say that this move might indicate the end of an seven-month rally in the U.S. stocks. The Nasdaq Composite Index dropped 1.27%, the S&P 500 decreased 1.38%, while the Dow Jones industrial average shrunk 1.43%.
Economists predict that Mario Draghi will announce in today's press conference that he will keep the interest rates in the euro zone unchanged, emphasizing improving sentiments in the region's economy. Experts also forecast no changes in the monetary policy of the Bank of England, which will continue its GBP 375 billion bond purchasing programme. The current ECB and BoE benchmark
India's currency dropped to 57 per Dollar for the first time in almost 12 months as Asian shares declined on speculation that the Fed will taper stimulus. The India's Rupee slipped 0.4% to 56.9450 per Dollar at 10:10 a.m. Mumbai time, after it reached 57 earlier, the weakest in more than 11 months. The India's central bank may start selling
U.S. crude oil futures gained on Thursday, led by a small drop in the U.S. currency before the ECB's monetary-policy report and one-month U.S. employment data at the end of the week. Oil for July delivery rose 0.2% reaching $93.95 a barrel during Asian trading hours. According to reports from the government, U.S. oil supplies fell more than predicted.
German government bunds remained flat as ECB lawmakers decision on interest rates. German 10-year bond yielded 1.51%, following a gain to 1.57% on June 3. Investors who hold Germany's stocks and bonds suffered a loss of 0.7% this year. The ECB decreased its refinancing rate by 0.25% on May 2 and Draghi indicated he's ready to cut interest rates if
Five years ago Latvia had the highest inflation rate in the European Union and the wages in this Baltic country are more than four times lower compared to Germany; however, the ECB announced that Latvia can join the Eurozone. The real GDP per capita in Latvia is 6,800 Euros ($8,900), making it the poorest country to join the shared currency
The 17-nation currency reached the strongest level in four weeks versus U.S. Dollar on Thursday ahead of European Central Bank meeting on maintaining the interest rates unchanged. The common currency advanced 0.2% to $1.3127, the strongest level since May 9. The Eurozone's currency's rise pulled the greenback to 82.394, the weakest level in four weeks.
European shares remained steady, as the benchmark Stoxx Europe 600 Index yesterday slipped to the lowest level in six weeks, after investors expected information from the European Central Bank and Bank of England. U.S. share index futures increased, while Asian stocks fell. The Stoxx 600 advanced about 0.1% to 295.19 and the Standard & Poor's 500 Index futures climbed 0.3%.
Canadian shares declined for a fourth day in a row, the longest run in eight weeks, after the U.S. employment and factory data missed the expectations and investors speculated whether the Fed will reduce the bond-buying programme. The Standard & Poor's/TSX Composite Index slipped 1.2% to 12,443.65 as of 4 p.m. Toronto time; the index has dropped 2.4% in the
The Sterling touched the strongest level in four weeks versus the U.S. currency after the Bank of England officials begin the second day of Governor Mervyn King's last meeting. Analysts expect the BoE to maintain quantitative easing programme unchanged. The British Pound gained about 0.1% to $1.5421 and remained steady at 85.05 pence versus the common currency.
Asian shares declined, with the regional benchmark index set for a lowest level in five months, after U.S. employment and factory data came worse than expected and investors weighed whether the Fed will wind down its stimulus. The MSCI Asia Pacific Index fell 0.9% to 131.12 at 2:01 p.m. Tokyo time. Japan's Topix index slipped 1.8%, erasing earlier gain of
The Aussie depreciated to the two-year low as the advantage of Australia's falling interest-rate over its peers diminishes the allure of the currency. The Australia's Dollar slipped 1% to 94.45 U.S. cents at 2:43 p.m. Sydney time after reaching 94.35, the lowest level since October 4, 2011. The kiwi dropped 0.8% to 79.10 U.S. cents after touching 79.03, the weakest in
The U.S. Dollar's volatility versus the Japanese Yen almost reached the highest level in more than a month before the employment data from U.S. that would indicate if the U.S. economy is strong enough to taper the stimulus. The greenback traded at 98.86 Yen, before touching 99.22 Yen as of 12:47 p.m. Tokyo time. The U.S. Dollar and the Japanese
Canada's currency reached the weakest level in one year against its U.S. counterpart after faster-than-expected growth in American service industries increased speculation the Fed might slow down its bond-buying programme. The loonie fell 0.1% to C$1.0355 against U.S. currency as reaching C$1.0380.
The U.S. Dollar traded under 100 Yen and global equity markets slipped on Wednesday following a weaker-than-expected report on U.S. jobs that supported expectations the Federal Reserve will continue its bond-buying programme. The greenback reached the weakest level of 99.13 against the Japanese Yen ahead of transferring to 99.56 Yen.
U.S. shares traded lower as a report indicated the increase of payrolls was not enough to minimize concerns the Fed may taper its economic stimulus. The Dow Jones Industrial Average declined 0.37% to 15,122.13 and the S&P 500 Index fell 0.39% to 1,624.94, and the Nasdaq Composite Index dropped 0.42% to 3,430.93.
Gold futures kept gaining on Wednesday following less-than-predicted private sector payroll rise, two days before non-farm payroll report that might provide information about when the Federal Reserve will weaken its economic stimulus. The August gold contracts increased 0.5% to $1,403.60 an ounce.
The U.S. Dollar reached the weakest a session low versus the common currency and the Japanese Yen on Wednesday as data indicated less-than-expected private sector payrolls were created in he U.S. last month. The report showed only 135,000 new jobs were created instead of 165,000 predicted. The 17-nation currency advanced versus the greenback to $1.3114 following the data.
The European Central Bank announced that Latvia can join the Eurozone, although officials are worried that the country might struggle with keeping the economy afloat. Latvia plans to introduce the Euro on January 1, 2014 and it will become the 18th country of the Euro block. Inflation rate in the Nation was 1.3% in the 12 month period through April, well under the reference measure of
The Japanese currency appreciated against the U.S. Dollar and the Euro after Japan's shares decreased as Prime Minister Shinzo Abe did not provide any additional information amid QE measures, increasing demand for safer assets. The Japan's Yen gained 0.5% to 99.58 against the U.S. Dollar and 0.6% to 130.08 versus the Eurozone's currency.
U.K. shares retreated amid speculation that the Fed may wind down its stimulus programme at the end of the summer. The FTSE 100 Index dropped 0.7% to 6,515.83 as of 9:19 a.m. London time. The index has declined by 4.8% since the Fed Chairman's Bernanke's testimony on May 22, when he talked about scaling back stimulus if the U.S. economy