The Australian Dollar, so-called Aussie, lost its value against major currency peers before inflation data this week. Investors are concerned that inflation will be in the lowest point in 13 years and that increases expectations that the domestic borrowing rate will be cut by the central bank. The Australian Dollar remains lower after a last two-day drop versus the U.S.
US blue chips posted losses on the 25th anniversary of the 1987 stock market crash. Weak quarterly results and a fall in the US existing home sales created pressure on the US blue chips. Lack of results from two-day EU summit also dampened market sentiment. The Dow Jones Industrial Average Index dropped 1.52% to close at 13,343.51. All sectors included
On Monday, copper reached a 1-month low, following a decline in both U.S. and Asian stocks, and the data that showed lower than expected exports of Japan. On the London Metal Exchange, three-month copper decreased by 0.1% to trade at $8,008 per metric tonne by 05:12 a.m. London time. Earlier, it hit $7,964.25, which was the lowest since Sept. 10.
US stocks traded sharply lower on Friday amid disappointing US economic releases and lack of progress in eurozone's crisis resolution after EU summit. Weak corporate earnings and larger-than-expected increase in US jobless claims last week created heavy selling pressure on the US equities. The S&P 500 Index plunged 1.66% to end the week at 1,433.19. All sectors included in the
Japan showed a merchandise trade shortfall of Y558.555 billion in September, led by heavy drop in exports to China and Europe, the Ministry of Finance reported on Monday. Economists expected a deficit of Y547.9 billion, after a downwardly revised Y755.9 billion in August. Exports slid 10.3% on year to Y5.359 trillion, exports to China shrank 14.1%, while those to EU
Farm commodities advanced on Friday amid mounting concerns that supplies from Ukraine may be disrupted. However, renewed global growth concerns and broadly stronger US Dollar capped gains of rural commodities. Wheat gained on concerns that Ukraine will impose export restrictions. Volodymyr Klymenko, head of Ukraine's Grain Association announced that wheat shipments are likely to attain 5.3 million MT by mid-November,
Energy futures apart from natural gas plunged on Friday as stronger US Dollar combined with deteriorating global economic outlook created notable pressure on the commodity group. Moreover, easing supply-side support weighted down on energy prices. TransCanada Corp is expected to resume operations at its Keystone pipeline despite unfavorable weather conditions. Crude oil was the worst-performer as US crude oil inventories
Industrial metals tumbled on Friday on dismal corporate earnings reports from the US and uncertainty over eurozone's rescue fund. Weighting down on the base metals' pack, US existing home sales fell by 1.7% last month, signaling that US economy is far away from full recovery.Aluminum lost 2.23% during risk-off trading after the largest US companies reported weaker-than-expected results for Q3.
Asian stocks traded under pressure on Monday as exporters tumbled after weaker trade data from Japan. The Nikkei Stock Average was flat, while the Kospi and the S&P/ASX 200 both dropped 0.6%. The Shanghai Composite index deteriorated 0.5%, while the Hang Seng Index added 0.1%. Japan exports slid a more-than-forecast 10.3% on year, led by a heavy fall in sales
Precious metals dropped on Friday as persistent fears over spreading debt crisis in eurozone and worries over global economic outlook increased safe-haven appeal of the US Dollar. Spain announced that it was not ready to apply for a bailout while two-day EU summit failed to produce positive results. Gold reached one-month low, coming under heavy pressure from strong greenback and
On Friday, October 19, U.S. stocks tumbled, as quarterly reports from industry heavy hitters proved that the global economy is slowing. The Dow Jones Industrial Average dropped 1.2%, to 13,388.86; the Standard & Poor 500 Index inched lower 1.3%, to 1,438.14, while Nasdaq 100 futures fell 1.9%, to stand at 3,014.05.
European stocks turned lower on Friday, October 19, as market sentiment remained bearish after as European Union leaders failed to discuss further aid for Spain. The Stoxx Europe 600 Index erased 0.76 per cent to 274.08. Germany's DAX Index fell 0.76 per cent to 7,380.64 and France's CAC 40 Index declined 0.87 per cent to 3,504.56.
On Monday, the Pound was traded higher versus the 17-nation currency, following the report, which showed that U.K. budget deficit was the lowest since 2008. The Sterling increased by 0.1% to trade at €1.2290 by 2:22 p.m. in London. Earlier in the day, the British Pound hit a session high of €1.2311 and a session low of €1.2274.
On Friday, the Euro edged lower, reaching a 3-day low, versus the U.S. counterpart as investor sentiment was driven by ambiguity over Spanish bailout. EUR/USD hit a session low of 1.3038 and consolidated at 1.3051, which was a 0.12% fall for the European morning trade. The pair's support was likely to be found at 1.2993, while the resistance was prone to be at 1.3129.
On Friday, futures for natural gas were higher, since bargain hunters started to buy the commodity after Thursday's fall in prices. On the NYMEX, November delivery futures for natural gas added 1.55% for the European morning trading session and reached the level of $3.630 per million Btu. Earlier, prices for the contracts declined by 1.5%, trading at $3.413.
The European Central Banks reported on Friday that Eurozone current account increased less than expected in August. Current account grew to €8.8 billion on a seasonally adjusted basis, compared to a revised down reading of €8.1 billion in the preceding month. Analysts, however, expected that current account would be equal to €10.5 billion.
Statistics Canada reported on Friday that consumer prices increased less than expected in September. Canadian CPI remained unchanged from the reading for a preceding month at the level of 0.2% on a seasonally adjusted basis. Economists, however, expected that the cost of living in Canada would grow by 0.3%.
On Friday, Spanish government bonds were lower, as Mariano Rajoy, Prime Minister of Spain, said that he was under no pressure to seek for bailout. The yield on Spain's 2-year notes added 8 basis points, reaching 2.79% by 12:39 p.m. in London. The benchmark 10-year notes yield fell to 5.26%, which was the lowest since Apr. 2.
On Friday, treasuries were traded higher, ending a 4-day long streak of losses, as investors eyed an upcoming report, which is widely expected to show a decline in existing home sales. The yield on 10-year government bonds decreased by 3 basis points and reached the level of 1.18% by 6:56 a.m. in New York.
On Friday, copper was traded lower, but is likely to end the week with a 0.6% gain, as Chinese data showed that the economy is stabilizing. On the London Metal Exchange, three-month copper was traded at $8,180 per metric tonne by 04:52 a.m. London time, which was a 0.49% decline for trading session, following a flat trade during the preceding session.
On Friday, gold was traded lower and likely to witness the second weekly decrease, as optimistic data from China damped speculation about further stimulus, undermining demand for the precious metal. On the NYMEX, December delivery futures for gold declined by 0.6% and reached $1,734.70 per troy ounce at 7:47 a.m. New York time. Earlier, it hit a session low of $1,733.85.
German equities dropped on Friday on lack of progress in decision on Spanish bailout. Adding to the negative mood of the shares, US jobless claims soared last week. The DAX Index declined by 0.40% and is currently trading at 7,407.83. Only one in nine sectors included in the index managed to climb. Consumer goods sector added 0.60%, with Adidas inching
UK shares are trading lower on Friday as the EU leaders failed to reach agreement over Spanish bailout. However, officials continued to pursue the goal of setting up a supervisor for euro-area. The leaders will agree on the framework on making the ECB the main supervisor by January 1, 2013. Meanwhile, UK public sector net borrowings climbed less than expected
Hong Kong stocks gained for the seventh consecutive session on Friday amid mixed data from the US. US employment data disappointed investors while upbeat news from the US manufacturing sector boosted market sentiment. China's FDI dropped by 3.8% in the first nine months of the year, thus weighing down on China's equities. However, the Hang Seng Index managed to add