Energy markets closed higher on Friday on the inspiring data from the US labour market and anxiety over tensions between Iran and Western economies. Moreover, positive outcome of the Greek debt swap talks created fresh stimulus for the base metals pack. However, from the demand side, slowdown of Chin's economy continued to weight down on the group. Weaker world's equities
Industry metals ended last week on a positive note as progress over the Greece receiving the second bailout package and improved situation in the US labour market both contributed to the rally. However, weaker global stocks and dismal China's data capped the upswing. Copper and nickel faced falling inventories and better spot demand that pushed the price for these metals
Precious metals posted gains on Friday after Greece announced it has secured the second bailout. However, stronger than expected US labour market data lifted the greenback thus creating an additional pressure on the commodity pack. Further, weaker global equities also weighted down on the commodity group. Meanwhile, large gold and silver backed funds continued to show interest in precious metals
Although Greece has completed its debt swap agreement and yields for Spanish and Italian debt have declined, Portuguese borrowing costs for benchmark notes still fluctuate above 13%. The yield on 10-year notes currently is at 13.71%. Portugal's debt is evaluated as junk by Moody's, Fitch and Standard & Poor's agencies.
Nicolas Sarkozy, France's President, said that the country may consider withdrawing for Schengen zone unless more efforts are put in stopping illegal immigration. Sarkozy speaking at President's election rally stressed that the progress has to be made during next 12 months otherwise France will exit Schengen zone. Illegal immigration is expected to be the core issue during elections in France.
Asian markets faced a choppy session on Monday with stock indices mostly posting losses as China reported the biggest trade deficit in more than ten years. Japan's Nikkei Stock Average lost 0.4%, China's Shanghai Composite slipped 0.2% while South Korea's Kospi fell 0.8%. Australia's S&P/ASX 200 index gave up 0.4% and Hong Kong's Hang Seng Index added 0.2%.
Japan's Nikkei Stock Average retreated after gains in previous two sessions as Yen appreciated and China reported a record high trade shortfall in February. Nikkei 225 index edged 0.4% or 39.88 points down to 9,889.86 with eight of ten industries posting losses. Nippon Paper Group led the drop among paper firms on a report which showed the wholesale prices of
Hong Kong's Hang Seng index climbed on Monday supported by heavyweight China Mobile Ltd. Hang Seng index advanced 0.23% or 48.18 points and closed at 21,134.18. China Mobile jumped 3.9% after Credit Suisse and HSBC upgraded stock's ratings. On the downside shipping companies declined after China said its February trade gap was the biggest in ten years. Cosco Pacific Ltd
Dow Jones Industrial Average index traded higher on Friday as Greece managed to conclude the biggest debt restructuring in history and February jobs report confirmed the labour market in US continues to recover. Blue chip index added 0.11% or 14.08 points and settled at 12,922.02.The best performing stocks were those of JP Morgan Chase adding 1.5%. On the downside Hewlett
S&P 500 index appreciated on Friday supported by optimistic US job report which showed payrolls rose by 227,000 in February and unemployment rate matched analyst forecasts. US benchmark surged 0.36% or 4.96 points and finished at 1,370.87 with nine of ten sectors posting gains. Financials led the gains with Morgan Stanley adding 1% and Citigroup climbing 0.6%. Sprint Nextel jumped
India has canceled a cotton export ban because of protests from farmers. The country imposed the ban in an attempt to protect local textile industry. However, farmers expressed protests as well as China announced that the export ban is irresponsible. Nayan Mirani, vice-president of the Cotton Association, said that the country has a large cotton surplus that has to be
New Zealand and Australian Dollars declined before US retail statistics due tomorrow which are expected to show sales advanced and reduced scope for further monetary easing. Federal Reserve is holding a meeting on Tuesday to decide upon necessary measures. Aussie and Kiwi each dropped 0.4% versus greenback to USD 1.0532 and USD 0.8182 respectively. Currently AUD/USD is trading at USD 1.0542 while
US equities advanced on Friday as data showed payrolls accelerated by 227 000 in February and Greece managed to persuade 83.5% of private investors to write off debt. S&P 500 index surged 0.36% or 4.96 points and finished at 1,370.87, Dow Jones Industrial Average index added 0.11% or 14.08 points to 12,922.02 and Nasdaq Composite index soared 0.6% or 17.92
Nouriel Roubini, economist, predicts Greece to leave the Euro Zone in one or two years, citing record high unemployment of 22% in Greece. Moreover, the country still is insolvent despite recent agreement on the second bailout package and debt restructuring. Meanwhile, Portugal potentially remains the weakest nation in the region and may be the second after Greece to swap its
Japan's consumer sentiment deteriorated slightly last month as compared to January, according to a survey conducted by Cabinet Office. The sentiment index for households fell to 39.5 on February as compared to 40.0 in the preceding month. People were uncertain over whether country's labour market will manage to improve after earthquake last year.
Crude oil futures eased down during the Asian session on Monday as traders started to cash out from the market after crude oil moved higher on the positive US labour data. Light, sweet crude oil futures for April delivery traded at 106.92 US Dollars per barrel on the New York Mercantile Exchange, tumbling by 0.44%.
Gold futures were lower during the Asian trade on Monday after tumbling last week on the stronger dollar amid improving employment reports in the US. COMEX gold April contract eased down to trade at 1,710.59 US Dollars per troy ounce on the New York Mercantile Exchange, falling by 0.05%.
Fitch Ratings has cut Greek long-term foreign and local currency Issuer Default Ratings (IDR) to "Restricted Default" from "C" after announcement that Greece and the Euro Zone confirmed that exchange of the Greece's sovereign bonds will begin. The move follows cut of the Greece credit rating from "CCC" to "C". Fitch cited that the bond exchange indicates the country's default
European markets mostly posted gains on Friday as US Labor Department reported increase in payrolls in February and said the unemployment level stayed unchanged at 8.3%. Stoxx Europe 600 index and FTSE 100 index each added 0.5% while German DAX index climbed 0.7%. French CAC 40 index advanced 0.3% but Athens General index fell 2.2%.
China announced the largest trade gap in more than a decade last month amid soaring commodity imports. The trade deficit jumped to 31.5 billion US Dollars as imports surged by 39.6% on a yearly basis while exports posted 18.4% gain in the period. Experts consider that widening of the deficit is a sign that China is facing more challenges that
Euro region finance ministers are gathering today in Brussels to sign the approval of EUR 130 billion (USD 170 billion) bailout package after private creditors agreed to write off part of nation's debt. 17-nation currency slipped 1.2% and traded at USD 1.3123 on Friday after Greece completed the swap agreement and claimed it will force some creditors to to take
Vietnam lowered its key interest rates in order to back slowing economy despite highest inflation in the region. The refinancing rate was decreased from 15% to 14% while the discount rate was lowered from 13% to 12%. The inflation rate in India reached 16.44% in February compared to 17.27% in January.
Iceland is likely to introduce the Euro after becoming a member state of the EU or adopt other currency, said the Johanna Sigurdardottir, PM. The situation in the country cannot stay the same, he added. Joining the EU would allow Iceland to cooperate closely with EU member states. Iceland started negotiations for entering the EU in 2010 and is expected
India's production output accelerated in January making the sharpest growth in 7 months. The output at mines, factories and utilities climbed 6.8% when compared on annual basis after a 2.5% surge in December, reported Central Statistics Office on Monday. The reading outperformed analysts' expectations.