On Monday, the 17-nation currency remained supported slightly above a 2-month high versus the greenback, on speculation that Greek aid payments could be paid in a single lump sum. The EUR/USD pair hit a session high of 1.2756, and later consolidated at 1.2732, which was a 0.22% growth for the European afternoon trading session.
On Wednesday the Cable was little changed versus the U.S. counterpart, hovering close to a 2-month low, following the BoE announcement that it raised its short-term inflation forecast. GBP/USD hit a session high of 1.5901 and later consolidated at 1.5869, which was a 0.01% decline for the European afternoon trading session.
On Wednesday European stocks were traded lower, the market sentiment was determined by uncertainty over if Greece is going to receive financial aid soon. During European afternoon trading hours, the Euro Stoxx 50 decreased by 0.43, French CAC 40 also lost 0.43%, while the German DAX 30 fell by 0.35%.
On Wednesday Germany witnessed a decrease in its borrowing costs as it was selling 2-year government debt, amid Greek debt crisis and uncertainty over the U.S. fiscal cliff. The German treasury managed to sell 2-year bonds worth 4.3 billion Euros, having the negative average yield of -0.02% compared to a positive figure of 0.07% at a similar auction last month.
On Wednesday treasuries were gaining, ending a five day long streak of losses, on speculation that lawmakers will agree on how to avert the U.S. fiscal cliff, amid growing U.S. stock index futures. The yield on benchmark 10-year government notes increased by 2 basis points, reaching a level of 1.62% by 6:43 a.m. New York time.
The French statistical office revealed on Wednesday that the country's harmonized inflation slowed its pace in October. The EU harmonized index of consumer prices reached a reading of 2.1% on an annual basis compared to a reading of 2.2% in the preceding month. The last month's figure developed in compliance with economist expectations.
Statistics Portugal reported on Wednesday that the country's unemployment rate increased in quarter ended in September 2012. The Portuguese unemployment rate grew to 15.8% compared to a reading of 15.0% in the preceding quarter. Year over year, the number of unemployed people increased by 26.3% last quarter.
The U.K. Office for National Statistics revealed on Wednesday that the number of Britons claiming for unemployment benefits increased unexpectedly last month. U.K. jobless claims grew by 10,100 in October, while analysts expected a decrease of 5,100 people. Unemployment rate declined to a reading of 7.8% from a level of 7.9% in the preceding month, whereas economists expected no change.
On Wednesday, Italy witnessed a decrease in borrowing costs, hitting the lowest since October 2010, as it was selling its government debt. Italian Treasury managed to sell 3-year bonds worth 3.5 billion Euros at the average yield of 2.64%, which was a decrease compared to a 2.86% yield witnessed at a similar auction last month.
On Wednesday, futures for copper were traded higher during European morning trading session, but gains seemed to be capped by Greek debt and U.S. fiscal cliff concern. On the Comex, December delivery futures inched up 0.35% during the trading session, reaching a level of $3.483 per pound. Earlier, prices hit a session low of $3.463 and a session high of
U.S. shares advanced, triggering an increase in the S&P's 500 index higher, after Cisco Systems Inc. reported higher-than-expected earnings. The world's largest computer-networking equipment producer boosted up the technology shares by rallying 7.9%. The S&P 500 surged 0.2% to 1,377.32. The index has lost 3.8% since the president Barack Obama was reelected.
Chinese shares gained on ruling party's meeting to choose the new leaders and hopes for reduced political uncertainty after that. The Shanghai Composite Index advanced 0.3% to 2,053.14, while the CSI 300 Index rose 0.4% to 2,221.62, mostly driven by rising shares of Kangmei Pharmaceutical Co. Another top-performer was Aluminum Corp. of China Ltd, as it rallied 5.1% to 4.97 yuan, reaching the highest level since
Japanese shares moved higher on Wednesday as banks and telecommunication companies rebounded after previous losses. However, concerns over the US fiscal cliff and uncertainty over Greek bailout capped gains of Japanese stocks. Moreover, lack of easing in China added pressure on Japan's blue chips. The Nikkei 225 Index gained 0.04% to close at 8,664.73. Only four in ten sectors within
German equities fell on Wednesday on persistent pressure from looming US fiscal cliff. Weak eurozone's industrial production numbers also sent German blue chips lower. The DAX Index declined 0.57% and is currently trading at 7,127.96. Only three in nine sectors climbed. Technology and consumer services sectors were the best performers. Deutsche Lufthansa added 0.24% after resolving labour dispute with its
Mervyn King said the U.K.'s economy might contract even more in the fourth quarter, as recovery is slowing down. That caused the officials to think on expanding asset purchases to accelerate the pace of growth, even though the bond purchase program was contained, as officials did not see it reflecting in the nation's economy. The Bank of England estimates quarterly GDP to grow around 2%
UK shares tumbled on Wednesday on concerns about the US federal budget debate and negative national data. The number of people applying for unemployment benefits jumped unexpectedly in October. Meanwhile, investors are also cautious ahead of the China's leadership change as the 18th CPC Central Committee will elect the General Secretary early on Thursday. The FTSE 100 Index dropped 0.54%
Hong Kong equities erased previous losses on Wednesday, supported by strong gains in metal producers. China's government stated that the country will resume stockpiling metals in order to boost physical metals' prices. At the same time, looming US fiscal battles and a delay in Greek bailout decision created heavy pressure on Hong Kong blue chips. The Hang Seng Index soared
Soybeans remain gain in Chicago on growing demand for U.S. exports after two-week price decline and amid drought in Brazil and excessive humidity in Argentine. U.S. exports raised 6.8% to 64.1 million bushels last week in comparison to previous period. The contract for January delivery soybeans increased 0.8% and was settled at $14.19 a bushel. On Tuesday prices for soybeans
Gold is expected to rally to above $2000 an ounce in 2013, as central banks add stimulus to prop up the recovery, according to Deutsche Bank AG. Bullion is set for a 12th annual advance amid concern that stimulus by central banks and governments around the world to shore up the recovery and combat fallout from eurozone's debt crisis will
Oil futures for December settlement were 16 cents up to $85.54 a barrel in Asia trading session on Wednesday. Oil price almost reached the lowest point in one week, due to market expectations that U.S. stockpiles will be increased by 377.3 million barrel in last week. That would be the highest stock level since July.
The Central Bank of Chile kept the key interest rate unchanged at 5% level for a 10th consecutive month. According to the central bank announcement, domestic market holds a stable growth pace, actual monthly economic growth exceeded a forecast six times in 2012, and stays resilient to the global slowdown. Great Chile's economic performance is the third in South America, after Brazil and Colombia.
Australian consumer sentiment reached its highest level since April 2011, as central bank's monetary measures since last year's November are starting to boost up the household confidence. The Consumer Sentiment index rallied 5.2% to 104.3 for November on a monthly basis, showing the number of optimists is exceeding the number of pessimists. "We are finally starting to see that the
Sweden's jobless rate rose in October from the last year and beat economists' expectations, data from the Public Employment Service showed Wednesday. The unemployment rate climbed to 4.6% from 4.5% in October a year earlier, while economists projected the jobless rate to be at 4.7%. The number of unemployed people rose to 215,832 in October from 203,722 last year.
According to data from Statistics Finland, Finland's retail sales rose annualized 3.4% in September. Nevertheless, sales volume fell 0.6% over the same period. Consumer goods sales increased 3.6%, while department store trade rose 3.9%. Wholesale trade sales declined 1.6% and motor vehicle trade sales decreased 21.7%.