Dow slumped on disappointing signals from the national economy. US unemployment claims jumped much more than expected last week. Weak manufacturing data from Philadelphia-region also weighted down on the US blue chips. Moreover, the eurozone's economy fell back into recession last quarter, dampening global risk sentiment. The Dow Jones Industrial Average index dropped 0.23% to close at 12,542.38. Four in
US equities moved lower on Thursday amid dismal data from the domestic economy. The number of people applying for jobless benefits surged to 439,000 compared to a forecast of 375,000. Moreover, Philly Fed manufacturing index showed that manufacturing activity in the Philadelphia-region deteriorated more than expected this month. Adding to the bearish mood, investors remained concerned about a recession in
Farm commodities except for coffee moved lower on Thursday despite weaker greenback and poor conditions of the US winter corps. More favorable weather in Brazil and Argentina coupled with global consumption uncertainty pushed rural commodities lower.Wheat dropped despite potential disruptions to supplies from Russia. Arkady Zlochevsky, president of Russia's Grain Union said that exports from Russia are slowing in wake
Energy futures sank amid a release of the closely watched EIA report and weak reading of the Philly Fed manufacturing index. Moreover, global growth concerns outweighed supply-side support from escalated tensions in the Middle East. Crude oil dropped despite a smaller-than-expected increase in the US inventories. The EIA reported that stockpiles rose by 1.1 million barrels last week compared to
Japan's lawmakers have approved a crucial bill that will ensure that the government does not run out of money at the end of this month.
Industrial metals apart from zinc declined amid lingering concerns over global demand prospects. The eurozone's economy fell back into recession in Q3, while the number of unemployment claims in the US soared last week. Moreover, Philly Fed manufacturing index plunged to minus 10.7 in November, indicating that manufacturing conditions in Philadelphia-region deteriorated this month.Aluminum lost 0.3% on dismal reports from
Asian stocks increased, with Japan's Nikkei 225 Stock Average rising the most since March, on speculation Japan's opposition party will take power after elections next month and increase pressure on the central bank to boost monetary easing. The MSCI Asia Pacific Index gained 0.5% to 120.03. Australia's S&P/ASX 200 Index declined 0.3% and South Korea's Kospi Index lost 0.6%.
The South Korean Won declined for a second consecutive day as investors awaited the U.S. President Barack Obama's meeting with lawmakers today to assess the progress on the country's budget deadlock. The Won lost 0.1% to 1,0857.57 per greenback, following a 0.2% decline yesterday. The currency touched 1,085.05 on November 14, the strongest since September 9.
Federal Reserve Chairman Ben S. Bernanke said the Fed will take action to speed growth and a rebound in a housing market facing obstacles ranging from too- tight lending rules to racial discrimination.
The Australian Dollar traded close to the lowest level in three weeks as risk appetite ebbs and stocks fell globally yesterday on signs of global slowdown and increasing tension over the Gaza strip. The Aussie traded at $1.0332 from yesterday, when it fetched $1.0307, the weakest level since October 26. The currency was poised for a 0.6% drop versus the
Precious metals tumbled on Thursday despite broadly weaker US Dollar and global supply worries. However, an unexpected increase in the US jobless claims last week fuelled speculation that the Fed will continue stimulus measures, thus limiting the downswing.Gold dropped amid global demand concerns. The yellow metal came under heavy pressure after the World Gold Council reported that world's demand for
The Japanese Yen set for the biggest weekly decline in nearly five months amid speculation Japan's opposition party will win elections next month and put pressure on the BOJ to expand monetary policy. Japan's currency traded at 81.12 per U.S. Dollar from 81.17, at the close a day earlier, when the Yen touched 81.46, the lowest level since April 25.
The head of the European Central Bank has warned that time is running out to resolve the crisis in the eurozone as the latest figures showed the 17 nations of the single currency have slid into a double-dip recession.
On Monday, the British Pound was traded lower versus the U.S. Dollar, following a release of disappointing retail sales report in the U.K. GBP/USD hit a session low of 1.5825 during European afternoon trading session, and later consolidated 1.5835, which was a 0.04% daily decline. The support was prone to be at 1.5778, while the resistance could possibly be at
On Monday, the single currency was traded higher against the U.S. counterpart, as investor sentiment was driven by an upcoming U.S. data. EUR/USD hit a session high of 1.2773 during European afternoon trading hours, and later consolidated at 1.2760, which was a 0.2% daily gain. The pair's support was likely to be at 1.2662, while the resistance could be at
The statistical office INE reported on Thursday that the economy of Spain remained in recession in the quarter ended September 2012, which was widely expected. The country's gross domestic product experienced ad 0.3% fall, following a 0.4% decline in the preceding quarter. Year over year, the economy contracted by 1.6%, while the previous quarter reading was minus 1.4%.
Statistics Sweden revealed on Thursday that the country's unemployment rate advanced last month. Year over year, the unemployment rate grew to 7.1% on an unadjusted basis compared to a reading of 6.9% witnessed in the October 2011. The jobless rate of Swedish youth from 15 to 24 years old increased to 21.5% from a figure of 21.1% in last year's
On Thursday, Italian government notes were gaining for the third consecutive day, following a report, which showed that the economy declined less than expected during the last quarter. The yield on benchmark 10-year government bonds lost four basis point, reaching a level of 4.92%, by 12:28 p.m. in London.
Eurostat reported on Thursday that consumer price index in the eurozone was unchanged from the initial estimate in the last month. Year over year, eurozone CPI held still at the rate of 2.5%, which was in compliance with expectations. Month over month, consumer prices increased by 0.2%, which was also in line with economists' expectations, but slower than a 0.7%
On Thursday, copper futures retreated from highs, following a release of the data, which showed that eurozone GDP declined in the quarter ended September 2012. On the Comex, December delivery futures for the commodity were traded at $3.466 per pound, which was a 0.35% increase for the European morning session. Earlier, prices rose by 0.6% to trade at $3.474.
On Thursday, prices for gold were declining during European morning trading session, as investors eyed renewed unrest in the Middle East, amid fears over upcoming fiscal cliff. On the Comex, December delivery futures were traded at $1,725.75 per troy ounce, which was a 0.25% decline for the day. Earlier, prices hit $1,722.75, which was a session low, and a session
The Euro-area fell into recession for the second time in last four years, as gross domestic product contracted by 0.1% in the third quarter according to the European Union's statistics office announcement on Thursday. European economy experiences hard time, as regional governments impose tighter budget restrictions in order to narrow fiscal deficits.
U.K. retail sales dropped by 0.8% since September, Office for National Statistics said on Thursday. The actual number exceeded economists forecast, which was 0.1% decline. Sales contraction is mainly influenced by demand decrease for food, which has 41% share of retail sales. Consumers face difficulties to spend more, as inflation increases and economy is struggling.
U.S.treasuries dropped, driven by 30-year bonds, on growing hopes Spain will finally ask for a bailout, halting investors' appetite for the safest assets.10-year note yields rallied, after investors bet at lowest rates in two months amid gradual economic recovery in the U.S. Yields on 30-year bonds gained 0.03 percentage points to 2.75%, after touching their low of 2.70% on November