The Greenback rebounded on Monday, lead by the Euro easing after rising to nearly three-month high versus the U.S. Dollar last week after the ECB specified its bond-buying plan. The ICE Dollar Index increased to 80.314, from 80.182 on Friday. The EUR/USD dropped to $1.2780, from $1.2810. The GBP/USD fell to $1.5976, while AUD/USD slipped to $1.0346.
European stocks fell as traders were cautious before U.S. policy decisions and German constitutional court ruling on ESM. On Monday, the Stoxx Europe 600 Index declined 0.2% to 271.76, after climbing 2.3% last week. The CAC 40 Index slid 0.1% to 3,516.66, while the DAX 30 Index rose 0.1% to 7,221.07.
U.S. Treasuries tumble on Monday, as investors await the week's big events: the Fed's policy meeting, expected to result in further monetary easing, and the German court's managing on Europe's permanent rescue fund. 10-year bond yields advanced 2 basis points to 1.68%.
German stocks were flat on Monday ahead of the Federal Constitutional Court decision on ESM due on Wednesday. Dismal economic data releases from the US, China and Japan weighted down on growth-sensitive assets. At the same time, speculation that the Fed and POBC will announce easing measures to revive economy boosted German shares. The German DAX Index gained 0.01% to
UK shares slide on Monday despite speculation that the Fed and POBC will loosen their monetary policies. Meanwhile, market participants remained cautious ahead of the decision of the Federal Constitutional Court regarding suspension of EUR500 billion fund. The court is due to report its decision on Wednesday. The FTSE 100 Index dropped by 0.03% to trade at 5,797.38. Five sectors
China's stocks eased up on Monday as weak national data forced the government to approve industrial projects worth more than USD157 billion to boost economic activity in the country. Chinese industrial production climbed less than expected in August. The Hang Seng Index gained 0.13% to trade at 19,827.17. Seven out of nine sectors included in the index rose. The strongest
Japanese equities retreated on Monday after ending the previous week with sharp gains. Dismal national economic data created heavy pressure on Japan's stocks. The country's GDP expanded less than expected in Q2 while current account balance missed forecast in August. Additionally, exporters were hit by stronger Yen against the US Dollar amid speculation that the Fed will loosen its monetary
US blue chips index lost momentum on Friday after sharp rally on Thursday. Weak US labour market data coupled with anticipation of key China's numbers releases due on Monday capped the upswing of the equity index. The Dow Jones Industrial Average Index inched up 0.11% to close at 13,306.64. Five out of nine economic sectors included in the index advanced.
US stocks pared gains on Friday after weaker-than-expected labour market data from the US. US non-farm payrolls increased less than forecast in August. At the same time, unemployment rate unexpectedly declined from 8.3% to 8.1% last month, mainly as more people gave up looking for jobs. However, hopes that the Fed will ease its monetary policy in response to weakening
As reported by the Ministry of Finance, Japanese economy grew less than expected in the second quarter. Nation's GDP was revised to an annualized 0.7%, downgraded form the earlier estimate of 1.4%. The April-June GDP corresponds to a 0.2% gain from the preceding quarter, compared with the earlier reported growth of 0.3%.
Japanese current account surplus dropped 40.6% in July due to an expansion in its trade deficit, the Ministry of Finance showed on Monday. The surplus, stood at 625.4 billion yen ($8.0 billion), as exports to European and Asian countries tumbled, while energy resource prices jumped. Analysts had predicted a surplus of 438.2 billion yen.
Gold futures edged higher on Monday, September 10, as optimism for more quantitative easing in the U.S. supported the precious metal at around six-month highs. Bullion with December contract added 0.15% to $1,735.65 per troy ounce. Other precious metals were also higher on Monday, with copper and palladium for December delivery adding 1.33% and 1.26%, respectively. December silver resisted the trend and lost 0.19%.
On Monday, futures for oil were traded near one-week high amid expectations that Chinese and U.S. policy makers will implement measures that will stimulate their economies. On the NYMEX, October delivery futures for crude were traded at USD96.26, down 15 cents in electronic trade. Earlier in the day it hit a session's high if USD96.60.
U.S. stock futures tumble on Monday amid belief Fed will launch extra monetary stimulus round this week after Friday's disappointing jobs data. Dow Jones futures slid 0.2% to 13,274. Nasdaq 100 futures lost 5.75 points to 2,817.25, while S&P 500 Index futures declined 3.2 points to 1,435.
On Monday, the Cable pushed lower versus the U.S. Dollar, as investor's sentiment was driven by expectations of Fed stimulus and upcoming German court ruling. GBP/USD hit a daily-low of 1.5974, and subsequently consolidated at 1.5976, which was a 0.20% fall for the European afternoon trading session. The support was prone to be at 1.5921, while resistance was likely to be at 1.6077.
China's trade balance expanded more than forecast in August, National Bureau of Statistics reported on Monday. The trade balance increased to $26.66 billion, from $21.10 billion in the previous month. Analysts had estimated China's trade balance to post a surplus of $19.80 billion in August.
On Monday, futures for copper rallied to a 4-month high during European morning trade on hopes that China and U.S. will stimulate their economies. On the NYMEX, December delivery futures for copper rallied 1.35% to trade at USD3.695 per pound. Earlier in the day, prices grew by 1.5% and hit the session's high of USD3.700.
National Statistics Institute reported on Monday that the change in Italian gross domestic product in the second quarter was equal to a decline of 0.8%, which is more than the initially reported figure of a slighter 0.7% decline. Analysts, however, expected that the revised Italian GDP will remain unchanged.
Research group Sentix reported on Monday that investor sentiment in Eurozone improved this month, after five months of decline, on ECB's plans to rescue the 17-nation currency. The monthly index, which tracks investors sentiment in EMU, grew to -23.2 this month from the August's figure of -30.3, which is more than an expected decline on 0.4 points.
Agricultural commodities jumped on Friday amid broadly weaker greenback and strengthening demand. Meanwhile, market participants remained focused on crop reports releases from the US and weather forecasts in the top-growing regions. Wheat rose for the third consecutive session on signs that demand for US shipments is improving as cheaper Russia's supplies started to fall. Corn inched up after Informa Economics downgraded
Energy commodities apart from natural gas were slightly higher on Friday amid rising hopes for easing program in the US after weak labour market data. However, concerns that US strategic oil reserves may be released to ease pressure from tightening oil supplies weighted down on the energy prices. Crude oil gained almost 1%, drawing strength from recent ECB decision and hops
Base metals surged on Friday, boosted by mounting hopes for the Fed stimulus. Adding to the positive mood of the industrial metals, China's government approved infrastructural projects worth more than USD157 billion in an attempt to revive economic expansion. Aluminum climbed on brighter demand prospects from vehicle market. Speculation that the Fed will loosen its monetary policy also buoyed the light
Precious metals rallied for the second trading day on Friday as weaker-than-expected US job reports fuelled hopes for stimulus measures in the US. Recent ECB decision on unlimited bond-buying program also continued to lend support for the commodity group. Gold soared amid broadly weaker US Dollar and hopes for easing in the US amid weak labour market. Silver followed the yellow metal's
Asian stocks traded mixed as data from the U.S., Japan, and China, which indicated weakening growth in the world's largest economies, increased speculation central banks would add stimulus measures. The MSCI Asia Pacific Index swung between a 0.3% gains and 0.2% losses. Australia's S&P/ASX 200 Index, Hong Kong's Hang Seng Index and South Korea's Kospi Index were little changed.