The Bank of Japan unexpectedly contributed JPY 10 trillion (USD 128 billion) to the asset purchase program and determined inflation target rate as country received criticism it does not react to economy contraction fast enough. The asset fund expanded JPY 30 million with a lending program worth JPY 35 million. BOJ set target inflation at 1.0%.
Moody's Investors Service downgraded the credit ratings of six Europe's nations including Spain, Portugal and Italy. Rating agency also said it considers lowering the ratings of UK and France amid region's debt turmoil. Both countries currently are Aaa rated. Spain's rating was cut from A1 to A3, Italy's from A2 to A3 and Portugal's from Ba2 to Ba3. European officials have
German DAX 30 retreated on Monday as Greece parliament voted against austerity measures required to secure EUR 130 billion rescue fund. Banking and car maker shares provided the main upside support. Commerzbank jumped 4.7% and Deutsche Bank AG gained 1.1%. Volkswagen AG added 2.6% after company announced it made monthly light vehicle sales record for the unit in January. At
After a sharp decline on Friday, British FTSE 100 index rebounded on Monday, climbing 1%, helped by financial and resource shares as investors digested news about parliamentary approval of Greece austerity plan. HSBC Holdings PLC added 1.3% and Barclays PLC gained 2%. Among resource shares Antofagasta PLC jumped 3.7%, while Rio Tinto PLC advanced 2.6%. Drug markers also contributed to
Swiss producer and import prices fell in January as appreciating Switzerland's currency and weaker demand from Euro Zone drove costs down, said Swiss Federal Statistics Office on Monday. The index, which estimates producer and import prices, dropped 2.4% in January. Economists earlier predicted a decline of 2.1%.
The number of Norwegian mortgages and home values are accelerating at a pace that is likely to result in credit market overheating, warned M. Baltzersen, Financial Supervisory Authority director in Oslo. Baltzersen pointed out that households keep accumulating loans at unmaintainable levels, threatening to cause a housing bubble.
Canadian Dollar depreciated sharply against its US peer on Friday as investors curbed their demand for higher yielding assets on fresh Greece worries. Loonie dropped 0.8% against greenback to CAD 1.0014 on Toronto evening session. Currently USD/CAD is trading at CAD 0.9984.
Japan's Nikkei Stock Average climbed on positive news from Greece, but gains were limited by higher than expected contraction in Japanese 4th quarter GDP. Nikkei 225 index added 0.58% or 52.01 points and settled at 8,999.18. Shinsei Bank jumped 4.3% after Nikkei news reported the company may gain new spectrum. Export-reliant car makers advanced with Mazda, adding 1.4% and Mitsubishi
Hong Kong's Hang Seng index recovered on Monday and traded 0.5% or 103.54 points higher at 20,887.40 after Greek parliament approved country's austerity plan. Among winning stocks were insurers with Ping An Insurance Group advancing 2.2% and AIA Group adding 1.9%. Gains were limited due to weak property stock performance after Chinese city of Wuhu said it won't continue planned
Dow Jones Industrial Average Index weakened rapidly on Friday, weighted down by renewed worries on Greece rescue plan. Blue chip index slumped 0.7% or 89.23 points to 12,801.23 with 29 of 30 companies posting declines. Alcoa led the drop, tumbling 3.3% and Caterpillar lost 1.9% as investors sold stocks of firms most linked to economic growth. Among main decliners were
Asian markets advanced on Monday after Greek parliament voted in favour of nation's austerity plan. Japan's Nikkei Stock Average added 0.58%, South Korea's Kospi gained 0.6% and Australia's S&P/ASX 200 index surged 0.9%. Hong Kong's Hang Seng Index soared 0.5% but Shanghai Composite Index was the only of the leading Asian indexes that traded flat.
S&P 500 index fell sharply on Friday as European finance ministers blocked bailout funding for Greece until parliamentary approval of austerity plan. S&P 500 index dropped 0.7% or 9.31 points to 1,342.64 with all 10 industries posting losses. NYSE Euronext jumped 4.5% after its revenue and profit outperformed Wall Street expectations. First Solar tumbled 10.5% after the firm announced a
In January US government deficit was USD 27.4 billion. Receipts totalled USD 234.3 billion while expenditure summed up to 261.7 billion. Overall January monthly shortfall was USD 22.4 billion less compared to January 2011. Although the deficit has decreased substantially, it still will be around 7% of GDP this year.
US trade deficit broadened 3.7% in December, reaching USD 48.8 billion, a record high since June. Economists questioned by Marketwatch predicted a deficit increase equal USD 48.5 billion. In total for year 2011, the deficit was USD 558 billion or 11.6% higher than in 2010. Exports added 14.5% to USD 2.1 trillion while imports of services and goods climbed 13.8%
US shares fell on Friday, making the biggest daily decline in 2012 as investors digested news EU finance ministers postponed rescue package until legal implementation of austerity plan. S&P 500 index dropped 0.7% or 9.31 points to 1,342.64, Dow Jones Industrial Average index also slipped 0.7% or 89.23 points to 12,801.23 and Nasdaq Composite lost 0.8% or 23.35 points to
US customer confidence fell more than predicted in early February as improving employment data did not manage to offset worries about steady wages. The consumer sentiment index, estimated by Thomson Reuters/University of Michigan decreased from 75 last month to 72.5 in February. Analysts earlier predicted the index to be at 74.8. The unexpected drop is associated with the surge in crude price
New Zealand and Australian currencies strengthened on Monday, erasing three sessions' drop after Greek parliament approved austerity plan. Australian Dollar gained 0.6% against greenback to USD 1.0739 while its New Zealand peer climbed 0.9% to USD 0.8342. Currently AUD/USD is trading at USD 1.0746 and NZD/USD is trading at USD 0.8343.
Gold futures to be delivered in April gained 0.3% or USD 5.40 to USD 1,730.70 per ounce during Monday session at the Comex division of the New York Mercantile Exchange. Silver for March climbed 0.8% or USD 0.26 to $33.87 per ounce while copper to be delivered in March soared 0.9% or USD 0.04 to USD 3.90. April platinum appreciated
The number of Australia's house loan approvals surged in December to a 7-month record high as home buyers reacted to Reserve Bank of Australia's interest rate cut. Approved home loans gained 2.3% compared to 1.8% increase in November. Economists questioned by Bloomberg predicted an expansion of 1.8%. Australian central bank lowered its key interest rate to 4.25% in November.
Crude to be delivered in March surged 0.9% to USD 99.58 per barrel on Monday Asian trading session at the New York Mercantile Exchange, after investors anticipated news Greece has approved the austerity plan. Oil futures were also supported by weaker US Dollar. Gasoline for March delivery also climbed 0.9% to USD 3.00 per gallon.
European markets showed weak performance on Friday, fuelled by Greek concerns. Stoxx Europe 600 index fell 0.9% to 261.24, Athens General Index plunged 3.2% to 797.35, while German DAX index fell 1.4% at 6,692.96. British FTSE 100 index lost 0.7% and closed at 5,852.39 and French CAC 40 slumped 1.5% and finished at 3,373.14.
Japan's economy contracted 2.3% in the last quarter of 2011, more than analysts expected as declining exports hampered a rebound from March earthquake and Thailand floods. Economists questioned by Bloomberg earlier predicted a drop of 1.3%. Nevertheless analysts suggest Japan may gain momentum this year from improvements in US and reconstruction work across the country.
Japanese Yen weakened against 17-nation currency after Greek parliament approved austerity plan to secure bailout package from international lenders. Japanese currency dropped 0.4% against Euro to JPY 102.82 and lost 0.2% against greenback to JPY 77.60. Currently EUR/JPY is trading at JPY 102.83 and USD/JPY is trading at JPY 77.62.
Greek PM Papademos got majority support in parliamentary vote to approve austerity plan and secure the second bailout package. 199 parliament members voted in favour while 74 lawmakers voted against. On February 15 Euro Zone finance ministers will decide on approving EUR 130 billion aid for Greece. In the meantime thousands of rioters keep protesting against austerity measures in down town Athens.