US stock markets recovered on Thursday as Americans last week filled the lowest number of jobless claims since 2008. S&P 500 index jumped 1.1% or 14.81 points and finished at 1,358.04, Dow Jones Industrial Average Index added 0.96% or 123.13 points and closed at 12,904.08, while Nasdaq Composite rallied 1.51% or 44.02 points to 2,959.85 lifted by Apple and Microsoft.
Americans filled the lowest number of unemployment claims last week since 2008, indicating recovering US labour market may support nation's economic growth. Jobless applications fell by 13 000 during the week ended February 11 to 348 000, outperforming even the most optimistic forecasts of analysts. The median forecast totalled 364 000 claims.
April gold futures traded higher on Thursday, adding USD 0.3 to USD 1,728.40 per ounce. Silver futures to be delivered in March lost 0.1% to USD 33.37 per ounce while March palladium futures jumped 1.9% to USD 696.60 per ounce. In contrast, April platinum futures tumbled 0.7% to USD 1,626.10 per ounce.
Benchmark crude futures for March deliver added 0.24% or USD 0.23 to USD 102.54 per barrel, lifted by successful Asian stock market performance. In contrast March natural gas futures lost 1.09% or USD 0.03 and traded at USD 2.54 per million British thermal units.
Chinese foreign direct investment slowed 0.3% in January, posting the third consecutive drop in three months on weakening demand from Europe, said Ministry of Commerce on Thursday. Monthly investment inflows totalled USD 10 billion compared to USD 12.2 billion in December. Inflows from EU tumbled 42% from previous year to USD 452 million. In contrast FDI from US surged 29% to USD
European creditors are struggling to assure that bailout financing is spent properly. European finance officials demand particular mechanisms to pledge the successful implementation of rescue program. Greece is obligated to meet all requirements set by EU and IMF to receive second bailout financing and repay debt on March 20.
Ex-chairman of Olympus Tsuyoshi Kikukawa and other former executives were arrested Tokyo prosecutors on Thursday in connection with an accounting fraud involving a cover up of investment shortfalls. Former executives Hisashi Mori, Hideo Yamada, and Akio Nakagawa, were also arrested as they are suspected of breaching the Financial Instruments and Exchange Law via faking financial statements.
European shares traded down on Thursday amid worries EU FMs may cancel rescue package for Greece and Moody's rating agency threatened to cut credit ratings for more than a hundred large-scale global lenders. German DAX and FTSE 100 index each fell 0.1% to 6,751.96 and 5,885.38, respectively. In contrast French CAC 40 index and Stoxx 600 Europe index closed 0.1% up at 3,393.25 and 264.31,
Credit Suisse Group AG, Morgan Stanley and UBS AG credit ratings are likely to be lowered by 3 levels, said Moody's Investors Service, currently reviewing 17 lenders and securities companies. Several large banks including Goldman Sachs, Deutsche Bank AG and HSCB Holding Plc may face two-notch downgrade. Moody's already lowered some European region insurer credit ratings, citing risks from debt
Germany expects EU finance officials to reach an agreement over Greek bailout on meeting due February 20, said German lawmakers. Greece should increase its responsibilities in order be rescued otherwise Europe will have to take another way of action, the one that nobody really wants, emphasized Steffen Kampeter, German Deputy FM.
Singapore exports tumbled in January, first time since November as European debt turmoil harmed demand for petrochemical and electronics shipments and the Lunar New Year celebration cut the number of working days. Non-oil home exports fell 2.1% on a yearly basis, compared to a 9% improvement in December. Economists predicted a drop of 1.6%. Deliveries to European region declined 14.5%.
US shares swung between gains and losses on Tuesday as nation's retail sales expanded less than expected and China expressed willingness to support European bailout fund. Dow Jones Industrial Average added 0.03% or 4.24 points and finished at 12,878.28, S&P 500 index lost 0.09% or 1.27 point and settled at 1,350.5 while Nasdaq Composite index ended 0.02% or 0.44 points up
Asian markets appreciated sharply on Wednesday as investors anticipated news China may step in and invest in European bailout funds to support its biggest export region. Japanese Nikkei Stock Average rocketed 2.3%, Hong Kong's Hang Seng Index climbed 2.1% and Shanghai Composite Index added 0.9%. South Korean Kospi advanced 1.1% and Australia's S&P/ASX 200 index surged 0.2%.
Europe's largest economy contracted less than expected in fourth quarter, signalling Germany may avoid crisis despite declining demand across region. German GDP dropped 0.2% in last quarter of 2011 compared to 0.6% growth in the third quarter. Economists questioned by Bloomberg predicted a drop of 0.3%. Meanwhile France's economy unexpectedly in expanded 0.2% in last three months of 2011.
March crude oil futures rallied during Asian electronic trading session on Wednesday, lifted by weaker US Dollar and Chinese officials' announcement Europe is likely to contain its crisis. Crude to be delivered in March rallied 0.81% or USD 0.91 to USD 101.56 per barrel. Meanwhile March gasoline futures climbed 0.64% to USD 3.00 per gallon and same maturity natural gas
Canadian currency strengthened on Tuesday against all its main peers as US Dollar appreciated and oil surged to a three-week record high. Loonie traded flat against greenback at CAD 0.9991 but gained 1.3% versus Japanese Yen to JPY 78.60 and soared 0.5% against Australian Dollar. Currently USD/CAD is trading at CAD 0.9951 while CAD/JPY is trading at JPY 78.82.
New Zealand Dollar and Australian climbed on news China may invest in European bailout funds to rescue the region from debt crisis. Kiwi gained extra upward momentum on better than predicted retail sales. Aussie and Kiwi each strengthened 0.4% against greenback to USD 1.0728 and USD 0.8374 respectively. Currently AUD/USD is trading at USD 1.0745 and NZD/USD is trading at USD 0.8384.
Chinese PM Wen Jiabao claimed the country considers participating in containing the European debt turmoil through investments in region's bailout funds. China may bear its holdings in Euro denominated assets and purchase European bills to support the 17-nation currency. China is interested in supporting its biggest export region, added PM Jiabao.
Gold futures for April delivery added 0.59% or USD 10.40 to USD 1,7228.10 per once on Wednesday in electronic trade. The appreciation of gold came after China expressed its willingness to invest in European bailout, pushing US Dollar lower and spurring demand for riskier securities.
European markets finished into negative territory on Wednesday as US government reported the nation's retail sales expanded less than predicted and Moody's cut credit ratings for six European countries including Spain and Italy. Stoxx Europe 600 index lost 0.2%, Athens General Index dropped 2.8% and CAC 40 index gave up 0.3%. German DAX 30 index slipped 0.2% and FTSE 100 index
US retail sales advanced 0.4% in January, said the government on Tuesday. Retail sales excluding auto industry climbed 0.7%. Economists predicted retail sales to expand by 1%. Although auto sales accelerated sharply in January, the vehicles were sold at huge discounts and revenue fell from USD 72.5 billion in December to USD 71.1 billion in January.
German DAX index moved in both directions on Tuesday supported by unexpected jump in investor confidence and weighted down by Moody's and weaker US retail sales. Despite reporting a big decline in 2011 profit, MAN SE rallied 1.5% as its CFO H. Lutz claimed the company has a notable growth potential in medium and long run due to the collaboration
British FTSE 100 index started lower on Tuesday on news Moody's cut sovereign ratings for 6 European nations and also threatened to downgrade UK. British index fluctuated between gains and losses during session on UK inflation data and German investor confidence report. On the upside it was supported by oil stocks with Royal Dutch Shell PLC gaining 1.1% and Tullow
Japan's Nikkei Stock Average bucked the downward trend in Asian markets on Tuesday and ended 0.69% or 62.21 points higher at 9,061.39, lifted by Bank of Japan's unexpected JPY 10 trillion capital injection in economy. Export-oriented stocks rallied with Toyota Motor advancing 1.6%, Suzuki Motor Corp adding 1.5% and Nissan Motor Co. gaining 0.8%. Shares of Olympus Corp. climbed out