US stock index futures declined, following the S&P 500 Index's weekly advance for the first time during this year, when anti-austerity party Syriza won during the Greek election. S&P 500 futures fell 0.3% to 2,037.5 as of 6:19 a.m. New York time, while Dow Jones Industrial Average contracts declined 0.4%, or 67 points, to 17,521 today.
Italy's 30-year bonds climbed, thus, pushing yields to a record low, after the ECB's recent stimulus programme and anti-austerity party Syriza victory during the Greek elections. Italy's yield lost 0.1%, or 10 basis points, to 2.58% at 11:20 a.m. in London, reaching the weakest, since Bloomberg started compiling the records in 1994.
The yellow metal cut its third weekly advance, while investors are evaluating the US interest rate outlook after the announcement of the ECB stimulus measures. Gold for immediate settlement fell 0.6% to $1,294.66 an ounce in Singapore, after reaching $1,307.62 yesterday, the strongest since August 15, and it has climbed 1.1% so far this week.
The Euro is set for its sixth weekly decline versus the Dollar before the Greek elections on January 25, where the power may be shifted from Antonis Samaras, the present Prime Minister, to his opponent. The common currency lost 0.3% to $1.1335 as of 7:02 London time, after reaching $1.1315, the lowest since 2003. Moreover, the Euro dropped 0.4% to
Saudi Arabia's new ruler, King Salman, is unlikely to introduce changes to the current oil policy, thus maintaining production levels in order to retain the market share even if the prices decline. An important question is whether the new King decides to change the current oil minister, Ali al-Naimi, who has been a key person for almost 20 years.
The ECB's President Mario Draghi decided to unveil a new stimulus programme in order to prevent deflation that threatens the Euro area, a step similar to what the Fed undertook six years ago. The measures taken by the ECB may stimulate investors to move their money into the US corporate bonds that offer more attractive yields compared to the debt
Oil climbed after the death of Saudi Arabia's King Abdullah, the number one oil supplier among the OPEC member states. Crude futures added 2.6% in London and 3.1% in New York, when the death of King was announced by the Saudi royal court. The sell-off in oil was prompted by the result of OPEC's meeting in November that failed to
The Canadian Dollar posted a noticeable decline after the nation's central back cut the key rate, saying that crude oil's crash could slow inflation and hit the economy. The benchmark rate was lowered to 0.75%, compared to the previous level of 1%, where it has stayed unchanged since 2010. Meanwhile, crude oil, Canada's main export item, has depreciated more than
Gold futures added 8.6% in January to $1,285.50 per ounce, outlining the highest monthly gain during the three-year period. The risk-off sentiment pushed silver up by 16% in January, also to their highest level since 1980, while WTI crude oil dropped 10%. According to the Standard Chartered Plc analysts, gold may climb to $1,420 by the end of this year,
The Bank of Japan is now expecting it will take more time to achieve a target of 2%, outlining the difficulties because of the low energy prices. The Yen climbed versus the Dollar, while the Japanese equities dropped since the BoJ postponed expansion of economic incentives. The BoJ will raise money base at an annual amount of 80 trillion yen
The import of nickel ore to the largest consumer of metals in the world, China, plunged to the lowest level since 2010, as Indonesia will no longer export unprocessed minerals. The demand in 2014 contracted 33% to 47.76 million metric tons. Last year China purchased a record amount of nickel ore from the Philippines, thereby making Southeast Asian nation their
China's manufacturing showed zero growth for the second month. As a result, the companies had to lower the prices more to remain competitive, and this is raising concerns regarding deflationary pressures in the economy. The manufacturing PMI stayed near 50 at 49.8 level in January.
Asian shares extended their gains on Friday, being that the European Central Bank announcement to buy EUR60 billion worth of bonds on a monthly basis boosted investors' risk appetite, pushing bonds higher but keeping the Euro near 11-year lows. Japan's Nikkei added 1%. Australian and South Korean indices also showed strong growth.
The manufacturing index rebounded in January, as implemented stimulus measures managed to support stabilisation of the Chinese economy. The PMI was at the 49.8 level, outperforming the mean forecast of 49.5. Meanwhile, China's GDP strengthened 7.4% in 2014, the slowest yearly rate in 24 years.
US shares extended their gains for a fourth consecutive day, erasing the yearly losses, since the ECB confirmed an enlarged stimulus programme, while banks and transportation companies mainly soared on better-than-expected earnings. The equity gauge added 1.5% to 2,063.15, and the Dow Jones Industrial Average climbed 1.5% as well.
Crude traded below $48 a barrel for a third day in London as investors are waiting the ECB's decision to start a QE programme. Another depressing factor is an expectation the crude oil inventories will continue to expand. Brent dropped 1.1% and futures for March delivery was at $48.93 a barrel at 9:45 a.m. in London. Meanwhile, WTI for March
The Euro edged higher versus the US Dollar on Thursday, amid expectations of the ECB announcing QE. The European currency added 0.08% and settled at $1.1616, rebounding from a previous day's 11-year low. Rumour has it that the ECB is considering a programme for sovereign bond-buying of €50 billion per month, beginning from March and through 2016. However, the ECB Chief
European stocks stayed almost the same, erasing earlier gains, on investor expectations of the ECB's announcement regarding the possible QE measures today. The Stoxx Europe 600 Index fell 0.1% to 357.69 as of 9:48 a.m. London time, and the benchmark gauge ended at its strongest point since January 2008 yesterday, as the ECB is expected to announce a QE programme.
Mario Draghi, ECB President, will most likely turn to 50 billion euros a month quantitative-easing programme. The steps of sovereign bond-buying programme may need to be taken in order to fight the threat of deflation within the Euro zone countries. However, investors are weighting whether the ECB will do enough to stoke Europe's fragile economy.
Prices for copper slid on Thursday amid traders awaiting for the ECB meeting outcome, where a bond-buying programmed is expected to be revealed. In the US copper futures for March delivery lost 2.5 cents and traded at $2.587 per pound, compared to $2.612 previous day. Global growth forecast has been cut to 3.5% from 3.8%, causing copper to fall in
The Sterling advanced versus the US Dollar on Thursday amid improved sentiment before the ECB's meeting. The Cable hit 1.5173, the highest level during the morning trading session. One of the reasons for stronger Pound was the UK public sector net borrowing, which increased to £12.47 billion in the preceding month, beating expectations of a £9.7 billion decline. The Pound also gained
On Thursday gold in the US declined due to investors booking profits ahead of the ECB meeting. Over the night from Wednesday gold remained above $1,300 level amid weak data on the US building permits, whereas housing starts met expectations and rose. Futures for February delivery dropped $7.60 and traded at $1,286.10 per troy ounce, compared to Wednesday's weekly high
On Thursday crude oil futures slumped ahead of the conclusion of the ECB's meeting. WTI oil for March delivery lost 53 cents and traded at $47.25 per barrel, compared to $47.78 per barrel on the previous day. Brent crude futures for March delivery also declined, losing 29 cents and settling at $48.74 per barrel. According to expectation's, the US report
The Cable weakened after no MPC members were reported to vote in favour of an interest rate hike. The committee members Martin Weale and Ian McCafferty changed their mind regarding the suitable interest rate level due unstable and weak oil prices that in turn may lead to low inflation. In a different report, the UK wage growth came out below