Gold fluctuated in New York as investors considered signs that the Fed will curb monetary stimulus this month, while Obama attempts to get approval to attack Syria. December delivery bullion advanced 0.1% to $1,388.50 as of 10 a.m. on the Comex in New York, while immediate delivery gold soaked 0.2% in London to $1,388.84.
Tokyo won the opportunity to host the Olympic Games in 2020. Analysts point out that the Prime Minister's plan to boost the economic growth and end the deflation in the country can become reality. Previous Olympics in Japan, held in 1964, created 150,000 jobs, bringing the total economic affect closer to 3 trillion yen. Olympics in 2020 may have even
George Osborne, the head of U.K. Treasury, supported the plan of the Bank of England's Governor Mark Carney to continue stimulus programs at least till the end of 2016, or while the unemployment is above 7%. Moreover, the yields for 10-year government bonds have risen to a record high 2.96% today that makes the stimulating monetary policy even more attractive
Real estate sector in Spain lost 30% of its value since the beginning of the crisis. The government expects the economy to return to growth closer to the end of 2013 that will mean the start of the recovery on housing market. Banco Santander, one of the biggest Spanish banks, is now financing many real estate operations. Its stock price
Recently the Federal Reserve announced its plan to decrease the amount of money it invests in the U.S. Treasuries. After the announcement the dollar increased in value against all major currencies, including ones from emerging markets. Nowadays, Russia is going to sell $11.6 billion of Treasuries, Brazil is planning to erase $60 billion of their $372 billion reserves to support
Unemployment in the U.S. declined to 7.3%, the minimum since the end of 2008. Roberto Perli, Fed's former analyst, said the unemployment level falls because of decreasing number of people that are active to work, while the economy still does not produce enough jobs. He pointed out that the Federal Reserve should take it into account while deciding the date,
The central bank of Mexico surprisingly lowered the main interest rate amid declining inflation and falling economic growth pace. The benchmark rate was cut to 3.75%, or 25 basis points. It has already been the second slash of the rate in 2013. Such a decision was predicted only by one of 20 Bloomberg economists. Moreover, two days ago the Central
Chinese authorities plan to open the Shanghai region to investors, decreasing internal controls on flows of capital. Therefore, Chinese government tries to attract new investment to the country as a whole and particularly to Shanghai. After this announcement the local stock market surged on Friday. Analysts point out that Shanghai already attracts more international investment than other Chinese cities.
Barack Obama is likely to delay the announcing of the new Federal Reserve Governor, who will have to replace Ben Bernanke on January, 2014. The main reason for such a decision is the Syrian problem. U.S. Congress will have to vote on Syria in the nearest days and now it is the highest-priority problem for U.S. officials. The main Fed
James Gorman, the CEO of Morgan Stanley, one of the biggest U.S. banks, announced on Friday that the new crisis, similar to that we saw in 2008, is very unlikely to happen once again. Gorman underlined that nowadays the companies and banks have enough free liquidity to resist any economic instability. Morgan Stanley itself borrowed about $100 billion from the
The leaders of G20 largest economies warned U.S. and their allies in possible Syria War that the global economic growth may decline, as any political conflicts force investors save money till the better times. On Thursday the BRICS leaders decided to make a $100 billion fund of currency reserves. Moreover, the political instability made oil prices go up, as oil
American employers added 169 thousand jobs this August, while analysts predicted a rise of 180 thousand. It is worth to say that the month earlier American companies hired only 104 thousand people. Moreover, the jobless rate surprisingly fell to 7.3% from 7.4% in July. Economists did not expect the decrease of jobless rate. The U.S. Treasuries and stocks advance on
The British Pound cut a seven-day climb versus the common currency as an indicator of activity in the U.K. manufacturing sector slowed its increase pace in July, reducing demand for the Sterling. The pound slid versus majority of its 16 most-traded counterparts after BoE kept the interest rates at record low yesterday. The Britain's currency lost 0.2% to 84.31 pence
Copper increased in London, heading towards a weekly surge, ahead of data expected to indicate employment increased in the U.S. Copper for settlement in three months gained 1.1% to $7,187 per metric ton, while the December copper contract rallied 0.8% to $3.2715 per pound. Employers hired 180,000 workers in August, compared with 162,000 people in the month before.
The U.S. Dollar traded near the highest level in seven weeks versus the basket of major currencies, as upbeat U.S. economic report boosted expectations that jobs data later in the day may support the Federal Reserve's plan to scale back stimulus. The U.S. Dollar index was steady at 82.528, while the common currency was at $1.3131.
Asian shares declined, cutting a six-day increase and snapping the regional benchmark index's largest weekly advance since July, while investors expect the monthly American employment data. The MSCI Asia Pacific Index dropped 0.2% to 133.02, with Japanese Topix index falling 0.9% and Chinese Shanghai Composite increasing 0.7%.
The common currency remained steady versus the greenback, while increasing yields on U.S. treasuries prolonged to support the U.S. Dollar before employment report. The common currency was steady at $1.3123 versus the greenback. The U.S. 10-year treasury bills yielded 3% for the first time since July 2011.
German 10-year government bunds were flat, headed towards a weekly decrease, ahead of data analysts said will indicate German industrial activity dropped in July. German 10-year bonds yielded 2.04% and the price of the 1.5% note maturing in May 2023 remained at 95.30. Germany's industrial production is forecast to retreat 0.5% from June, when it advanced 2.4%.
Germany released data which showed the nation's overseas sales decreased 1.1% in August on a monthly basis, while inbound shipment advanced 0.5%. The largest economy in Europe exported goods worth of 93.4 billion euros and at the same time imported goods worth of 77.3 billion euros in July 2013. The German trade balance indicated a surplus of 16.1 billion euros
The British currency remained flat against the greenback and 17-nation currency ahead of the data analysts said will indicate U.K. manufacturing activity gauge rose at a slower pace in July. Industrial production is expected to jump 0.2%, after jumping 1.1% in June. The Sterling was flat at 84.13 pence versus the Euro and remained at $1.5601.
The Japanese currency advanced against the U.S. Dollar before the key macroeconomic data from the U.S., with non-farm payrolls forecast to increase by 176,000 in August in the U.S. The Japan's Yen inched up 0.32% to ¥99.77 versus the U.S. Dollar and advanced 0.25% to ¥131.00 versus the common currency, and jumped 0.22% to ¥155.69 against the Sterling.
The common currency slid to a six-week bottom against the greenback as Mario Draghi, the ECB President stated that officials discussed interest-rate cut. The Euro dropped versus the Japanese currency, while the U.S. Dollar climbed through 100 Yen, first time after July. The Euro lost 0.6% to $1.3125 at 10:26 in New York, while the greenback added 0.4% at 100.11
Activity in the main sector of the U.S. economy surged this August, while the Institute for Supply Management benchmark index advanced to 58.6 points from 56 points the month earlier. It is worth saying that the index reached its highest value since December 2005. Analysts, on average, estimated the ISM index to decline to 55 points. The index above 50
European equities rose as ECB confirmed that interest rates will remain low for a prolonged period. The Stoxx Europe 600 Index advanced 0.7% to 304.36 as of 3:16 p.m. London time. The benchmark indicator reduced 2.4% during last week on distress the U.S. with its allies could attack Syria. The Euro zone economy increased 0.3% during last three months.