Precious metals except for silver plunged on Wednesday as global growth fears pushed the US Dollar higher. The IMF reported that crisis in eurozone remained the biggest threat to the world's economy, thus spurring demand for safe-haven greenback. Meanwhile, market participants anticipated jobless claims data from the US due on Thursday. Gold sank as solid greenback created heavy pressure on the
Japan's household sentiment slightly weakened in September, after an improvement in the preceding month, the Cabinet Office said on Thursday. The seasonalized consumer sentiment index slipped to 40.1 from 40.5 in August, compared to 39.7 in July. Income growth expectations advanced to 39.7 in August from 39.6 in the previous month.
Australia's jobless rate climbed to a seasonalized 5.4% in September, the Australian Bureau of Statistics showed on Thursday. Economists expected a reading of 5.3%, while last month figure was at 5.1%. However, Australian economy increased the number of jobs by 14,500 in September, way above previous estimates of 5,000 jobs after a decline of 8,000 jobs in August.
Asian stocks fluctuated after Standard & Poor's cut Spain's debt rating and as Japan's machinery output declined after data showed orders decreased. The MSCI Asia Pacific Index lost 0.2% to 120.45, after gaining 0.1%. South Korea's Kospi Index fell 0.9% and Japan's Nikkei 225 Stock Average plummeted 0.7%. China's Shanghai Composite Index decreased 0.3% and Hong Kong's Hang Seng Index
China's currency strengthened beyond 6.28 per U.S. Dollar for the first time since 1993 on speculation officials will take steps to ensure a recovery of the nation's economy and as the central bank increased the Yuan's fixing by the most in 7 weeks. The currency's reference rate was set 0.09% stronger, the most since August 22, to 6.3391 versus the
The Australian Dollar rose to one-week high as data showed employment increased last month more than expected. Australia's Dollar gained 0.5% to $1.0285, after earlier climbing to $1.0287, the highest level since October 2. The Aussie strengthened 0.3% to 80.25 yen. The New Zealand Dollar traded at 81.81 U.S. cents from 81.63 a day earlier.
The Dollar Index reached the highest level in one month as Standard & Poor's downgraded Spain's credit rating to one notch above junk, spurring demand for the U.S. Dollar as a safe have asset. The Index rose to 80.205, the highest level since September 11. It climbed 0.1% to 80.012 at 6:21 a.m. in London. The Euro fell versus most
South Korea followed Brazil with interest rate cut as economies around the globe are trying to protect themselves from risks of a deeper economic slowdown by austerity measures in Eurozone and China's weakness. Governor Kim Choong Soo lowered the benchmark 7-day repurchase rate from 3% to 2.75%. Brazil's Selic rate was also decreased by 0.25 percentage points to a historic
Standard & Poor's cut Spain's debt rating to one notch above junk, citing increasing political and economic risks as the nation's government considers a second bailout. Spain was downgraded 2 levels from BBB+ to BBB-. The downgrade comes with a negative outlook to the long-term rating. Besides, S&P cut the short-term sovereign level from A-2 to A-3.
U.S. stocks turned lower on Wednesday, as market sentiment deteriorated ahead of the earnings season, which is expected to be the worse since 2009. The Dow Jones Industrial Average fell 0.8%, to 13,363.9; the Standard & Poor 500 Index declined 0.57%, to stand at 1,433.20, while Nasdaq 100 futures lost 0.47%, to 3,051.37.
On Wednesday, October 10, European stocks extended losses amid deepening the global economic slowdown is deepening, while investors are waiting for highly anticipated meeting of EU finance ministers on Thursday. The Stoxx Europe 600 Index erased 0.55 per cent to 268.71. Germany's DAX Index inched lower 0.41 per cent to 7,205.23 and France's CAC 40 Index lost 0.50 per cent to 3,365.87.
German equities inched up on Wednesday despite persistent global economic concerns and pessimistic comments of Mario Draghi. On Tuesday, Mario Draghi stated that the EU economy was still facing difficulties. Uncertainty over Spain and Greece also added pressure on German blue chips. The DAX Index gained 0.04% and is currently trading at 7,237.35. Five out of nine sectors included in
UK stocks dropped on Wednesday as market participants claim that global economic weakness is not reflected by stock valuations that are close to their two-year highs. UK equities also remained under additional pressure after the IMF cut global growth forecast. Moreover, market sentiment was further dampened by uncertainty over when Spain will officially apply for a bailout. The FTSE 100
Hong Kong equities eased down on Wednesday as global growth worries outweighed hopes that the POBC will embark on extra stimulus measures to boost economy. Pushing China's shares lower, US and Japanese companies are likely to have incurred losses in Q3. The Hang Seng Index inched down 0.08% to end the session at 20,919.60. Five out of nine sectors included
Japanese shares plunged on Wednesday amid lingering global growth concerns and persistent territorial dispute with China. Speculation that Japan's companies will report disappointing profits in Q3 also weighted down on the Japanese stock index. However, hopes that weakening economic outlook will force China's government to provide additional stimulus capped the downswing. The Nikkei 225 Index sank 1.98% to close at
US blue chips sank during risk-off trade on Tuesday after the IMF lowered its global growth estimate. Adding to the negative mood of the US blue chips, the ECB president Mario Draghi said that eurozone was facing downside risks. The Dow Jones Industrial Average Index lost 0.81% to close at 13,473.53. All sectors included in the index dropped. The worst-performers
US stocks tumbled on Tuesday as market sentiment was dampened after the IMF cut global growth forecast. Weighting down on the US equities, S&P 500 companies are expected to post annualized losses in Q3, for the first time in three years. Disappointing comments by Mario Draghi also pressurized US shares. The S&P 500 Index plunged 0.99% to close at 1,441.48.
The Australian Dollar stopped its 2-day strengthening before unemployment data, which may indicate that jobless rate rose to the highest level in 3 months. The Aussie Dollar traded at $1.0201 after gaining 0.2% in previous 2 days. Australia's currency stayed unchanged at 79.86 yen, whereas New Zealand's Dollar fell 0.3% to 81.59 U.S. cents.
Precious metals tumbled on global growth concerns. Moreover, disappointing news from Eurozone sent the greenback higher thus pushing the precious metals down. Mario Draghi stated that the region's economy faces difficult times. Gold lost its safe-haven appeal, falling 0.58% on high risk-aversion amid global economic challenges. Solid greenback also weighted down on the yellow metal. Silver declined on weak global equities
Industrial metals plunged on Tuesday as recent global growth forecast cut continued to weight down on the commodity group. Dismal manufacturing reports from the US coupled with disappointing Mario Draghi comments also sent the base metals lower. Aluminum was the top-loser as high inventory levels at the LME warehouses were exacerbated by potential dip in demand amid weak manufacturing g activity
Energy futures rallied on Tuesday as tensions between Turkey and Syria escalated thus threatening to disrupt supplies from the Middle East. On Tuesday, NATO announced that it is ready to help Turkey to defend itself from Syria's attacks if Turkey asks. However, the upside was capped as demand may weaken amid global slowdown. Crude oil rallied on strong supply-side support. Rising
Rural commodities were mixed, with wheat and sugar climbing and coffee retreating. Solid greenback created heavy selling pressure on the commodity group. Meanwhile, market participants remained cautious ahead of the USDA crop forecasts report due on Thursday. Wheat was the top-gainer on speculation that the US government may cut its global production estimate as drought damaged crops in Russia and Australia.
Germany's Wholesale Price Inflation accelerated in September at the highest pace since Nov. 2011, Destatis said on Wednesday. WPI increased at a faster-than-expected pace of 4.2% on year from a 3.1% growth in August. Economists had estimated a rise of 3.3%. On month-on-month basis, WPI added 1.3%, compared to 1.1% advance in the previous month, while economists expected a 0.5%
Australian consumer sentiment advanced marginally in October, Westpac and Melbourne Institute reported on Wednesday. However pessimists outnumbered optimists even after an unexpected quarter-point cut in the cash rate by the RBA early this month. The headline consumer sentiment index added 1% to 99.2, compared to 98.2 in September.