China is expected to export more of rare earth minerals due to firm demand for these commodities. However, the country plans to increase quotas only slightly this year due to environmental and regulatory issues as well as due to expected price fall as China has export quotas. Recently, the country came under criticism for violating international trade by strict regulations
Italian 10-year cost of borrowing approached six-month low during the key bond auction on Thursday as prospects of cheap ECB loans stimulated the debt sale. The country sold about 6.25 billion euro worth debt with the yield of 5.50% as compared to 6.25% at the January's bond sale. Demand for 10-year debt exceeded supply 1.4 times and the sale amounted
The economic confidence in the Euro Zone improved more than expected this month. The survey of EC showed that economic confidence in the region grew to 94.4 this month as compared to 93.4 in the preceding month. Analysts projected the index to ease up to 94 this month. Industrial confidence climbed from minus 7 to minus 5.8 in February on
Agricultural commodities advanced on Monday despite expectations on high world's crops. Even stronger US Dollar failed to weight down on the rural commodities price. Grain commodities mainly tracked soaring soybean futures on the record strong China's demand. However, the upswing may be capped due to reports on the expected high EU crops even despite adverse weather conditions in winter and
Energy commodities sank on Monday following negative outcome of the G20 meeting and broadly stronger US Dollar. Moreover, policymakers across the globe started to look for the ways to limit the oil price jump as it may harm fragile recovery of such economies as the US. This move also created strong downward pressure on the oil prices. At the same
Industry metals were little changed on Monday as market was balancing between disappointing news from the G20 meeting and inspiring hosing data from the US. Moreover, investors mainly look on the China's demand that showed mostly negative signs due to growing inventories. Mixed equities also added to the volatility of the base metals pack. Alunimium futures may be backed up
Precious metals tumbled on Monday after G20 members failed to agree on the boosting IMF as Euro Zone countries were demanded to show greater financial commitment to the IMF before receiving further aid. Investors also are cautions before ECB decision on LTRO due on Wednesday that may provide banks with unlimited three-year loans with low interest rate. Silver mainly tracked
Japan's Nikkei Stock Average improved on Tuesday as Yen pared gains and Japanese retail sales increased more than expected in January on the surging car sales. Nikkei 225 index gained 0.92% or 88.59 points and finished at 9,722.52. Softbank and Isuzu Motors each added 3.2% while Nomura Holdings rallied 5.3%. On the downside Nissan Motor lost 1.1% after announcing it
Dow Jones Industrial Average index closed lower on Monday as housing data and falling crude prices did not manage to offset concerns over Europe. Blue chip index slipped 0.01% or 1.44 points to 12,981.51 with financial sector being the one that posted relatively notable gains. Bank of America and JP Morgan Chase and Co each added 2%. On the downside
S&P 500 index opened down on Monday amid persisting worries over Euro Zone as G-20 rejected calls to support region's firewall. However the index pared the losses and finished 0.14% or 1.85 points higher at 1,367.59 on a drop in crude prices and better than expected pending house sales data. Micron Technology rallied 7.7% after its Japanese rival Elpida applied
China's economy is expected to expand by 8.5% this year, reported Fan Gang, a former adviser of the China's central bank. He also added that China will have a 'soft landing' in 2012 and there is no need for soaring GDP as economy may become overheated. Taken stabilized expansion only fine-tuning of the government policies may be required, he claimed.
PSA Peugeot Citroen is likely to announce soon its plan to sell a 7% stake to General Motors. Both companies are expected to form a development alliance which would include production and development of vehicles and engines. GM is struggling with its unprofitable Opel unit while Peugeot attempts to reduce its debt burden. Both companies faced a sharp drop in European region sales
German consumer climate improved slightly in February while willingness to buy and economic expectations posted some losses. Consumer climate rose to 6.0 points for the next month as compared to 5.9 points for this month. At the same time, economic expectations lost 1.6 points but remained at the relatively high level of 5.9 points. Willingness to buy fell by 2.6
US stocks traded mixed on Monday supported by better than expected pending house sales data and a decline of crude prices. S&P 500 added 0.14% or 1.85 points and closed at 1,367.59, Dow Jones Industrial Average slipped 0.01% or 1.44 points to 12,981.5, while Nasdaq Composite index climbed 0.08% or 2.41 points and finished at 2,966.16.
Gold futures decreased during the Asian session on the softer physical demand as well as on stronger Euro. Gold changed its usual inverse move to the US Dollar and now showed more direct relationship with the greenback's fluctuations. COMEX gold April contract traded at 1,769.25 US Dollars per ounce on the New York Mercantile Exchange, losing 0.32%.
Crude oil prices sank during the Asian session as market sentiment was dampened due to sharply rising energy prices and consumers' attempt to restrict oil buying for exorbitant price. Light, sweet crude oil April contract traded at 107.98 US Dollars per barrel on the New York Mercantile Exchange, losing 0.53%.
European stock markets closed lower on Monday, pushed down by G-20 statement Euro Area should increase the financial fire-power by itself and only then call for more help. Nevertheless, losses were partly offset by better than expected pending home sales data in US. Stoxx Europe 600 index FTSE 100 each slipped 0.3%, German DAX fell 0.2% and French CAC 40 index tumbled
Canadian currency traded close to parity against its US peer for a fourth consecutive session as oil prices declined and US stocks advanced. Loonie was little changed versus US Dollar and traded at CAD 0.9990. Currently USD/CAD is trading at CAD 0.9955. Strategists claim the price close to parity is a reasonable value for Canadian currency.
Standard and Poor's downgraded Greece's credit rating to selective default after the country agreed on the 70% debt reduction with private bondholders. The rating agency cited that terms of the deal escalated concerns over Greece's inability to repay its debts. However, S&P announced it would increase Greece's rating to CCC after the debt swap is complete.
Euro Zone's M3 money supply increased more than initially projected last month, reported the ECB. The M3 money supply jumped by 2.5% on a yearly basis in January as compared to a 1.5% growth in December. Economists expected the M3 money supply to rise by 1.8% last month. Meanwhile, private sector loans increased by 1.1% on an annual basis, being
Traders still have high confidence in the commodities, with 56% of investors planning to incase exposure in the commodity markets in three years. Moreover, about a half of those surveyed by Barclays Capital projected positive price trend for the commodities. Further, 22% of the respondents named crude oil as the best performer this year while gold and copper was chosen
Natural gas prices fell during the volatile sessions on Monday as investors are preparing to switch to the April contract and mild weather forecasts in the US continued to create pressure on the commodity price. Natural gas March contract traded at 2.61 US Dollars per million thermal British units at the late US trade on Monday, on the New York
Italian bonds advanced sending the yield to a 11-month record low before ECB's second release of loans with 3 year maturity. The borrowing costs for Italian two year bonds slipped 15 b.p. to 2.68%. Germany also faced record low yields for its benchmark 10-year bonds as the borrowing rate declined to 2.92%.
The EC warned Cyprus, Spain, Bulgaria, Luxemburg, Romania, Estonia, Slovakia and the Netherlands to raise competition in the energy sector otherwise it will bring a case to the ECJ. The EC demands countries to separate energy generation and its distribution to stimulate competition in the sector. Warned countries have to meet requirements till 3 March.