World food prices decreased for a second consecutive month in June, being led by declines in sugar and diary prices. The index that traces 55 food items dropped 0.9% to 211.3 in June from 213.2 in May. The gauge reached its record high of 237.9 in February 2011. The sugar prices slid 3% from last month, while the dairy prices
Switzerland's stock rose after 3 days of losses before the ECB's meeting to discuss interest-rate policy. The Swiss Market Index increased 0.8% to 7,735.85, however, the gauge is still 8% below its value on May 22 when the Fed indicated that it might unwind its QE earlier. The Swiss Performance Index gained 0.7%. Economists predict that the ECB will not
Japanese stocks retreated, with the benchmark index declining for the first day out of last six, as rubber-product manufacturers and steelmakers slipped the most among the equity-benchmark's 33 subsectors. The Topix slid 0.3% to 1,170.71 in Tokyo after gaining for five days in a row, while the Nikkei 225 Stock Average fell 0.3% to 14,018.93.
U.K. house values increased in the previous month to the highest level in approximately three years after affairs by the Bank of England and the government spurred property demand. Home prices inched up 0.6% from last month to an average of 167,984 Pounds, the highest level since August 2010, adding to signs house values added 4.1% on a yearly basis.
Gold gained for second straight day on bets that political problems in Egypt and the credit crisis in Europe may boost demand for safe haven assets. Spot bullion added 0.4% to $1,258.35 an ounce, and was at $1,256.30 as of 8:53 Singapore time, after its prices rose 0.8% day earlier. The yellow metal for August delivery gained 0.2% to $1,254.30
The Euro depreciated against the Yen for a second consecutive day amid speculation that the ECB will announce today its commitment to continuation of accommodating policies. The shared currency dropped 0.3% to 129.53 Yen today, while accumulated loss of the past two days was 0.9%. The experts predict that the ECB will keeps its interest rate unchanged at 0.5%.
German 10-year government bunds dropped for the first time in four days, and yields increased from the weakest level in about two weeks, ahead of the European Central Bank releases monetary policy decision. German 10-year bond yields gained one basis point to 1.67% and the 1.5% note maturing in May 2023 declined to 98.44.
Chinese stock prices rose for the forth day out of the last five lead by property developers, commodity producers and consumer discretionary companies. The Shanghai Composite Index rose 0.6% to 2,006.10 lead by materials producer gauge, which jumped 2.4%. The CSI 300 Index increased 0.8% to 2,221.98, while the Hang Seng China Enterprises Index jumped 1.5%.
The U.S. Dollar Index declined from the strongest level in over a month, as traders weighed whether the U.S. employment data for June will improve enough to signal that the Federal Reserve may move closer to tapering purchases. The U.S. Dollar Index fell 0.4% to 83.211, following a rise to 83.717. The greenback retreated 0.2% to $1.3009 versus the common
European shares rose, stopping a two-day retreat, before the European Central Bank and the bank of England decisions. The Stoxx Europe 600 Index added 0.6% to 287.22 as of 8:06 a.m. London time, reversing the equity-benchmark's decline from its highest level in 2013 on May 22. S&P's 500 Index futures gained 0.2% today, while the MSCI Asia Pacific Index climbed
The Canadian currency gained from almost the lowest level in 21 month as crude oil surged above $100 per barrel and on concerns that Egypt's political problems might influence imports from the Middle East. The Canadian Dollar rose 0.4% to C$1.0505 per U.S. Dollar as of 5p.m. Toronto time after it slipped to C$1.0578 on Wednesday, the lowest since October,
Asian shares excluding Japan rose after the better-than-expected U.S. labor market data, which showed that companies added more jobs than was predicted. The MSCI Asia Pacific Excluding Japan Index increased 0.9% to 424.46, while Japan's Topix gauge decreased 0.3%. South Korea's Kopsi index advanced 0.3% and Australia's S&P/ASX 200 Index gained 0.9%.
The Sterling depreciated versus the U.S. Dollar, heading towards the weakest level since May, ahead of the Bank of England Governor Mark Carney's first decision as the leader of the central bank's Monetary Policy Committee. The U.K. currency dropped 0.3% to $1.5244 and was at 85.23 pence versus the Euro.
The 17-nation currency was 0.6% from its lowest level in more than four weeks ahead of the ECB's meeting today, when Mario Draghi recently said that they will continue with monetary policy. The Euro fell 0.1% to $1.30 at 6:32 a.m. London time, while it dropped 0.1% to 129.84 Japanese Yen after slipping 0.5% on Wednesday.
The Australian Dollar rose after reaching the lowest point since September 2010 as investors speculated that the currency dropped to fast. The Aussie increased 0.2% to 91.10 U.S. cents after it reached 90.37, the lowest level in almost 3 years. The currency was almost unchanged against the Yen and traded at 90.79. The yields on Australia's 10-year government bonds rose
The South Korea's Won advanced today due to Finance Minister's comments that the government will interfere with some areas in the economy to increase competitiveness, employment and economic growth. The currency jumped 0.5% to 1,138.45 per U.S. Dollar, while Goldman Sachs predicts that the Won will rise to 1,110 in three months,.
Developing countries' stocks rose after the U.S. reported that companies hired more workers than experts predicted and after China said it would use funds to improve infrastructure in order to stabilize economic growth. The MSCI Emerging Markets Index increased 0.6% to 917.86, where all industry groups comprising the gauge advanced.
Crude oil inched up, with West Texas Intermediate rising above $100 per barrel for the first time in nine months, amid declined in U.S. stockpiles and worries that political unrest in Egypt may ruin Middle Eastern supply. The August WTI contract jumped $2.58 to $102.18 per barrel and Brent for August delivery gained 1.6% to $105.61 per barrel.
Hong Kong shares declined, with the Hang Seng Index falling for the second day in a row, after its retail sales were against the expectations and China's services industry's growth was slower than expected. The Hang Seng Index slid 1.4% to 20,379.48 at 9:51 a.m. Hong Kong time, while the Hang Seng China Enterprises Index fell 2.3% to 8990.34.
Portugal's bonds declined, sending 10-year note yields over 8% for the first time since November, as two of Portugal's ministers resigned from the government. Portuguese 10-year bond yield advanced to 7.94% and the 4.95% note maturing in October 2023 decreased 7.65 to 79.45. Spanish 10-year security yields jumped to 4.75%.
German shares retreated the most in approximately seven days after Portugal's lawmakers lost the coalition partner's leader, restoring concern that Portugal will stop its plan to cut spending. The DAX fell 1.7% to 7,776.74 as of 11:51 a.m. Frankfurt time; moreover, the equity-benchmark has declined 8.9% since May 22. The HDAX Index also slipped 1.7%.
The South Korean Won retreated the most in two weeks after weaker Yen threatened South Korean overseas sale outlook and the report indicated that Korean foreign-exchange reserves declined. The South Korea's Won depreciated 0.9% to 1,143.75 versus the U.S. Dollar, the biggest decline since June 20.
Retail sales in the Euro block advanced in May, following a decline in sales for three consecutive months, and the rate of economic expansion overshot expectations. Retail sales inched up 1% in May, rebounding from April's 0.2% declined. Sales of drinks, food and tobacco jumped 0.9% in May, and trade in the non-food area also rose 0.9%.
Treasury 10-year bonds climbed for the third day after investors looked for the safest investments as two of Portuguese ministers resigned from the government, boosting worries the European debt crisis is going downhill. The benchmark 10-year note yield declined three basis points to 2.44% and the 1.75% bond maturing in May 2023 climbed to 94. The 30-year bond yield fell