S&P 500 index began the session with sharp losses before Supreme Court decision over President Obama's health care law. Financials fell on news JP Morgan trading loss could reach USD 9 billion instead of earlier estimated USD 2 billion. US benchmark shed 0.21% or 2.81 point to 1,329.04. Genworth Financial jumped 11% on rumours hedge fund Highfields Capital Management is
Japan's shares rallied on Friday sending Nikkei 225 index 1.5% or 132.67 points higher to 9,006.78. Markets experienced an uplift after Eurozone leaders conceded to relieve repayment criterion for emergency loans to Spain's lenders and ease potential aid for Italy at the summit in Brussels dealing with the debt turmoil. Export shares contributed positively to the index with Sony Corp
The IMF may reconsider Greek loan conditions after the visit to Greece next week, during which the IMF, ECB and the European Commission officials will meet the new government and evaluate the economic developments. Greek Prime Minister Antonis Samaras promised to continue to widen and deepen economic overhaul, as he requested to ease budget-austerity requirements.
The number of individuals applying for unemployment benefits in the US decreased less than projected last week, according to the US Department of Labor. The number of jobless claims eased down by 6,000 to 386,000 on a seasonally adjusted basis, confronting the expectations for a 7,000 drop last week. Despite slowing recovery of the job market, the number of unemployment
Japan's industrial output declined more than expected in May, according to preliminary data. The industrial production of the country dropped by 3.1% on a seasonally adjusted basis in May compared to a 0.2% fall in April. Experts predicted industrial output to slide by 2.8% in May. Despite dismal data release, the Japanese Yen advanced against its US peer by 0.14%,
HSBC reduced its growth forecast for Latin American countries, citing falling commodity prices and weak performance of Brazil. The bank cut its GDP expansion outlook for 2012 for Latin American block from 3.8% to 3.2%. Meanwhile Brazilian growth outlook for this year was lowered from 3.2% to 2.5% whereas Mexican GDP was maintained at 3.4% this year, HSBC added.
Crude oil prices moved higher in Asian trade on Friday amid broadly weaker US Dollar. Looming Iranian oil export sanctions supported the commodity price. A full oil embargo comes in force July 1. Currently, light, sweet crude oil futures for delivery in August traded at 79.09 US Dollars per barrel on the New York Mercantile Exchange, edging up 1.81%.
Gold prices eased up during Asian session on Friday amid broadly weaker US Dollar. US Dollar Index, which monitors the greenback's performance against a set of the six main currencies, lost 0.88% to 82.16 US Dollars. Comex gold futures for delivery in August traded at 1565.05 US Dollars per troy ounce on the New York Mercantile Exchange, rising by 0.94%.
Japanese unemployment rate declined to 4.4% last month, indicating moderate recovery of the labour market after recent natural disasters, reported the Internal Affairs ministry. Experts projected the jobless rate of the country to approach 4.6% last month. Meanwhile the number of new job offers jumped by 3% on a monthly basis and by 24.4% on an annualized rate.
EU leaders agreed to use financial resources of the Eurozone's bailout fund to backup banks directly, without increasing sovereign debt. Eurozone-wide body to supervise the banks also was established, said Herman van Rompuy, EU chief. Experts claim that persistent worries over Italy's and Spain's economic instability finally persuaded Angela Merkel to shift to more growth-boosting strategies. The project is expected
Following the decision of European leaders to ease Spanish debt terms, the Euro soared against its major counterparts. The European shared currency jumped 1.1 percent to 1.2579 US Dollars and surged 0.9 percent to 99.77 Yen. The EU officials are meeting in Brussels to discuss measures to combat the debt crisis, which forced five Eurozone members to seek bailouts.
The Spanish government reiterated that the country does not need a full bailout to help the ailing regions, despite having to pay a euro-era high interest rates for short-term debts, after he government decided to ask for financial aid of100 billion Euro to prop up its banking sector. The officials agreed that it might be too perilous to establish a
Rural commodities, excluding coffee, soared on Wednesday as weather conditions in the main growing regions remained unfavorable while anticipation of the EU summit continued to put investors off riskier assets.Wheat extended previous gains on speculation that USDA will cut its forecast for 2012-23 production in July. Moreover, traders are cautious ahead of USDA export sales report release due on Thursday.Corn
Energy commodities except for natural gas were bullish on Wednesday ahead of the EU summit. The commodity group was supported by supply disruption from North Sea and looming Iranian oil embargo. A full oil embargo will come in force on July 1.Crude oil rallied as positive data from the US boosted hopes for stronger industrial demand. Moreover, looming sanctions on
Industry metals were mixed on Wednesday after US industrial goods orders rose sharply in May, indicating an improve in industrial performance of the country.Aluminum erased previous losses, gaining a spree after US reported an increase in pending home sales last month.Copper advanced amid positive data from the US. However, rising risk-aversion ahead of the EU summit due to start on
Precious metals apart from gold declined on Wednesday amid broadly stronger US Dollar and fading hopes for the new round of QE in the US.Gold was almost flat as investors are pessimistic about the EU summit as European leaders have different views on how to combat crisis in the region.Silver lost 0.70% despite stronger global equities. The white metal was
British FTSE 100 tumbled on Thursday pushed down by Barclays amid concerns EU summit will not provide any consensus on how to tame region's debt crisis. Barclays Plc plunged 16% after the lender was fined USD 452 million for manipulation of interbank rates Euribor and Libor. Other UK financial institutions also posted broad losses. HSBC Holdings dropped 3.4% and Royal
Hang Seng Index edged higher on Thursday's morning trade but retreated later and finished the day into negative area giving up 0.79% or 151.68 points to 19,025.27. Analysts associate the drop in the index with investor doubts over the outcome of EU summit. Heavyweight HSBC Holdings gained 1.6% on Reuters report the lender prepares to sold its stake in Indian
Dow Jones Industrial Average advanced 0.74% or 92.34 points on Wednesday and settled at 12,627.01 lifted by positive news on US manufacturing and real estate market. Additionally investors regained hopes for extra monetary stimulus in China. Financials rallied sending the index higher for the session. JP Morgan Chase soared 3% and Bank of America gained 2%. All sectors but consumer
S&P 500 advanced on Wednesday as investors became inspired by better than predicted durable goods orders and pending home sales data. Index extended gains climbing 0.9% or 11.86 points and finishing at 1,331.85. Homebuilder Lennar Corp. added 4.8% after a tax benefit and soaring demand stimulated a gain in its fiscal second-quarter net income. Energy producers Qep Resources and Cabot
European Union officials are gathering today in Brussels to bring to a conclusion to measures needed to stop region's debt turmoil from spreading. EU leaders prepare to approve the rescue of Cyprus and agree on details how to aid Spain's banks. Arguments, however, are expected on the way how to support Italy and Spain as German Chancellor Merkel refuses to act more to
Australia's new home sales rose by 0.7% last month after an interest rate cut earlier in the month. Sales of multi-units surged by 21.1% in May offsetting a 2% fall in detached home sales. Harley Dale, chief economist at HIA, expects recent interest rate reduction to create a strong positive effect on the property market in the second half of
Chinese Yuan dropped first time in last four days after the PBOC reduced the monetary unit's reference rate ahead of EU summit today. The central bank cut its daily fixing rate by 0.03% at CNY 6.3190 per Dollar. The Yuan tumbled 0.09% versus greenback to CNY 6.3614 per Dollar.
UK house price dropped by 0.6% this month, sending the yearly price growth to the negative territory of minus 1.5%. Experts clam economic slowdown and end of stamp duty holiday both weighted on the property market. Meanwhile, the prospects of the UK real estate market are likely to remain uncertain; however, government's policies aimed at facilitating lending and tight supplies