Gold rebounds from seven-week lows, since Chinese traders returned from the Lunar New Year holiday, while investors is assessing the possibility of Fed's rate hike before US inflation data. Precious metals added 0.7% to $1,213.23 per ounce. Gold slightly climbed 0.4% on Wednesday, showing gains from a seven-week deep of $1,190.52.
Currency volatility head for its sharpest weekly slide since 2010, as Federal Reserve Chair Janet Yellen announced on Wednesday, that the central bank is not going to raise rates in the near future. The Bloomberg Dollar Spot index, a currency gauge against 10 major peers, was slightly changed at 1,163.49 from 1,163.13 level. Meanwhile, before Yellen's speech, the gauge rose
The impact of the plunged crude prices on Japan is not as obvious as for the other countries, since the Yen dropped to seven-year lows. The prices for Brent crude oil decreased around 4% since June, while gasoline, in turn, dropped 11% in Japan. The Yen has lost more than 14% versus the Dollar, thereby accelerating rise of prices for
The Chinese government is going to decrease down-payment for a second real estate purchase and to remove the sales tax, if the home-owner held the estate for two years, compared to the previous five-year minimum. The decision comes after prices for new buildings posted a record drop in January.
Asian shares rose on Wednesday, prolonging five-month gains, as Federal Reserve Chair Janet Yellen announced that the Fed is not going to raise interest rates in the next three months. Therefore, the MSCI Asia index added 0.6% to trade at 146.20 level in Hong Kong showing its biggest gains since September 12. The Kospi index and Taiwan's Taiex index, in
The Euro depreciated, while Europe's stock benchmark reached the highest level in seven years before talks on Greek's funding. Europe's shared currency declined against all but one 16 major peers, weakening 0.2% to $1.1343 as of 10:16 a.m. London time.
Gold futures appreciated the most this month, as the minutes from the Fed's last meeting indicated some officials are wary of negative effects in case the monetary authority rushes with an interest rate hike. Bullion futures for April settlement rose 0.6% to $1,207.60 an ounce as of 1:45 p.m. in New York, posting the biggest climb since January 30.
The Dollar stays strong, as the market participants believe the Federal Reserve is likely to increase interest rates in 2015. The Greenback trades in a tight range, staying little changed around $1.1365 against the Euro at 8:46 a.m. in Tokyo. The US currency strengthened 0.1% to 119.03 versus the Yen, extending a 0.1% Thursday gain.
European stocks traded in a tight range as Euro zone finance ministers prepared for Brussel's meeting in order to find an agreement on Greece's bailout. The Stoxx Europe 600 Index dropped 0.1% to 381.04 as of 8:03 a.m. London time, while previously the shares reached out to the seven-year high amid optimism over Greek debt agreement. Meanwhile, the ASE Index
The Japanese economy is struggling, as inflation equals a quarter of the BoJ target, while wages continue its negative tendency. However, the demand for luxury products reached a 15-year record. The department stores sold luxury goods for around 333 billion yen, 20% higher than in 2012.The general reason for this tendency is a widening income gap of Japanese consumers.
Fewer Americans filed applications for unemployment benefits. The amount of jobless claims slipped 21,000 to 283,000 for the week ended February 14. People became more optimistic in February, concerning the economic outlook, due to plunge in oil prices and an increase in payroll gains. Meanwhile, consumers should be engaged, in order to help the US economy overcome stagnation in manufacturing.
Oil prices fell on Thursday, as US inventories were supposed to reach new highs. Moreover, possible increase in Saudi crude output raised new concerns regarding fuel supply surplus. Brent crude for March plunged around 3% to trade at $50.23 per barrel, almost 2 dollars down compared to the levels seen on Wednesday. Crude for April slipped to $59.54 per barrel.
Japanese exports surged in January due to strong demand from Asia and the US, providing evidence that the world's third largest economy is escaping recession. Exports rose by 17% on a yearly basis last month, exceeding the forecasts of 13.5%. Meanwhile, import dropped 9% from a year earlier, curbing the trade shortage to 1.2 trillion yen.
European stocks climbed, reaching the highest level in seven years on speculation Greece may reach an agreement with the creditors. The Stoxx Europe 600 Index rose 0.8% to 379.84 as of 3:06 p.m. London time and it is trading at the strongest level starting from November 2007. The FTSE 100 Index declined, while 17 western-European markets gained among 18.
The Bank of England stated inflation in the UK may expand quickly in 2016, while the impact of oil price collapse fades as unemployment and wage data showed the pressure of labour-cost starts to build. Meanwhile, the Monetary Policy Committee announced that nine members unanimously voted for keeping the benchmark interest rate at a lowest ever 0.5%.
Greece is going to request a prolongation of its loan agreement for six months. This proposal could ease a standoff with creditors over the country's future financing. However, German officials announced that Athens should follow the terms of the current bailout. Meanwhile, the Euro zone's agreement with the Greece will expire on February 28.
The UK consumer price inflation slowed in January to an annual 0.3%, the lowest level since records began, posting the potential for further decrease. According to the National Statistics, the rate was down from 0.5% in December. The harsh drop was triggered by a decrease in crude prices, which slipped to $45 per barrel, and lower food costs.
The central bank's of Japan announced its decision to keep its already huge stimulus unchanged but weak growth figures could force the BoJ Governor Haruhiko Kuroda to consider further stimulus later this year. The Bank of Japan is going to print money at an yearly pace of 80 trillion yen. Meanwhile, Japan's economy started to recover from recession in the
The Euro depreciated, while talks between Greece and its creditors ended without any agreement on the bailout programme and nation's debt. The 19-nation shared currency dropped versus all 16 of its major peers, and fell 0.6% to $1.1323 as of 6:33 p.m. London time. Moreover, the common currency weakened 1% to 134.06 against the Yen.
UK stocks declined from the highest level in five months, led by utilities, amid concern that Greece may not reach an agreement with its creditors. SSE Plc and Centrica Plc lost more than 2%, while utilities shares set the biggest drop in the Stoxx Europe 600 Index, and the FTSE 100 Index fell 0.2% to 6,857.05.
European stocks fell from the strongest level in seven weeks, along with rising Greek shares and declining commodity producers, before the release of the Federal Reserve's last policy meeting's minutes. The Stoxx Europe 600 Index slumped almost 0.1% to 339.15, together with miners fell heading for the biggest drop amid 19 industry groups.
Europe's car-sales rose last month, while economic-growth prospects and price cuts enhanced consumers to turn to new car models such as Golf Volkswagen AG and Renault SA. Registrations climbed 6.2% in January compared with the 1.03 million vehicles previous year, the ACEA announced today.
The yellow metal and silver declined amid speculation that Chinese demand may fall right before the nation starts its Lunar New Year holiday. Bullion for immediate settlement dropped 1% to $1.220.46 an ounce and traded at $1,222.44 as of 10:19 a.m. London time, while silver lost 2.7%, the biggest decline in more than a week, being last down 2.3% at
New Zealand's manufacturing activity plunged to a minimum in two years in January because of a sharp decrease in production for the first time in almost three years. The manufacturing index slipped to 50.9 in January, compared to 57.1 in the preceding month. The new orders reached their three-year low of 50.1, while deliveries slid to 53.4.