West Texas Intermediate jumped for the fifth day and was set for the second quarterly rise after signals of economic growth in the U.S. fueled the demand for world's biggest oil consumer. The August WTI contracts increased to $97.53 per barrel. Brent for August delivery inched up 0.4% to $103.21 per barrel.
The Russian currency appreciated for the second day, damping the largest quarterly fall in a year, after Brent oil climbed and companies in Russia bought the domestic currency to cover taxes. The Ruble advanced 0.2% versus the U.S. Dollar to 32.7265, heading towards a 5.4% drop in the quarter. The Russian currency jumped 0.2% versus the Dollar-Euro basket to 37.2225.
The price of European government bonds increased amid speculations that the Fed and the ECB will prolong their monetary stimulus. Yields on 10-year Spain government securities decreased 4 basis points to 4.74%, while yields on similar maturity Italian government bonds dropped 7 basis points to 4.49%. Germany's 10-year yield on bunds slid 2 basis points to 1.71%.
The Indian Rupee is heading for its worst performance since 1992 as investors worry about the impact on country's balance of payments when the Fed starts unwinding its monetary stimulus. The currency fell to 60.765 per U.S. Dollar on June 26 - its lowest point in history. The Rupee sank due to Bernanke's speech on June 19 when he said
German retail sales data was better-than-expected, which contributes to the recovery in the Europe's biggest economy. The data came after yesterday's unexpected drop in unemployment and increased business and investor confidence. Sales data, adjusted for inflation, increased 0.8% in May from a month earlier, beating experts' expectations of 0.4% rise.
European shares advanced, heading for the largest weekly rise in two months, after the Federal Reserve policy maker said the central bank will maintain low interest rates for a considerable amount of time and Japan's industrial production overshot expectations. The Stoxx Europe 600 Index gained 0.4% to 287.42 and the Standard & Poor's 500 Index futures added 0.5%.
The Sterling remained steady versus the U.S. Dollar as an industry data indicated U.K. consumer confidence rose to the highest level in over two years in June. The Sterling was at $1.5263 and declined 0.2% to 85.60 pence against the Euro. U.K. confidence index jumped to minus 21 and house prices climbed 0.3% in June.
Japanese recovery strengthened in May as macroeconomic data turned out to be positive. Factory output rose 2% from a month earlier, being driven mostly by power companies' demand. Inflation excluding fresh food stayed the same, while consumer prices excluding energy and fresh food dropped 0.4% compared with inflation year earlier. Retail sales increased 1.5% from April.
The Japanese Yen is heading towards a second consecutive week of weakening against the U.S. Dollar and the currency depreciated against 16 of its major peers so far today. The rise in stocks decreased demand for the Yen, which lead it to fall 0.5% and 0.7% against the U.S. Dollar and the Euro respectively. The Asian shares rose as PBoC
Vietnamese central bank devalued the currency and decreased interest rate cap on deposits in dollars in order to increase country's foreign currency holdings and improve the situation of balance of payments. The move came after Vietnam announced that imports were higher than exports by $1.4 billion. The State Bank of Vietnam decreased its reference rate 1% to 21,036 per Dollar.
Hong Kong shares inched up for the third day as slower-than-predicted U.S. economic expansion showed that the record bond purchases may be kept and on speculation the recent fall in the city's stocks has been overdone. The Hang Seng Index advanced 0.5% to 20,440.08 and the Hang Seng China Enterprises Index dropped 0.1% to 9,158.61.
West Texas Intermediate advanced to the highest level in one week after less Americans filed unemployment benefit claims last week and consumer spending recovered in May. The August WTI contract climbed 0.5% to $95.97 per barrel and Brent for August delivery inched up 0.5% to $102.20 per barrel.
Treasuries advanced for the second day on speculation the Federal Reserve won't start the tapering of monetary stimulus soon, after Richmond Fed President Jeffrey Lacker announce that the central back is far from reducing its balance sheet. The 10-year bond yield fell six basis points to 2.48% and the 1.75% bond maturing in May 2023 added 15/32 to 93 21/32.
Asian shares advanced, sending the regional benchmark index towards the largest rise since September, after slower-than-expected U.S. economic expansion fueled speculation the Federal Reserve may refrain from tapering stimulus. The MSCI Asia Pacific Index jumped 1.8% to 128.52. Japanese Topix index added 2.8% and the benchmark Nikkei 225 Stock Average gained 3%.
U.S. shares advanced, with the Standard & Poor's 500 Index rising for the third day, after data indicated consumer spending recovered in May and less Americans filed unemployment claims last week. The S&P 500 jumped 0.6% to 1,612.57. The gauge rose 1% yesterday following slower-than-predicted U.S. economic expansion boosted speculation the Federal Reserve will keep the purchases unchanged.
The Sterling declined to the weakest level in three weeks versus the U.S. Dollar and U.K. bonds advanced after data indicated Britons' disposable income fell the most over 25 years in the first quarter and the GDP matched essential measures. The Sterling plummeted 0.3% to $1.5269 and retreated 0.4% to 85.33 against the Euro.
U.K. shares gained for a third straight day, with the FTSE 100 Index headed for its first one-week advance in more than four weeks, as investors expected U.S. data to improve its economy. The FTSE 100 Index added 0.3% to 6,185.35 as of 8:54 a.m. London time; however, the gauge is still headed for a 6% drop in June. The
Gold and silver gained for the first day out of last four, rising from the lowest level in 34 months, as investors speculated on the Fed's stimulus plans. The yellow metal for immediate delivery jumped 1.5% to $1,244.85 an ounce and traded at $1,241.85 as of 1:59 p.m. Singapore time, after touching $1,222 on Wednesday. Silver rose 1.8% to $18.8435
Unemployment rate in Germany unexpectedly decreased in June, showing signs of recovery in Europe's biggest economy. The number of unemployed people decreased 12,000 and now stands at 12.94 million, while economists expected an increase of 8,000. Jobless rate in Germany is 6.8%. Ifo institute's gauge of business confidence and ZEW's investor expectation index showed an increase.
The U.K. stocks climbed for a third day before the U.S. economic data announcement, which is expected to show increases in personal spending and pending home sales. The FTSE 100 Index rose 0.3% to 6,185.35 poising for 1.2% weekly increase, the first in around a month. The gauge is heading for a 6% drop this month. The FTSE All-Share Index
Swiss stocks increased for the third day in a row, which is the longest period of increases in 5 weeks, as investors are waiting for the U.S. economic data to be released today. The U.S. personal spending data is expected to show 0.3% increase, while index of pending home sales is predicted to climb 1%. The SMI index rose 0.3%
European shares were little changed, after the benchmark Stoxx Europe 600 Index advanced the most for two days in almost a year, as U.S. personal spending report was awaited by investors. The Stoxx 600 slid 0.1% to 284.23 as of 8:34 a.m. London time, while Standard & Poor's 500 Index futures rose 0.1% after the equity-benchmark gained 1% for a
The Eurozone's currency depreciated near the one-month low by slipping below $1.30 as the ECB president Draghi stated that monetary stimulus will remain accommodative. The 17-nation currency fell 0.5% to $1.3012 as of 5 p.m. in New York, touching $1.2985, the lowest level since June 3, while it slid 0.6% to 127.17 Japanese Yen.
Chinese stocks recovered some of its recent heavy loses, which occurred due to the cash crunch last week. Chinese authorities allowed rates to rise and liquidity to tighten and intervened only when investors started worrying about potential financial crisis. However, the rates remain above long-term average. The weighted average of seven-day repurchase agreement rate stands at 6.74%, much higher than