The Japanese Yen advanced versus most of its major counterparts as demand for refuge assets was fueled by fall in Chinese stocks for six days in a row. The Japan's currency climbed 0.3% to 97.52 against the U.S. Dollar and jumped 0.3% to 127.49 versus the 17-nation currency, adding to signs the Yen has declined 7% this year.
The PBOC announced it would ensure the stability in the money market, the first public announcement of its determination to ease the crunch after it occurred last week. The reluctance to intervene resulted in CSI 300 Index entering bear market on June 24. The Shanghai Composite Index fell 0.2% at the end of the day after dropping 5.8%.
Indian bond prices dropped, sending yields to the highest level in six weeks amid speculations that the weaker Rupee will limit central bank's ability to cut rates further, which now stand at 7.25%. The currency decreased 0.2% as investors bought the U.S. Dollar after data indicated positive outlook for the economy. The yield increased 0.23 percentage points so far this
Palm oil prices declined to the lowest point in three weeks amid speculations that China's economic growth might slow down. China is the second largest palm buyer after India. The selling was triggered by a credit crunch, which resulted in interbank rates rising to record high last week. September delivery contract lost 1.3% and trades at $745 a metric ton.
The Philippine Stock Exchange Index jumped 5% so far today after plummeting around 20% as of yesterday since the gauge reached its highest value on May 15; the drop resulted in $65 billion of lost shares value. The index currently stands at 6,075.67. It stood at 16.1 times earning of 12 months, the lowest value since it reached 20.8 times
Refined sugar advanced to the highest level in three months in London amid bets on limited supplies that may be delivered to the NYSE Liffe when the August contract expires in July, while coffee climbed. The August white sugar contracts increased 1.3% to $517.50 per ton. Raw sugar for settlement in October inched up 0.8% to 17.28 cents per pound.
Spanish and Italian bonds gained for the first time in four days on bets the ECB will keep its monetary policy even though U.S. talked about winding down its stimulus. Spanish 10-year yields fell 10 basis points to 5.02% as of 10:56 a.m. in London, after reaching 5.13%, the highest in approximately three months, while similar-maturity Italian bonds dropped five
Oil advanced to $102 per barrel on Tuesday, recovering from the lowest level in three weeks, as investors fears about a cash crunch in China and as Canadian pipeline closure threatened overseas sales to the United States. Brent crude rallied to $101.80 per barrel, following a decline to the lowest level in three weeks of $99.67 yesterday. U.S. oil jumped
Chinese shares dropped, extending their fall into a bear market on worries that the increased money-market rates will negatively impact China's economy. The Shanghai Composite Index slipped 1% to 1,942.99 at 10:14 a.m. Shanghai time and the CSI 300 slid 1.5% to 2,171.21. These equity-benchmarks had their biggest declines on Monday since August 2009. The Hang Seng China Enterprises Index
European shares jumped from the weakest level in six months and U.S. equity-index futures rallied ahead of data that may signal that America's economy is recovering. Bonds advanced and metals inched up. The Stoxx Europe 600 Index rose 1.3% to 279.36 and the Standard & Poor''s 500 Index futures soared 0.6%.
U.S. shares futures gained, indicating the Standard & Poor's 500 Index will bounce off the lowest level in nine weeks, as the China's central bank will hold money-market rates at normal levels. S&P 500 futures expiring in September added 0.5% to 1,573.7 as of 10:36 a.m. London time, after a 2.1% slide previous week.
Shares in Switzerland gained, bouncing off the biggest selloff for three straight days in almost two years, after two of Fed's presidents stated that U.S. policy still is accommodative. The Swiss Market Index advanced 1% to 7,324.36 as of 10:59 a.m. Zurich time; the equity-benchmark had fallen 6.2% in the last three trading days, while the Swiss Performance Index added
U.K. shares advance, bouncing off the biggest four-day fall in more than a year and a half, as U.S. housing data are awaited and on China's cash crunch worries. The benchmark FTSE 100 Index added 0.5% to 6,060.31 as of 8:57 a.m. London time, recovering from a 5.4% drop in the last four days; moreover, the equity benchmark is headed
German shares gained, bouncing off the lowest level in eight weeks, ahead of U.S. housing and durable goods orders reports. The DAX added 0.9% to 7,764.08 as of 9:43 a.m. in Frankfurt, recovering from the lowest level in two months; however, the gauge declined 4.2% previous week, reversing its advance for the quarter. The HDAX Index gained 1.1% today.
Asian shares slid on worries that China's cash crunch could hurt its economy. The MSCI Asia Pacific Index declined 0.5% to 125.19 at 4:24 p.m. Tokyo time, erasing gains of 0.5%, while China's CSI 300 Index slipped 0.3%, prolonging 5-day losses. Japan's Topix fell 1%, while the Nikkei 225 Stock Average dropped 0.7%.
The Aussie Dollar volatility almost reached the highest level in 18 months as the China's cash crunch increased demand for riskier and higher-yielding assets. The Australian Dollar gained 0.1% to 92.55 U.S. cents at 5 p.m. Sydney time, after falling by 0.6%. The Kiwi traded at 77.48 U.S. cents from Monday, when it reached 76.84, the lowest since June 2012.
The Sterling rallied for the second day versus the U.S. Dollar before the Debt Management Office sells U.K. government gilts expiring in 2068 via banks. Sterling advanced 0.1% to $1.5454, following a decline to $1.5344 yesterday, the weakest level since June 5. The Pound was trading at 85.07 against the common currency.
Gold was trading near its lowest levels in two years as investors weighed the outlook of tapered monetary stimulus by the Federal Reserve and slowing growth in China. Gold for August settlement advanced 0.9% to $1,287.90 per ounce, ahead of trading at $1,277.80. Cash bullion declined 0.4% to $1,276.73 per ounce.
German 10-year bunds advanced, after declining for four days in a row, following a concern the credit squeeze in China will dampen economic growth, fueling demand for haven assets. German 10-year bond yield declined three basis points to 1.78% and the 1.5% note maturing in May 2023 jumped 0.24 to 97.445.
European stock futures advanced ahead of data that may indicate U.S. durable goods orders and sales of new homes jumped in May. U.S. index futures remained steady, while Asian stocks retreated. Futures for the Euro Stoxx 50 Index maturing in September advanced 0.4% to 2,520. The equity gauge is set for a decline in Jun of 8.4%, the largest monthly
The Canada's currency depreciated above C$1.05 against the U.S. currency to touch its weakest level in about two years amid speculation the U.S. Dollar will appreciate when the Federal Reserve tapers bond purchases. The Canadian Dollar declined 0.4% to C$1.0501 versus the greenback, following a fall to the weakest level since October 5, 2011.
The Japanese Yen appreciated from the weakest level in two weeks against the Dollar after Asian shares declined for the second day on worries that elevated money-market rates in China will dampen economic expansion, supporting demand for refuge assets. The Yen jumped 0.3% to 97.40 against the U.S. Dollar and rose 0.4% to 127.73 versus the Euro.
Gold and silver recovered from their lowest levels in over two years amid bets the decline may boost purchases. Gold for immediate settlement jumped 0.8% to $1,295.60 and the August Bullion contracts gained 0.6% to $1,293.60. Silver for immediate settlement climbed 0.5% to $19.8022 per ounce following a decline to $19.3993.
Gold gained from near to three-year low on bets that the drop may boost purchases; however, the yellow metal is still headed for its weakest week in almost 10 months. The bullion slipped 4.9% on Thursday; a day after the Fed's Bernanke said that U.S. central bank's monetary stimulus could be slowed down this year. Bullion prices touched $1,269.46 an