Australian quarterly PPI data was released today by the Australian Bureau of Statistics, and the latest reading (+0.5%) beat the forecast of 0.3% growth amid the previous quarter's slump of -0.3%. On overall, the reading makes up a 1.1% PPI growth through the 2012. The main contributors of the rise were agriculture (10.9%), oil refining (4.3%). Meanwhile, the growth was held back
Italian stocks are set for a historically low close due to European stock sell-off caused by re-emergence of Greek euro-exit talks and turmoil in Spanish banking sector. FTSE MIB (Milan) has lost 4.16% since the opening bell, driven by finance equities. Intensa SpA has lost 8.96% and UniCredit SpA - 4.76%, being the biggest contributors to the slump. Meanwhile, EUR/USD
World's second biggest economy is set to slowing growth in Q3, as a Central bank adviser forecasts a 7.4% growth this quarter. S. Guoqing, a member of PBC monetary committee, expressed worries that the sliding consumer and producer prices may potentially harm ROI of production companies, thus reducing the inflow of FDI in future. The economy grew 7.6% in Q2, while Beijing holds
Spain's central bank announced that countries GDP dropped 0.4% in the quarter ending June after contracting by 0.3% in the first quarter. GDP decreased by 1% in comparison to the same quarter last year. Domestic demand fell by 1.2% in the recent quarter and by 0.5% in the first quarter this year. Last week Mariano Rajoy announced fourth round of tax increase and
The U.K.GDP decreased 0.2%, indicating the U.K. economy contraction for three quarters in a row, as double-deep recession intensifies. The BOE expanded its bond-purchase programme this month and implemented measures to prop up lending. The IMF said that the recovery halted, thus the government may require easing its budget cut in case the central bank's efforts do not revive the
Greece's government plans to implement new cost-saving measures and is seeking budget cuts amounting billions of euros. Current aid agreement requires Greece to cut its budget by 11.5 billion euros. Later this week representatives from Troika will visit Athens in order to assess budget reducing progress.
European shares slid and the common currency declined to two-year low after 2 Spanish regions said that they would require financial aid, sparking fears that the country will seek a full-scale bailout. 10-year Spanish government bonds reached a euro-era high of 7.55%, while the Euro fell to $1.2095. The FTSE Eurofirst 300 index opened down 0.8%, whereas Brent declined more
American stocks dropped on Friday after a three-day rally on concerns about Spain's ability to repay government's debt, moreover, General Electric posted its quarterly report with earnings below the forecasts. The Dow Jones Index tumbled 0.54 per cent, to 12,873.51, the S&P 500 Index declined by 0.57 per cent, to 1,368.65, and the Nasdaq Composite Index dropped 0.62 per cent, to 2,947.57. Despite today's downfall
On Friday, July 20, oil dropped to a $106 level per barrel as the greenback rallied on hopes of another quantitative easing in the U.S and as tension in the Iran is getting worse. Brent crude tumbled $1.58 at $106.22 per barrel, while oil futures for August delivery declined $1.47 cents to $91.19 per barrel.
As Canadian fundamentals deteriorated, stocks turned red. Nation's CPI declined 0.2 per cent in June, while inflation rate jumped 1.6 per cent in the same month. Moreover, the U.S. dollar advanced versus the loonie on Friday, and jumped 0.37 per cent to C$1.0113. The S&P/TSX Index dropped 0.5 per cent, to 11,608, metals and mining stocks also declined by 2.3 per cent, and the information
On Friday, July 20, gold futures for August settlement tumbled 0.1 per cent, to $1,578.50 per ounce as the greenback rocketed. The depreciation of precious metal was also boosted by increased Spain's 10-year borrowing costs above 7 per cent level, as well as U.S. markets trading lower. On the top of that, the single currency weakened versus the U.S. dollar to $1.2187, pushing gold lower,
The number of sold new private homes in Singapore extended dip already for the second month, falling 19.4 per cent to 1,372 units in June, compared to a 31.6 per cent decline in the previous month. Still, according to Alan Cheong, a head of research department at Savills Singapore, the property market remains resilient, as the decline in sales won't have an effect on property
Eurozone's finance ministers finally approved 100 billion euros financial package for Spanish banking system. The loans for Spanish banks will be avaliable through the Spanish government's bank-rescue fund, with a medium maturity of 12.5 years. The bank rescue plan was approved soon after Spanish government agreed to cut is banking sector and to reduce public spending. The yields on Spain's 10-year bonds jumped to 7.23 per
UK fiscal goals for the year, set by George Osborne, Chancellor of the Exchequer, might not be met in 2012. Office for National Statistics presented readings on British budget deficit on Friday, July 20. Budget gap rose by GBP 0.5 billion in comparison with 2011 and now amounts to GBP 14.4 billion, whereas the forecast was by GBP 1 billion less. At the same
According to the Brazil's statistics agency, nation's inflation rate surprisingly jumped in July. Consumer price index increased by 0.33 per cent, reaching ten-month high at 5.24 per cent. Meanwhile, Brazil's economy is developing at a lower pace than it was previously expected, with GDP growth by 0.8 per cent during the first quarter of this year, and with nation's central bank economists forecast of only 1.9
Drop of net income of half of 760 listed Chinese companies may pressure Premier Wen Jiabao and the government to lower corporate taxes. In order to stop the second largest world economy from losing pace of expansion the government has to implement more measures on top of boosting investment and monetary stimulus, according to a senior economist at Credit Agricole,
As demand for Spanish bonds weakened and interest rates jumped to a crisis-peak-time high of 6.46%, Spain already has cut public salaries by 7% and raised VAT up to 21%. Leader of the Socialist Party Alfredo Rubalcaba claimed Spain might loose up to 600 000 jobs next year and unemployment could reach 32%. Moreover, Cristobal Montoro, treasury minister, proposed second VAT rise in the future in order
Ahead of the decision regarding the Spanish bailout, the German government bonds are getting stronger. The interest rates for the two-year bonds are still negative at minus 0.048%, while the yield for the ten year notes rose by 0.01%.
The Canadian Dollar appreciated against its U.S. counterpart, reaching a two-month high. Previously, the Federal Reserve disclosed information with respect to plans to boost U.S. economy, thus spurring demand for risky assets. Moreover, Canadian gross sales exceeded forecasts in May. The Loonie gained 0.3% to CAD 1.0074 per one unit USD on Thursday, July 19, in Toronto. However, the Australian Dollar keeps gaining value
After writing down Aquantive (USD 6.2 billion), Microsoft faced a loss of USD 492 million for the past three months. The company has not registered any losses since 1986, when it first entered the stock market. It purchased Aquantive in 2007 for USD 6.3 billion, but targeted profits were not reached.
Thursday's, July 19, rise in Spanish borrowing costs caused immediate depreciation of the Euro. On Friday morning, July 20, European currency fell 0.2% against the US Dollar to USD 1.2252 per EUR. Loss in value versus the Yen also amounted to 0.2% leading to trading rate of JPY 96.30. In general, this week, the Euro fell 0.7% against the Japanese national currency and was little changed
Manufacturing in Philadelphia declined for a third month in a row, as the outlook for new orders declined and the unemployment rate jumped. Philadelphia's general economic index dropped to minus 12.9 in July compared to a 16.6 in a previous month. The deterioration can be explained by the external factors, as worsening Eurozone's debt crisis, slowdown in China's and Brazil's economies, as well as by
The world's third-largest economy is still expected to develop faster than its developed nations during this year, but slower than it was foreseen in June. The growth forecast was slashed by 0.1 per cent to 2.2 per cent, while the GDP seen to slow down to 1.5 per cent. Meanwhile, the industrial output to grow 3.6 per cent in this year and 3.2 in the
On Wednesday, July 18, an unexpected decline in U.K.'s unemployment rate boosted markets higher. The FTSE 100 index advanced 1.01 per cent to 5,685.77 and British pound strengthened versus the single currency 0.17 per cent to 0.7839. Meanwhile, the boost was supported by the increase of Fresnillo PLC shares by 1.56 per cent, BHP Billiton rose 2.02 per cent and Rio Tinto PLC also increased