U.K. government gilts remained flat after decreasing for four days in a row, ahead of data economists predicted will indicated jobless claims in the U.K. slipped for the seventh month in May. Benchmark 10-year bond yields were at four-month high ahead of the U.K. auctions 2.25 billion pounds worth of notes maturing in 2023.
European shares remained steady after investors await the outlook for prolonging the central bank stimulus programme. Asian stocks fell, while U.S. futures advanced. The benchmark Stoxx Europe 600 Index declined about 0.1% to 291.67. Inditex AS retreated 1.9% as the world's largest clothing retailer posted profit that missed analysts estimates.
Japan's Topix index reversed losses at the close after sliding earlier as the Japanese currency gained overnight. The Topix declined 0.4% to 1,096.54 at the end of the session in Tokyo; the index earlier slipped 2.6% as the Yen appreciated by the most in 36 months. The Nikkei 225 Stock Average fell 0.2% to 13,289.32, making it the best performer
The U.S. currency fell versus the Japanese Yen on Wednesday as dropping the most in three years on the previous session when investors withdraw risky Yen bets after the BOJ held back from changing the policy to damp bond market volatility. The greenback advanced 0.8% to 96.77 versus the Japanese currency and the 17-nation currency also rose 0.7% to 128.76
U.S. shares declined, sending the S&P's 500 Index for second straight retreat, after Japan's central bank's Haruhiko Kuroda left stimulus unchanged. The Standard & Poor's 500 slipped 1% to 1,626.13 as of 4 p.m. New York time, while the Dow Jones Industrial Average slid 116.57 points, or 0.8%, to 15,122.02. Approximately 6.4 billion stocks were traded.
The Sterling was little changed versus the greenback and the Eurozone's currency before a report that is expected to show that unemployment rate has fallen for seventh straight month in May. The British currency was at $1.5667 at 7:49 a.m. in London after reaching $1.5684 on June 6, while the Pound traded at 84.96 pence per Euro.
The Aussie stopped a three-day decline and recovered from near a three-year low on sign that it has been oversold. The Australia's currency added 0.2% to 94.50 U.S. cents at 2:33 p.m. Sydney time from Tuesday, when it reached 93.26, near the three-year low, while the New Zealand's currency gained 0.1% to 78.80 U.S cents.
The Europe's shared currency traded less than 0.1% from almost a four month high on the speculations the ECB may cut the interest rates. The 17-nation currency was at $1.3308 at 1:28 p.m. in Tokyo after reaching $1.3318 on Tuesday, while the Eurozone's currency added 0.3% touching 128.28 Yen, after declining 2.4% day earlier.
U.K. industrial output advanced more-than-expected in April amid rallied output at oil and water businesses. Manufacturing declined following a rise in February and March. Production at factories, utilities and mines climbed 0.1% from March. The U.K. economy is expected to grow and recover and the industrial output report signals the sector will show improvement signs in the second quarter.
European shares dropped to the lowest level in seven weeks after the Bank of Japan decided to keep the stimulus unchanged and Treasury yields advanced. U.S. index futures and Asian stocks also fell. The Stoxx Europe 600 Index declined 1.6% to 290.5 and the S&P 500 Index futures retreated 0.8%. The yield on the benchmark 10-year Treasury notes rose to
Euro area government bonds declined across the board after investors were concerned that the Fed will scale back its stimulus, that has kept financial markets on float, in coming months. The German bond futures plummeted to 142.43, prolonging Monday's losses and reaching the lowest level since March. Germany's 10-year bond yields were at 1.58%
German shares retreated, ending two-day streak of gains, as Germany's court started hearings on the ECB's bond-buying plan. The DAX Index slipped 0.7% to 8.247.18 as of 9:43 a.m. Frankfurt time, following 0.6% jump on Monday as the Japan's economic growth topped the expectations. The HDAX Index also dropped 0.7% today.
U.S. shares slid, after the biggest Standard & Poor's 500 two-day gain since the beginning of the year, as investors speculated on S&P's move to increase its outlook for U.S. The S&P 500 declined less than 0.1% to 1,642.81 as of 4 p.m. New York time, after adding 0.3% earlier, while the Dow Jones Industrial Average slid 0.1% to 15,238.59.
U.K. Government gilts dropped for the fourth day, sending 10-year yields to a three-month high, ahead of the sale of the new benchmark notes at an auction. The DMO is determined to sell 3.75 billion pounds of 2.25% securities due in September 2023, ahead of auctioning 2.25 billion pounds worth of bonds maturing in June 2023 on June 13.
Oil futures continued to decrease in electronic trade on Tuesday before the key energy predictions posted later today. U.S. benchmark crude for July delivery fell to $95.65 a barrel, prolonging the 0.3% loss on Monday which moved the futures under the $96 mark. The July gasoline contracts increased 0.7% to $2.88 per gallon and heating oil for July settlement remained
The U.S. currency dropped on Tuesday, with the Japanese Yen advancing as the Bank of Japan did not offer any changes in its monetary policy. The greenback retreated from ¥98.69 to ¥97.94 quickly after the BOJ decision, adding to signs the Dollar is still up over 13% versus the Japanese Yen. The Australian currency also fell to 94.25 cents against
Gold almost reached a two-week low on investor speculations the Fed may reduce stimulus as Standard & Poor's revised U.S. economy's outlook to stable. The yellow metal for immediate delivery dropped 0.2% to $1,383.97 an ounce as of 9:31 a.m. Singapore time, the prices fell to $1,375.95 on Monday, reaching the lowest level since May 28.
The Sterling was little changed versus the greenback before a report that is expected to show that U.K. manufacturing production fell in April for the first time in nine weeks. The British Pound traded at $1.5584 as of 7:38 a.m. in London, it reached $1.5684 on June 6, the highest in four months, while it was trading at 85.18 pence
Treasury 10-year bonds dropped for the third day after borrowing costs rose globally amid bets the Federal Reserve and other central banks may cut their bond purchases. The benchmark 10-year yield advanced two basis points to 2.23 %. The 1.75% security maturing in May 2023 declined $1.88 per $1,000 par value to 95 3/4.
European shares slid as the Japan's central bank kept the policy unchanged and Germany's court started a hearing on the ECB's bond-buying plan. The Stoxx Europe 600 Index declined 0.5% to 293.77 as of 8:04 a.m. London time. The index has fallen 5.4% since May 22 on the worries that the Fed will scale back stimulus if U.S. economy grows.
The U.S. currency declined versus the Japanese Yen and Japan's shares soared as the Bank of Japan decided to maintain the policy unchanged, while Asian stocks reached the lowest level in 2013 on concerns over weak China's growth and extended uncertainty amid when the Fed will taper its stimulus.
The Loonie appreciated versus the most of the major peers after new-home construction rose the most in more than 12 months in May. The Canada's currency traded at C$1.0194 per U.S. Dollar as of 5 p.m. Toronto time. The Canada's Dollar is above its 50-day average of C$1.0205 per U.S. Dollar and below the 100-day average of C$1.0174.
The Rupee dropped to the record low due to widening current account deficit, which now stands at 6.7% of GDP. Depreciating currency removes pressure from the central bank to cut rates further next week. Weakening Rupee might increase inflation risk and foreign debt servicing costs as it slid 1.8% yesterday and another 1% today to 58.6675 per U.S. Dollar.
Asian shares fell today after the BoJ announced no changes in its policy stance, bucking experts' forecasts. The MSCI Asia Index slid 0.7% so far today after rising 1.1% yesterday. The Hang Seng China Enterprises Index shrank 1.5% today, leaning towards a loss for a tenth consecutive day – the longest losing period in 17 years, while Japanese Topix index