EUR/USD fell to USD 1.2688, as Greeks are reported to head back to polls again next month. Additionally, Greek depositors took out as much as €700 million from their banks on Monday, intensifying risk of a full-scaled bank run and making their financial institutions even more vulnerable to funding stress. Among other currencies, the dollar strengthened versus the Japanese Yen
Facebook increases the share offering by 25% to 421.2M sharesto collect near $16B. At the offering's price of $34-$38 per share Facebook is rushing towards the largest technology IPO in the history.
Stocks of the biggest banks in Japan rose after this year profit forecast was upgraded. Mizuho Financial Group shares gained 0.9% while Sumitomo Mitsui Financial Group advanced by 1%. Meanwhile, shares of Mitsubishi UFJ inched up by 0.6%. The banks stressed an increase in borrowing and larger market share abroad as major factors contributing to expectation for higher profits this
Crude oil prices extended previous losses during Asian trade on Wednesday as political deadlock in Greece continued to dampen investors' sentiment. Moreover, speculation that US stockpiles are likely to have grown last week weighted on the commodity price. Light, sweet crude oil futures for June delivery traded at 93.44 US Dollars per barrel on the New York Mercantile Exchange, falling
US retail sales growth slowed in April while consumer prices stayed unchanged. The retail sales expanded by 0.1% in April on a monthly basis, reported the Commerce Department. At the same time, consumer spending rose by modest 0.2% in April. The weakest sectors comprised gardening equipment and building materials that posted a 1.8% decline.
Gold futures declined during Asian trading hours on Wednesday amid escalating worries over political situation in Greece. Concerns that Greece will be forced to leave the Euro Zone continued to lend support for the gold's traditional hedge, US Dollar. COMEX gold futures for delivery in June traded at 1,540.95 US Dollars per troy ounce on the New York Mercantile Exchange,
Japan's core machine orders contracted by 2.8% in March, beating the expectations for a 3.5% fall. Considering yearly changes, core machine orders dropped by 1.1% in March as compared to a 4.4% increase projected. Meanwhile, core machinery orders are likely to gain 2.5% in Q2 of 2012 as compared to the preceding quarter.
The EU agreed on more rigorous bank rules in an attempt to reduce the risk of financial distress and a need for more bailouts. All EU nations agreed that banks should have more top-quality capital in view of growing uncertainty over the economic state of the region. The rules are expected to become effective in June.
On Monday depositors withdrew € 700 million from the Greek banks, making them heavily dependent on the European Central Bank as the banks seek to meet their funding needs. Total borrowed sum from the European Central Bank accounts for around a half of Greece's GDP. For the past two years deposit withdrawals have made up from € 2 to € 3 billion
Following inflation report published on Tuesday, the Federal Reserve may consider to provide more stimulus to spur the US economic growth. Headline inflation remained unchanged, bringing annual inflation rate at 2.3%, down by 0.4 % a month earlier. One of the main reasons for the inflation decline is decreasing gasoline prices.
Treasure 10-year yield dropped to 1.67% today, the lowest level since the end of September 2011. 1.75% note maturing in 10 years fell USD 1.25 per USD 1000 face value. After report on demand for U.S. securities specialists note that investors are searching for safer investments due to political turmoil in Europe.
Following Pasok party leader Evangelos Venizelos' announcement on new elections in June, euro dropped to its 4-month low of USD 1.2739. Oil futures tumbled by 0.9 percent as the appeal of dollar-denominated oil as an investment deteriorated. Christine Lagarde said that although the IMF hopes that Greece won't leave the currency area, they should be ready for anything.
Gold for June delivery closes low in Commodity exchange division of New York Mercantile Exchange for the third consecutive day. Future contracts lost 0.3% value and settled at USD 1557.10 an ounce. At its lowest, around 10 a.m. New York time, one contract was worth USD 1547 an ounce. Day high was reached almost straight after the exchange opening when one contract was priced at USD 1564 an
Standard & Poor's 500 Index increased to 1342.05 gaining 0.3% from opening. Lennar and KB Home gained at least 4% each after builder confidence index announcement. JPMorgan increased by 3% after confirming that recent USD 2b loss won't effect dividend payments. Groupon jumped 13% after reporting estimate beating profits. Avon lost 11% after Coty cancelled USD 10.7b takeover bid. Home Depot
Greece will call new elections as coalition's talks aimed at forming a new government failed, Evangelos Venizelos from Socialist Pasok party reported . The president of Greece will appoint interim government on Wednesday. Following the news, the Euro tumbled against its US counterpart and EUR/USD traded at 1.2771, falling by 0.55%.
Sugar prices erased some of the previous losses due to eased concerns over ample global supplies. International Sugar Organization reported it expects the global sweetener's surplus to narrow to 3 million tons in 2012-13 season as compared to an oversupply of 6.5 million tons in the current marketing year. Meanwhile, sugar futures for delivery in July traded at 0.2007 US
The Euro Zone reported zero expansion in Q1, signaling that the region managed to avoid recession. Germany was the top-performer reporting a 0.5% expansion while Italy's economy shrank by 0.8% in Q1. Meanwhile, Greece's economy contracted by 6.2% in the period as the county implements rigid austerity measures to decrease the deficit.
U.S. Commerce department announced that growth of business inventories in March was 0.3%; 0.2% lower than expected. Results were lower mainly due to reported inventories for furniture manufacturing and building activities. Inventories are one of main components for GDP calculation and due to March results government will have to lower GDP growth estimations for first quarter down to 2.2%.
Gold prices declined in the early US trade after news that Greek parties failed to agree on new government, implying that the country will call new elections. COMEX gold June contract traded at 1,553.25 US dollars per troy ounce on the New York Mercantile Exchange, falling by 0.5%.
UK trade deficit narrowed to seasonally adjusted 2.7 billion Pounds in March as compared to a February reading of 2.9 billion Pounds, according to the Office for National Statistics. Meanwhile, deficit of goods stood at 8.6 billion Pounds while deficit of services widened to 5.8 billion Pounds in March. The figures indicate the impact of financial crisis in the Euro
April's U.S. consumer price index remained unchanged, but core consumer price index, which excludes more unstable energy and food prices, paired forecasts and was 0.2%. Change in core consumer price index in last 12 months also matched forecasts, index showed 2.3% increase in core prices since March 2011. According to specialists, slowing inflation would support views of some federal officials, that
Empire State Manufacturing Index rose by almost 11 points and reached 17.1 in April. From current indicators, shipments and inventories rose fourfold, to 24 and 4.8 respectfully. Average employee workweek indicator doubled from 6 to 12. Future oriented indicators were mostly positive, but looked less optimistic. General and new orders indicators, both decreased by one third, to 29 and 30 respectfully.
The drop of Australian and New Zealand Dollars which started in December 2011 was caused by the spill-overs of negative sentiments and high risk aversion as the Eurozone debt crisis stayed unresolved. Since technical indicators pointed that the recent fall in South Pacific dollars was excessive, the traders have revised their valuation of these currencies up. Earlier today Australian dollar
Facebook has increased its floating price to a range between 34 and 38 US Dollars from a range between 28 and 35 US Dollars, citing stronger demand for its shares. The company's value is estimated at above 100 billion US Dollars, implying that Facebook worth more than Ford, Disney and Kraft Foods. The company plans to start selling its shares