Hong Kong stocks ended the week on the negative note after the PBOC announced that it will continue its prudent monetary policy. Negative headlines from the Eurozone and US also weighed on China's stocks. Hang Seng Index edged down by 0.12% to end the session at 19,666.18. Consumer services and basic materials were the top-performing sectors in the index. Sands
Rural commodities plunged on Thursday as improving weather in the US and Brazil boosted supply prospects. From the demand side, disappointing outcome from the ECB meeting weighted down on potential consumption. Wheat declined for the third consecutive day as the US government may suspend alternative fuel-mandate after severe drought in the US. Corn tumbled as changes in the US ethanol-fuel mandate
Japanese equities slid further on Friday as hopes for monetary easing in the US and Europe faded. Moreover, news that China will stick to its prudent monetary policy sent Japan's stocks lower. Nikkei 225 Index plunged 1.13% to end the week at 8,555.11. On the upside were oil and gas companies as well as consumer services. Inpex and JX Holdings
Energy commodities closed lower on Thursday as the ECB did not offer easing measures to tackle spreading debt crisis in Eurozone. However, persistent geopolitical tensions and tight supplies from North Sea limited the downswing. Crude oil lost 2% as disappointing ECB announcement forced market players to switch to safe-haven assets. Brent oil was flat as continuous supply uncertainties offset lingering demand concerns. Natural
US blue chips index ended Thursday in red territory as the ECB decision not to loosen its policy at the moment disappointed market players. Meanwhile, mixed news from the US also impacted US equities. US employment claims dropped more than expected last week while factory orders posted an unexpected contraction in July. Dow Jones Industrial Average Index lost 0.71% to
Industry metals tumbled on Thursday after the ECB postponed easing measures by several weeks. Pushing base metals lower, US factory orders unexpectedly shrank 0.5% in June. Stronger greenback also sent the commodity group lower. Aluminum dropped on weak PMI data and high output levels from China. Meanwhile, lingering concerns over the Eurozone' debt crisis continued to pressurize gains. Copper fell on potential
US stocks plunged on Thursday after the ECB did not offer concrete steps to combat debt crisis in the Eurozone. Adding pressure on US equities, the Fed refrained from stimulus measures on Wednesday. An unexpected drop in the US factory orders also weighed on stocks. S&P 500 closed 0.74% lower at 1,365. Nine out of ten sectors included in the
Precious metals prolonged slump on Thursday on broadly stronger US Dollar and weak global equities. Moreover, investors started to reduce their holdings in precious metals after the ECB refrained from additional easing measures at the moment. Gold dived under one-week low on lack of additional stimulus from the Fed, ECB and BoE. Meanwhile, traders are cautious ahead of US non-farm payrolls
On Friday, gold advanced first time in five days in London amid speculation investors will start purchasing after gold's worst time in six weeks. Immediate-delivery futures gained 0.3% to $1,593.75 per ounce. December-delivery bullion increased 0.4% to $1,596.60, while bullion tumbled to $1,584.08 per ounce, the lowest level since July 25.
Wall Street fell on Thursday as the ECB announced no plan of action to address Eurozone's debt crisis. The Dow Jones Industrial Index dropped 0.7 per cent, to 12,886.52; the S&P 500 Index tumbled 0.7%, to 1,366.50, and the Nasdaq Composite declined by 0.1 per cent, to 2,917.17. Meanwhile, the ECB is planning to cooperate with governments in bond-purchasing program in order to stimulate Eurozone's economy,
Mario Draghi disappointed markets by providing no action plan to save the Euro, what caused the depreciation of oil on Thursday. Crude oil with September contract fell by 2 per cent, to $87.12 per barrel, before it was stuck for movement in anticipation of ECB's meeting. European leaders failed to meet expectations of markets, after pledging their commitment to protect the Eurozone.
During today's press conference, the ECB's president Mario Draghi, claimed ECB's readiness to resume bond purchasing program as soon as Eurozone's governments will activate bailout funds. The European Central Bank already acquired bonds at a total value of 210 billion euros, but it had a limited impact. At the same time, the ECB left the benchmark interest rate unchanged, at a record low of 0.75
On Thursday, August 2, gold futures fell sharply as the ECB disappointed trader's expectations for bold actions in order to curb Eurozone's debt crisis. Gold futures with the October contract erased 0.79 per cent to $1,592.65 per troy ounce during today's New York trading session. September Silver and September copper also declined, by 1.22 per cent and 1.50 per cent respectively.
More Americans filed applications for jobless benefits last week, the Labor Department reported on Thursday. Initial claims jumped by 8,000 to a 365,000 during the previous week. The department also reported that the number of people already receiving unemployment benefits declined by 19,000 to a 3.27 million people, in the week ended July 21. Meanwhile, monthly employment is growing too slowly in order to lower
The Markit PMI for Britain's services sector unexpectedly slipped to 51.0 last month from 51.3 in June, showing the weakest reading since December 2010 and getting critically close to 50, which marks line that separates expansion from contraction. U.K.'s economy dropped 0.7% in the second quarter of the year, prolonging recession that began late 2011.
New Zealand's currency rose against most of its counterparts after S&P said nation's outlook is stable and affirmed its credit rating. S&P noted New Zealand's flexible economy, fiscal resilience and policy institutions favourable for immediate and decisive policy reform. The kiwi gained 0.4% to 81.32 U.S. cents as well as 0.4% to 63.64 Yen.
The Russian currency declined for a third day and Russia's government debt yields gained after central banks in the U.S., Europe and China failed to introduce immediate policies to support global economy. The Ruble fell 0.2% to 32.55 per Dollar, the currency also weakened 0.2% to 39.677 per Euro. Brent crude advanced to $106.50 per barrel.
Australian and Japanese stock futures declined after the ECB President Mario Draghi failed to convince investors on decisive actions to prop up growth. Increasing Spanish borrowing costs escalated concern over the Eurozone debt crisis as well. Futures on Nikkei 225 Stock Average closed at 8,565 down from 8,630, while futures on S&P/ASX 200 Index lost 0.7%.
German government bonds dropped before a report that is expected to show Eurozone retail sales tumbled in June, boosting concern that the debt crisis stagnates economic recovery. On Friday, the two-year bond yields rose to -0.07%, after touching a record low of -0.097 yesterday. The 10-year note yield advanced to 1.26%.
China's non-manufacturing index slipped to 55.6 from 56.7 in June, as reported by National Bureau of Statistics in Beijing on Friday. The report shows that the decline in China's industrial production and exports may be expanding to services adding weight on Premier Wen Jiabo to find new policies to ease the slowdown.
Spain's service sector activity advanced unexpectedly in June, industry data posted on Friday. Markit Financial Information Services reported that Spain's services PMI increased to a seasonally-adjusted 43.7% last month, from 43.4% in June. The rise exceeded analysts' expectations of decline to 43.0%.
On Friday, Chinese authorities, trying to stop a 14% drop in the nation's stock market, diminished transaction payment on equities trading by 20%. The China Security Regulatory Commission reported that the effect of reduction will be seen Sept. 1 and investors will save 600 million Yuan ($94 million) on transaction fees in the last quarter of the year.
On Friday, National Institute of Economic and Social Research reported that the British economy will tumble 0.5% this year, resulting in miss of George Osborne's budget-deficit target. Osborne will acquire 12.5 billion Pound ($19.5 billion) loan, which is more than projected in the year till March 2013, Niesr announced.
U.S. treasuries continued to top-perform among world's bonds over three straight month before U.S. jobs data, which is expected to show an unemployment rate stagnation at 8.2%. 10-year and longer government securities regained 9.8% in the period, the rise was the biggest among 144 bond indexes. Average 10-year yields were 1.47%, after a record low of 1.38% on July 25.