- Analytics
- News and Tools
- Market News
CFD Markets News and Forecasts — 05-11-2012
The euro fell to its lowest level in almost eight weeks against the dollar on worries that Greece might leave the euro zone, if the parliament does not approve a new round of austerity measures in a vote on November 7. Greek parliament has for the package of measures to reduce costs, increase tax and other reforms in the amount of 13 billion euros. If the measures and the budget for 2013 are approved, Greece will be able to get help from the European Union and the International Monetary Fund.
The dollar index rose 0.2% to 80.78, registering growth of the third day in a row, before tomorrow's U.S. presidential election.
The dollar rose against most of its 16 major counterparts on speculation that the winner of the presidential election this week is promoting a plan to reduce the deficit of the country.
The pound fell for a second day against the dollar after a report showed that the PMI index in the services sector declined significantly in October, raising concerns about the sustainability of recovery, which was noted in the third quarter. According to the study index purchasing managers in the services sector fell in October to the level of 50.6 from 52.2 in September, registering with the lowest value in the last 22 months. But, despite this, the figure is still above 50, that indicates expansion in the sector. Also, the fall of the currency was due to expectations of market participants the two-day meeting of the Bank of England, which will discuss the measures of monetary stimulus.
The Canadian dollar fell from almost one-week high, as the appetite for risk among investors began to wane on fears that Greece will strive to obtain the next tranche of aid from the eurozone. Note also that the published data from the U.S., which is the largest trading partner of Canada, showed that the index of business activity in the services sector fell in October to the level of 54.2 from 55.1 in September. At the same time, economists predicted that the figure will drop to the level of 54.5.
European stocks dropped by the most in two weeks after HSBC Holdings Plc (HSBA) and CGGVeritas reported earnings that disappointed investors and amid concern that Greece will struggle to get further aid.
HSBC lost 1.3 percent as Europe’s largest bank by value also said it will likely face criminal charges from U.S. anti- money laundering probes. CGGVeritas retreated 3.1 percent after third-quarter profit missed analyst estimates. PostNL (PNL) sank 11 percent after saying full-year earnings will be at the bottom half of forecasts and on concern the proposed sale of TNT Express NV (TNTE) may be held up by regulators.
The Stoxx Europe 600 Index fell 0.6 percent to 273.21 at the close of trading, its lowest level since Oct. 23.
Investors also await the outcome of tomorrow’s U.S. election between President Barack Obama and Republican challenger Mitt Romney.
National benchmark indexes declined in 15 of the 18 western European (SXXP) markets.
FTSE 100 5,841.98 -26.57 -0.45% CAC 40 3,452.99 -39.47 -1.13% DAX 7,327.32 -36.53 -0.50%
HSBC fell 1.3 percent to 618 pence in London, the biggest drop since Sept. 26, after reporting third-quarter underlying pretax profit of $5.04 billion, missing the $5.6 billion median estimate of analysts. The lender also said it’s likely to face criminal charges over allegations it broke U.S. anti-money laundering rules and that it set aside a further $800 million to cover the costs of the probe. The bank made a $700 million provision in July after a Senate committee found it had given terrorists and drug cartels access to the U.S. financial system.
CGGVeritas (GA), the world’s largest surveyor of oilfields, lost 3.1 percent to 24.51 euros after the company reported third- quarter net profit of $48 million, missing analyst estimates for $68 million. The shares fell even as the company confirmed its 2012 targets.
PostNL sank 11 percent to 2.77 euros, its lowest price in almost seven months, after the Dutch mail service company said full-year underlying cash operating income would be in the bottom half of a forecast of between 110 million euros ($140 million) and 160 million euros. The shares fell even as the company narrowed its third-quarter loss to 154 million euros.
Ryanair Holdings Plc (RYA) surged 5.8 percent to 4.81 euros in Dublin after Europe’s biggest discount airline reported a 23 percent jump in second-quarter net profit to 496.8 million euros.
The carrier also said annual earnings will be in the range of 490 million euros to 520 million euros.
Weir Group Plc (WEIR) advanced 4.5 percent to 1,831 pence. The world’s largest provider of pumps to mining companies predicted profit will grow at a double-digit pace this year and that net debt will fall by the end of December.
Oil prices continue to oscillates around four because the Americans are preparing for tomorrow's presidential election.
As market participants' attention was riveted to the statement today, Prime Minister of Greece, Antonis Samaras, who said that the country could be forced to leave the eurozone if parliament does not approve a new package of austerity measures on the ballot Nov. 7. Greek Parliament must vote for or against a package of spending cuts, tax increases and other reforms in the amount of 13 billion euros. If the measures and the budget for 2013 are approved, Greece will be able to get help from the European Union and the International Monetary Fund. Recall that the vote on the budget for 2013 is scheduled for November 11.
Note also that, according to the Commission on the Commodity Futures Trading hedge fund managers and other large speculators reduced their "long" positions in oil up to the lowest level in nearly five months in the week ended October 30.
December futures price of U.S. light crude oil WTI (Light Sweet Crude Oil) rose to 85.05 dollars a barrel on the New York Mercantile Exchange.
December futures price for North Sea petroleum mix of mark Brent rose 20 cents to 105.76 dollars a barrel on the London Stock Exchange ICE Futures Europe.
Today, gold prices updated Friday's low, but despite this managed to recover from the 9-week low as the focus of the market now in the U.S. election.
At the same time, a significant increase in the price of the precious metal was restricted weak stock markets and the appreciation of the dollar.
Note that the outcome of the U.S. elections are important because Barack Obama favorably consider continuing the program of incentives, while Republican rival Mitt Romney is expected to act not in favor of further easing. Team Romney is skeptical of such a policy, and is unlikely to re-appoint the head of the Federal Reserve Ben Bernanke for a third term in 2014.
At the same time, Obama's victory will lead to a further increase in gold prices, which is caused by expansionary measures.
In addition to monetary policy, elections have consequences for financial failure in the U.S., which is based on reducing the cost of $ 600 billion and tax increases on January 1.
December futures price of gold on COMEX today rose to 1683.30 dollars per ounce.
The euro remains stable after the data reported a decline of purchasing managers' index for the non-production sphere slightly below the forecast of U.S. economists. The index fell in October to 54.2, while the predicted decline to 54.5. However, were slightly lower than the forecast value has had little impact on the markets.
Markets expect tomorrow's U.S. presidential election, and the ECB's monetary policy Thursday (predict keep rates at 0.75%).
USD / CAD rose to 0.9977 after data showed that in September, the number of building permits in Canada fell by 13.2% against the forecast of -3.0% and 9.5% in August.
U.S. stock futures were little changed as Americans prepared to vote in presidential elections and on concern Greece will struggle to win a bailout.
Shares of Apple Inc. (AAPL) rose as it sold 3 million units of its iPad mini and fourth-generation iPad during the debut weekend. Company has said that demand for the smaller version of its tablet outstripped supply.
Global Stocks:
Nikkei 9,007.44 -43.78 -0.48%
Hang Seng 22,006.4 -104.93 -0.47%
Shanghai Composite 2,114.03 -3.02 -0.14%
FTSE 5,841.43 -27.12 -0.46%
CAC 3,463.61 -28.85 -0.83%
DAX 7,330.88 -32.97 -0.45%
Crude oil $84.92 +0,07%
Gold $1681.70 +0.39%
Sold E6.785bln vs target E5.6bln-E6.8bln
- E3.792bln 3-month BTF, avg yield -0.014% (-0.022%), cover 2.50 (2.58)
- E1.596bln 6-month BTF, avg yield -0.007% (-0.012%), cover 3.35 (3.59)
- E1.397bln 12-month BTF, avg yield 0.019% (0.015%), cover 2.93 (4.1)
UnitedHealth resumed with a Outperform at Credit Suisse.
Walt Disney upgraded to Buy at Argus; tgt $60.
Piper Jaffray downgrades DuPont to Overweight from Neutral.
09:30 Eurozone Sentix Investor Confidence November -22.2 -20.7 -18.8
09:30 United Kingdom Purchasing Manager Index Services October 52.2 52.0 50.6
The euro fell to the lowest in almost eight weeks against the dollar amid speculation Greece will struggle to win bailout funds, risking the nation’s future in the European currency bloc.
The euro declined versus all its 16 major counterparts after Greek Prime Minister Antonis Samaras pledged yesterday that proposed wage and pension cuts will be the last as he struggled to win political support for measure to assure the country’s lifeline.
Greek society won’t tolerate any more austerity measures, Samaras told lawmakers of his New Democracy Party in Athens, as coalition leader debate the terms of the latest package. The first parliamentary vote on measures needed to obtain additional aid is scheduled to take place as early as Nov. 7.
The Dollar Index rose for a third day before tomorrow’s U.S. presidential election. The U.S. currency rose against 13 of its 16 major peers on speculation the winner of this week’s presidential election will press ahead with plans to curtail the nation’s deficit.
Employment and the economy are central themes before tomorrow’s vote, with President Barack Obama and Republican nominee Mitt Romney each trying to convince voters he can best energize the economic expansion.
The pound declined for a second day versus the dollar after an industry report showed U.K. services growth slowed more in October than economists forecast.
Sterling fell before the Bank of England holds a two-day meeting this week to decide whether to increase monetary stimulus through so-called quantitative easing.
EUR / USD: during the European session, the pair set a low at $ 1.2766
GBP / USD: during the European session, the pair showed a significant decline, setting ow of $ 1.5960
USD / JPY: during the European session the pair fell to Y80.19
At 13:30 GMT Canada will release the change in volume of building permits issued in September. At 15:00 GMT the U.S. will ISM composite index for the non-production sphere for October. At 21:45 GMT New Zealand will publish a change in the level of pay in the private sector, excluding overtime for the 3rd quarter.
EUR/USD
Offers $1.2980/85, $1.2940/50, $1.2890/900, $1.2850, $1.2805/10
Bids $1.2760-40
GBP/USD
Offers $1.6100/10, $1.6075/80, $1.6040/60, $1.6020, $1.6000, $1.5985
Bids $1.5950
AUD/USD
Offers $1.0450, $1.0400, $1.0380
Bids $1.0320, $1.0305/00, $1.0250, $1.0205/00
EUR/JPY
Offers Y104.00, Y103.50, Y102.95/00
Bids Y102.50, Y102.20, Y102.00
USD/JPY
Offers Y81.20, Y81.00, Y80.80, Y80.60
Bids Y80.00, Y79.80/70
EUR/GBP
Offers stg0.8100, stg0.8080, stg0.8070/75, stg0.8030
Bids stg0.7980, stg0.7945/40
European stocks fell, pacing a late selloff in U.S. equities last week, amid concern that Greece will struggle to secure a bailout and as America prepares to choose a president.
The euro fell against most of its 16 major counterparts as Greek Prime Minister Antonis Samaras faces obstacles from coalition partners before lawmakers vote this week on measures required to receive aid.
Samaras pledged on Nov. 4 that the raft of wage and pension cuts in the latest austerity package will be the last and that Greek society won’t tolerate any more, according to comments made to lawmakers of his New Democracy party. The first parliamentary vote in Athens may come as early as Nov. 7.
In the U.S., voters will decide tomorrow between giving President Barack Obama another four years in office or changing course with Republican challenger Mitt Romney.
CGGVeritas lost 2.1 percent to 24.77 euros after the company reported third-quarter net profit of $48 million, missing analyst estimates for a profit of $68 million. The shares fell even as the company confirmed its 2012 targets.
Siemens dropped 0.8 percent to 78.89 euros after Financial Times Deutschland reported that the company may have to write down another 250 million euros ($321 million) from the exit of its solar business. The newspaper cited unidentified people close to the company.
Ryanair advanced 8.8 percent to 4.95 euros after reporting a 23 percent rise in second-quarter net profit to 496.8 million euros. The airline said annual earnings will be in the range of 490 million euros to 520 million euros, compared to 502.6 million euros in 2012. The company previously forecast profit would shrink to between 400 million euros and 440 million euros.
FTSE 100 5,841.08 -27.47 -0.47%
CAC 40 3,464.86 -27.60 -0.79%
DAX 7,332.1 -31.75 -0.43%
Sold E2.39bln vs target E2bn-E4.0bn
- E1.22bln 3-month DTC; avg yield -0.03%, (-0.037%), cover 3.23 (3.49)
- E1.17bln 6-month DTC; avg yield -0.012%, (-0.021%), cover 2.87 (3.66)
EUR/USD $1.2850, $1.2870, $1.2900, $1.2950, $1.3000
USD/JPY Y81.00, Y80.50, Y80.25, Y79.90, Y79.50
GBP/USD $1.6000, $1.6195
EUR/GBP stg0.8000, stg0.8100
EUR/NOK Nok7.40
AUD/USD $1.0350
AUD/JPY Y82.20, Y82.60
USD/CAD $0.9990
Asian stocks fell as Hyundai Motor Co. and Kia Motors Corp. slid on findings they overstated claims about gas mileage. Trading volume in the region was below average before tomorrow’s U.S. presidential election.
Nikkei 225 9,007.44 -43.78 -0.48%
S&P/ASX 200 4,474.12 +14.07 +0.32%
Shanghai Composite 2,114.03 -3.02 -0.14%
Hyundai and Kia slumped more than 6 percent in Seoul after saying they will compensate U.S. customers for overstating the fuel efficiency of their latest cars.
Sharp Corp. slid 6.7 percent on speculation the Japanese TV maker will seek a bailout after forecasting a record loss.
Foxconn International Holdings Ltd. surged 38 percent in Hong Kong on speculation it will win orders to manufacturer parts for Apple Inc.’s iPhone 5.
On Friday the dollar advanced to a six-month high against the yen after the last jobs report before next week’s election showed hiring in the U.S. increased more than forecast. A net 171,000 workers were added to payrolls in October after a 148,000 gain the prior month that was more than first estimated, Labor Department figures showed in Washington. The median forecast of economists called for an advance of 125,000. The jobless rate rose to 7.9 percent from 7.8 percent as more people entered the labor force.
The U.S. currency strengthened to a three-week high against the euro amid confirmation that the euro-zone’s manufacturing sector contracted in October.
Japan’s currency headed for a third weekly decline against the dollar as economic weakness and disappointing corporate earnings spurred speculation the Bank of Japan will expand monetary stimulus.
The pound was down for the day against the dollar, and could not make a difference, even after a report showed that the index of business activity in the construction sector has exceeded the level of 50 in October and was 50.9, while analysts expected a drop in the index to the level of 49, 1 from 49.5 in September. Once the data released by the U.S., the pound continued to fall, but at a faster pace.
Asian stocks rose after reports on U.S. employment and manufacturing topped estimates and confidence among American consumers climbed to a four-year high. A gauge of Chinese shares listed in Hong Kong rallied 20 percent from a September low.
Nikkei 225 9,051.22 +104.35 +1.17%
S&P/ASX 200 4,460.05 +2.40 +0.05%
Shanghai Composite 2,117.05 +12.62 +0.60%
BHP Billiton Ltd., the world’s largest mining company, climbed 1.8 percent.
Sands China Ltd., the Macau casino operator controlled by billionaire Sheldon Adelson, gained 4.8 percent as spending by middle-class Chinese gamblers boosted profit 17 percent.
Sharp Corp. slid 2.4 percent after the TV maker forecast a record loss and said there was “material doubt” about its survival.
European stocks advanced to a two- week high as a report showed that hiring in the U.S. last month increased more than forecast.
As for the regional statistics have been issued on the production PMI Markit Spain, Italy, France, Germany and the eurozone. Spanish index fell more than expected, from 44.6 to 43.5 (vs. 44.0), Italian weakened from 45.7 to 45.5, as expected. French indicator rose from 42.7 to 46.0 vs. 45.7. The final euro-zone rose from 45.3 to 45.4, showing a small but unexpected change.
National benchmark indexes climbed in 16 of the 18 western European (SXXP) markets. The U.K.’s FTSE 100 added 0.1 percent. France’s CAC 40 rose 0.5 percent and Germany’s DAX added 0.4 percent.
Beiersdorf jumped 7.2 percent to 60.70 euros, the highest price since at least January 1996, after the maker of Nivea skin-care products raised its 2012 forecast for sales growth to as much as 4 percent, from a previous prediction of 3 percent.
A gauge of carmakers rose 1.2 percent for the second-best performance among the 19 industry groups in the Stoxx 600. BMW advanced 2.7 percent to 65 euros after saying U.S. sales climbed 21 percent in October. Daimler added 1.6 percent to 37.09 euros.
Alcatel-Lucent slumped 5.5 percent to 77.9 euro cents after posting a third-quarter net loss of 146 million euros, compared with a profit of 194 million euros a year earlier. The phone- equipment maker, whose shares have dropped 36 percent so far this year, is France’s most-shorted stock, based on data compiled by financial-information provider Markit, signaling a growing number of investors are predicting further declines.
Deutsche Telekom AG dropped 2.6 percent to 8.66 euros. The company may cut its dividend from next year by as much as a third, Handelsblatt reported, citing unidentified supervisory board members.
U.S. stocks fell, paring a weekly gain for the Standard & Poor’s 500 Index, after better-than- forecast payrolls failed to keep commodity and technology shares from slumping as Americans prepared to pick a president.
Equities advanced early in the day as a report showed a net 171,000 workers were added to payrolls in October. The median forecast of 91 economists called for an advance of 125,000. The jobless rate rose to 7.9 percent from 7.8 percent as more people entered the labor force.
The report comes before Americans go to the polls on Nov. 6 to decide whether to give President Barack Obama another four years or change course with Republican challenger Mitt Romney.
Commodity shares fell the most among 10 S&P 500 industry groups, sinking at least 1.7 percent.
Chevron (CVX) slipped 2.8 percent to $108.37 for the biggest retreat in the Dow. The second-largest U.S. energy company by market value said third-quarter profit declined as output plunged to a four-year low, oil prices slumped and refining income dropped 65 percent.
Priceline jumped 8.3 percent to $634.74. The most valuable online-travel agency reported profit that topped analysts’ estimates as consumers flocked to the site, assuaging concerns that Europe’s financial crisis would crimp demand.
At the close:
Dow 13,093.16 -139.46 -1.05%
Nasdaq 2,982.13 -37.93 -1.26%
S&P 500 1,414.20 -13.39 -0.94%
00:30 Australia Retail sales (MoM) September +0.2% +0.4% +0.5%
00:30 Australia Retail Sales Y/Y September +3.2% +3.7%
00:30 Australia Trade Balance September -2.03 -1.60 -1.45
00:30 Australia ANZ Job Advertisements (MoM) October -2.8% -4.6%
01:45 China HSBC Services PMI October 54.3 53.5
The 17-nation euro was lower against most of its 16 major counterparts with Greek Prime Minister Antonis Samaras facing obstacles from coalition partners as lawmakers are expected to vote this week on measures required to receive aid. Samaras pledged on Nov. 4 that the raft of wage and pension cuts in the latest austerity package will be the last and that Greek society won’t tolerate any more, according to comments made to lawmakers of his New Democracy party. The first parliamentary vote in Athens may come as early as Nov. 7. Negotiations between Greece and its troika of international creditors have sought to keep the country inside the European monetary union. In Athens, coalition leaders are squabbling over the terms of the latest package, while in other European capitals politicians are debating how to ease the country’s debt burden.
The yen traded near its weakest level since April against the greenback as futures traders increased their bets the yen will decline versus the dollar to a six-month high.
Australia’s dollar strengthened after government data signaled improvement in the nation’s economy ahead of the Reserve Bank’s policy meeting tomorrow. The nation’s retail sales climbed 0.5 percent in September from the previous month, the statistics bureau said in a report today. The median economist estimate in a Bloomberg survey was for a 0.4 percent gain. The trade shortfall was A$1.46 billion ($1.51 billion) in the same period from a revised A$1.88 billion in August, according to a separate release. Forecasters projected a A$1.55 billion deficit.
In the U.S., employment and the economy are central themes before tomorrow’s election, with President Barack Obama and Republican nominee Mitt Romney each trying to convince voters he can best energize the economic expansion.
The winner will also have to contend with the so-called fiscal cliff of more than $600 billion of federal spending cuts and tax increases that will take effect at the start of next year unless Congress acts.
EUR / USD: during the Asian session the pair fell to $ 1.2815.
GBP / USD: during the Asian session the pair was trading around the $ 1.6020 level.
USD / JPY: during the Asian session, the pair traded in the range of Y80.40-55.
UK data is expected at 0930GMT and sees the release of the UK services PMI numbers. The Americas calendar starts at 1330GMT, with the release of Canada September Building permits. At 1500GMT, the October ISM non-manufacturing index and the October Employment Trends Index are released.
00:30 Australia Retail sales (MoM) September +0.2% +0.4% +0.5%
00:30 Australia Retail Sales Y/Y September +3.2%
00:30 Australia Trade Balance September -2.03 -1.60 -1.45
00:30 Australia ANZ Job Advertisements (MoM) October -2.8% -4.6%
01:45 China HSBC Services PMI October 54.3 53.5
09:30 Eurozone Sentix Investor Confidence November -22.2 -20.7
09:30 United Kingdom Purchasing Manager Index Services October 52.2 52.0
13:30 Canada Building Permits (MoM) September +7.9% -2.6%
14:00 G20 G20 Meetings -
15:00 U.S. ISM Non-Manufacturing October 55.1 54.6
21:45 New Zealand Private Sector Labor Costs (ex. overtime), q/q Quarter III +0.5% +0.5%
© 2000-2025. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
