CFD Markets News and Forecasts — 12-02-2013

The yen rose against the dollar and the euro, after representatives of the G-7 said that the report on the exchange rate was misunderstood, so you should consider this situation as a sign of concern about the excessive changes in the value of Asian currencies. G-7 also noted that the concerned single solenoid yen. Meanwhile, it was announced that the matter would be discussed at a meeting of G-20, which will be held this weekend. At the same time, the G-7 promised to avoid devaluation of the exchange rate in the pursuit of economic growth.

The pound fell to a six-month low against the dollar at a time when many market participants expect lowering growth forecast by the Bank of England tomorrow. Sterling also fell against most other major currencies, as the message of slowing growth, which is likely to be announced tomorrow's quarterly report may indicate that interest rates will remain at record low levels.

The Swiss franc was little changed against the euro, even after the Swiss National Bank has said it will continue to hold the franc against the euro at CHF1, 20, and, if necessary, will be ready to take additional measures.

The Canadian dollar was higher against the U.S. dollar, departing from the values ​​for this month, after Chinese Cnooc Ltd was authorized to purchase U.S. assets Nexen Inc, breaking the recent regulatory hurdles, completing the deal on acquisition of Canadian oil producer for $ 15.1 billion Note that the growth rates continued even despite the fact that the head of the Bank of Canada Governor Mark Carney said that the need to raise interest rates now less imminent than previously thought.

European stocks advanced, rebounding from their slide yesterday, as cost cuts at Barclays Plc outweighed worse-than-expected earnings at Michelin & Cie.

The Stoxx Europe 600 Index added 0.5 percent to 287.07 at the close of trading in London, after yesterday sliding 0.6 percent.

National benchmark index rose in all 18 western-European markets.

FTSE 100 6,338.38 +61.32 +0.98% CAC 40 3,686.58 +36.00 +0.99% DAX 7,660.19 +26.45 +0.35%

Barclays rallied 8.6 percent to 327.4 pence after saying it will cut 1,800 jobs at its investment bank and 1,900 positions at its European consumer- and business-banking unit. The second- largest U.K. lender by assets said it will reduce annual costs by 1.7 billion pounds ($2.7 billion). Barclays posted a loss of 1.04 billion pounds in 2012, its first full-year loss in 20 years.

Michelin dropped 4.3 percent to 69.55 euros after Europe’s largest tiremaker reported operating profit of 2.42 billion euros ($3.26 billion). The average analyst estimate had called for earnings of 2.52 billion euros. Michelin posted profit of 1.95 billion euros a year earlier.

Finmeccanica tumbled 7.3 percent to 4.41 euros after police arrested Chief Executive Officer Giuseppe Orsi and Bruno Spagnolini, the head of the Italian defense contractor’s U.S. helicopter unit.

L’Oreal SA jumped 3.8 percent to 112.05 euros after reporting that earnings increased 12 percent in 2012. The world’s largest cosmetics maker said it will buy back 500 million euros of shares in the first half of this year.

Telenet Group Holding NV soared 4.8 percent to 37.65 euros. The Belgian cable operator controlled by Liberty Global Inc. will return 950 million euros to investors after the other shareholders blocked a plan by John Malone’s company to win full control of the unit.

France Telecom SA slipped 0.7 percent to 7.83 euros, its lowest price since October 2002, after its Polish unit, Telekomunikacja Polska SA, cut its proposed dividend for the second time in four months. Poland’s largest phone company also reported that profit slumped 86 percent in the fourth quarter.

The cost of oil has increased, rising at the same time to the highest level in a week, after OPEC increased its forecast for oil demand this year. Meanwhile, the price of oil affect the application of G-7, which promised to avoid devaluation.

Futures rose 0.8%, after so OPEC said that demand for oil cartel in 2013 will be 29.8 million barrels a day, which is 0.3% higher than the initial estimate, which was released in January. OPEC also said that in January, the OPEC mined 30.32 million barrels of oil a day, which is the lowest level since October 2011. In addition, OPEC still expects growth in global oil demand in 2013 to 800 000 barrels per day. We also add that OPEC expects oil production growth in non-OPEC, at 940,000 barrels a day in 2013

Meanwhile, we note that many of the participants are now awaiting data on oil reserves, which will be presented tomorrow by the Ministry of Energy. Note that according to the average forecast of analysts, oil stocks rose last week by 2.3 million barrels. We also add that today his report on the volume of crude oil present American Institute, which could affect the price of oil.

March futures price of U.S. light crude oil WTI (Light Sweet Crude Oil) rose $ 0.32, and now stands at 97.35 per barrel on the New York Mercantile Exchange.

March futures price for North Sea petroleum mix of mark Brent fell $ 0.17, and is now $ 118.01 a barrel on the London Stock Exchange ICE Futures Europe.

Gold prices rose today, while recovering from a minimum value for the month, which was due to the depreciation of the U.S. currency, as the Group of Seven industrialized countries (G-7) reaffirmed the commitment of market exchange rates.

However, the gold market is still struggling to move feeds into positive territory as investors focused on a brighter global economic picture. In addition, gold is also not played a role safe-haven after North Korea confirmed that it had conducted an underground nuclear test.

Note also that the dollar index, which rose in early trade to one-month high against a basket of currencies, fell after the G7 countries said that fiscal and monetary policy should be directed to the devaluation of currencies.

Economists say that a combination of elements, including the weakness of the dollar after the statement of G7, just helped to recover precious metals from one-month lows.

Meanwhile, we note that from a technical point of view, the pressure on the price of gold began in the previous session after the price broke through some key support levels and fell below $ 1,650, indicating that the fall may continue.

Analysts also say that many investors still expect lower gold price in the short term, while the volumes remain thin, as most Asian markets are not working this week in connection with the celebration of the Lunar New Year.

February futures price of gold on COMEX today rose to 1649.50 dollars per ounce.

EUR/USD $1.3360, $1.3390, $1.3400, $1.3425, $1.3450, $1.3500, $1.3550

USD/JPY Y92.50, Y93.00, Y93.60, Y93.70, Y94.00

GBP/USD $1.5800

EUR/GBP stg0.8550, stg0.8555

EUR/CHF Chf1.2400

AUD/USD $1.0200, $1.0260, $1.0400

AUD/NZD NZ$1.2330

AUD/JPY Y95.00

08:15 Switzerland Consumer Price Index (MoM) January -0.2% -0.3% -0.3%

08:15 Switzerland Consumer Price Index (YoY) January -0.4% -0.3% -0.3%

09:00 Eurozone ECOFIN Meetings -

09:30 United Kingdom HICP, m/m January +0.5% -0.5% -0.5%

09:30 United Kingdom HICP, Y/Y January +2.7% +2.8% +2.7%

09:30 United Kingdom HICP ex EFAT, Y/Y January +2.4% +2.4% +2.3%

09:30 United Kingdom Retail Price Index, m/m January +0.5% -0.5% +0.4%

09:30 United Kingdom Retail prices, Y/Y January +3.1% +3.2% +3.3%

09:30 United Kingdom RPI-X, Y/Y January +3.0% +3.1% +3.3%

09:30 United Kingdom Producer Price Index - Input (MoM) January -0.2% +0.8% +1.3%

09:30 United Kingdom Producer Price Index - Input (YoY) January +0.3% +1.0% +1.8%

09:30 United Kingdom Producer Price Index - Output (MoM) January -0.1% +0.3% +0.2%

09:30 United Kingdom Producer Price Index - Output (YoY) January +2.2% +2.0% +1.4%

10:00 Switzerland SNB Chairman Jordan Speaks -

10:30 United Kingdom BOE Inflation Letter February

The euro strengthened and raised to a new 3-day high against the dollar amid recovery crosses: EUR / JPY and EUR / CHF rose to the statement of G7 and the comments Jordan.

The yen weakened against the dollar and euro after earlier on Tuesday issued a statement G7, indicating that exchange rates should be determined by market forces, and the central banks are trying to weaken the national currency.

French Finance Minister Pierre Moscovici yesterday warned of the growing influence of the euro on European growth. However, the representatives of Germany, who quickly responded that it is impossible to manipulate the currency exchange rate, have objected to it. Subsequently, many are concerned that rhetoric, and this was reflected in a statement today B7.

Growth in the euro / franc took place immediately after the head of the SNB's Jordan stressed that urgent action is not necessary, thus separating the target rate of "currency wars" and confirmed that the SNB did what at the time needed national economy.

The euro debt auctions have peripheral countries, particularly Spanish bond auction showed decent demand. Spain on Tuesday sold E5.57 billion of bonds 6 and 12-month-old with a yield similar to the yield at the previous auction. Total demand reached 13,311 billion.

The British pound fell to a six-month low against the dollar after the consumer price index in the UK in January, up 2.7% compared to the same period of the previous year, as a month earlier. Thus, the annual inflation rate in the UK in January, firmly held above the target level of the Bank of England. At the same time there are signs of improvement in consumer prices in the coming months due to continued growth in energy prices in the country and the price of imported materials.

EUR / USD: during the European session, the pair rose to a maximum of $ 1.3446

GBP / USD: during the European session the pair fell to the low of $ 1.5570

USD / JPY: during the European session the pair rose to Y94.41

At 19:00 GMT the United States will be released monthly performance report for January. At 23:30 GMT Australia is to publish an index of consumer confidence from Westpac in February. At 23:50 GMT Japan will index of activity in the services sector in December.

EUR/USD

Offers $1.3520/25, $1.3500, $1.3480/85

Bids $1.3350, $1.3330/20, $1.3300

GBP/USD

Offers $1.5710, $1.5690/700, $1.5645/50, $1.5630

Bids $1.5570, $1.5555/40

AUD/USD

Offers $1.0375/80, $1.0345/50, $1.0295/00, $1.0255/60

Bids $1.0200, $1.0180, $1.0150, $1.0110/00

EUR/JPY

Offers Y128.50, Y128.00, Y127.45/50, Y127.00

Bids Y126.30/25, Y126.10/00, Y125.35/30 , Y125.00 , Y124.60/50

USD/JPY

Offers Y95.00, Y94.75, Y94.50

Bids Y94.05/00, Y93.70, Y93.50, Y93.20, Y93.05/00

EUR/GBP

Offers stg0.8685/90, stg0.8660/65, stg0.8640/45

Bids stg0.8540, stg0.8520/15

PDMA sold E1.3bln; E300mln to non-comps - E1.3bln 13-week T-bill; avg yield 4.05% (4.07%), cover 1.76 (1.75)

European stocks were little changed, following yesterday’s slide for the Stoxx Europe 600 Index, as worse-than-expected earnings at Michelin & Cie. offset cost cuts at Barclays Plc. U.S. stock-index futures and Asian shares were also little changed.

In the U.S., President Barack Obama delivers his State of the Union address from 9 p.m. in Washington. He will make proposals for spending on infrastructure, clean energy and education, according to an administration official briefed on the speech. Obama will argue that fostering economic growth remains the best strategy to narrow a federal budget deficit that has exceeded $1 trillion in each of the last four years.

Michelin dropped 3.7 percent to 70 euros after Europe’s largest tiremaker reported operating profit of 2.42 billion euros ($3.24 billion). The average analyst estimate had called for earnings of 2.52 billion euros. Michelin posted profit of 1.95 billion euros a year earlier. Pirelli & Cie., the region’s third-biggest tiremaker, slid 2.2 percent to 8.73 euros.

Finmeccanica tumbled 8.3 percent to 4.37 euros after police arrested Chief Executive Officer Giuseppe Orsi and Bruno Spagnolini, the head of the Italian defense contractor’s U.S. helicopter unit. The authorities searched Orsi’s home and the Milan offices of Italy’s biggest defense company, two people familiar with the investigation said. The police are investigating the sale of 12 helicopters to India.

Barclays climbed 4 percent to 313.6 pence after saying it will cut 1,800 jobs at its investment bank and 1,900 positions at its European consumer- and business-banking unit. The second- largest U.K. lender by assets said it will reduce annual costs by 1.7 billion pounds. Barclays posted a loss of 1.04 billion pounds in 2012, its first full-year loss in 20 years.

FTSE 100 6,296.34 +19.28 +0.31%

CAC 40 3,663.83 +13.25 +0.36%

DAX 7,645.99 +12.25 +0.16%

Italy Sold E8.5bln 12-month BOT at average yield 1.094% (0.864%), bid-to-cover 1.38 (1.79).

Sold E5.57bln vs target E1.5-E2.5bln 

- E2.547bln 6-month Letra; bid-to-cover 2.88 vs 3.85 prev 

- E3.024bln 12-month Letra; bid-to-cover 1.98 vs 2.46 prev

Sold 6-month Letra at avg yield 0.859% (0.888%); Tail 2.1bps (3.2bps) 

Sold 12-month Letra at avg yield 1.548% (1.472%); Tail 3.2bps (4.8bps)

Germany alloted E953mln of 0.75% Apr 2018 Boblei issue Tuesday at real yield of -0.78%, cover 1.9 vs 1.5 previous.

U.K. inflation has been at 2.7 percent since October, the Office for National Statistics reported Tuesday. This was the longest period for which consumer price growth has remained unchanged, it said.

The rate continues to hover above the central bank's 2 percent target.

On a monthly basis, consumer prices dropped 0.5 percent in January, offsetting December's 0.5 percent rise.

Retail price inflation accelerated to 3.3 percent, in line with forecast, from 3.1 percent a month ago. Similarly, excluding interest payments, retail prices were up 3.3 percent, following a 3 percent rise in December.

Core inflation that excludes energy, food, alcoholic beverages and tobacco, slowed marginally to 2.3 percent from 2.4 percent in December.

EUR/USD $1.3390, $1.3400, $1.3425, $1.3450, $1.3500, $1.3550

USD/JPY Y92.50, Y93.00, Y93.60, Y93.70, Y94.00

GBP/USD $1.5800

EUR/GBP stg0.8550, stg0.8555

EUR/CHF Chf1.2400

AUD/USD $1.0200, $1.0260, $1.0400

AUD/NZD NZ$1.2330

AUD/JPY Y95.00

Japanese shares led Asian stocks higher after a contender for Bank of Japan governor said extra monetary easing can be justified this year. South Korea’s Kospi Index reversed gains as North Korea conducted a nuclear test.

Nikkei 225 11,369.12 +215.96 +1.94%

Hang Seng Closed

S&P/ASX 200 4,958.99 -0.52 -0.01%

Shanghai Composite Closed

Canon Inc., Japan’s largest camera maker that gets 80 percent of sales abroad, gained 2.2 percent as the yen touched the lowest level since May 2010.

Dentsu Inc. soared 10 percent as nine-month operating profit climbed 24 percent.

The euro rose against most major currencies after a representative of the European Central Bank, Jens Weidmann said that the course of the single European currency is not too overpriced. Meanwhile, he added that the policy aimed at weakening the euro will lead to inflation.

The yen approached the lowest since May 2010 against the dollar as Japan's economy minister Akira Amari told Kyodo News, the government should aggressively pursue efforts aimed at stimulating growth stocks.

Meanwhile, we add that the yen fell for the first time in four days against the euro after the Asian Development Bank President Haruhiko Kuroda, who is a potential candidate to head the central bank, said that he supports the implementation of additional measures to stimulate the economy country, expecting that some of them may be approved in 2013. It should be noted that the statement Kuroda suggests that it may apply more drastic measures to suppress deflation when Prime Minister Shinzo Abe appointed him to head the BOJ after the resignation of Masaaki Shirakawa.

Pound fell against most major currencies after the industrial report showed that the level of trust in relation to employment in the UK fell markedly in January. Also exerted pressure on the currency speculation that confidence among traders that the exchange rate to appreciate significantly reduced.

Asian stocks turned in a mixed performance on Monday as investors awaited earnings for direction amid public holidays in several key financial markets. Many markets across the Asia-Pacific region, including those in China, Hong Kong, South Korea, Malaysia, Taiwan and the Philippines were closed for the Lunar New Year holidays. The Japanese market was shut for the National Foundation Day. South Korea, Japan and the Philippines will resume trading on Tuesday, while Singapore and Malaysia will return to action on Wednesday. Hong Kong will resume trading on Thursday, while China and Taiwan are off until next Monday.

Nikkei 225 Closed

Hang Seng Closed

S&P/ASX 200 4,959.5 -11.79 -0.24%

Shanghai Composite Closed

Global miner BHP Billiton slipped 0.6 percent and rival Rio Tinto edged down 0.2 percent as base metal prices eased.

Among the major banks, Westpac shed 0.4 percent and ANZ declined 1.2 percent, while NAB rose 0.2 percent and Commonwealth added half a percent.

Insurance Australia Group slipped 0.4 percent after the company said it has received more than 13,700 claims relating to the impact of ex-tropical cyclone Oswald to date.

European stocks fell, extending a two-week decline, as Novo Nordisk A/S sank the most in almost four years after failing to win U.S. approval for a new drug.

Novo Nordisk, the world’s largest insulin maker, tumbled 13 percent. Lundin Petroleum AB lost 10 percent after the company said resources at its Johan Sverdrup oil discovery in the North Sea may be toward the low end of forecasts. Royal Ahold NV rallied 3.9 percent after agreeing to sell its 60 percent stake in ICA, Sweden’s largest food retailer, for $3.1 billion.

The Stoxx Europe 600 Index fell 0.6 percent to 285.51 at 4:32 p.m. in London.

National benchmark indexes fell in 11 of the 18 western European markets.

FTSE 100 6,277.06 +13.13 +0.21% CAC 40 3,650.58 +1.08 +0.03% DAX 7,633.74 -18.40 -0.24%

Novo Nordisk, which accounts for 0.9 percent of the Stoxx 600 by weighting, lost 139.50 kroner to 930.50 kroner, the biggest drop since April 2009. The U.S. Food and Drug Administration said its Tresiba diabetes medication can’t be approved without additional data on heart safety and the Danish drugmaker won’t be able to provide the information this year, according to a statement from Novo Nordisk.

Lundin Petroleum fell 16.60 kronor to 148.30 kronor in Stockholm after saying resources in its part of the Johan Sverdrup discovery will probably be within the lower half of the forecast for 800 million to 1.8 billion barrels of oil equivalent.

Fugro NV dropped 7.2 percent to 39.07 euros in Amsterdam after supervisory board Vice Chairman Frans Cremers quit the biggest deepwater-oilfield surveyor. The company said in a statement that changes in financial organisation of Fugro “were not adequately carried through.”

Wacker Chemie AG increased 9.4 percent to 60.78 euros after the polysilicon maker ramped up production at a plant in Burghausen, Germany, citing growing demand from its solar-power customers. The company had put about 700 employees at the plan on shorter hours in October.

Bilfinger SE gained 2.5 percent to 75.80 euros after Germany’s second-largest construction company forecast an increase in profit in 2013, driven by savings and demands for engineering work and services in the power industry. The company reported a 2 percent gain in sales last year to 8.64 billion euros.

U.S. stocks rose slightly, but still finished trading below zero

Indexes with the absence of any publication of macroeconomic data and corporate communications, which could set the direction of trading, moderately adjusted from the reached multi-year highs on Friday.

The focus of the market participants are meeting the eurozone finance ministers, who should discuss the aid program for Cyprus and Greece.

In the week about 50 companies whose shares are included in the index S & P 500, will publish its quarterly reports. To date, the financial statements submitted more than 330 companies whose shares are included in the index S & P 500 and it is worth noting that the financial results of most of them were better than expected.

Among the companies that will report this week will attract the attention of the market in the first quarter reports from Coca-Cola (KO), General Motors (GM) and PepsiCo (PEP).

Most of the components of the index DOW rising in price (16 of 30). Leader shares in Microsoft Corporation (MSFT, +1.27%). More than others in the share price fell Unitedhealth Group, Inc. (UNH, -1.02%).

Among the sectors of the S & P in the black is only the financial sector (+0.1%). Sector fell more than other basic materials (-0.5%).

At the close:

Dow -22.58 13,970.39 -0.16%

Nasdaq -1.86 3,192.01 -0.06%

00:00 China Bank holiday -

00:01 United Kingdom RICS House Price Balance January 0% 0% -4%

00:30 Australia National Australia Bank's Business Confidence January 3 3

05:00 Japan Consumer Confidence January 39.2 40.5 43.3

05:00 Japan Consumer Confidence Households January 39.0 43.1

06:00 Japan Prelim Machine Tool Orders, y/y January -21.3% -26.1%

The yen rallied from an almost three-year low against the dollar as technical indicators signaled its decline was too rapid before Group of 20 finance chiefs meet this week. The Japanese currency’s 14-day relative strength index against the dollar was at 27 yesterday, below the 30 level that some traders see as a signal an asset has fallen too rapidly and may be due to reverse course. Against the euro, it was 33.

The yen yesterday plunged by the most in more than two weeks after Haruhiko Kuroda, a potential contender for BOJ governor, said additional monetary stimulus could be justified for 2013. U.S. Treasury Undersecretary Lael Brainard said in Washington yesterday she supports efforts in Japan to end deflation and “reinvigorate growth. It will be important that structural reforms accompany macro economic policies to achieve these goals.”

She also said that G-20 nations need to “refrain from competitive devaluation.” G-20 finance chiefs and central bankers are due to meet in Moscow from Feb. 15-16.

The euro weakened ahead gross domestic product data for the currency bloc. Economists in a Bloomberg News survey estimate euro-area GDP fell 0.4 percent in the fourth quarter from the previous three-month period, when it declined 0.1 percent. The European Union’s statistics office will release the figures on Feb. 14.

South Korea’s won fluctuated after North Korea said it conducted a nuclear test.

EUR/USD: during the Asian session the pair fell $ 1.3375.

GBP/USD: during the Asian session, the pair traded in the range of $ 1.5645-65.

USD/JPY: during the Asian session the pair fell, retreating from the previous day's high.

Change % Change Last

Oil $96.98 -0.05 -0.05%

Gold $1,651.60 +2.50 +0.15%

Change % Change Last

Nikkei 225 Closed

Hang Seng Closed

S&P/ASX 200 4,959.5 -11.79 -0.24%

Shanghai Composite Closed

CAC 40 3,650.58 +1.08 +0.03%

DAX 7,633.74 -18.40 -0.24%

Dow -22.58 13,970.39 -0.16%

Nasdaq -1.86 3,192.01 -0.06%

S&P -0.96 1,516.97 -0.06%

(pare/closed(00:00 GMT +02:00)/change, %)

EUR/USD $1,3387 +0,16%

GBP/USD $1,5658 -0,87%

USD/CHF Chf0,9201 +0,35%

USD/JPY Y94,31 +1,65%

EUR/JPY Y125,08 +0,90%

GBP/JPY Y147,64 +0,78%

AUD/USD $1,0254 -0,62%

NZD/USD $0,8349 0,00%

USD/CAD C$1,0047 +0,20%

00:00 China Bank holiday -

00:01 United Kingdom RICS House Price Balance January 0% 0%

00:30 Australia National Australia Bank's Business Confidence January 3

05:00 Japan Consumer Confidence January 39.2 40.5

05:00 Japan Consumer Confidence Households January 39.0

06:00 Japan Prelim Machine Tool Orders, y/y January -27.5%

08:15 Switzerland Consumer Price Index (MoM) January -0.2% -0.3%

08:15 Switzerland Consumer Price Index (YoY) January -0.4% -0.3%

09:00 Eurozone ECOFIN Meetings -

09:30 United Kingdom HICP, m/m January +0.5% -0.5%

09:30 United Kingdom HICP, Y/Y January +2.7% +2.8%

09:30 United Kingdom HICP ex EFAT, Y/Y January +2.4% +2.4%

09:30 United Kingdom Retail Price Index, m/m January +0.5% -0.5%

09:30 United Kingdom Retail prices, Y/Y January +3.1% +3.2%

09:30 United Kingdom RPI-X, Y/Y January +3.0% +3.1%

09:30 United Kingdom Producer Price Index - Input (MoM) January -0.2% +0.8%

09:30 United Kingdom Producer Price Index - Input (YoY) January +0.3% +1.0%

09:30 United Kingdom Producer Price Index - Output (MoM) January -0.1% +0.3%

09:30 United Kingdom Producer Price Index - Output (YoY) January +2.2% +2.0%

10:00 Switzerland SNB Chairman Jordan Speaks -

10:30 United Kingdom BOE Inflation Letter February

13:45 Canada BOC Gov Carney Speaks -

15:00 U.S. Mortgage Delinquencies IV quarter 7.4%

15:30 Eurozone ECB President Mario Draghi Speaks -

16:30 U.S. FOMC Member Esther George Speaks -

19:00 U.S. Federal budget January -0.3 -4.6

21:30 U.S. API Crude Oil Inventories - +3.6

23:30 Australia Westpac Consumer Confidence February +0.6%

23:50 Japan Tertiary Industry Index December -0.3% +0.8%