CFD Markets News and Forecasts — 20-11-2012

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20.11.2012
20:01
Dow 12,753.85 -42.11 -0.33% Nasdaq 2,907.43 -8.64 -0.30% S&P 500 1,383.64 -3.25 -0.23%
19:00
American focus: the euro rose

The euro traded near a course nearly two-week high against the U.S. dollar amid the region's finance ministers meeting in Brussels, the purpose of which is to discuss the provision of 15 billion euros for Greece.

The yen fell for a fifth day against the dollar even after a representative of the opposition party, the Bank of Japan Governor Masaaki Shirakawa said that the proposals for currency depreciation are unrealistic.

The dollar rose against most of the 16 most traded currencies as Federal Reserve Chairman Ben Bernanke warned that the U.S. economy could fall into recession, in case, if lawmakers can not escape the so-called "financial failure." Note also that his comments match what he said in the past, namely that unemployment is still high, the housing market is gradually recovering, and one only, monetary policy can not solve the problems in the U.S. economy. This is yet another signal of the U.S. Congress that it has reached an agreement on long-term debt. Meanwhile, he has not commented on the situation with Operation Twist, whose term comes to an end this year.

At the same time, these currencies like the New Zealand dollar, Australian dollar and South African rand depreciated, which was caused by the fall in commodity markets.

Note also that the earlier the euro fell as ratings agency downgraded France by one notch to Aa1 from Aaa, saying at the same time that the country's prospects remain negative.

The Canadian dollar fell against most currencies as speculation regarding the cease-fire the Middle East has caused oil prices decline, which departing month high. But currency losses were limited, because yesterday the International Monetary Fund said it is considering classifying the Canadian and Australian dollar as a reserve currency. Well as the depreciation of the currency affected the published data, which showed that the volume of wholesale sales fell in September, registering with the fastest rate of decline over the past 19 months. According to the report, wholesale sales fell by 1.4% to 48.8 billion Canadian dollars.

18:20
European stocks close:

European stocks rose for a second day amid speculation the region’s finance ministers will agree on a Greek financing deal and optimism Israelis and Palestinians will sign up to a cease-fire in Gaza.

EasyJet Plc (EZJ) jumped to the highest level in five years, leading travel shares higher, after the budget airline doubled its dividend. Xstrata Plc (XTA) and Glencore International Plc (GLEN) advanced as investors approved their $31 billion merger. Credit Suisse Group AG (CSGN) paced a decline in financial shares, dropping 1.7 percent on plans to reorganize its investment bank.

The Stoxx Europe 600 Index (SXXP) added 0.3 percent to 269.49 at the close of trading, extending yesterday’s 2.2 percent jump to reach a one-week high.

U.S. housing starts unexpectedly climbed 3.6 percent to a four-year high in October. Builders broke ground on 894,000 homes at an annual rate after a 863,000 pace in September, Commerce Department figures showed. The median estimate economists surveyed called for 840,000 starts.

National benchmark indexes rose in 14 of the 18 western European markets today.

FTSE 100 5,748.1 +10.44 +0.18% CAC 40 3,462.06 +22.48 +0.65% DAX 7,172.99 +49.15 +0.69%

Deutsche Bank AG (DBK) slid 1.4 percent to 33.18 euros and Intesa Sanpaolo SpA (ISP) declined 1.1 percent to 1.22 euros.

Fiat SpA (F) dropped 5 percent to 3.31 euros. UBS AG lowered its recommendation on the Italian automaker to neutral from buy, saying it may need to raise between 1.6 billion euros and 2.9 billion euros to finance the purchase of the remaining shares in Chrysler Group LLC.

Exor SpA (EXO), which is Fiat’s biggest shareholder, slipped 3.8 percent to 18.37 euros after UBS also lowered its recommendation on the shares to neutral from buy.

Royal Imtech NV (IM), the Dutch provider of infrastructure for stadiums in this year’s European soccer championship and London Olympics, tumbled 11 percent to 15.68 euros, the biggest drop in more than four years. ABN Amro Bank NV downgraded the shares to sell from buy, saying the company could breach a banking covenant this year.

Accor SA (AC) rallied 3.4 percent to 24.71 euros as Exane BNP Paribas said the hotelier’s profit margins could reach 16 percent to 18 percent by 2016, from 9.5 percent at present.

Swatch Group AG (UHR) increased 1.5 percent to 433.10 francs as the Federation of the Swiss Watch Industry said watch exports rose 13 percent last month from a year earlier.

17:00
European stocks close in plus: FTSE 100 5,748.1 +10.44 +0.18% CAC 40 3,462.06 +22.48 +0.65% DAX 7,172.99 +49.15 +0.69%
16:41
The cost of oil has decreased

Oil prices retreated from month high after Egyptian President Mohammed Mursi said that efforts to end the fighting between Israel and Palestinian factions in the Gaza Strip, show up for several hours.

Futures fell as much as 1.3% as Mursi said that the situation in the Middle East, which he described as "Israeli aggression" ends today. His comments came after U.S. Secretary of State Hillary Clinton arrived in the region to accede to the question regarding the truce in the region.

Note that the conflict in Gaza threatens further instability in the Middle East and North Africa after the wave of uprisings in the past year, including in Libya, which is almost completely cut oil exports from North Africa.

The Israeli official, who spoke anonymously because of the sensitivity of the matter, said that if the talks have failed, Israel launched the invasion. Israeli officials say that any ceasefire must include long-term agreement with Hamas to stop firing rockets that can hit 4.5 million people, or half the population.

Prices also fell on speculation that tomorrow's report from the U.S. Department of Energy show that oil stocks rose to four-month high last week.

January futures price of U.S. light crude oil WTI (Light Sweet Crude Oil) fell to 87.40 dollars a barrel on the New York Mercantile Exchange.

January futures price of North Sea petroleum mix of mark Brent fell by 1.25 dollars to 110.28 dollars a barrel on the London Stock Exchange ICE Futures Europe.


16:21
Gold prices have stabilized

The price of gold has stabilized today, and traded in the range of $ 1730 - $ 1735 per ounce, after yesterday's most significant one-day increase in the past two weeks. Note that this trend was due to the hope that the United States will be able to reach agreement as to avoid automatic tax increases and spending cuts in early 2013, which could trigger a new recession. Also, the price of gold affect napryadennaya situation in the Middle East.

Note that gold is acting as a risky asset, as the price starts to rise, after concerns about "financial cliff" decreases.

At the same time, reducing the risk to the debt crisis in Greece also boosted gold prices. Recall that yesterday Athens adopted a series of laws to meet budgetary targets and to ensure privatization proceeds, which will be used to repay debt in an effort to reassure foreign creditors at the same meeting on the eve of the finance ministers of the euro area.

Meanwhile, the conflict between Israel and the Gaza Strip support the price of gold by the fear that the risk of violence may spread in the region, raising concerns about inflation over the potential impact on oil prices.

Analysts point out that there is a potential link between the prices of oil and gold, if the conflict in the Middle East even more aggravated.

Technical analysis showed that spot gold prices can fluctuate below resistance at $ 1,738 an ounce in one trading session before break this level and rise up to $ 1746 - $ 1749.

December futures price of gold on the COMEX is now 1730.10 an ounce.


15:00
EUR / USD back to $ 1.2800 after the speech of the Fed's Lacker

 

The EUR / USD in early U.S. session broke resistance at $ 1.2820 and peaked at $ 1.2830, but then weakened, breaking through support at $ 1.2800 after the Fed's Lacker argued for limiting Congress authority of the Central Bank in the field of monetary policy and against the communication policy of the Central Bank at the rate of unemployment. Also, Reuters reported that Italy can veto the budget eurozone, if it does not comply with the national interest.

Now prices are consolidated at around $ 1.2800 after weak data on building permits and positive - the number of residential buildings. Now the markets are waiting for the speech of Fed Bernanke on "fiscal cliff."


14:45
USD / JPY updated 7-month high after the data on the housing market in the U.S.

 

 

The dollar strengthened against the yen, reaching a seven-month high after a number of residential buildings in the U.S. in October exceeded forecasts.

The USD / JPY broke resistance at 81.60 and reached a high of 81.72.

Dollar for 5 consecutive days the yen strengthened on expectations that the opposition party, the LDP, which supports legislation to mitigate the Bank of Japan could win the election on December 16.



 

14:34
US Stocks open: Dow 12,753.95 -42.01 -0.33%, Nasdaq 2,908.63 -7.44 -0.26%, S&P 1,382.82 -4.07 -0.29%
14:30
FTSE 100 5,726.4 -11.26 -0.20%, CAC 40 3,435.65 -3.93 -0.11%, DAX 7,141.52 +17.68 +0.25%
14:18
Lacker: Fed may need to restrict purchases of private sector assets

 

 

The Fed needs to better clarify its policy

There is a "policy drift" in the search for the best ways of communication

Fed policy should ensure the stability of inflation expectations

There is evidence that the Fed's bond purchases have "ambiguous" effect

Lacker is not supported by the Fed aimed only one sector

Financial stability will elude us without restrictions on bank bailouts

If the Fed itself will not be able to limit the credit policy, this may require legislation

Central banks must show more restraint

Central banks sometimes try to do too much

Independence and effectiveness of the Fed's call for limits ambitions


14:10
Upgrades and downgrades before the market open:

Hewlett-Packard (HPQ) was downgraded to Mkt Perform at Raymond James
Johnson & Johnson (JNJ) was initiated with a Hold at Stifel Nicolaus  
UnitedHealth Group (UNH) was initiated with a Buy at Lazard
Intel (INTC) was downgraded to a Neutral at UBS

14:04
Fed's Lacker: Interest rates near zero difficult to predict the Fed's policy of public

 

 

Should provide an explanation of the process of decision-making Fed

The credibility of the Fed is not so high to play with inflation


 

13:45
Option expiries for today's 1400GMT cut:

 

 

EUR/USD $1.2700, $1.2750, $1.2800, $1.2825

GBP/USD $1.5900

AUD/USD $1.0250, $1.0360

USD/JPY Y80.50, Y81.00

AUD/JPY Y85.85


 

13:32
Canada: Wholesale Sales, m/m, September -1.4% (forecast +0.3%)
13:31
U.S.: Housing Starts, mln, October 0.894 (forecast 0.840)
13:30
U.S.: Building Permits, mln, October 0.866 (forecast 0.865)
13:18
European session: the euro rose

 

 

07:00 Switzerland Trade Balance October 1.93 2.09 2.82

07:00 Germany Producer Price Index (MoM) October +0.3% +0.2% 0.0%

07:00 Germany Producer Price Index (YoY) October +1.7% +1.6% +1.5%

07:00 Japan BOJ Press Conference -

08:00 Eurozone Eurogroup Meetings -

 

The euro rose against the dollar on the background of today's meeting of finance ministers of the region in the provision of aid to Greece. Also today, the EU finance ministers will meet with representatives of the IMF, to decide on the need for Greece's next tranche of financial support in the amount of 31.5 billion euros. Most likely, according to analysts, the decision is positive, after the EU allowed the Greek bonds for 5 billion euros to repay debt securities by 5 billion euros, was held by the ECB. In addition, there are rumors that the "troika" of international lenders allowed to give Greece another two years to reduce the deficit to the recommended level.

In Germany, the annual rate of PPI in October registered a growth of 1.5% against 1.7% in August and forecasts at 1.7%.

Today the auction Treasury debt of Spain was able to attract the E4, 938 billion from planned E3 ,5-4, 5 billion Yield of 12-month securities was 2.797% from 2.823% at the previous auction, and 18-month-old - 3.034% vs. 3.022%.

As the growth in risk appetite helped the statement made by the ECB Cara that financial markets have stabilized significantly since July, but the situation in the euro area as a whole is similar to the situation in Japan in the 90's.

Yesterday, Moody's downgraded the credit rating of France to Aa1, but markets did not pay attention to this event. French Finance Minister expressed his disagreement with the actions of the agency, stating that the review does not reflect the current state of the fundamentals and does not consider the current reforms undertaken by the government.

Later, data will be published on the number of residential buildings and construction permits, however, the focus will be on the players' performance of the Fed Bernanke.

The yen fell against the dollar amid today's decision of the Bank of Japan to refrain from increasing the incentive programs. Thus, in the two-day meeting, the Bank of Japan decided to keep the volume of purchases of assets of 66 trillion yen ($ 812 billion). As you can see, the head of the Japanese Central Bank Governor Masaaki Shirakawa and his board voting to continue to conduct its monetary policy, despite calls to conduct unlimited stimulation by opposition leader Shinzo Abe, who, according to preliminary estimates, could be the new prime minister after elections next month .


EUR / USD: during the European session, the pair set a high at $ 1.2825

GBP / USD: during the European session, the pair set a high at $ 1.5935

USD / JPY: during the European session, the pair rose to the level of Y81.59


At 13:30 GMT, Canada will release the change in volume of wholesale trade for September. At 13:30 GMT the U.S. will the volume of building permits issued and the number of new foundations of bookmarks for October. At 14:00 GMT a speech FOMC member Jeffrey Lacker. At 21:30 GMT the U.S. will be known data on changes in the volume of crude oil, according to API. At 23:30 GMT Australia is to publish an index of leading economic indicators from the Melbourne Institute in September. At 23:50 GMT Japan will total balance of foreign trade in goods, the adjusted balance of trade in goods, the change in volume of exports and imports of goods in October.


13:00
Orders

 

 

EUR/USD

Offers  $1.2900, $1.2850 

Ордера на покупку $1.2750, $1.2740, $1.2720, $1.2705/00


GBP/USD

Offers  $1.6050, $1.6000, $1.5980/85, $1.5940/50

Bids  $1.5855/50, $1.5830/25, $1.5810/00, $1.5780


AUD/USD

Offers $1.0500, $1.0450

Bids  $1.0355/50, $1.0300


EUR/JPY

Offers  Y105.20, Y105.00, Y104.50

Bids  Y103.55/50, Y103.20, Y103.00, Y102.70


USD/JPY

Offers  Y82.00, Y81.75, Y81.50

Bids  Y81.00, Y80.80/70, Y80.50/40


EUR/GBP

Offers stg0.8150, stg0.8120, stg0.8100, stg0.8075/80

Bids  stg0.8020/15, stg0.8005/00, stg0.7965/60, stg0.7945/40


11:30
EFSF BILL AUCTION RESULTS:

 

 

EFSF sold E1.966bln of a new 6-month

Bill at average yield -0.0053% vs -0.0433% prev, cover 2.5 vs 2.4 prev 


 

11:15
European stocks were little changed

 

European stocks were little changed as the region’s finance ministers prepared to meet to discuss Greece’s finances.

Euro-area finance ministers will discuss ways to fill a 15 billion-euro ($19.2 billion) gap in Greece’s public accounts at a meeting scheduled for 5 p.m. in Brussels today. The options under consideration include recycling ECB profits on Greek bonds, charging Greece lower interest rates and extending repayment deadlines.

Moody’s Investors Service downgraded France to Aa1 from Aaa and maintained a negative projection, citing a worsening growth outlook for Europe’s second-largest economy. Standard & Poor’s cut the nation’s rating in January.

Credit Suisse Group AG fell 2.4 percent after saying it will reorganize its investment bank.

Fiat SpA slid 4.6 percent as UBS AG cut its recommendation on the Italian automaker.


 

FTSE 100 5,733.21 -4.45 -0.08%

CAC 40  3,436.26 -3.32 -0.10%

DAX 7,144.96 +21.12 +0.30%

 

10:45
COEURE: Can't say we have single currency when mkts fragmented

 

- Need bank resolution scheme along w/single supervisor

- Resolution scheme can come later than supervisor

- EMU resolution fund should be funded mostly by banks 


 

10:31
Option expiries for today's 1400GMT cut

 

 

EUR/USD $1.2700, $1.2750, $1.2800, $1.2825

 

GBP/USD $1.5900

AUD/USD $1.0250, $1.0360

USD/JPY Y80.50, Y81.00

AUD/JPY Y85.85

 

10:19
Spain auction results:

 

  • Sold E4.938bln vs target E3.5-E4.5bln

    E4.225bln 12-month Letra; bid-to-cover 2.12 (2.71). Avg yield 2.797% vs 2.823% prev

    E713mln 18-month Letra; bid-to-cover 5.72 (3.04). Avg yield 3.034% vs 3.022% prev
10:03
Asia Pacific stocks close:

 

 

Asian stocks rose, with the regional benchmark index poised to advance for a third day, as better- than-forecast U.S. home sales boosted optimism in the world’s largest economy.

Nikkei 225 9,142.64 -10.56 -0.12%

S&P/ASX 200 4,385.68 +24.23 +0.56%

Shanghai Composite 2,008.92 -8.06 -0.40%

Techtronic Industries Co., the maker of Ryobi power tools that counts North America as its biggest market, jumped 4.7 percent in Hong Kong.

Samsung Electronics Co., the world’s No. 1 manufacturer of smartphones, gained 2.4 percent in Seoul after a U.S. trade agency agreed to review its patent case versus Apple Inc.

Osaka Securities Exchange Co. added 1.9 percent as shareholders approved its $1.6 billion merger with Tokyo Stock Exchange Group Inc.

09:40
FTSE 100 5,716.9 -20.76 -0.36%, CAC 40 3,418.43 -21.15 -0.61%, DAX 7,107.46 -16.38 -0.23%
09:13
From Governor Glenn Stevens speech:

 

AUD MAY HAVE ROLE TO PLAY IN NEEDED ECON REBALANCE
SOME EVIDENCE OF TURNING PT IN HSG CONSTRUCTION
AUD MAY HAVE ROLE TO PLAY IN NEEDED ECON REBALANCE
SOME EVIDENCE OF TURNING PT IN HSG CONSTRUCTION
SURPRISING AUD HASNT FALLEN MUCH VS TERMS OF TRADE
OUTLOOK FOR NON-MINING BIZ INVESTMENT SUBDUED

09:02
From Governor Glenn Stevens speech:

 

AUD MAY HAVE ROLE TO PLAY IN NEEDED ECON REBALANCE
SOME EVIDENCE OF TURNING PT IN HSG CONSTRUCTION
AUD MAY HAVE ROLE TO PLAY IN NEEDED ECON REBALANCE
SOME EVIDENCE OF TURNING PT IN HSG CONSTRUCTION
SURPRISING AUD HASNT FALLEN MUCH VS TERMS OF TRADE
OUTLOOK FOR NON-MINING BIZ INVESTMENT SUBDUED

08:36
Forex: Monday’s review

 

 

The euro rose against the dollar after it was reported that Greece will receive its next tranche of financial aid is December 5. The decision was taken at a meeting of eurozone finance, which was held in Paris, and whose purpose was to develop a common position on salvation. Note also that the ministers will meet in Brussels, where they will give a preliminary approval for the allocation of 44 billion euros ($ 56 billion).

The dollar fell against all 16 major counterparts as speculation that U.S. lawmakers will reach an agreement on the budget of the country and to prevent the so-called "financial failure" caused a decline in demand for safe assets.

Canadian and Australian dollars rose against the U.S. dollar, as the International Monetary Fund said it is considering to include the Australian and Canadian dollar in the official report on foreign currency reserves.

The dollar index, which is used to track the value of the dollar against the currencies of six U.S. partner, fell by 0.5% to 80.870 after reaching 81.455 on November 16, which is the highest since September 5. Also, the dollar's decline was due to the withdrawing of data, which showed that sales in the secondary market rose in October, indicating that the success of the real estate market is currently supported by cheap borrowing costs.

Japan's currency fell against all but three of the major currencies, after Kyodo News reported that the LDPR leader Shinzo Abe to choose the head of the Bank of Japan who advocate of the inflation target.


08:09
Stocks: Monday’s review

 

 

Asian stocks gained for a second day, with the regional benchmark index heading for its biggest advance in a month, after President Barack Obama expressed confidence that he and Congress will reach a budget agreement.

Nikkei 225 9,153.2 +129.04 +1.43%

S&P/ASX 200 4,361.45 +24.60 +0.57%

Shanghai Composite 2,016.98 +2.26 +0.11%

Toyota Motor Corp., the world’s biggest carmaker, rose 1.4 percent in Tokyo.

Japan Tobacco Inc. jumped 6.5 percent as the government plans to postpone the sale of its stake in the cigarette maker.

Billabong  International Ltd. surged 10 percent in Sydney after the surf-wear maker said it’s considering a takeover.


European (SXXP) stocks climbed the most in more than two months as U.S. President Barack Obama expressed confidence that he will strike a deal with Congress on a new budget to avoid the so-called fiscal cliff.

HSBC Holdings Plc (HSBA) added 3.8 percent after the bank said it has held talks to sell its $9 billion stake in Ping An Insurance (Group) Co. BP Plc (BP/) gained 3.6 percent following a report that the oil company plans a 3.7 billion-pound ($5.9 billion) buyback. ING Groep NV (INGA) advanced 3.7 percent after the European Commission granted it more time to sell its insurance operations in the region.

The Stoxx Europe 600 Index rose 2.2 percent to 268.58 at the close, rebounding from its lowest level since Aug. 3, as the Republican U.S. House Speaker John Boehner said after the close of European trading last week that he has held constructive budget talks with Obama.

The Stoxx 600 dropped 2.7 percent last week to its lowest level since Aug. 2 as concern mounted that U.S. lawmakers would fail to agree on a new budget. The gauge has lost 2.2 percent since the re-election of Obama on Nov. 6 set up a showdown with the Republican-controlled House of Representatives.

A U.S. report showed that sales of previously owned houses climbed to 4.79 million in October, near a two-year high.

National benchmark indexes climbed in every western- European market, except Iceland.

FTSE 100 5,737.66 +132.07 +2.36% CAC 40 3,439.58 +98.06 +2.93% DAX 7,123.84 +173.31 +2.49%

SAS AB (SAS) soared 23 percent to 6.90 kronor after SAS Group won the backing of all eight of the unions that represent its employees to cut jobs and shrink the business. Scandinavia’s biggest airline seeks to extend credit lines and cut costs by 6 billion kronor ($891 million).

Barclays Plc (BARC) climbed 6.6 percent to 249.8 pence after Goldman Sachs Group Inc. raised its recommendation for the shares to buy from neutral before the U.K.’s second-largest lender reveals details of its strategic review in February.

Hochtief AG jumped 5.1 percent to 37.82 euros, snapping a seven-day retreat, after the German builder announced the possible withdrawal of its chief executive officer, Frank Stieler, from the executive board.

Ocado Group Plc (OCDO) surged 24 percent to 75 pence after the British online grocer extended a 100 million-pound credit line, the biggest of the company’s debts, by 18 months until July 2015. The retailer also said it will raise 35.8 million pounds through a sale of shares to existing investors at 64 pence apiece, ending doubts over the company’s immediate survival.

Nokia Oyj (NOK1V) surged 9 percent to 2.30 euros after the company said it received reports that its new Lumia 920 smartphone had sold out in many shops in Germany. Nokia started selling the device, which uses Microsoft Corp.’s Windows Phone 8 operating system, earlier this month.

Fugro NV (FUR) sank 14 percent to 42.14 euros, its biggest drop in four years, after the Dutch oil-services company lowered its forecast for full-year profit to 280 million euros ($359 million). It cited low seismic-vessel utilization and a writedown at its subsea business. The shares also fell after the company’s chief executive officer, Arnold Steenbakker, resigned because of a “difference of opinion” over the future direction of the company, according to a statement.


Major stock indexes rose significantly in the course of trading, ending at the same session at session highs.
Optimism about the solution to the "fiscal cliff" continues to support the stock indices. Against this background, the S & P
500 shows the maximum daily increase in the past two months.
In addition to addressing the expectations of the "fiscal cliff", today strong growth also founded hope that the finance ministers of the Eurozone at tomorrow's final approval to the selection of the next tranche of financial aid to Greece.
Market confidence also added expectations truce in the Gaza Strip.
Also, investors are hoping that the fall in stock Apple (AAPL) was completed. AAPL shares today rose in value by more than 5.85%, reaching $ 558.55, making the Nasdaq rose above the rest.
Data on sales in the secondary market a significant impact on the dynamics of trade have not had since they came out mixed: as of October value of the index was at 4.79 million units compared with an expected 4.76 million, but the figure for the previous month was revised from 4, 75 million to 4.69 million
All components of the index DOW, except shares Johnson & Johnson (JNJ, -0,13%) and Intel Corporation (INTC, -0.12%), rising. Pressure on shares of INTC have a message about the change management. Shares rose more than other Bank of America Corporation (BAC, +3.67%).
All sectors of the index S & P, except one, are in the black. Maximum growth demonstrates the basic materials sector (+2.0%). In the red is only the utilities sector (-0.1%).
At the close:
Dow 12,795.65 +207.34 +1.65%
Nasdaq 2,916.07 +62.94 +2.21%
S & P 500 1,386.87 +26.99 +1.98%

07:43
European bourses are seen opening lower Tuesday: the FTSE down 5, the DAX down 8 and the CAC down 10.
07:20
Asian session: The yen rallied from near its weakest level

 

 

00:30 Australia RBA Meeting's Minutes -

04:30 Japan All Industry Activity Index, m/m September 0.0% -0.4% -0.3%

05:00 Japan BoJ Interest Rate Decision - 0.10% 0.10% 0.10%

05:00 Japan BoJ Monetary Policy Statement -

07:00 Australia RBA's Governor Glenn Stevens Speech

 

The yen rallied from near its weakest level in almost seven months as the Bank of Japan refrained from boosting stimulus measures at the conclusion of a two-day meeting today. The BOJ said today it would keep its asset-purchase fund at 66 trillion yen ($812 billion) and a credit-lending facility at 25 trillion yen. The Japanese currency rose versus most of its 16 major counterparts as BOJ Governor Masaaki Shirakawa and his board kept policy unchanged amid calls for unlimited easing by opposition leader Shinzo Abe, who polls indicate may become prime minister following elections next month.

The euro weakened against its peers after Moody’s Investors Service stripped France of its top government bond rating, renewing concern that Europe’s debt crisis will deepen. Moody’s cut France by one grade to Aa1 and said its outlook remains negative. “France’s fiscal outlook is uncertain as a result of its deteriorating economic prospects,” the ratings company said in a statement dated yesterday. Moody’s downgrade of the nation follows similar action by Standard & Poor’s in January.

Since S&P’s downgrade, French government bonds have gained 9.4 percent, compared with 3.4 percent for German debt, and 2.5 percent for that of the U.S., according to Bank of America Merrill Lynch data.

Finance officials from France, Germany, Italy and Spain convened yesterday in Paris to forge a common position on Greece’s next aid payment before a gathering with the rest of their euro-area counterparts today, according to a European aide. Lengthening maturities on Greek debt and lowering rates on the country’s bailout loans are the main options being discussed to plug a funding gap, said the official, who declined to be named because the talks aren’t public.


EUR/USD: during the Asian session the pair fell to $1.2765, but recovered later.

GBP/USD: during the Asian session, the pair rose to yesterday's highs.

USD/JPY: during the Asian session the pair fell to yesterday's lows.


There is a full calendar on both sides of the Atlantic Tuesday, with the Eurogroup meeting of EZ finance ministers likely to dominate proceedings later in the day. The meeting is primarily to discuss the disbursement of the next tranche of Greek aid. However, France will probably be mentioned in dispatches following the overnight downgrade by Moody's. European data gets underway at 0700GMT, with the release of the German October PPI data. At 0900GMT, German Finance Minister Wolfgang Schaeuble gives his budget speech in the Bundestag.


07:03
Germany: Producer Price Index (YoY), October +1.5% (forecast +1.6%)
06:22
Commodities. Daily history for Nov 19’2012:

Change % Change Last

 

Oil $89.16 -0.12 -0.13%

Gold $1,731.10 -3.30 -0.19%


06:22
Stocks. Daily history for Nov 19'2012:

Change % Change Last

 

Nikkei 225 9,153.2 +129.04 +1.43%

S&P/ASX 200 4,361.45 +24.60 +0.57%

Shanghai Composite 2,016.98 +2.26 +0.11%

FTSE 100 5,737.66 +132.07 +2.36%

CAC 40 3,439.58 +98.06 +2.93%

DAX 7,123.84 +173.31 +2.49%

Dow 12,795.65 +207.34 +1.65%

Nasdaq 2,916.07 +62.94 +2.21%

S&P 500 1,386.87 +26.99 +1.98% 


06:22
Currencies. Daily history for Nov 19'2012:

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

EUR/USD $1,2812 +0,59%

GBP/USD $1,5907 +0,12%

USD/CHF Chf0,9398 -0,61%

USD/JPY Y81,40 +0,20%

EUR/JPY Y104,31 +0,81%

GBP/JPY Y129,48 +0,32%

AUD/USD $1,0412 +0,66%

NZD/USD $0,8198 +0,96%

USD/CAD C$0,9961 -0,47%

06:02
Schedule for today, Tuesday, Nov 20’2012:

00:30 Australia RBA Meeting's Minutes -

04:30 Japan All Industry Activity Index, m/m September +0.1% -0.4%

05:00 Japan BoJ Interest Rate Decision - 0.10% 0.10%

05:00 Japan BoJ Monetary Policy Statement -

07:00 Australia RBA's Governor Glenn Stevens Speech -

07:00 Switzerland Trade Balance October 2.01 2.09

07:00 Germany Producer Price Index (MoM) October +0.3% +0.2%

07:00 Germany Producer Price Index (YoY) October +1.7% +1.6%

07:00 Japan BOJ Press Conference -

08:00 Eurozone Eurogroup Meetings -

13:30 Canada Wholesale Sales, m/m September +0.5% +0.3%

13:30 U.S. Building Permits, mln October 0.894 0.865

13:30 U.S. Housing Starts, mln October 0.872 0.840

14:00 U.S. FOMC Member Laker Speaks -

17:15 U.S. Fed Chairman Bernanke Speaks -

23:30 Australia Leading Index September +0.5%

23:50 Japan Adjusted Merchandise Trade Balance, bln October -980.3 -492.1

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