CFD Markets News and Forecasts — 25-10-2012

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25.10.2012
19:00
Dow 13,086.89 +9.55 +0.07% Nasdaq 2,987.88 +6.18 +0.21% S&P 500 1,412.18 +3.43 +0.24%
18:05
American focus: the dollar is growing

During the trade the yen against the dollar reached its lowest level in four months, as investors speculated that the Bank of Japan will expand monetary stimulus of the economy next week.

Japan's currency fell against most major currencies after the Nikkei newspaper reported that the Bank of Japan will consider increasing its program of asset purchases.

The dollar regained its early losses against the major currencies as risk appetite started to wane, and U.S. stocks moved into positive territory. Growth rates also helped the published data, which showed that orders for durable goods rose by 9.9% in September, after falling 13.1% in August. At the same time, economists had forecast an increase of 7.5%.

Also today, the rating agency Fitch said that its negative outlook on the U.S. credit rating at AAA is still unlikely to change until the end of 2013, as assess any reduction in the deficit will be possible only after the elections to be held this year.

Sterling has grown significantly, as data showed that the UK's gross domestic product rose by 1% in three months (to June), while showing the fastest rate of expansion in the last five years, and exceeded even the most optimistic estimates from analysts.


17:30
European stocks close:

European stocks climbed for a second day as companies including Unilever and Sanofi (SAN) posted results that exceeded analysts estimates.

Unilever gained 2.6 percent, its biggest advance in almost three months, after quarterly sales grew faster than analysts had projected. Sanofi rose 1.4 percent after France’s largest drugmaker reported third-quarter profit that retreated less than analysts had predicted.

The Stoxx Europe 600 Index increased 0.3 percent to 270.23 at the close in London as a report showed the U.K. moved out of recession in the third quarter.

Thirty-four companies in the Stoxx 600 post earnings today, according to data compiled by Bloomberg. Of the 89 companies that have reported profit so far this season, 47 have beaten estimates, while 41 have missed them.

The U.K.’s economy expanded in the third quarter more than predicted, rebounding from a recession. Gross domestic product climbed 1 percent from the second quarter, when it dropped 0.4 percent, the Office for National Statistics said.

In the U.S., a Commerce Department release showed orders for durable goods rose 9.9 percent in September. They dropped a revised 13.1 percent in August. Economists had forecast a 7.5 percent increase.

National benchmark indexes declined in 10 of the 18 western-European (SXXP) markets.

FTSE 100 5,805.05 +0.27 0.00% CAC 40 3,411.53 -14.96 -0.44% DAX 7,200.23 +7.38 +0.10% 

Debenhams Plc (DEB) jumped 9.2 percent to 119 pence, the highest price in five years, after saying it will continue to buy back shares next year. The U.K. department-store retailer raised its target for online sales to 600 million pounds ($967 million) from 500 million pounds and said it plans to have a total of 150 franchise stores within the next five years.

Daimler slipped 2.7 percent to 36.79 euros after the German carmaker lowered its 2012 forecast and said it will no longer reach its 2013 operating-margin targets because of tougher market conditions.

WPP Plc (WPP) fell 2.3 percent to 789.5 pence after cutting its full-year sales growth target for the second time in two months. The world’s largest advertising company said revenue, excluding currency fluctuations and acquisitions, will grow 2.5 percent to 3 percent, compared with a previous forecast of about 3.5 percent.

France Telecom SA (FTE) slid 5.2 percent to 8.83 euros after saying it will pay a dividend of 80 cents in both 2012 and 2013. The former telecommunications monopoly made a payout of 1.40 euros in 2011.

Logitech International SA (LOGN) plunged 16 percent to 6.92 francs, its biggest tumble in nine years, after the world’s largest maker of computer mice forecast lower sales and operating profit in the second half of the current fiscal year than a year earlier.


16:05
European stocks close: FTSE 100 5,805.05 +0.27 0.00% CAC 40 3,411.53 -14.96 -0.44% DAX 7,200.23 +7.38 +0.10%
15:50
Oil is trading at a higher

After five consecutive sessions of falls, oil futures have moved into positive territory, driven by stronger-than-expected economic data from the UK.

Note that in the last days presented a flurry of economic data, some of which were positive, although it is also present and negative indicators. In this regard, market participants said that the sale of almost 7% in the last days is probably exaggerated.

Also, many traders are now awaiting the release of the U.S. GDP, which will be presented tomorrow. Note that a bad result could cause a decline in oil prices, while a surprisingly positive can help oil return back to the trading range of $ 88 - $ 93.

At the same time, today, China has provided an index of purchasing managers in manufacturing, which rose to 49.1 in October, compared with the final reading at the level of 47.9 in September, the highest level since July.

The data is likely to add to the positive sentiment about the prospects for the Chinese economy, but at the same time, the value below 50 indicates contraction in the sector.

Participants also supported the oil market news that the Bank of Japan is considering the possibility of further easing to stimulate economic recovery.

December futures price of U.S. light crude oil WTI (Light Sweet Crude Oil) is 85.34 per barrel on the New York Mercantile Exchange.

December futures price of North Sea Brent crude oil mix is ​​now 108.13 a barrel on the London Stock Exchange ICE Futures Europe.


15:26
Gold prices rose significantly

Gold futures retreated from a seven-week low, which was due to a significant increase in demand for bullion buyers in India, which is the largest importer of gold in the world, while other investors started to buy due to the rather low prices.

Most actively traded contract, for December delivery recently gained $ 14.50, or 0.9%, to $ 1,716.10 per troy ounce.

Earlier, the price of gold fell to its lowest level in seven weeks, as investors feared that the accompanying statement, the Federal Open Market Committee, the Fed will hint to change the program to stimulate the economy.

Instead, the central bank said the continuation of the non-standard measures to support the economy, as well as holding interest rates near zero until mid-2015.

Some investors are bearish on gold, returned to the market as buyers to close their positions and lock in profits.

The falling price of gold also lured jewelers from India, which entered the market as buyers. Demand for gold in India has been under pressure from record high domestic prices and the depreciation of the Indian rupee against the dollar. Since gold is traded in dollars, it becomes more expensive for buyers using other currencies, the rate of which is weakening the dollar.

Note that the demand for gold is now almost two times higher compared with sales in July and August, but at the same time it is lower compared to the previous year.

Recall that the Indian buyers are crucial to the world gold market, since they are the second largest segment of demand after China, which is the largest producer and consumer of gold in the world.

November futures price of gold on COMEX today rose by $12.7 and now is $1713.30 an ounce.


14:28
EUR / USD tests 1.2970

 

 

After reaching a maximum in the European session at 1.3023 the EUR / USD began to retreat, met strong resistance from the MA (200) for H1, and after breaking the mark of 1.3000 the rate of decline has accelerated, at the opening of trading in the U.S. has led to the quotation just above 1.2970. After the release of U.S. data continued to decline and is now entrenched in 1.2960-70.


 


 

14:00
U.S.: Pending Home Sales (MoM) , September +0.3% (forecast +2.4%)
13:46
Option expiries for today's 1400GMT cut:

 

 

EUR/USD $1.2920, $1.2950, $1.3000, $1.3100, $1.3200

 

GBP/USD $1.6100, $1.6200

AUD/USD $1.0240, $1.0350, $1.0390, $1.0400

USD/JPY Y78.95, Y79.00, Y80.00

EUR/GBP stg0.8155


 

13:36
US Stocks open: Dow 13,155.80 +78.46 +0.60%, Nasdaq 3,004.59 +22.89 +0.77%, S&P 1,420.59 +11.84 +0.84%
13:31
FTSE 100 5,828.73 +23.95 +0.41%, CAC 40 3,437.33 +10.84 +0.32%, DAX 7,235.03 +42.18 +0.59%
13:29
Before the bell: S&P futures +0.55%, Nasdaq futures +0.68%

 

 

U.S. stock futures rose, indicating the Standard & Poor’s 500 Index will rebound from the lowest level in seven weeks, amid better-than-estimated earnings from PulteGroup Inc. (PHM, the largest U.S. homebuilder by revenue), Aetna Inc. (AET, the third-biggest U.S. health insurer), Symantec Corp. (SYMC, the biggest security-software maker), Wynn Resorts Ltd. (WYNN, owner of casinos in Nevada and Macau).

Global Stock:

Nikkei  9,055.2 +100.90 +1.13%
Hang Seng 21,810.23 +46.45 +0.21%
Shanghai Composite 2,101.58 -14.41 -0.68%
FTSE  5,824.99 +20.21 +0.35%
CAC  3,437.87 +11.38 +0.33%
DAX 7,235.06 +42.21 +0.59%
Crude oil $86.26 +0,62%
Gold $1715.50 +
0.82%

13:16
USD/JPY Grinds to fresh highs of Y80.24 on release of US Durable Gooods/Jobless Claims data that came in-line with expectations.

 

 


 

 

Strong offers reported at Y80.30/35, through here opens more at Y80.40 from option defensive names with CTA stops on a break.


 


 

12:44
The dollar rose after the release of U.S. data on durable goods orders and initial jobless claims
12:31
U.S.: Durable Goods Orders , September +9.9% (forecast +6.9%)
12:31
U.S.: Durable Goods Orders ex Transportation , September +2.0% (forecast +0.8%)
12:31
U.S.: Durable goods orders ex defense, September +9.1% (forecast +0.3%)
12:31
U.S.: Initial Jobless Claims, 369 (forecast 366)
12:30
U.S.: Chicago Federal National Activity Index, September 0.00 (forecast -0.20)
12:22
European session: the pound jumped against the dollar

 

 


 

Data

08:00 Eurozone M3 money supply, adjusted y/y September +2.9% +3.0% 2.7%

08:30 United Kingdom GDP, q/q (preliminary) Quarter III -0.4% +0.6% 1.0%

08:30 United Kingdom GDP, y/y (preliminary) Quarter III -0.5% -0.5% 0.0%

10:15 United Kingdom MPC Member Tucker Speaks -


The yen dropped to its weakest level in four months against the dollar as investors speculated that the Bank of Japan will expand monetary stimulus next week. Japan’s currency gained for the first time in three days versus the euro after the Nikkei newspaper reported the BOJ will consider increasing its asset-purchase program.

The pound jumped against the dollar as Britain emerged from its recession more strongly than economists predicted. U.K. gross domestic product rose 1 percent from the three months through June, the fastest expansion in five years, the Office for National Statistics said in London today. That exceeded the highest estimate for growth of 0.8 percent.

Euro retreated from session highs against the background of weak economic statistics. In the eurozone, the volume of consumer credit continued to fall in September, reflecting a decline of 0.8% y / y vs. -0.6% in August. The growth rate of the M3 monetary aggregate in the region slowed to 3.0% 3m/3m and 2.7% y / y from 3.1% / 2.8% in the previous period. The market expects the index data of German consumer confidence from the GfK, performance indicator of consumer confidence in France, which will be released tomorrow.

The New Zealand dollar rose against the U.S. dollar to two-week highs after the Reserve Bank of New Zealand decided to keep the base interest rate at 2.5%. The new president of the bank in a statement Grime Wheeler noted that the global economy is still weak and although the market outlook earlier this year has already begun to improve, the future of the world economy is still not optimistic. According to him, the annual inflation rate in New Zealand was 0.8 percent, down 3.1 percentage corridor allowed by the Central Bank. However, the president predicted that this figure could go up to the middle of the expected gap. "The central bank will closely watch for changes in the coming months," - said Grime Wheeler.

Limited demand for the dollar after the Federal Reserve yesterday said it plans to buy more securities in the third round of quantitative easing, which lead to a depreciation of the U.S. currency. In a statement, the Fed noted modest growth in the U.S. economy and the continuing high level of unemployment in the country.

EUR / USD: during the European session, the pair rose to $ 1.3023, and then fell to $ 1.2985

GBP / USD: during the European session, the pair rose to a new high of $ 1.6143

USD / JPY: during the European session, the pair rose to a new high of Y80.21


Continue day block statistics U.S. at 12:30 GMT - the change in orders for durable goods, including excluding transportation equipment in September, the number of initial claims for unemployment insurance, the number of repeated applications for unemployment benefits, at 14:00 - volume change pending home sales for September. At 21:45 GMT New Zealand will release the trade balance (for 12 months, from the beginning of the year), trade balance for September. At 23:30 GMT Japan's consumer price index will be released in Tokyo, including excluding prices for fresh food, excluding prices for food and energy in October, the consumer price index, including excluding prices for fresh food, excluding prices for food and energy in September.


12:02
Orders

 

EUR/USD

Offers    $1.3060, $1.3050, $1.3035/40

Bids   $1.2980/70, $1.2950, $1.2940, $1.2920, $1.2900

 

AUD/USD

Offers    $1.0520, $1.0500, $1.0450, $1.0400 

Bids   $1.0360/65, $1.0320, $1.0310, $1.0295/90


GBP/USD

Offers   $1.6215/20, $1.6200, $1.6150

Bids   $1.6085/80, $1.6060, $1.6045/40, $1.5980/70


EUR/JPY

Offers   Y105.20, Y105.00, Y104.80, Y104.50

Bids   Y103.80/70, Y103.60, Y103.10/00


USD/JPY

Offers   Y81.00, Y80.80, Y80.50, Y80.40, Y80.30/35

Bids    Y79.95/90, Y79.50, Y79.30


EUR/GBP

Offers   stg0.8160/65,  stg0.8130, stg0.8110/20, stg0.8100

Bids   stg0.8050, stg0.8000, stg0.7980


 

10:17
European stocks climbed for a second day

 

 

European stocks climbed for a second day as companies including BASF SE (BAS) and Unilever NV (UNA) posted results that exceeded analysts’ estimates.

Of the 85 companies that have reported profit so far this season, 43 have beaten estimates, while 41 have missed them.

Britain's GDP today presented a pleasant surprise, registering up third quarter growth of 1.0% q / q, which was above market forecast +0.6%. The results were the highest since Q3. 2007 and broke a streak of three consecutive quarterly declines, suggesting that the UK economy officially emerged from the recession phase.

In the eurozone, the volume of consumer credit continued to fall in September, reflecting a decline of 0.8% y / y vs. -0.6% in August. The growth rate of the M3 monetary aggregate in the region slowed to 3.0% 3m/3m and 2.7% y / y from 3.1% / 2.8% in the previous period. In Italy, the same salary for September rose by 0.1% m / m, with a decline of 1.4% y / y

Unilever gained 3.4 percent to 28.66 euros after the world’s second-biggest consumer-goods company said third-quarter revenue grew 5.9 percent. That beat the 5.3 percent increase estimated by analysts.

BASF added 1.4 percent to 63.54 euros after saying earnings before interest, taxes and one-off items increased 5.4 percent to 2.07 billion euros ($2.7 billion), beating the average analyst forecast of 1.94 billion euros. The world’s largest chemical maker reiterated its full-year target for earnings and sales to increase, while cutting its forecast for economic growth.

Credit Suisse Group AG advanced 2.2 percent to 21.79 Swiss francs after Switzerland’s second-largest bank said it intends to reduce costs by 1 billion francs ($1.1 billion) through the end of 2015. The lender already planned a 3 billion-franc savings program.

 

FTSE 100 5,827.88 +23.10 +0.40%

CAC 40 3,448.1 +21.61 +0.63%

DAX 7,235.45 +42.60 +0.59%

 

09:59
The yield on 10-year bonds of Spain fell by 4 bp to 5.53%
09:44
The pound rose sharply against the dollar and the euro after data on UK GDP for the 3rd quarter

 

 

The British pound rose to a week high against the U.S. dollar and the euro after the release of the UK GDP, which were higher than expected and reinforced hopes that the economy is recovering.

The growth came after preliminary data showed that UK GDP in the 3rd quarter increased by 1%. This was better than expectations of economists had forecast that GDP growth will be 0.6%.

GBP / USD pair rose to $ 1.6139, and the pair EUR / GBP updated minimum at around stg0.8063.


 

09:26
Option expiries for today's 1400GMT cut

 

 

EUR/USD $1.2920, $1.2950, $1.3000, $1.3100, $1.3200

 

GBP/USD $1.6100, $1.6200

AUD/USD $1.0240, $1.0350, $1.0390, $1.0400

USD/JPY Y78.95, Y79.00, Y80.00

EUR/GBP stg0.8155


 

09:00
Asia Pacific stocks close:

 

 

Most Asian stocks stocks advanced as exporters climbed amid signs of improvement in China’s factory output and the U.S. housing market.

Nikkei 225 9,055.2 +100.90 +1.13%

S&P/ASX 200 4,510.5 +4.68 +0.10%

Shanghai Composite 2,105.99 -10.00 -0.47%

James Hardie Industries SE, a supplier of building materials that counts the U.S. as its biggest market, rose 1.1 percent in Sydney.

Huaneng Power International Inc., a Chinese electricity producer, gained 1.5 percent in Hong Kong.

Sharp Corp. sank 3.6 percent in Tokyo after the Nikkei newspaper reported that the maker of Aquos televisions may report a first- half loss of 400 billion yen ($5 billion).


08:31
United Kingdom: GDP, q/q, Quarter III 1.0% (forecast +0.6%)
08:31
United Kingdom: GDP, y/y, Quarter III 0.0% (forecast -0.5%)
08:15
FTSE 100 5,837.72 +32.94 +0.57%, CAC 40 3,453.73+27.24 +0.79%, DAX 7,224.01 +31.16 +0.43%.
08:03
Eurozone: M3 money supply, adjusted y/y, September 2.7% (forecast +3.0%)
07:04
Forex: Wednesday’s review

 

 

Yesterday the euro fell against most major currencies, reaching with respect to the dollar the lowest level in more than a week, after data showed that business activity in the services sector and manufacturing declined in October, more than economists forecast.

The single currency fell against the yen against the fact that the data from Germany showed that German business confidence fell to its lowest level since February 2010.

The euro recovered some losses incurred before, after reports of talks between Greece and international officials on financial aid.

At the same time, market participants are waiting for the accompanying statement by the Committee on the Federal Open Market, which puts pressure on the euro.

It is learned that officials of the European Union, the European Central Bank and the International Monetary Fund rejected the German proposal to tighten Greek access to care. ECB President Mario Draghi said that the so-called "troika" has not made any proposals for Greece. The officials discussed the agreement, which would pave the way for the next payment to the affected countries.

The dollar index (DXY) fluctuated after a report showed that sales of new U.S. homes rose to two-year high in September. Sales climbed 5.7% to 389,000 year on year, after a revised 368,000 in August.

The Australian dollar rose against all 16 most-traded currencies after a report that showed that the PMI index for the manufacturing in China rose in October to the three-month high, reaching the mark with 49.1, compared with 47.9 in September. At the same time, data from Australia showed that consumer prices in Australia increased in the third quarter by 2.0% in annual terms. This value significantly exceeded analysts who had expected annual growth of 1.6% after increasing 1.2% in the second quarter.

The pound rose to a three-month high against the euro on optimism that the UK economy emerged from recession in the third quarter, which led to increased demand for British assets. UK currency rose against all but two of its 16 major counterparts, even after a report showed that the balance of industrial orders fell unexpectedly in October.

The Canadian dollar fell after the governor of the Bank of Canada Carney said that the need to raise interest rates was "less inevitable," after rising in the case of tighter monetary policy.

06:42
Stocks: Wednesday’s review

 

 

Asian stocks dropped, with the regional benchmark index heading for its fourth straight loss, as the global economic slowdown crimps corporate earnings and after commodities erased this year’s gains.

Nikkei 225 8,954.3 -59.95 -0.67%

S&P/ASX 200 4,505.8 -37.27 -0.82%

Shanghai Composite 2,113.26 -1.19 -0.06%

BHP Billiton Ltd., the world’s largest mining company, declined 1.4 percent in Sydney.

Kawasaki Heavy Industries Ltd. sank 5.7 percent Tokyo after the gas-turbine maker said first- half earnings missed its forecasts.

Esprit Holdings Ltd. slumped 11 percent as the clothier resumed trading in Hong Kong after saying first-quarter sales plummeted and it plans to raise HK$5.2 billion ($671 million) in a rights offer.

 

European stocks advanced, after yesterday tumbling the most in four weeks, as technology companies rallied, outweighing worsening economic data from the euro area.

SAP AG (SAP) gained 4.2 percent after the world’s biggest maker of business-management software raised its full-year revenue target as license sales beat estimates. STMicroelectronics NV (STM) climbed 4.2 percent on plans to cut costs. Volvo AB and Nordea Bank AB (NDA) retreated more than 1.5 percent after the companies reported third-quarter earnings that missed projections.

The Stoxx Europe 600 Index (SXXP) rose 0.4 percent to 269.52 at the close in London, after earlier falling as much as 0.4 percent.

Stocks slid earlier as separate reports showed euro-area services and manufacturing output have contracted more than economists had forecast, while German business confidence unexpectedly declined.

In Munich, the Ifo institute said its business-climate index, based on a survey of 7,000 executives, dropped to 100 from 101.4 in September. That’s the sixth straight decline and the lowest reading since February 2010. Economists had predicted an increase to 101.6.

National benchmark indexes climbed in 15 of the 18 western- European markets.

FTSE 100 5,804.78 +6.87 +0.12% CAC 40 3,426.49 +19.99 +0.59% DAX 7,192.85 +19.16 +0.27%

Stocks also advanced today after a report in China showed a measure of manufacturing in the world’s second-largest economy rose for October. The preliminary reading of a purchasing managers’ index from HSBC Holdings Plc and Markit increased to 49.1. The final level in September was 47.9.

SAP rallied 4.2 percent to 55.07 euros after the company said sales of new licenses, an indicator of future revenue, increased 12 percent to 1.03 billion euros ($1.3 billion), excluding currency swings. That exceeded the average analyst estimate of 980 million euros. The company also forecast that growth in software and related services sales, based on non-IFRS accounting rules, will reach the upper end of a range of 10.5 percent to 12.5 percent this year, because of contributions from Ariba Inc. and

STMicroelectronics gained 4.2 percent to 4.85 euros after Europe’s largest chipmaker said it will cut costs by $150 million a year by the end of 2013 and will temporarily close plants. The company forecast that fourth-quarter revenue may fall as much as 5 percent amid weakening demand in Europe.

ASML Holding NV (ASML), Europe’s largest semiconductor-equipment supplier, advanced 2.7 percent to 41.58 euros. ARM Holdings Plc (ARM) climbed 5.6 percent to 675.5 pence, extending yesterday’s 7.7 percent rally.

Volkswagen AG climbed 3.1 percent to 151 euros after Europe’s largest carmaker reported earnings that met analysts’ estimates and sales that increased. Operating profit fell 19 percent in the third quarter to 2.34 billion euros, in line with the 2.39 billion-euro average analyst estimate. Sales rose 27 percent to 48.8 billion euros.

Reckitt Benckiser Group Plc (RB/) gained 3.7 percent to 3,768 pence, the highest price since at least 1988, after the maker of Nurofen reported revenue that beat estimates.

Telenor ASA (TEL) jumped 6.1 percent to 110.70 kroner after Norway’s largest phone operator reported a 41 percent surge in third-quarter net income to 3.65 billion kroner ($634 million) helped by increasing sales in markets such as Thailand and Malaysia. Analysts had predicted profit of 3.4 billion kroner, the average of estimates compiled by Bloomberg. Sales advanced 2.5 percent to 25.3 billion kroner.

PSA Peugeot Citroen dropped 4.6 percent to 5.56 euros after the French government guaranteed as much as 7 billion euros of new bonds for Europe’s second-largest carmaker in exchange for greater influence over its strategy.


Growth indexes started the session, but failed to keep the levels achieved, and finished the session below zero.

Support indices had no published data on home sales in the primary market, which were slightly better than expected (389 vs. 386 thousand thousand).

After announcement of the outcome of the meeting of the Committee on the Federal Open Market optimism among investors has decreased, causing a decrease in the major U.S. stock indexes.

As expected, the Federal Reserve's meeting itself did not bring anything new, and was voiced readiness to continue to hold non-standard measures to stimulate the economy.

DOW index components exhibit predominantly negative dynamics. More than others in the share price fell Cisco Systems (CSCO, -3.50%). Shares have risen above the rest United Technologies Corp. (UTX, +1,12%), JP Morgan Chase & Co (JP, +0,90) and Procter & Gamble (PG, +0.87%).

Most of the sectors are in the red. More rest down the service sector (-0.5%). Significantly above the rest is the sector conglomerates (0.7%). Zero growth shows the financial sector.

At the close:

Dow -25.11 13,077.42 -0.19%

Nasdaq -8.76 2,981.70 -0.29%

S & P -4.35 1,408.76 -0.31%


06:24
European bourses are initially seen trading flat to modestly higher on Thursday: the FTSE up 2, the DAX higher by 4 and the CAC gaining 1.
06:01
Asian session: The yen weakened against all its major counterparts

 

 

02:00 China Leading Index September +1.7% +0.3%

 

The yen weakened against all its major counterparts as stocks rose and investors speculated that the Bank of Japan will expand monetary stimulus next week. Japan’s Economy Minister Seiji Maehara, who has been calling for more action from the central bank, said earlier this week that he may attend the Oct. 30 meeting if his schedule permits. He was present at the central bank’s previous gathering this month, the first minister to do so for more than nine years. The BOJ last time expanded stimulus on Sept. 19, boosting the size of its asset-purchase program by 10 trillion yen ($125 billion).

New Zealand’s dollar reached its highest level in two weeks following the Reserve Bank’s decision to keep interest rates unchanged. Reserve Bank of New Zealand Governor Graeme Wheeler left the official cash rate at a record low 2.5 percent. Sluggish domestic demand and a rising currency have pushed inflation below the central bank’s target range of 1 percent to 3 percent target range.

The euro traded below $1.30 for a third day before data forecast to show German consumer confidence will fail to improve in November and French household sentiment fell for a fourth month, adding to signs that the region’s debt crisis is hampering growth in its biggest economies.

Demand for the dollar was limited after the Federal Reserve said it plans to continue bond buying in a third round of quantitative easing, which tends to debase the U.S. currency. The Fed said yesterday in a statement after a two-day policy meeting that the U.S. economy is still growing modestly and unemployment remains elevated.


EUR/USD: during the Asian session, the pair rose, approaching the previous day's high.

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

USD/JPY: during the Asian session, the pair rose to yesterday's high.


The release of the first estimate of UK GDP for the third quarter at 0830GMT is the singular data highlight for the week. At 1015GMT, the UK Bank of England  Deputy Governor Paul Tucker is due to deliver a speech in London. ECB September M3 is due to be published at  0800GMT along with Italian retail sales for the month of August. The US calendar kicks off at 1200GMT, with the release of US  September Building Permits Revision. At 1230GMT we see the release of US 20-October Initial Jobless Claims, which are expected to return to a more stable range of 370,000 after the wild swings in the last two weeks, which MNI noted were due to some technicalities in state reporting. Also at 1230GMT US September Durable Goods orders are due to be released and are expected to show modest gains in core figures, which exclude transportation and defence. Headline orders are expected to surge. Further US data is expected at 1400GMT, with the release of US  September NAR Pending Home Sales.


05:22
Commodities. Daily history for Oct 24’2012:

Change % Change Last

 

Oil $85.63 -0.10 -0.12%

Gold $1,704.20 +2.60 +0.15%


05:22
Stocks. Daily history for Oct 24'2012:

Change % Change Last

 

Nikkei 225 8,954.3 -59.95 -0.67%

S&P/ASX 200 4,505.8 -37.27 -0.82%

Shanghai Composite 2,113.26 -1.19 -0.06%

FTSE 100 5,804.78 +6.87 +0.12%

CAC 40 3,426.49 +19.99 +0.59%

DAX 7,192.85 +19.16 +0.27%

Dow -25.11 13,077.42 -0.19%

Nasdaq -8.76 2,981.70 -0.29%

S&P -4.35 1,408.76 -0.31% 


05:21
Currencies. Daily history for Oct 24'2012:

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

EUR/USD $1,2969 -0,12%

GBP/USD $1,6035 +0,53%

USD/CHF Chf0,9325 0,00%

USD/JPY Y79,79 -0,08%

EUR/JPY Y103,49 -0,20%

GBP/JPY Y127,95 +0,45%

AUD/USD $1,0347 +0,79%

NZD/USD $0,8192 +0,90%

USD/CAD C$0,9936 +0,14%

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