SamTrader1
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By, BinaryOptionStrategy.com
Equities
Most Asian markets rallied, led by the Nikkei which jumped 1.5% to 9797, reaching a 7-week high. Upbeat industrial production data from Japan, helped boost the region. The Kospi advanced 1.5% to 2094, and the ASX 200 gained 1.2%. As is often the case, China’s markets set their own course, as the Shanghai Composite slumped 1.1% as banks declined, and the Hang Seng closed flat.
The first of two Greek parliamentary votes was successful, as stiff austerity measures needed to secure a bailout were approved. Both sets of votes are needed to get the bailout package from the ECB and IMF, European markets rallied sharply, as the CAC40 gained 1.9%, the DAX rose 1.7%, and the FTSE climbed 1.5%.
US markets advanced for a third day, as the Dow rose 73 points to 12261, and the Nasdaq gained .4%. The VIX dropped 9.9% to 17.27, after climbing above 21 earlier in the weak.
Dow Gains more than 70 Points
Visa soared 15% and Mastercard jumped 11.3%, after the government imposed limit of debit card usage fees was set higher than feared.
Home builders slumped, after KB Home reported a worse than expected loss, sending the shares down more than 15%.
Treasuries and Commodities
Bonds prices continue to fall, as combined impact of renewed investor optimism and the end of QE2 lowers the appeal of low-yielding treasuries. 10- year notes dropped 22/32 to yield 3.11%, and 30-year notes fell 25/32 to yield 4.37%. QE2 officially ends on Thursday.
A $29 billion auction of 7-year notes had a relatively weak bid-to-cover ratio of 2.62%, with a high yield of 2.43%
Commodities staged a strong rally, particularly the energy sector. US crude rose 2.06 to 94.95, and Brent Crude jumped 3.4% to 112.43. Gasoline futures soared 4.2%, crossing back above $3 to settle at 3.0103. Natural gas did not participate in the rally, sinking .9% to 4.316.
Currencies
Currency traders returned to risk-on mode, as the Australian Dollar soared 1.4% to 1.0676, and the Canadian Dollar jumped 1% to .9706. The Euro and Pound both rose .4%, while the Swiss Franc eased .3% to .8350.
Economic Outlook
Pending home sales blew past expectations, rising 8.2%, compared to a forecast of 2.4%, and a sharp turnabout from last months 11.3% decline. Weekly mortgage applications fell last week, while oil inventories dropped more than expected.
Thursday’s economic reports will include weekly jobless claims, and Chicago PMI. On the international front, the second vote of the Greek parliament will take place on Thursday, and Canada is due to report GDP data.
Equities
Most Asian markets rallied, led by the Nikkei which jumped 1.5% to 9797, reaching a 7-week high. Upbeat industrial production data from Japan, helped boost the region. The Kospi advanced 1.5% to 2094, and the ASX 200 gained 1.2%. As is often the case, China’s markets set their own course, as the Shanghai Composite slumped 1.1% as banks declined, and the Hang Seng closed flat.
The first of two Greek parliamentary votes was successful, as stiff austerity measures needed to secure a bailout were approved. Both sets of votes are needed to get the bailout package from the ECB and IMF, European markets rallied sharply, as the CAC40 gained 1.9%, the DAX rose 1.7%, and the FTSE climbed 1.5%.
US markets advanced for a third day, as the Dow rose 73 points to 12261, and the Nasdaq gained .4%. The VIX dropped 9.9% to 17.27, after climbing above 21 earlier in the weak.
Dow Gains more than 70 Points
Visa soared 15% and Mastercard jumped 11.3%, after the government imposed limit of debit card usage fees was set higher than feared.
Home builders slumped, after KB Home reported a worse than expected loss, sending the shares down more than 15%.
Treasuries and Commodities
Bonds prices continue to fall, as combined impact of renewed investor optimism and the end of QE2 lowers the appeal of low-yielding treasuries. 10- year notes dropped 22/32 to yield 3.11%, and 30-year notes fell 25/32 to yield 4.37%. QE2 officially ends on Thursday.
A $29 billion auction of 7-year notes had a relatively weak bid-to-cover ratio of 2.62%, with a high yield of 2.43%
Commodities staged a strong rally, particularly the energy sector. US crude rose 2.06 to 94.95, and Brent Crude jumped 3.4% to 112.43. Gasoline futures soared 4.2%, crossing back above $3 to settle at 3.0103. Natural gas did not participate in the rally, sinking .9% to 4.316.
Currencies
Currency traders returned to risk-on mode, as the Australian Dollar soared 1.4% to 1.0676, and the Canadian Dollar jumped 1% to .9706. The Euro and Pound both rose .4%, while the Swiss Franc eased .3% to .8350.
Economic Outlook
Pending home sales blew past expectations, rising 8.2%, compared to a forecast of 2.4%, and a sharp turnabout from last months 11.3% decline. Weekly mortgage applications fell last week, while oil inventories dropped more than expected.
Thursday’s economic reports will include weekly jobless claims, and Chicago PMI. On the international front, the second vote of the Greek parliament will take place on Thursday, and Canada is due to report GDP data.