SamTrader1
Active member
- Messages
- 164
- Likes
- 0
By, BinaryOptionStrategy.com
Equities
Growing optimism towards the Greek debt crisis helped push Asian markets higher for a second day, after the government survived a vote of no confidence, paving the way for austerity measures. Japan’s Nikkei surged 1.8% to 9629, leading the region. The Kospi rose .8%, and the ASX 200 gained .5%, while China’s markets closed marginally higher, weighed down by banks. The Shanghai Composite inched up .1%, and the Hang Sang closed up just .04%.
Nikkei Rebounds to 3 Week High
European markets closed down slightly, as the CAC40 and DAX slipped .1%, and the FTSE fell less than .1%. Consumer electronics giant, Phillips, tumbled 9.8% after issuing a profit warning.
US markets sold off in the last 2 hours, after trading sideways most of the day, awaiting the FOMC statement. Fed chairman, Bernanke, lowered the GDP outlook as the recovery slowed, but offered no hints of future stimulus plans. The Dow fell 80 points to 12110, while the S&P 500 and Nasdaq slid .7%.
In earnings news, Adobe dropped 6% despite strong earnings after issuing a weaker than expected outlook. Carmax jumped 7% on better than expected earnings, and Fedex rose 2.6% on strong earnings a solid outlook.
Treasuries and Commodities
US bonds closed flat, with the 10-year note yielding 2.99% and the 30-year note yielding 4.22%. In German, bonds rose, as 5-year notes gained .22, to yield 2.14%, and 10-year notes rose .32, yield 2.94%.
The energy sector traded mostly higher, led by gasoline futures which jumped 2.8% to 2.9626. Brent crude climbed 2.5% to 113.73, and US crude added .8% to 94.91. Natural gas was an exception, sinking 1.6% to 4.319.
Metals closed mixed, as gold rose .2% to 1548.90, while silver fell .1% to 36.35, and copper lost .5% to 4.0685.
Agricultural futures tumbled, as wheat lost 5..3%, corn declined 4.2% and soybeans fell 1.4%.
Currencies
The Dollar closed mostly higher against major world currencies. The Pound led the declines, falling 1% to 1.6069, and the Euro shed .3% to 1.4353. The Australian Dollar eased .2%, while the Swiss Franc rose .2% to .8394.
Economic Outlook
Although the Fed formally acknowledged the recovery was slowing, it was merely an acknowledgment of the recent wave of weak economic data. At this point, another wave of stimulus is unlikely, especially given the growing concerns about sovereign debt and the budget ceiling.
Weekly mortgage applications dropped last week, even as the benchmark 10-year Treasury hovers below 3%. Oil inventories fell 1.7 million barrels, more than expected.
Thursday’s reports will include New Home Sales, weekly jobless claims, and Money Supply.
Earnings are due from ConAgra, OH&R Block, Oracle, Rite-Aid, Accenture, Discover, and Micron Technology.
Equities
Growing optimism towards the Greek debt crisis helped push Asian markets higher for a second day, after the government survived a vote of no confidence, paving the way for austerity measures. Japan’s Nikkei surged 1.8% to 9629, leading the region. The Kospi rose .8%, and the ASX 200 gained .5%, while China’s markets closed marginally higher, weighed down by banks. The Shanghai Composite inched up .1%, and the Hang Sang closed up just .04%.
Nikkei Rebounds to 3 Week High
European markets closed down slightly, as the CAC40 and DAX slipped .1%, and the FTSE fell less than .1%. Consumer electronics giant, Phillips, tumbled 9.8% after issuing a profit warning.
US markets sold off in the last 2 hours, after trading sideways most of the day, awaiting the FOMC statement. Fed chairman, Bernanke, lowered the GDP outlook as the recovery slowed, but offered no hints of future stimulus plans. The Dow fell 80 points to 12110, while the S&P 500 and Nasdaq slid .7%.
In earnings news, Adobe dropped 6% despite strong earnings after issuing a weaker than expected outlook. Carmax jumped 7% on better than expected earnings, and Fedex rose 2.6% on strong earnings a solid outlook.
Treasuries and Commodities
US bonds closed flat, with the 10-year note yielding 2.99% and the 30-year note yielding 4.22%. In German, bonds rose, as 5-year notes gained .22, to yield 2.14%, and 10-year notes rose .32, yield 2.94%.
The energy sector traded mostly higher, led by gasoline futures which jumped 2.8% to 2.9626. Brent crude climbed 2.5% to 113.73, and US crude added .8% to 94.91. Natural gas was an exception, sinking 1.6% to 4.319.
Metals closed mixed, as gold rose .2% to 1548.90, while silver fell .1% to 36.35, and copper lost .5% to 4.0685.
Agricultural futures tumbled, as wheat lost 5..3%, corn declined 4.2% and soybeans fell 1.4%.
Currencies
The Dollar closed mostly higher against major world currencies. The Pound led the declines, falling 1% to 1.6069, and the Euro shed .3% to 1.4353. The Australian Dollar eased .2%, while the Swiss Franc rose .2% to .8394.
Economic Outlook
Although the Fed formally acknowledged the recovery was slowing, it was merely an acknowledgment of the recent wave of weak economic data. At this point, another wave of stimulus is unlikely, especially given the growing concerns about sovereign debt and the budget ceiling.
Weekly mortgage applications dropped last week, even as the benchmark 10-year Treasury hovers below 3%. Oil inventories fell 1.7 million barrels, more than expected.
Thursday’s reports will include New Home Sales, weekly jobless claims, and Money Supply.
Earnings are due from ConAgra, OH&R Block, Oracle, Rite-Aid, Accenture, Discover, and Micron Technology.