Aug 01


  • BY: Nati
  • August, 01st, 2013 7:41 +00:00

Chinese State Council Information Office has said that the nation cannot blindly stimulate economic growth, nor can it allow growth to decelerate to a level below a reasonable zone, following the July PMI came out at 50.3. Chinese stocks rose after Chinese Priemer, Li Keqiang, has committed that the 7.5% growth target for 2013 may be met. The AUD has touched a three year low as expectations that the Reserve Bank of Australia is set to lower the benchmark interest rate. AUD/USD was trading at 0.8969 with a high of 0.8991 and a low of 0.8924 so far.

The NIKKEI closed at 14005.80 up 337.45 or 2.47%

Both the Bank of England and the European Central Bank will announce interest rate figures today, the markets will be focusing on these figures and high volume trading will most likely be expected around these releases. A slight decrease in Euro Zone unemployment levels was reported yesterday, although Greece and Spain remain in trouble. Spanish retail sales fell, and both Spanish and Greek unemployment levels remain near record highs. EUR/USD was trading at 1.3245 with a high of 1.3310 and a low of 1.3239 so far. CABLE was trading at 1.5154 with a high of 1.5210 and a low of 1.5133 so far.

The FTSE100 closed at 6621.06 up 50.11 or 0.76% while the DAX closed at 8275.97 up 4.95 or 0.06%

The FOMC said it would keep buying $85 billion in mortgage and treasury securities per month in an effort to strengthen an economy yesterday, after a two day meeting. The FED offered no indication that it will reduce or taper, at their next meeting in September. US GDP grew at 1.7% annually, higher than had been expected. Non-farm payroll figures are released tomorrow. Oil sanctions placed by the US on Iran in efforts to punish the Arab country for pursuing a nuclear programme saw the House of Representatives pass a bill by 400 votes to 20. The efforts to curb oil sales by Iran have seen purchasing from the oil producer drop by close to 20% this year. USOIL is trading at $105.51 per barrel at time of writing.

The DOW closed at 15499.50 down 21.05 points or minus 0.14%

Have a nice day.