Jun 14


  • BY: Nati
  • June, 14th, 2013 5:20 +00:00

Japan’s NIKKEI climbed almost 2% last session following a 6.4% drop the previous session. At a Japanese Cabinet meeting yesterday it was decided that the economy needs more help and the help will come in the form of incentives to boost investment, special economic zones as well as a proposal for special tax breaks on spending on new equipment or facilities. The JPY is strengthening against the USD, with the price down from a high of 103.73 per USD in early May, to the 95 JPY per USD region today. Recent Bank of Japan attempts to weaken the currency have nearly returned to early April price levels when the recent stimulus plans were announced. Australian and New Zealand currencies gained against the USD yesterday also, and both stock indices made slight gains, 2% for the ASX 200 and NZX 50 gained 0.4%

The NIKKEI closed at 12686.50 up 241.14 points or 1.94%

A deal between the EU and the US to open free trade talks is being resisted by France who objects to digital media and film being part of the free trade agreement. If the deal goes ahead it would become the world’s biggest trade agreement, and ma help to lift parts of Europe out of the recession it has been experiencing. The EUR/USD was trading at 1.3339 with a high of 1.3374 and a low of 1.3332 so far. CABLE was trading at 1.5671 with a high of 1.5726 and a low of 1.5667 so far.

The FTSE100 closed at 6313.70 up 9.07 or 0.14% while the DAX closed at 8134.42 up 39.03 or 0.48%

US markets were up following positive retail sales figures released, and unemployment benefits decreased by 12000. Merkel and Obama are meeting in Berlin next week, with Obama due to give a speech at the Brandenburg Gate. Both leaders are pushing to increase trade between the continents. European privacy laws are due to be another topic for discussion, following the recent exposure of email and phone monitoring by the National Security Agency in the US. The news out of Syria today is that the US has authorized the supply of weapons to the rebels fighting President Bashar al-Assad. USD/JPY was trading at 95.15 with a high of 95.80 and a low of 94.42 so far.

Hope you all have a good weekend.