Jun 23


  • BY: Nati
  • June, 23rd, 2013 9:17 +00:00

Bank of Japan Governor Haruhiko Kuroda on Friday said that financial markets will reflect the improvements in Japan's economy and stabilise. Japan will have elections coming up next month, and the economy will be a major issue going forward. It remains to be seen if Abenomics will have the desired effect of a 2% inflation rate going forward. Chinese interest rates remain high but following speculation the Central Bank of China (CBOC) has injected funds into the market crisis fears lessened. The USD/JPY was trading at 97.93 with a high of 97.95 and a low of 96.86 so far.

The NIKKEI closed at 13230.10 up 215.55 or 1.66%

European Finance Ministers yesterday held talks on further bank bailouts. Greek fears of not getting further financing from the Troika of the European Commission, the International Monetary Fund and the European Central Bank following a slowdown in lending among Euro Zone members since the Cypriot crisis, in which Greek debt plays a big part. The retreat from risk following the banking crisis could lead to further cuts in rates in an effort to boost lending again. The EUR/USD was trading at 1.3220 with a high of 1.3253 and a low of 1.3200 so far.

The FTSE100 closed at 6195.64 up 36.13 or 0.59% while the DAX closed at 7958.31 up 29.83 points or 0.38%

US home sales were at the highest point in three and a half years in May. The fear of FED tapering and a possible rising of interest rates may have pushed the growth. A target of 7% unemployment is eyed by the FED before they begin tapering they said following the FOMC meeting this week. CABLE traded at 1.5487 with a high of 1.5530 and a low of 1.5472 so far. Canadian figures for CPI and Retail sales are released today. The USD/CAD was trading at 1.0383 with a high of 1.0388 and a low of 1.0362 so far.

The DOW closed at 14758.30 down 353.87 or minus 2.34%

Have a nice day.