Daily review 16/08/12
Asian stock markets trade is conducted today (Thursday) in price increases due to mix closed on Wall Street last night and after Prime Minister of China said (again) that there is place for adjustments in economic policy.
Prime Minister of China, Wen Gibau, noted that domestic inflation moderation opens a way to further monetary easing on the continent and on the other - made it clear that he expects an improvement in growth in China.
This is while the Japanese Yen also weakened and Asian government bonds lose value, against the estimate of contractors sentiment in the U.S. released yesterday, and indicates a continued recovery in the U.S. real estate market.
Contractor’s sentiment estimate for August - reached its highest level for over five years.
The index pointed a reading of 37 points versus 35 points in July - the highest reading since February 2007.
Industrial production also registered an increase for July.
In Europe- the speculation about the Greek government's retirement from the Eurozone is increasing.
Meanwhile, European investors continue to hope for a significant move of the European Central Bank (ECB), with a focus on purchases of government bonds (to press down the bonds of the governments of Italy and Spain) - which are still pending approval of the Government of Germany, who needed to change the constitution for this.
In the U.S., mixed closing yesterday against the rising expectation of monetary process of the Federal Reserve, which according to rumors is expected to go out with a third Bond Purchase Program (QE3), which will focus on purchases of covered bonds - mortgage.
DOW 0.06%↓ S&P 0.11%↑ NSDQ 0.46%↑
EUR / USD:
EUR/USD trading at 1.2271 a decrease of 0.18% in writing.
The pair may find support at 1.2239 Friday low and resistance at- 1.2341 Wednesday high.
Meanwhile, the Euro gain strength against the British Pound and against the Japanese Yen, when the -EUR/GBP add a 0.03% to 0.7837 and –EUR/JPY add 0.12% to 97.18.
The British Pound weakens against the U.S Dollar today, trading at 1.5644 a decrease of 0.24%.
The pair may find support at 1.5604 Thursday low and resistance at 1.5717 Monday high.
Meanwhile, the British Pound weakens against the Euro and gain strength against the Japanese Yen, while the EUR/GBP add a 0.03% to 0.7837 and the GBP/JPY add 0.03% to 123.89.
The U.S Dollar gain strength against the Canadian Dollar today, trading at 0.9895 an increase of 0.04%.
The pair may find support at 0.9882 today low and resistance at 0.9933 Wednesday high.
Meanwhile, the U.S Dollar gain strength against the Euro and against the British pound, while the EUR /USD drop 0.18% to 1.2271 and the GBP/USD drop 0.24% to 1.5644.
WTI- Crude Oil:
The WTI weakens today, trading at 94.12 a decrease of 0.14%.
May find support at 92.52 Tuesday low and resistance at 94.85 Wednesday high.