Monday, July 22, 2013

Market movers - 22 JUL 2013

Asia:
The party of the current PM of Japan Shinzo Abe wins parliamentary elections and thus cemented his power in the country.
Kuroda, governor of the Bank of Japan, said it was too early to talk or discuss a way out of the economic stimulus program.Members of the governing council of the Bank of Japan indicate that the CPI probably become positive this summer but there is not necessarily a high probability of achieving the target of 2% inflation Japanese bonds closed up 22 ticks at 143.66, thanks in part to the purchase of Bank of Japan's debt, amounting to 650,000 million yen. The Nikkei 0.20%, has remained between profit and loss.

Europe and the UK:
Silva, President of Portugal, says the country is governable despite the differences in the coalition and early elections are not the solution. For his part, Antonio Jose Seguro, Socialist opposition leader, said that the coalition refuses to negotiate with them and the need to renegotiate the terms of the bailout. Goldman Sachs said that Portugal will require a second bailout and that the terms might start Fall discussed. Weidmann, ECB says it is not yet time for Europe to get out of the economic stimulus (monetary policy) and estimates that the German economy will grow strongly in the 2nd quarter, and sparingly on 3rd.

USA:
Bill Gross of PIMCO, believes that the Fed will not reduce its bond purchase program, or in other words economic stimulus, before 2016. American bonds recover from sharp losses on Thursday and end the week at their best levels of price, thanks largely to low volumes that allowed paid performance fell back below 2.50%. Bonds closed up 10 ticks at 127.03, and up 4 ticks at 127.07, prior to the European open.

Forex
The announcement that China eliminated the ground in the interest rates of bank loans strengthens the Australian Dollar to be a step towards the liberalization of interest rates in the country. Listed at 0.9201 against the greenback. Dollar weakens against the Yen after learning the election results on Sunday at the

Parliament of Japan, reaching the level of 100.00 drill. At the moment the cross recovers slightly to 100.07. Jordan, the Swiss National Bank says it has no intention to amend the soil to 1.20 Euro / Swiss

Commodities
Marginal movements in WTI crude oil rising 0.41 USD to 108.28. Gold soars to 1323 USD in one quick motion without fundamental technical challenge.

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