Financials and US data boost London’s blue chip companies December 16, 2009 Britain’s leading share index rose 0.7 per cent yesterday as US data led to a rise in commodity stocks, and banks firmed on a report that the enforcement of capital adequacy rules would be delayed. The FTSE 100 finished 34.49 points higher at 5,320.26, after closing 0.6 per cent down at 5,285.77 on Tuesday. New [...]
The return of the yen carry trade is just hype December 15, 2009 ONE of the big stories of the past six months has been the growth of the dollar carry trade. This trading strategy uses a low-yielding funding currency to purchase higher-yielding assets. For most of this decade the yen has been the funding currency of choice as investors took advantage of Japanese interest rates that remained [...]
Fears over Greek and Austrian banks send FTSE shares down December 15, 2009 Britain’s leading share index shed 0.6 per cent yesterday, snapping a three-session rally with banks hit by some renewed sector caution, while oils and miners fell as a strengthening dollar weighed on metal prices. At the close, the FTSE 100 was 29.57 points lower at 5,285.77 after having gained one per cent on Monday to [...]
Inflation worries spark dollar rally December 15, 2009 Higher-than-expected November US inflation fuelled demand for the dollar yesterday. but weighed on stocks and bonds as investors feared the Federal Reserve may need to raise rates faster than anticipated. Oil futures prices rose almost two per cent to settle above $70 a barrel following nine sessions of losses, offering some support to energy stocks. [...]
KPMG turnover falls 1.6pc as M&A weakness cuts tax take December 15, 2009 SERVICES giant KPMG saw UK revenues slip 1.6 per cent for the year to September as a decrease in corporate activity took its toll. The firm blamed fewer mergers and acquisitions for the marginal fall in turnover to £1.6bn. Operating profit was down 1.3 per cent to £382m in a tough year that began with [...]
Inflation continues to accelerate, fuelled by bumper energy prices December 15, 2009 INFLATION accelerated in November to a six-month high of 1.9 per cent as higher energy costs fuelled price rises and pushed the rate closer to the Bank of England’s two per cent target. The retail prices index (RPI), on which many wage negotiations are based, moved back into positive territory for the first time since [...]
RISING YIELDS TO UPSET THE RECOVERY December 14, 2009 DAVID MORRISON CFD MARKET STRATEGIST, GFT JUST over a week ago we had a non-farm payroll number which blew away all analysts’ expectations. The reaction in the financial markets was sharp, with the dollar, bond yields and equities all shooting higher. While this was a rational response to good numbers, it wasn’t the reaction we [...]
Obama hits out at fat cat US bankers December 14, 2009 US PRESIDENT Barack Obama last night lashed out at Wall Street bankers, labeling them “fat cats” who “don’t get it”. Speaking on the eve of today’s meeting with top US bankers at the White House, Obama said he was frustrated with the banks that the government had bailed out. “I did not run for office [...]
ECONOMIC DIARY December 14, 2009 MONDAY 14 DECEMBER UK Rightmove house prices (12am) Bank of England Bulletin (12am) Eurozone Third quarter employment (10am) October industrial production (10am) Japan October industrial production (4.30am) TUESDAY 15 DECEMBER UK November RICS house prices (12am) November CPI and RPI (9.30am) October DCLG house price balance Eurozone December ZEW survey (10am) November new car registrations [...]
Markets set to start on the front foot after strong retail sales and sentiment figures December 14, 2009 UK and European markets are set to start the week on the front foot, with the momentum following the continued streak of better-than-expected data out from the States. GFT is quoting the FTSE 100 to open up 10 points from Friday’s close, at a level of around 5,271. The German DAX is also expected higher, [...]