Euro rallies as Italian borrowing costs enjoy big drop

The euro rallied on Monday as a fall in Italian government borrowing costs after their recent surge introduced some calm into the market, while the promise of more Chinese stimulus helped offset broader political worries. Rating agency Moody’s downgraded the Italian government’s credit rating on Friday but unexpectedly kept the outlook at stable. The euro has often fallen this year when Italian government bond yields have spiked higher. The euro was also 0.2 percent higher at 1.1487 Swiss francs


The euro rallied on Monday as a fall in Italian government borrowing costs after their recent surge introduced some calm into the market, while the promise of more Chinese stimulus helped offset broader political worries. Rating agency Moody’s downgraded the Italian government’s credit rating on Friday but unexpectedly kept the outlook at stable. The euro has often fallen this year when Italian government bond yields have spiked higher. The euro was also 0.2 percent higher at 1.1487 Swiss francs
Euro rallies as Italian borrowing costs enjoy big drop Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-22
Keywords: news, cnbc, companies, versus, costs, strategist, rallies, yen, euro, italian, enjoy, currency, risk, drop, recent, 02, big, borrowing, dollar


Euro rallies as Italian borrowing costs enjoy big drop

The euro rallied on Monday as a fall in Italian government borrowing costs after their recent surge introduced some calm into the market, while the promise of more Chinese stimulus helped offset broader political worries.

Rating agency Moody’s downgraded the Italian government’s credit rating on Friday but unexpectedly kept the outlook at stable.

That, together with comments by Deputy Prime Minister Luigi Di Maio that the government was ready to sit down with the European Union amid the ongoing row over Rome’s budget, boosted demand for Italian debt after a sharp selloff in recent weeks.

The euro has often fallen this year when Italian government bond yields have spiked higher.

The single currency rose 0.3 percent to $1.1550, hitting the day’s high and away from recent lows of $1.1433.

The dollar index dropped 0.3 percent to 95.472.

The euro was also 0.2 percent higher at 1.1487 Swiss francs, and gained 0.2 percent versus sterling to 88.26 pence.

Despite the euro’s rally, analysts said it remained at the mercy of Italian developments, with a great deal of uncertainty ahead.

“…A full diary of risk events over the next two weeks and little to argue in favour of support from the ECB (European Central Bank) in the near future, the question remains over how far the yield gap can blow out and how this could translate back into the FX market,” said Simon Derrick, chief currency strategist at BNY Mellon.

Equity markets were largely in positive territory as hopes that China’s tax cuts next year could be worth more than one percent of gross domestic product sparked a rally in Asian shares that fed across to Europe.

That helped offset geopolitical concerns about the rift between Saudi Arabia and the West over the killing of a prominent critic of the kingdom, as well as worries about Britain securing an exit deal with the EU.

Forex markets were largely quiet, although the more positive tone at the start of the week did buoy sentiment.

For the dollar, a hawkish Federal Reserve and signs of continued strength in the U.S. economy remain key drivers.

“Markets will be closely watching the release of the U.S. advance GDP number on Friday for more clarity on the direction of the U.S. dollar,” said Sim Moh Siong, currency strategist at Bank of Singapore.

The dollar rose versus the Japanese yen. The yen fetched 112.71, down 0.2 percent on the day and off a one-month high of 111.61 touched on Oct. 15.

The yen had benefited from rising risk around Brexit, the Italy budget plan and trade tensions, because investors tend to buy the Japanese currency when they are nervous.

The Canadian dollar changed hands at 1.3080 on its U.S. counterpart, within striking distance of a five-week low of 1.3132 hit on Friday on the back of weaker inflation and retail sales.

The Australian dollar, often considered a barometer for global risk appetite, traded at $0.7122, flat on the day.


Company: cnbc, Activity: cnbc, Date: 2018-10-22
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Euro weak as Italian budget raises EU political risks, yen weakens

The euro hovered near a one-week low against the dollar on Friday as the European Commission’s criticism of Italy’s populist budget sparked fresh concerns about political tensions in the common currency zone. That rise was driven by a steep fall in the euro on Thursday, which constitutes around 57 percent of the index. This has sparked investor concerns about more political tensions in the EU between Brussels and member states, which has hurt the euro. The British pound hit a fresh 11-day low on


The euro hovered near a one-week low against the dollar on Friday as the European Commission’s criticism of Italy’s populist budget sparked fresh concerns about political tensions in the common currency zone. That rise was driven by a steep fall in the euro on Thursday, which constitutes around 57 percent of the index. This has sparked investor concerns about more political tensions in the EU between Brussels and member states, which has hurt the euro. The British pound hit a fresh 11-day low on
Euro weak as Italian budget raises EU political risks, yen weakens Cached Page below :
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Euro weak as Italian budget raises EU political risks, yen weakens

The euro hovered near a one-week low against the dollar on Friday as the European Commission’s criticism of Italy’s populist budget sparked fresh concerns about political tensions in the common currency zone.

The dollar index, a gauge of its value against major peers, was 0.05 percent higher at 95.96 on Friday, having closed on Thursday at its highest level since Aug. 21. That rise was driven by a steep fall in the euro on Thursday, which constitutes around 57 percent of the index.

The euro was relatively flat at $1.1454 on Friday, steadying slightly after losing 0.4 percent overnight. The single currency hit its lowest intra-day level of 1.1447 since Oct. 9 on Thursday after the European Commission said Italy’s 2019 budget draft is in serious breach of European Union budget rules.

The Commission said in a letter to Italian Economy Minister Giovanni Tria, that planned government spending was too high, the structural deficit – excluding one-offs and business cycle effects – would rise instead, not fall, and that Italian public debt would not come down in line with EU rules.

This has sparked investor concerns about more political tensions in the EU between Brussels and member states, which has hurt the euro.

The gap between Italian and German 10-year bond yield spreads hit its widest level in 5-1/2 years after news of the Commission letter broke.

Italy’s prime minister defended the nation’s free spending budget, though markets were not impressed.

“The euro decline reflects the build up of political tension in the eurozone,” said Sim Moh Siong, currency strategist at Bank of Singapore.

“The next support for the euro is at 1.1430, a break of which can take us down to 1.13.”

The British pound hit a fresh 11-day low on Friday, but rebounded slightly to quote at $1.3020 versus the dollar.

Traders placed bearish bets on the sterling as a EU-UK summit failed to yield a decision on Britain’s exit from the euro zone.

British Prime Minister Theresa May, on Thursday said that the European Union’s proposal on the Irish border was unacceptable.

“Unless we get positive noises from Brussels, the impasse on Brexit and softer economic data suggests that the pound could underperform,” said Boris Schlossberg, managing director of currency strategy in a note.

The Japanese yen weakened 0.17 percent versus the dollar on Friday, to trade at 112.31.

The greenback lost 0.4 percent of its value to the yen on Thursday, reflecting the global risk-off mood due to rising geopolitical tensions between the U.S. and Saudi Arabia, Italy’s budget woes and U.S-Sino trade war tensions.

Wall street benchmark equity indices also tumbled more than 1.2 percent each, with technology stocks leading the pack.

China’s economic growth in the third quarter slowed to 6.5 percent, its weakest pace since 2009 and below expectations, as a campaign to tackle debt risks and the trade war with the United States weighed on the economy.

The yuan changed hands at 6.9339 on Friday, trading flat versus the dollar, after recovering from its intra-day low of 6.9416.

“Expectations have increased for the Chinese yuan to depreciate towards its psychological 7 level against the USD,” said Eugene Leow, rates strategist at DBS in a note.

Gold edged higher by 0.25 percent on Friday to trade at $1,227 per ounce.


Company: cnbc, Activity: cnbc, Date: 2018-10-19
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Japan exports fall for first time since 2016 as trade war fears mount

Japan’s exports fell in September for the first time since 2016 as shipments to the United States and China declined, adding to concerns about the broadening impact of an escalating Sino-U.S. trade war. Japan’s exports to the United States declined 0.2 percent in the year to September, dragged down by falling shipments of construction and mining machinery, auto parts and medicines. The U.S. Trade Representative’s office told Congress on Tuesday it would open trade talks with Japan, describing th


Japan’s exports fell in September for the first time since 2016 as shipments to the United States and China declined, adding to concerns about the broadening impact of an escalating Sino-U.S. trade war. Japan’s exports to the United States declined 0.2 percent in the year to September, dragged down by falling shipments of construction and mining machinery, auto parts and medicines. The U.S. Trade Representative’s office told Congress on Tuesday it would open trade talks with Japan, describing th
Japan exports fall for first time since 2016 as trade war fears mount Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-18  Authors: kazuhiro nogi, afp, getty images
Keywords: news, cnbc, companies, 2016, japans, war, fears, trade, yen, united, mount, surplus, billion, states, exports, showed, fall, japan


Japan exports fall for first time since 2016 as trade war fears mount

Japan’s exports fell in September for the first time since 2016 as shipments to the United States and China declined, adding to concerns about the broadening impact of an escalating Sino-U.S. trade war.

The data comes days after a Reuters poll showed a third of Japanese companies have been affected by the trade conflict between the world’s two biggest economies with firms fretting about slower Chinese demand.

Japanese policymakers also worry about the overall economic impact of the international trade tensions. A powerful typhoon that hit Japan last month has added to the strain on factories, disrupting output and physical distribution.

Ministry of Finance (MOF) data out on Thursday showed Japanese exports fell 1.2 percent in September from a year earlier, against a 1.9 percent increase expected by economists in a Reuters poll, following a 6.6 percent gain in August.

It was the first decline since November 2016.

“The continued weakness in exports in September suggests that economic activity may have stagnated in Q3,” Marcel Thieliant, senior Japan economist at Capital Economics, said in a note to clients.

Japan’s exports to the United States declined 0.2 percent in the year to September, dragged down by falling shipments of construction and mining machinery, auto parts and medicines.

U.S.-bound auto exports amounted to some 143,000 cars, down 7.0 percent in a snapback from the previous year’s brisk shipments.

Imports from the United States rose 3.1 percent in September, led by crude oil, liquefied petroleum gas, helping reduce Japan’s trade surplus with the United States by 4.0 percent year-on-year to 590 billion yen ($5.24 billion).

The U.S. Trade Representative’s office told Congress on Tuesday it would open trade talks with Japan, describing the country as an important yet underperforming market for U.S. exports.

Tokyo and Washington last month agreed to start trade talks in an arrangement that, for now, avoids the worst-case scenario of an imminent 25 percent tariff on cars.

Trump has made clear he is unhappy with Japan’s $69 billion trade surplus with the United States – nearly two-thirds of it from auto exports – and wants a two-way agreement to address it.

Tokyo pushed back on a straight bilateral Free Trade Agreement (FTA) that Washington had sought, fearing it could put Japan under pressure to open politically sensitive sectors such as agriculture.

Thursday’s trade data showed exports to China, Japan’s biggest trading partner, fell 1.7 percent in the year to September, the first decline in seven months, dragged down by semiconductor production equipment.

Shipments to Asia, which account for more than half of Japan’s overall exports, rose 0.9 percent.

Overall imports rose 7.0 percent in the year to September, versus the median estimate for a 13.7 percent annual increase.

The trade balance was surplus of 139.6 billion yen, compared with the median estimate for a shortfall of 50.0 billion yen.


Company: cnbc, Activity: cnbc, Date: 2018-10-18  Authors: kazuhiro nogi, afp, getty images
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A crackdown in China is bad news for four Japanese stocks, expert says

Investors would do well to avoid stocks of popular Japanese cosmetics companies amid a crackdown on Chinese visitors to Japan who would buy beauty products in bulk and re-sell them back home, according to one expert. Speaking to CNBC on Wednesday, Andrew Jackson, head of Japanese equities at SooChow CSSD Capital Markets (Asia), warned about four stocks in particular: Japanese beauty brands Pola Orbis, Kose, Fancl and Shiseido. Since the beginning of October, when reports of the crackdown started


Investors would do well to avoid stocks of popular Japanese cosmetics companies amid a crackdown on Chinese visitors to Japan who would buy beauty products in bulk and re-sell them back home, according to one expert. Speaking to CNBC on Wednesday, Andrew Jackson, head of Japanese equities at SooChow CSSD Capital Markets (Asia), warned about four stocks in particular: Japanese beauty brands Pola Orbis, Kose, Fancl and Shiseido. Since the beginning of October, when reports of the crackdown started
A crackdown in China is bad news for four Japanese stocks, expert says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-18  Authors: weizhen tan, yuriko nakao, bloomberg, getty images
Keywords: news, cnbc, companies, selling, visitors, orbis, kose, beauty, crackdown, china, bad, japanese, stocks, yen, expert, pola


A crackdown in China is bad news for four Japanese stocks, expert says

Investors would do well to avoid stocks of popular Japanese cosmetics companies amid a crackdown on Chinese visitors to Japan who would buy beauty products in bulk and re-sell them back home, according to one expert.

Speaking to CNBC on Wednesday, Andrew Jackson, head of Japanese equities at SooChow CSSD Capital Markets (Asia), warned about four stocks in particular: Japanese beauty brands Pola Orbis, Kose, Fancl and Shiseido.

There have been multiple reports since the beginning of October about Chinese customs stepping up checks on travelers bringing in beauty goods purchased overseas. For the last few years, there have been many informal cosmetics dealerships making a profit by selling goods at prices cheaper than official distributors in China but higher than the prices in Japan.

Since the beginning of October, when reports of the crackdown started surfacing, shares of those major Japanese names have plunged. As of Wednesday’s close, Shiseido and Pola Orbis had dropped about 18 percent, and Kose and Fancl had both fallen about 16 percent.

Shiseido, Kose and Pola — a subsidiary of the Pola Orbis group — sold a combined 93.9 billion yen ($834 million) in beauty products to foreign visitors in 2017. That was up 80 percent from 50.5 billion yen in 2015, according to media reports.

In particular, Jackson singled out Pola Orbis as his “No. 1 short,” referring to the process of selling borrowed shares in the hopes of buying back the same stock at a lower price and turning a profit.

“At this point, you want to be looking at names that don’t have a very extensive distribution network domestically within China. Pola Orbis stands out because their hit product, (which) is called Wrinkle Shot, that has been selling like crazy everywhere else except for China, where it’s yet to get China’s equivalent of FDA approval,” he said Wednesday on CNBC’s “Street Signs,” referring to the U.S. Food and Drug Administration.


Company: cnbc, Activity: cnbc, Date: 2018-10-18  Authors: weizhen tan, yuriko nakao, bloomberg, getty images
Keywords: news, cnbc, companies, selling, visitors, orbis, kose, beauty, crackdown, china, bad, japanese, stocks, yen, expert, pola


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Dollar gains after US shares rise, yen slips as risk appetites improve

The dollar strengthened against most major peers on Wednesday, while the yen weakened as upbeat Wall Street earnings reduced global appetites for safe haven assets. The greenback was trading at 112.34 yen, a gain of 0.07 percent against the Japanese currency. Through Monday, when it hit a one-month high of 111.61, the yen had strengthened seven out of eight sessions. The New Zealand dollar traded flat versus the greenback, at 0.6589 on Wednesday. The Australian dollar, often considered a baromet


The dollar strengthened against most major peers on Wednesday, while the yen weakened as upbeat Wall Street earnings reduced global appetites for safe haven assets. The greenback was trading at 112.34 yen, a gain of 0.07 percent against the Japanese currency. Through Monday, when it hit a one-month high of 111.61, the yen had strengthened seven out of eight sessions. The New Zealand dollar traded flat versus the greenback, at 0.6589 on Wednesday. The Australian dollar, often considered a baromet
Dollar gains after US shares rise, yen slips as risk appetites improve Cached Page below :
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Dollar gains after US shares rise, yen slips as risk appetites improve

The dollar strengthened against most major peers on Wednesday, while the yen weakened as upbeat Wall Street earnings reduced global appetites for safe haven assets.

The three main Wall Street indexes each rose by more than 2 percent as blue-chips delivered strong earnings indicating that the U.S. economic recovery is on track despite rising interest rates and global trade war tensions.

Data on Tuesday showed that U.S. industrial production increased for a fourth straight month in September, boosted by gains in manufacturing and mining output, but momentum slowed sharply in the third quarter

The dollar index, a gauge of its value against six major peers, rose 0.14 percent to quote at 95.18 on Wednesday.

The greenback was trading at 112.34 yen, a gain of 0.07 percent against the Japanese currency.

Through Monday, when it hit a one-month high of 111.61, the yen had strengthened seven out of eight sessions.

“The rebound in global sentiment has taken the appreciation pressure off the yen,” said Stuart Ritson, portfolio manager, emerging markets debt at Aviva Investors.

Market participants will be looking for clues on the dollar’s direction and the path ahead on U.S. interest-rate hikes from minutes of the Federal Reserve’s September meeting, due for release later on Wednesday.

Interest rate futures are pricing in a 77 percent likelihood that the Fed will again raise rates in December, according to the CME Group’s FedWatch Tool.

“The Fed is close to neutrality and the FOMC will pause when the Fed funds rate gets to 2.75 percent,” Brian Martin, ANZ head of global economics, said in a note.

“While there are upside risks to our forecasts, we think the Fed will struggle to raise the Fed funds target much beyond 3.0 percent,” he added.

The British pound was at $1.3175, down 0.1 percent, after tacking a gain of 0.25 percent on Tuesday.

While sterling was supported by Tuesday’s stronger than expected British employment data, investors are still doubtful that the European Union Summit on Wednesday will yield much progress on the Northern Island border issue blocking a Brexit agreement.

On Wednesday, the euro traded lower at $1.1560, down 0.1 percent. On Tuesday, the single currency reached $1.1622 – its highest since Oct. 1 – before giving up its gains.

The New Zealand dollar traded flat versus the greenback, at 0.6589 on Wednesday. The kiwi clocked a gain of 0.5 percent on Tuesday as domestic inflation picked up stronger than expected.

The Australian dollar, often considered a barometer of global risk appetite, lost 0.07 percent to US$0.7135. The Aussie has gained marginally against the greenback over the past two trading sessions. It hit a more than two-year low of US$0.7039 on Oct. 8.

Gold lost 0.16 percent to trade at $1,223 per ounce on Wednesday. The yellow metal hit its highest level since July 27 on Monday, hitting an intra-day high of $1,233 per ounce.


Company: cnbc, Activity: cnbc, Date: 2018-10-17
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Dollar on defensive; yen, Swiss franc firm on Saudi, Brexit tensions

Michael McCarthy, chief market Strategist in Sydney, said the Japanese yen was the biggest winner in overnight trade. The Japanese yen was changing hands at 111.84 on the dollar, near its one-month high of 111.61 hit on Monday. The Swiss Franc traded relatively unchanged versus the dollar at 0.9868, after tacking on 0.45 percent overnight. An impasse over Brexit talks and global trade tensions have added to the cocktail of negative factors that battered global stocks. The New Zealand dollar adva


Michael McCarthy, chief market Strategist in Sydney, said the Japanese yen was the biggest winner in overnight trade. The Japanese yen was changing hands at 111.84 on the dollar, near its one-month high of 111.61 hit on Monday. The Swiss Franc traded relatively unchanged versus the dollar at 0.9868, after tacking on 0.45 percent overnight. An impasse over Brexit talks and global trade tensions have added to the cocktail of negative factors that battered global stocks. The New Zealand dollar adva
Dollar on defensive; yen, Swiss franc firm on Saudi, Brexit tensions Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-16
Keywords: news, cnbc, companies, saudi, defensive, franc, tensions, swiss, high, markets, trade, yields, versus, yen, brexit, firm, dollar, hit


Dollar on defensive; yen, Swiss franc firm on Saudi, Brexit tensions

The U.S. dollar was on the defensive on Tuesday after weak retail sales data, with the safe-haven yen and Swiss franc benefiting from tensions between the West and Saudi Arabia and amid a standoff on Brexit talks over Britain’s plan to exit the EU.

The dollar, also sought during times of markets stress, struggled despite weaker equities and broader risk-off sentiment in part as U.S. data overnight suggested consumers were reluctant to spend and as U.S. bond yields paused from recent spikes.

Retail sales rose a slower-than-expected 0.1 percent last month, and followed on from last week’s inflation report for September which showed only modest uptick in U.S. consumer prices.

Michael McCarthy, chief market Strategist in Sydney, said the Japanese yen was the biggest winner in overnight trade. “Geopolitical factors may remain the key factor behind currency markets in the short run,” he said.

The Japanese yen was changing hands at 111.84 on the dollar, near its one-month high of 111.61 hit on Monday. The Swiss Franc traded relatively unchanged versus the dollar at 0.9868, after tacking on 0.45 percent overnight.

Both currencies have attracted buyers amid tensions between the Western powers and Saudi Arabia, which has been under pressure since a prominent Saudi journalist Jamal Khashoggi, a critic of Riyadh and a U.S. resident, disappeared on Oct. 2 after visiting the Saudi consulate in Istanbul.

An impasse over Brexit talks and global trade tensions have added to the cocktail of negative factors that battered global stocks.

“Even when U.S. equities were collapsing and there was a risk-off mood in the global markets, the dollar did not trade strong as one would expect,” said Ray Attrill, head of currency strategy at NAB.

“The equity correction is not done in my view yet. Dollar is behaving in an asymmetric manner – good news is not so good and bad news is much worse in terms of price action for the dollar,” added Attrill.

U.S. Treasury yields remained elevated but off highs hit last week. The benchmark U.S. 10 year yields consolidated at 3.15 percent, having hit a seven-year high of 3.26 percent on Oct. 9.

The dollar index, a gauge of its value against six major peers, was almost steady at 95.06 from late New York trade, but off an intraday high of 95.37 on Monday.

The sterling changed hands at 1.3155 as investors wait for more clarity over the post-Brexit status of Britain’s land border with Ireland.

The euro gained marginally to 1.1581, well off a seven-week low of 1.1429 hit last Tuesday.

Chancellor Angela Merkel’s Bavarian sister party said on Monday it would back political stability in Berlin after suffering big losses in a regional election that their far-right foes hailed as “an earthquake” that would rock the coalition government.

The New Zealand dollar advanced 0.4 percent versus the dollar to trade at 0.6577 as domestic inflation picked up faster than expected in the third quarter.

The Australian dollar edged up 0.1 percent versus its U.S. counterpart to 0.7137, as minutes of the Reserve Bank of Australia’s October policy meeting showed policy makers remained upbeat on the economic outlook overall.


Company: cnbc, Activity: cnbc, Date: 2018-10-16
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Sterling falls as worries on Brexit climb, yen strengthens

The dollar firmed against the pound and euro on Monday as unsuccessful British efforts to secure a Brexit deal ahead of a key European Union summit reinforced global investors’ preference for safe haven currencies. The problem of Britain’s land border with Ireland has thwarted a drive to clinch a Brexit deal, as negotiators over the weekend admitted defeat after marathon talks and pressed pause for the coming days. Against the dollar, the yen has strengthened in six out of the last seven trading


The dollar firmed against the pound and euro on Monday as unsuccessful British efforts to secure a Brexit deal ahead of a key European Union summit reinforced global investors’ preference for safe haven currencies. The problem of Britain’s land border with Ireland has thwarted a drive to clinch a Brexit deal, as negotiators over the weekend admitted defeat after marathon talks and pressed pause for the coming days. Against the dollar, the yen has strengthened in six out of the last seven trading
Sterling falls as worries on Brexit climb, yen strengthens Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-15
Keywords: news, cnbc, companies, sterling, currency, haven, versus, washington, brexit, foreign, falls, yen, climb, strengthens, deal, safe, worries, dollar


Sterling falls as worries on Brexit climb, yen strengthens

The dollar firmed against the pound and euro on Monday as unsuccessful British efforts to secure a Brexit deal ahead of a key European Union summit reinforced global investors’ preference for safe haven currencies.

The euro traded around 0.13 percent lower at 1.1546 on Monday, while the sterling lost 0.36 percent to 1.3106 after hitting an October high of 1.3258 on Friday.

The dollar index, a gauge of its value against six major peers, was up 0.13 percent at 95.349.

The problem of Britain’s land border with Ireland has thwarted a drive to clinch a Brexit deal, as negotiators over the weekend admitted defeat after marathon talks and pressed pause for the coming days.

The pound is also under pressure after former foreign minister Boris Johnson’s comments in a newspaper column on Sunday that Britain must stand up to bullies in the European Union and press for a “super Canada” deal.

Johnson, a key figure of the campaign to leave the EU in 2016 and bookmakers’ favourite to replace Prime Minister Theresa May, is the latest critic to redouble efforts to urge her to rethink her plan to leave the union.

“The primary focus for sterling is Brexit and data is only a distraction,” Kathy Lien, New York-based managing director of foreign exchange strategy at BK Asset Management, said in a note.

“The clock is ticking and a deal is drawing close but having been burned by false hopes, investors are ignoring the conflicting headlines and waiting for official confirmation,” she said

The yen strengthened to 112.07 versus the dollar on Monday. Against the dollar, the yen has strengthened in six out of the last seven trading sessions, as global risk-off sentiment kept active safe haven bids on the Japanese currency.

U.S. Treasury Secretary Steven Mnuchin said on Saturday that Washington wants to include a provision to deter currency manipulation in future trade deals, including with Japan, based on the currency chapter in the new deal to revamp the North American Free Trade Agreement (NAFTA).

His remark drew concern in Japan, where domestic media ran front-page stories questioning whether this would give Washington the right to label as currency manipulation any future foreign exchange market interventions by Tokyo to keep sharp yen rises in check.

Analysts expect the yen to strengthen in the short term as potential negative sentiment towards equities would catalyze safe-haven demand for the yen.

“Our bias is that equities will remain under pressure this week, and thus see scope for USD/JPY to ease somewhat further towards the 110 level,” a research note from Mizuho Bank said.

At 0408 GMT Monday, Japan’s Nikkei was down 1.5 percent to 22,352.

The Australian dollar changed hands at 0.7101 against the dollar, down 0.25 percent. The Aussie hit a two-year low of 0.7039 on Oct. 5.

The Canadian dollar traded flat versus the dollar on Monday, at 1.3025.

The Swiss franc, seen as a safe haven currency by traders, was little changed at 0.9908 versus the dollar.

Spot gold built on last week’s gains, changing hands at $1,222 per ounce, gaining 0.38 percent.


Company: cnbc, Activity: cnbc, Date: 2018-10-15
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Dollar weakens, yen at October highs after US stocks slide


Dollar weakens, yen at October highs after US stocks slide Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-11
Keywords: news, cnbc, companies, yen, highs, weakens, slide, stocks, dollar



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Tokyo Olympics cost for national government now reportedly estimated at 7 times budget

The 2020 Olympics and Paralympics — to be held in Tokyo, Japan — are estimated to cost the national government seven times more than what was originally budgeted, Japanese newspaper The Mainichi reported on Friday. Hosting the mega-events would cost Japan’s national government 801.1 billion yen ($7.03 billion), the report said, citing the country’s Board of Audit. Japan, the world’s third-largest economy, had earlier estimated that the games would cost the central authority around 112.7 billion


The 2020 Olympics and Paralympics — to be held in Tokyo, Japan — are estimated to cost the national government seven times more than what was originally budgeted, Japanese newspaper The Mainichi reported on Friday. Hosting the mega-events would cost Japan’s national government 801.1 billion yen ($7.03 billion), the report said, citing the country’s Board of Audit. Japan, the world’s third-largest economy, had earlier estimated that the games would cost the central authority around 112.7 billion
Tokyo Olympics cost for national government now reportedly estimated at 7 times budget Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-05  Authors: yen nee lee, getty images
Keywords: news, cnbc, companies, tokyo, seven, report, reportedly, billion, olympics, yen, cost, estimated, budget, 2020, national, times


Tokyo Olympics cost for national government now reportedly estimated at 7 times budget

The 2020 Olympics and Paralympics — to be held in Tokyo, Japan — are estimated to cost the national government seven times more than what was originally budgeted, Japanese newspaper The Mainichi reported on Friday.

Hosting the mega-events would cost Japan’s national government 801.1 billion yen ($7.03 billion), the report said, citing the country’s Board of Audit. That’s the agency that reviews government expenditure.

Japan, the world’s third-largest economy, had earlier estimated that the games would cost the central authority around 112.7 billion yen, according to the report.

Hosting the Olympics has become an expensive venture, and a number of past hosts — Brazil’s Rio de Janeiro and Russia’s Sochi, for example — went into debt after overshooting their budgets.

For more on the budget of the 2020 games, read the report from The Mainichi.

Correction: This article has been updated to reflect that the 2020 Olympics and Paralympics are estimated to cost Japan’s national government seven times more than what was originally budgeted.


Company: cnbc, Activity: cnbc, Date: 2018-10-05  Authors: yen nee lee, getty images
Keywords: news, cnbc, companies, tokyo, seven, report, reportedly, billion, olympics, yen, cost, estimated, budget, 2020, national, times


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European stocks: hawkish Fed; Italy’s budget in focus; Greece banks

Household goods and food and beverages stocks were the worst-performers down by more than 1 percent. Markets were adapting to further hawkish comments from the U.S. central bank. Jerome Powell, the U.S. Fed chairman, said that the bank was a “long way” from neutral on interest rates. Powell’s comments pushed the dollar to an 11-month high against the Japanese yen and they also pushed yields in euro zone bonds. Market players are worried about extra spending in the third largest euro economy, giv


Household goods and food and beverages stocks were the worst-performers down by more than 1 percent. Markets were adapting to further hawkish comments from the U.S. central bank. Jerome Powell, the U.S. Fed chairman, said that the bank was a “long way” from neutral on interest rates. Powell’s comments pushed the dollar to an 11-month high against the Japanese yen and they also pushed yields in euro zone bonds. Market players are worried about extra spending in the third largest euro economy, giv
European stocks: hawkish Fed; Italy’s budget in focus; Greece banks Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-10-04  Authors: silvia amaro
Keywords: news, cnbc, companies, fed, hawkish, yields, euro, pushed, focus, investors, greece, stocks, comments, budget, zone, index, italys, yen, worstperformers, bank, banks, european


European stocks: hawkish Fed; Italy's budget in focus; Greece banks

The pan-European Stoxx 600 was off by 0.2 percent with almost every sector in the red. Household goods and food and beverages stocks were the worst-performers down by more than 1 percent. Markets were adapting to further hawkish comments from the U.S. central bank. Jerome Powell, the U.S. Fed chairman, said that the bank was a “long way” from neutral on interest rates.

Powell’s comments pushed the dollar to an 11-month high against the Japanese yen and they also pushed yields in euro zone bonds.

Looking across the European index, Electrocomponents was among the top performers, up by more than 3 percent, after reporting that first-half profits jumped 27 percent from a year ago.

Shares in Danske Bank dropped 2.5 percent following news that the bank will be investigated by the U.S. Department of Justice for a money laundering scandal. Such probe could result in a big fine.

Meanwhile, investors kept a close eye on Italian politics. Prime Minister Giuseppe Conte said on Wednesday that the government deficit will be decreased in the next three years, despite the surge planned for 2019. Market players are worried about extra spending in the third largest euro economy, given its 130 percent of GDP debt pile. The main index in Italy, FTSE MIB, was down by 0.4 percent in early deals.

Elsewhere, shares in Greek banks are in the spotlight after a massive plunge on Wednesday. Investors fear that regulators will demand further capital. Shortly after the open, the biggest lenders traded in positive ground, recovering some of Wednesday’s losses.

On the date front, new car registrations due in the U.K. at 9 a.m. London time.


Company: cnbc, Activity: cnbc, Date: 2018-10-04  Authors: silvia amaro
Keywords: news, cnbc, companies, fed, hawkish, yields, euro, pushed, focus, investors, greece, stocks, comments, budget, zone, index, italys, yen, worstperformers, bank, banks, european


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