U.S markets finished mixed on Friday following weaker than expected data. Volatility remained low as many traders took a long weekend after the New Year’s celebrations. The S&P 500 lost 0.03% and closed at 2,058.2 and the Dow Jones gained 0.06% and closed at 17,832.99. Asian markets were mixed today. The Nikkei lost 0.24% after a 5 day holiday. Losses were seen as the Yen strengthened slightly as a safe haven asset on the back of events in Europe which sent the Euro to its lowest level in 8 years. The Hang Seng lost 0.57%, tracking the direction of global markets. The Shanghai Composite, however, rallied 3.58% due to speculation that policy makers could boost growth and add more stimulus to the economy. European markets are lower today after the Euro dropped to an 8 year low. Speculation is ripe that the European Central Bank will introduce further stimulus to avoid deflation following comments from Draghi last week. However, fears have surfaced over political developments in Greece. Elections will occur on January 25 and if the far left part, Syriza, gain power they could get rid of the austerity program. Falling oil prices have also hit sentiment. Currently, the FTSE 100 is down 0.71%, the DAX is down 0.46% and the CAC 40 is down 0.97%.
WTI Crude dropped to a new 6 year low $50.7/barrel. The market continues to react to fears regarding increasing supplies and falling demand. The price is very close to a key psychological of $50/barrel and if it breaks through this many producers may be forced to cut production as costs will exceed prices. Gold is climbing as a safe haven asset and as physical demand increased from China. The price is currently testing its resistance as $1,200.
Today’s Main Events:
09.30 GMT: GBP – Construction PMI – measures the activity level of purchasing managers in the construction industry.
13.00 GMT: EUR – German CPI – measures the changes in the price of goods and services purchased by consumers.
January 5, 2015 – Daily Market News
Today’s Hot Assets : Gold, JPY
U.S markets finished mixed on Friday following weaker than expected data. Volatility remained low as many traders took a long weekend after the New Year’s celebrations. The S&P 500 lost 0.03% and closed at 2,058.2 and the Dow Jones gained 0.06% and closed at 17,832.99. Asian markets were mixed today. The Nikkei lost 0.24% after a 5 day holiday. Losses were seen as the Yen strengthened slightly as a safe haven asset on the back of events in Europe which sent the Euro to its lowest level in 8 years. The Hang Seng lost 0.57%, tracking the direction of global markets. The Shanghai Composite, however, rallied 3.58% due to speculation that policy makers could boost growth and add more stimulus to the economy. European markets are lower today after the Euro dropped to an 8 year low. Speculation is ripe that the European Central Bank will introduce further stimulus to avoid deflation following comments from Draghi last week. However, fears have surfaced over political developments in Greece. Elections will occur on January 25 and if the far left part, Syriza, gain power they could get rid of the austerity program. Falling oil prices have also hit sentiment. Currently, the FTSE 100 is down 0.71%, the DAX is down 0.46% and the CAC 40 is down 0.97%.
WTI Crude dropped to a new 6 year low $50.7/barrel. The market continues to react to fears regarding increasing supplies and falling demand. The price is very close to a key psychological of $50/barrel and if it breaks through this many producers may be forced to cut production as costs will exceed prices. Gold is climbing as a safe haven asset and as physical demand increased from China. The price is currently testing its resistance as $1,200.
Today’s Main Events:
09.30 GMT: GBP – Construction PMI – measures the activity level of purchasing managers in the construction industry.
13.00 GMT: EUR – German CPI – measures the changes in the price of goods and services purchased by consumers.
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