Escalating tension in Iraq brought caution to the market at the end of last week. U.S. President Obama stated that he won’t send troops into Iraq and that oil is flowing as normal. After a choppy session, U.S. stocks closed higher but still posted losses for the week. At session close the S&P 500 was 0.31% higher and the Dow Jones was 0.25% higher. Asian stocks turned lower today. The Nikkei lost 1.09% as the Dollar remained below the ¥102 level as the Yen gained as a safe haven asset. The Hang Seng declined 0.13% as oil producers advanced and investors are sold off equities. European stocks dropped at the open as traders continue to monitor events in Iraq. Currently, shares in Germany are off as the DAX drops 0.20%. The FTSE 100 is down 0.05% while the CAC 40 in France is unchanged.
WTI Crude prices are surging as Iraq inches closer to a civil war. Iraq is the second biggest producer of oil in OPEC and the conflict is threatening output. So far, oil production in the south has been unaffected and the EIA stated last week that supplies are not at immediate risk. However, the spike in prices shows investors do not feel secure and if violence does spread we could see the price go as high as &116/barrel. Gold prices gained almost 2% on the back of the tension. As a safe haven asset, events in Iraq are giving the metal a boost. Traders should watch U.S. data being released throughout the week, especially the FOMC Statement on Wednesday at 6pm GMT.
Today’s Main Events:
09.00 GMT: EUR – CPI –measures the change in the price of goods and services from the perspective of the consumer.
12.30 GMT: USD – NY Empire State Manufacturing Index – rates the relative level of general business conditions New York state
13.15 GMT: USD – Industrial Production – measures the change in the total inflation-adjusted value of output produced by manufacturers, mines, and utilities.
June 16, 2014 – Daily Market News
Today’s Hot Assets: EUR, USD
Escalating tension in Iraq brought caution to the market at the end of last week. U.S. President Obama stated that he won’t send troops into Iraq and that oil is flowing as normal. After a choppy session, U.S. stocks closed higher but still posted losses for the week. At session close the S&P 500 was 0.31% higher and the Dow Jones was 0.25% higher. Asian stocks turned lower today. The Nikkei lost 1.09% as the Dollar remained below the ¥102 level as the Yen gained as a safe haven asset. The Hang Seng declined 0.13% as oil producers advanced and investors are sold off equities. European stocks dropped at the open as traders continue to monitor events in Iraq. Currently, shares in Germany are off as the DAX drops 0.20%. The FTSE 100 is down 0.05% while the CAC 40 in France is unchanged.
WTI Crude prices are surging as Iraq inches closer to a civil war. Iraq is the second biggest producer of oil in OPEC and the conflict is threatening output. So far, oil production in the south has been unaffected and the EIA stated last week that supplies are not at immediate risk. However, the spike in prices shows investors do not feel secure and if violence does spread we could see the price go as high as &116/barrel. Gold prices gained almost 2% on the back of the tension. As a safe haven asset, events in Iraq are giving the metal a boost. Traders should watch U.S. data being released throughout the week, especially the FOMC Statement on Wednesday at 6pm GMT.
Today’s Main Events:
09.00 GMT: EUR – CPI –measures the change in the price of goods and services from the perspective of the consumer.
12.30 GMT: USD – NY Empire State Manufacturing Index – rates the relative level of general business conditions New York state
13.15 GMT: USD – Industrial Production – measures the change in the total inflation-adjusted value of output produced by manufacturers, mines, and utilities.
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