China released another set of bad US data yesterday and this coupled with tension in Ukraine pushed markets lower. Global concerns overshadowed better-than-forecast data in the U.S. and stocks ended with the worst declines in more than five weeks as investors turned to safer assets. The S&P 500 lost 1.17% and closed below the key technical level of 1850 and the Dow Jones lost 1.41%. The slowdown in China’s economy affected Asian markets as four investment banks cut their growth forecasts for the country. The Hang Seng lost 1% experiencing its worst week for almost two years and the Nikkei lost 3.3% as the Yen continued to strengthen as a safe haven asset; the dollar fell to ¥101.55 from ¥102.62. European markets opened with losses. During European morning trade, the EURO STOXX 50 lost 0.54%, France’s CAC 40 lost 0.48%, and Germany’s DAX 30 lost 0.67%.
WTI Crude declined following the negative data from China which suggests there may be lower demand from the second largest consumer. Inventory data from the EIA and API earlier in the week also showed growth in stocks and inventories. Gold has been inching higher as a safe haven asset. The price is now fluctuating in the face of mixed information. US Retail Sales from the US were better than expected yesterday reinforcing the better outlook for the economy. However, global events seem to be the main focus of them market. Traders should watch data being released later in the day from the US including PPI at 12.30 GMT.
Today’s Main Events:
09.30 GMT: GBP – Trade Balance – measures the difference in value between imported and exported goods and services over the reported period.
12.30 GMT: USD – PPI – measures the change in the price of goods sold by manufacturers. It is a leading indicator of consumer price inflation, which accounts for the majority of overall inflation.
13.55 GMT: USD – Michigan Consumer Sentiment – ates the relative level of current and future economic conditions.
March 14, 2014 – Daily Market News
Today’s Hot Assets: GBP, USD
China released another set of bad US data yesterday and this coupled with tension in Ukraine pushed markets lower. Global concerns overshadowed better-than-forecast data in the U.S. and stocks ended with the worst declines in more than five weeks as investors turned to safer assets. The S&P 500 lost 1.17% and closed below the key technical level of 1850 and the Dow Jones lost 1.41%. The slowdown in China’s economy affected Asian markets as four investment banks cut their growth forecasts for the country. The Hang Seng lost 1% experiencing its worst week for almost two years and the Nikkei lost 3.3% as the Yen continued to strengthen as a safe haven asset; the dollar fell to ¥101.55 from ¥102.62. European markets opened with losses. During European morning trade, the EURO STOXX 50 lost 0.54%, France’s CAC 40 lost 0.48%, and Germany’s DAX 30 lost 0.67%.
WTI Crude declined following the negative data from China which suggests there may be lower demand from the second largest consumer. Inventory data from the EIA and API earlier in the week also showed growth in stocks and inventories. Gold has been inching higher as a safe haven asset. The price is now fluctuating in the face of mixed information. US Retail Sales from the US were better than expected yesterday reinforcing the better outlook for the economy. However, global events seem to be the main focus of them market. Traders should watch data being released later in the day from the US including PPI at 12.30 GMT.
Today’s Main Events:
09.30 GMT: GBP – Trade Balance – measures the difference in value between imported and exported goods and services over the reported period.
12.30 GMT: USD – PPI – measures the change in the price of goods sold by manufacturers. It is a leading indicator of consumer price inflation, which accounts for the majority of overall inflation.
13.55 GMT: USD – Michigan Consumer Sentiment – ates the relative level of current and future economic conditions.
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