Last week, the market was focused on turmoil in Ukraine, signs of a slowdown in China and speculation regarding the Federal Reserve’s effort to scale back monetary stimulus. In addition to these factors the US release some lower than expected data on Friday; the PPI and Michigan Consumer Sentiment both disappointed the market. At the close of U.S. trading, the Dow Jones Industrial Average had lost 0.27%, the S&P 500 index had lost 0.28%, and the Nasdaq Composite index had lost 0.35%. Yesterday there was a referendum in Crimea with 93% of voters choosing to secede from Ukraine and rejoin Russia. The U.S. immediately said the vote violated Ukraine’s constitution as they believe that the votes were held under intimidation from Russian military intervention. Markets were mixed after the vote. Stocks in Japan and Hong Kong declined as investors cautiously waited to see how the West would response and what sanctions would be placed against Russia. The Nikkei closed 0.35% lower and the Hang Seng closed 0.3% lower. European stocks are positive after Vodafone and RWE gained following news of a deal. Currently, the CAC 40 is up 0.73% while Germany’s DAX is up 0.57% and London’s FTSE 100 is up 0.39%.
Following the vote in Crimea, WTI Crude rose due to speculation that there could be disruption to oil supplies as Russia is the world’s biggest energy producer. The EU, U.S. and Ukraine consider the vote to be illegal and President Obama has signed an order which authorizes financial sanctions. Production in Libya was also lower following further protests. Gold is trading near a six month high following the referendum. The U.S. and Europe have said they would impose economic and diplomatic sanctions on Russia next week, if the vote took place. Traders should wait for key data later in the day from the U.S. including NY Empire State Manufacturing Index at 12.30 pm (GMT)
Today’s Main Events:
12.30 GMT: CAD – Foreign Securities Purchases – measures the overall value of domestic stocks, bonds, and money-market assets purchased by foreign investors.
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.
15.00 GMT: EUR – German Buba President Weidmann Speaks – Deutsche Bundesbank (Buba) president Jens Weidmann is to speak. As president of the Bundesbank and a member of the ECB, which controls key short term interest rates, Weidmann has some influence over the EUR value.
March 17, 2014 – Daily Market News
Today’s Hot Asset: USD
Last week, the market was focused on turmoil in Ukraine, signs of a slowdown in China and speculation regarding the Federal Reserve’s effort to scale back monetary stimulus. In addition to these factors the US release some lower than expected data on Friday; the PPI and Michigan Consumer Sentiment both disappointed the market. At the close of U.S. trading, the Dow Jones Industrial Average had lost 0.27%, the S&P 500 index had lost 0.28%, and the Nasdaq Composite index had lost 0.35%. Yesterday there was a referendum in Crimea with 93% of voters choosing to secede from Ukraine and rejoin Russia. The U.S. immediately said the vote violated Ukraine’s constitution as they believe that the votes were held under intimidation from Russian military intervention. Markets were mixed after the vote. Stocks in Japan and Hong Kong declined as investors cautiously waited to see how the West would response and what sanctions would be placed against Russia. The Nikkei closed 0.35% lower and the Hang Seng closed 0.3% lower. European stocks are positive after Vodafone and RWE gained following news of a deal. Currently, the CAC 40 is up 0.73% while Germany’s DAX is up 0.57% and London’s FTSE 100 is up 0.39%.
Following the vote in Crimea, WTI Crude rose due to speculation that there could be disruption to oil supplies as Russia is the world’s biggest energy producer. The EU, U.S. and Ukraine consider the vote to be illegal and President Obama has signed an order which authorizes financial sanctions. Production in Libya was also lower following further protests. Gold is trading near a six month high following the referendum. The U.S. and Europe have said they would impose economic and diplomatic sanctions on Russia next week, if the vote took place. Traders should wait for key data later in the day from the U.S. including NY Empire State Manufacturing Index at 12.30 pm (GMT)
Today’s Main Events:
12.30 GMT: CAD – Foreign Securities Purchases – measures the overall value of domestic stocks, bonds, and money-market assets purchased by foreign investors.
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.
15.00 GMT: EUR – German Buba President Weidmann Speaks – Deutsche Bundesbank (Buba) president Jens Weidmann is to speak. As president of the Bundesbank and a member of the ECB, which controls key short term interest rates, Weidmann has some influence over the EUR value.
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