|Important Financial Indicators of the day||Forecast||Previous|
|EUR||10:30 (GMT)||German Flash Manufacturing PMI||45.3||45.0|
|CAD||15:30 (GMT)||Core Retail Sales m/m||0.1%||-0.3%|
- EUR/USD The Euro was 0.7 percent from an 11- year low against the yen amid signs Europe’s prolonged debt crisis is damping economic growth. Japan’s currency climbed even as the government said its ready to counter excessive moves.
- The Euro slid 0.1 percent to 94.91 yen as of 11:36 a.m. in Tokyo from the close in New York yesterday when it touched 94.24, the weakest since November 2000. The yen gained 0.2 percent to 78.26 per dollar. The dollar lost 0.1 percent to $1.2130 per euro after climbing to $1.2067 yesterday, the strongest since June 2010.
- USD/JPY The pair is dropping after a Present risk-off sentiment in the markets have pushed yen higher as its safe heaven status, even though continuous warnings from BoJ/MoF officials for doing whatever it takes to avoid further yen strength, which according to Azumi early in the Tokyo morning stated “don’t reflect economic fundamentals”. According to Sara Eisen from Bloomberg: “Japan will extend duration of 10 trillion yen dollar loan program to weaken yen: Nikkei .
- The pair is currently at 78.27 off recent session lows at 78.20, retracing from NY session highs at 78.46, after it bounced strongly from fresh 7-week lows yesterday at 77.94. The pair is still down for the week by -0.25%, with local share markets over all in the light red, Nikkei at lunch break down -0.43%, and Hong-Kong delayed due to a typhoon hitting the city, Shanghai opening at 3 year lows.
- USD/CAD The Canadian dollar fell
to the lowest level in 11 days against its U.S. counterpart on speculation
Europe’s debt crisis is worsening as Spanish bond yields rose above 7.5
percent, dimming the outlook for the global economy.
- Canadian Dollar currency (loonie) declined 0.6 percent to C$1.0188 cents per U.S. dollar at 5 p.m. in Toronto, after touching the weakest level since July 12. It reached a record high C$1.2327 versus the euro. One Canadian dollar buys 98.15 U.S. cents.
- Oil dropped and traded near the lowest close in a week in New York amid concern fuel demand is weakening as Europe’s debt crisis threatens to derail the global economy.
- Oil for August delivery was at $87.99 a barrel, down 15 cents, in electronic trading on the New York Mercantile Exchange (NYMEX) at 11:58 a.m. Sydney time. The contract yesterday decreased $3.69 to $88.14, the lowest close since July 13. Prices are down 11 percent this year.
- Gold on Tuesday held steady above a 1-1/2 week low near $1,560 hit in the previous session, although prices remained under pressure from rekindled worries about the euro zone debt crisis.
- Spot Gold was little changed at $1,576.60 an ounce at 00:43 GMT. The U.S. gold futures contract for August delivery was also barely changed at $1,576.10.
- Asian stocks fell, government bond yields dropped to record lows and the yen strengthened on concern Europe’s debt crisis is worsening after Moody’s Investors Service cut the outlooks for Germany, the Netherlands and Luxembourg to negative.
- The MSCI Asia Pacific Index (MXAP) dropped 0.4 percent at 10:24 a.m. in Tokyo, dragging the benchmark to the lowest this month. Futures on the Standard & Poor’s 500 Index were little changed. Yields on Australia’s 15-year government bonds and Korea’s three-year notes reached all-time lows.
- European stocks dropped the most in three months as concern grew that Greece will default and more Spanish regions will follow Valencia in seeking a bailout.
- The Stoxx Europe 600 Index (SXXP) fell 2.5 percent to 251.75 the close of trading, the biggest retreat since April 10. The benchmark measure had climbed for the last seven weeks, its longest winning streak in more than six years, as central banks from Europe to China eased monetary policy to help support economic growth.
- U.S stocks fell, sending the Standard & Poor’s 500 Index down for a second day, amid concern Europe’s debt crisis is deepening and after a Chinese central- bank adviser said the nation’s economic growth may slow further.
- The S&P 500 (SPX) fell 0.9 percent to 1,350.52 at 4 p.m. in New York, paring a loss of 1.8 percent. The Dow Jones Industrial Average dropped 101.11 points, or 0.8 percent, to 12,721.46. The Chicago Board Options Exchange Volatility Index rose 14 percent to 18.62. Volume for exchange-listed stocks in the U.S. was 6.4 billion shares, or 3.9 percent below the three-month average.