| Important Financial Indicators of the day | Forecast | Previous | ||
|---|---|---|---|---|
| EUR | Tentative | Italian 10-y Bond Auction | 5.66|2.3 | |
| USD | 14:00 (GMT) | Pending Home Sales m/m | 0.0% | 4.1% |
| EUR | 15:30 (GMT) | ECB President Draghi Speaks | ||
Currencies
- EUR/USD The euro fell to an almost two-year low after Spain’s borrowing costs climbed as the nation struggles to rescue its troubled banks, fueling concern Europe’s debt crisis is spreading.
- The euro touched $1.2457 per dollar, the weakest since July 1, 2010, before trading at $1.2468 as of 12:32 p.m. in Tokyo, 0.3 percent lower than the close yesterday. It has lost 5.8 percent in May, the most since September
- EUR/JPY The European currency was poised for the biggest monthly decline since September after Bank of Spain Governor Miguel Angel Fernandez Ordonez resigned a month early amid criticism over the May 9 nationalization of Bankia group, Spain’s third- biggest lender.
- The common currency fetched 99.05 yen from 99.39, having declined 6.3 percent this month.
Commodities
- Oil fell for a second day, heading for the biggest monthly drop in two years, before a report that may show stockpiles climbed to the highest level since 1990 in the U.S., the world’s biggest crude user.
- Crude for July delivery decreased as much as 49 cents to $90.27 a barrel in electronic trading on the New York Mercantile Exchange, and was at $90.38 at 1:20 p.m. Sydney time. The contract yesterday slid 10 cents to $90.76, the lowest close since May 24. Prices are down 14 percent this month, the biggest drop since May 2010.
- Gold dipped to a one-week low on Wednesday, tracking a weaker euro on heightened worries about the euro zone debt crisis as Spain’s borrowing costs spiraled towards unsustainable levels.
- Spot gold lost 0.4 percent to $1,547.76 an ounce by 03:36 a.m. GMT, extending a decline of more than 1 percent in the previous session. Prices are poised for a monthly loss of 7 percent and a fourth month of decline.
Equities
- Asian stocks fell, with the regional benchmark index headed toward its biggest monthly decline since the 2008 financial crisis, as China damped optimism for large- scale stimulus, augmenting global growth concerns after Spain’s credit rating was downgraded.
- The MSCI Asia Pacific Index declined 1.3 percent to 112.23 as of 12:14 p.m. in Tokyo with about five shares dropping for each that rose.
- European stocks advanced for the third time in four days as data showing the U.S. housing market is stabilizing outweighed a report that China has no intention of introducing large-scale stimulus.
- The Stoxx Europe 600 Index rose 0.8 percent to 244.3 at the close of trading, rebounding from an earlier drop of 0.2 percent. The gauge has still retreated 10 percent from this year’s high on March 16 amid growing concern that Greece will fail to implement agreed austerity measures and leave the euro.
- U.S stocks rose, after the first weekly gain since April in the Standard & Poor’s 500 Index, as Greek opinion polls eased concern the country will leave the euro and data signaled the American housing market stabilized.
- The S&P 500 advanced 1.1 percent to 1,332.42 at 4 p.m. New York time.
- The Dow Jones Industrial Average increased 125.86 points, or 1 percent, to 12,580.69 yesterday.
