Stocks Climb in Europe as France, Italy, Spain Ban Short Sal
โพสต์แล้ว: ศุกร์ ส.ค. 12, 2011 5:58 pm
http://www.bloomberg.com/news/2011-08-1 ... vance.html
^^ Finally.... theyre doing something to the mechanism of mass destruction
Stocks Climb in Europe as France, Italy, Spain Ban Short Sales
European stocks climbed, extending the Stoxx Europe 600 Index’s rally from a two-year low, while U.S. stock-index futures erased declines. The Swiss franc weakened for a second day.
The Stoxx 600 jumped 1.9 percent at 10:56 a.m. in London, rebounding from a drop of the same magnitude. Futures on the Standard & Poor’s 500 Index were little changed, after losing as much as 1.9 percent. The yield on the 10-year Treasury note declined 5 basis points to 2.29 percent. The Swiss franc fell against all 16 of its most-traded peers.
About $6.77 trillion has been wiped off the value of global equity markets since July 26, after S&P downgraded U.S. debt for the first time, riots swept across Britain and Europe’s debt crisis deepened. Data today showed French economic growth stalled last quarter and euro-region industrial production unexpectedly fell in June, while reports later may show U.S. consumer confidence weakened. France, Spain, Italy and Belgium banned short selling of equities yesterday.
That ban, “combined with the recent upward momentum we’ve seen, could help ensure we see a slightly less dramatic finish to the week,” said Cameron Peacock, a market analyst at IG Markets in Melbourne. “With traders still jittery, any negative news could see people heading for the exit once again.”
Short-Selling Ban
All but 22 of the companies in the Stoxx Europe 600 gained. The gauge posted the biggest advance since May 2010 yesterday, climbing 3.2 percent.
S&P 500 futures fluctuated between a loss of as much as 1.9 percent and a 0.4% gain, after the benchmark gauge surged 4.6 percent yesterday. The index has declined 2.2 percent so far this week. Nvidia Corp. surged 12 percent in Germany as the maker of graphics chips forecast third-quarter sales that exceeded the average analyst estimate.
The Thomson Reuters/University of Michigan U.S. sentiment index probably dropped to 62 in August from 63.7 in July, according to the median forecast in a Bloomberg survey of economists. The last time the figure was so low was March 2009, when gross domestic product was shrinking. A separate report is forecast to show retail sales climbed 0.5 percent in July.
The 30-year Treasury bond climbed, rebounding from the biggest increase in yields since 2008, after demand dropped at a $16 billion auction of the securities. Yesterday’s sale of the debt, the first since S&P cut the U.S. credit rating on Aug. 5, drew the lowest level of demand since February 2009.
Franc Drops
The Swiss franc extended the biggest slump versus the euro since the common currency’s start in 1999 yesterday, after Tages-Anzeiger newspaper reported that the Swiss National Bank probably wouldn’t face criticism from Switzerland’s main parties if it communicated a target for the franc exchange rate.
Members from the SVP, FDP, CVP and the Social Democrats are now willing to back a target and would be willing to “support currency purchases worth hundreds of billions of francs,” the newspaper reported, citing members from Switzerland’s four largest parties.
The franc depreciated 1.6 percent against the euro, after plunging 5.3 percent yesterday, and weakened 1.5 percent versus the dollar. New Zealand’s dollar fell against all but the franc among its major counterparts, sliding 0.6 percent versus the greenback and 0.8 percent against the yen.
European Bonds
Italian 10-year bonds rose for the sixth day, the longest run of gains since August 2010, with the yield falling five basis points to 4.99 percent. The yield has tumbled 1.20 percentage points during the streak as the European Central Bank bought the securities this week, according to people with knowledge of the transactions. The central bank declined to comment.
Irish two-year note yields sank 36 basis points to 10.34 percent, down from 13.56 percent a week ago. Spanish two-year yields climbed four basis points, increasing for the third consecutive day.
Production in the 17-nation euro area slipped 0.7 percent from May, when it rose 0.2 percent, the European Union’s statistics office in Luxembourg said today. Economists had forecast output to remain unchanged, the median of 30 estimates in a Bloomberg News survey showed. Production increased 2.9 percent in the year after rising 4.4 percent in May.
West Texas Intermediate crude for September delivery was little changed at $85.55 a barrel on the New York Mercantile Exchange, after earlier dropping by 2 percent. Nickel slipped 0.2 percent, while gold was little changed at $1,752 an ounce.
The MSCI Emerging Markets Index dropped 0.2 percent, extending this week’s decline to 5.1 percent. Developing-nation equity mutual funds had $7.7 billion of withdrawals in the week ended Aug. 10, the third-biggest outflows on record, Citigroup Inc. said. Yuan twelve-month non-deliverable forwards gained 0.37 percent today and were up 1.87 for the week, set for the biggest weekly gain since February 2009 on signs China will favor a stronger currency to tame inflation.
^^ Finally.... theyre doing something to the mechanism of mass destruction
Stocks Climb in Europe as France, Italy, Spain Ban Short Sales
European stocks climbed, extending the Stoxx Europe 600 Index’s rally from a two-year low, while U.S. stock-index futures erased declines. The Swiss franc weakened for a second day.
The Stoxx 600 jumped 1.9 percent at 10:56 a.m. in London, rebounding from a drop of the same magnitude. Futures on the Standard & Poor’s 500 Index were little changed, after losing as much as 1.9 percent. The yield on the 10-year Treasury note declined 5 basis points to 2.29 percent. The Swiss franc fell against all 16 of its most-traded peers.
About $6.77 trillion has been wiped off the value of global equity markets since July 26, after S&P downgraded U.S. debt for the first time, riots swept across Britain and Europe’s debt crisis deepened. Data today showed French economic growth stalled last quarter and euro-region industrial production unexpectedly fell in June, while reports later may show U.S. consumer confidence weakened. France, Spain, Italy and Belgium banned short selling of equities yesterday.
That ban, “combined with the recent upward momentum we’ve seen, could help ensure we see a slightly less dramatic finish to the week,” said Cameron Peacock, a market analyst at IG Markets in Melbourne. “With traders still jittery, any negative news could see people heading for the exit once again.”
Short-Selling Ban
All but 22 of the companies in the Stoxx Europe 600 gained. The gauge posted the biggest advance since May 2010 yesterday, climbing 3.2 percent.
S&P 500 futures fluctuated between a loss of as much as 1.9 percent and a 0.4% gain, after the benchmark gauge surged 4.6 percent yesterday. The index has declined 2.2 percent so far this week. Nvidia Corp. surged 12 percent in Germany as the maker of graphics chips forecast third-quarter sales that exceeded the average analyst estimate.
The Thomson Reuters/University of Michigan U.S. sentiment index probably dropped to 62 in August from 63.7 in July, according to the median forecast in a Bloomberg survey of economists. The last time the figure was so low was March 2009, when gross domestic product was shrinking. A separate report is forecast to show retail sales climbed 0.5 percent in July.
The 30-year Treasury bond climbed, rebounding from the biggest increase in yields since 2008, after demand dropped at a $16 billion auction of the securities. Yesterday’s sale of the debt, the first since S&P cut the U.S. credit rating on Aug. 5, drew the lowest level of demand since February 2009.
Franc Drops
The Swiss franc extended the biggest slump versus the euro since the common currency’s start in 1999 yesterday, after Tages-Anzeiger newspaper reported that the Swiss National Bank probably wouldn’t face criticism from Switzerland’s main parties if it communicated a target for the franc exchange rate.
Members from the SVP, FDP, CVP and the Social Democrats are now willing to back a target and would be willing to “support currency purchases worth hundreds of billions of francs,” the newspaper reported, citing members from Switzerland’s four largest parties.
The franc depreciated 1.6 percent against the euro, after plunging 5.3 percent yesterday, and weakened 1.5 percent versus the dollar. New Zealand’s dollar fell against all but the franc among its major counterparts, sliding 0.6 percent versus the greenback and 0.8 percent against the yen.
European Bonds
Italian 10-year bonds rose for the sixth day, the longest run of gains since August 2010, with the yield falling five basis points to 4.99 percent. The yield has tumbled 1.20 percentage points during the streak as the European Central Bank bought the securities this week, according to people with knowledge of the transactions. The central bank declined to comment.
Irish two-year note yields sank 36 basis points to 10.34 percent, down from 13.56 percent a week ago. Spanish two-year yields climbed four basis points, increasing for the third consecutive day.
Production in the 17-nation euro area slipped 0.7 percent from May, when it rose 0.2 percent, the European Union’s statistics office in Luxembourg said today. Economists had forecast output to remain unchanged, the median of 30 estimates in a Bloomberg News survey showed. Production increased 2.9 percent in the year after rising 4.4 percent in May.
West Texas Intermediate crude for September delivery was little changed at $85.55 a barrel on the New York Mercantile Exchange, after earlier dropping by 2 percent. Nickel slipped 0.2 percent, while gold was little changed at $1,752 an ounce.
The MSCI Emerging Markets Index dropped 0.2 percent, extending this week’s decline to 5.1 percent. Developing-nation equity mutual funds had $7.7 billion of withdrawals in the week ended Aug. 10, the third-biggest outflows on record, Citigroup Inc. said. Yuan twelve-month non-deliverable forwards gained 0.37 percent today and were up 1.87 for the week, set for the biggest weekly gain since February 2009 on signs China will favor a stronger currency to tame inflation.