Here’s Thursday’s ‘Just A Minute’ bringing you a 60 second summary what’s happening in the markets today:
Main Trading Events Of The Day: Several today including ECB Press Conference @ 13.30; USD Trade Balance & Unemployment Claims @ 13.30 GMT
Earnings Reports: General Motors Co; Earnings per share forecast: 88 cents. LinkedIn Corp; Earnings per share forecast: 38 cents.
WHAT WE’RE WATCHING TODAY
European Central Banks Set To Meet As Asian Stocks Rebound
A busy day on the markets with monetary policy decisions expected later in the day from the European Central Bank and Bank of England. While analysts don’t expect any action from either bank, focus will be on hints about future policy direction. Asian equities rebounded on the back of upbeat earnings reports and as investors went bargain hunting after recent selling, but caution prevailed ahead of Friday’s U.S. jobs report. U.S. indices ended little changed yesterday as investors reacted to a mixed bag of economic data. Attention now turns to Friday’s important U.S. payrolls report with traders hoping for a rebound after December’s disappointing reading. Another weak report could dent investor sentiment, which has been hurt by the turmoil in emerging markets, slowing Chinese growth and a reduction in U.S. stimulus.
Gold Retreats Again as Silver Extends Advance
Gold retreats once again, falling from the highest in over a week as gains in equities and emerging-market currencies slowed demand for alternative investments. Silver extended an advance to head for the longest rally since December. Bullion for immediate delivery traded at $1,255.67 an ounce from $1,257.92 yesterday, when prices reached $1,274.74, the highest since Jan 27. Silver rose 0.1 percent to $19.9136 an ounce, a fifth day of gains capping the longest winning run since the period to Dec. 27. Gold advanced 3.2 percent in January, the first monthly gain since August 2013 as the MSCI All-Country World Index of equities sank 4.1 percent on concern that a rout in emerging markets would worsen. Silver yesterday jumped 2 percent, the most since Jan. 10 helping send its ratio to gold to the lowest in almost two weeks today.
Twitter Investors Twitchy Over User Growth Figures
Twitter yesterday reported its slowest pace of user growth in recent company history, lowering investors’ hopes that it can sustain its rapid pace of expansion and wiping out nearly a fifth of the company’s value in after-hours trading. Although Twitter posted better-than-expected fourth-quarter revenue of $243 million in its first results as a public company, investors were unnerved by the weak user growth, as well as a severe decline in timeline views. Some analysts warned that its valuation looked increasingly bloated. On a more positive note, the efficacy of its advertising business model which places ads inside users’ timelines every time they refresh appeared to steadily improve. Overall, the actual numbers are strong in terms of fundamentals, just not as strong as some people were hoping for.
That sums up today’s highlights. Remember to watch for those important earnings announcements later today. Keep in touch with us via Facebook, Google+ & Twitter for breaking news, educational information, trader tips and more. Trade only with the experts! We hope you have a profitable day on the markets.
