Tag Archives: emerging markets

U.S. Dollar Falls After Fed More Dovish Than Expected; NZ Dollar Soars

Here’s today’s ‘Just A Minute’ bringing you a 60 second summary of what’s happening in the financial markets:

Main Trading Event Of The Day: UK Retail Sales @ 08.30 GMT

WHAT WE’RE WATCHING TODAY

U.S. Dollar Falls After Fed More Dovish Than Expected; NZ Dollar Soars

The U.S. dollar fell to its lowest in nearly two weeks against a basket of major currencies after the Federal Reserve hinted at yesterday’s meetings that U.S. interest rates will stay low for a while. The latest economic projections suggested that the Fed sees rates rising more in 2015 and 2016 than it had previously forecast, but officials lowered their long-term rate target. The Fed also sounded comfortable with the inflation outlook despite recent signs of a pick-up in price pressure. After the meetings, the dollar slipped 0.3 percent on the day to 80.378, and fell as far as 80.353, a level not seen since June 9. Against the yen, the greenback was almost flat on the day at 101.91 JPY, down from a one-week high of 102.38 yen hit on Wednesday before the Fed’s announcement, while the euro was slightly lower at $1.3589 after it touched $1.3600 EUR on Wednesday. The Fed cut its monthly bond buying program by a further $10 billion to $35 billion in a widely expected move and expressed confidence that the economic recovery remained on track.

The New Zealand dollar soared to a record high against a basket of currencies after the Fed’s dovish stance, rallying nearly 1 percent to hover around six-week highs of $0.8736 NZD. The outlook for higher New Zealand interest rates was reinforced by data showing the economy grew a solid 1.0 percent in the first quarter from the previous quarter, a result that cemented New Zealand as one of the fastest-growing developed economies. The Australian dollar was steady on the day at $0.9404 AUD, having gained 0.7 percent on Wednesday.

Eurozone: Is Deflation On The Horizon?

Professional services firm EY has warned that although the euro zone economy is set to grow in 2014, the threat of looming deflation in the region persists. The region will grow 1.1 percent this year, according to EY’s forecasts, followed by expansion of 1.5 percent in 2015. Growth is seen picking up pace between 2016 and 2018. Strengthening exports and a pickup in domestic demand will drive a return to modest investment growth but the recovery is likely to be felt more in some countries than others. The threat of deflation has been a key issue in European policymakers’ minds in recent months. The European Central Bank (ECB) announced measures to tackle the issue at its most recent policy meeting, including imposing a negative interest rates on banks for their deposits. Inflation in the euro zone rose by just 0.5 percent in the year in May, significantly below the ECB’s target of 2 percent. The inflation slowdown has been due to lower energy costs and increasing euro strength and there are now real concerns that inflation could turn to deflation, as firms start to bid down prices and wages in order to compete for orders. Deflationary pressures could have a knock on effect on consumer spending, just as confidence was starting to build. Exporters may also be in for another tough year as the euro remains stubbornly strong. The euro is currently trading around $1.35 against the dollar, down from peaks of $1.39 earlier in the year.

Emerging Markets: The Asset Class Of Choice?

Analysts are predicting that increasing comfort with the outlook for China’s economy will make emerging market equities the best performing asset class in the second half of 2014. Recent Chinese economic data indicates a stabilisation in the world’s second-largest economy, assisted by targeted stimulus measures. This is positive for emerging markets, many of which are dependent on exports to the mainland. May retail sales, for example, rose 12.5 percent on year, above analyst expectations for a 12.1 percent increase. While fixed asset investment rose 17.2 percent on year for the January-to-May period, just above expectations for a 17.1 percent rise. Emerging markets equities are up 3.9 percent year to date, slightly underperforming global stocks which have risen 4.1 percent, according to the MSCI Emerging Markets and MSCI World indices. India and Southeast Asian markets have been the biggest beneficiaries. Markets that were battered into 2013 are seeing a revival because of good policy from the central banks and economic momentum is not as poor as initially thought. Strategists at Coutts Investment Office, agree that emerging markets are the place to be.

That sums up today’s highlights! Remember you can keep in touch with us throughout the day via Facebook, Twitter, Google+ and LinkedIn for all the latest trading news. We hope you have a profitable day on the markets.

U.S. Retail Sales Likely To Climb; Dollar Touches One-Week High

Here’s today’s ‘Just A Minute’ bringing you a 60 second summary of what’s happening in the financial markets:

Main Trading Event Of The Day: U.S. Core Retail Sales @ 12.30 GMT

WHAT WE’RE WATCHING TODAY

U.S. Retail Sales Likely To Climb; Dollar Touches One-Week High Vs Yen

Today’s reports are likely to show that retail sales probably climbed 0.4 percent in April, following a 1.2 percent gain in March, although not at March’s rapid pace. The spike in March reflected the return of warmer weather after the cold winter. In April, auto dealers offered heavy discounts and sold slightly fewer cars which may suppress the headline number. Auto purchases account for about 25% of overall retail sales. However, spending in other categories appeared to be steady. Retail sales are a good indicator of how the economy is doing and account for about one-third of what consumers spend, rising sharply when U.S. growth accelerates. While sales have slowed in each of the past two years, economists expect the recent rebound in hiring and economic growth to encourage consumers to spend more. The retail report will be issued @ 12.30 GMT.

The U.S. dollar, meanwhile, rose to the highest level in a week versus the yen before today’s U.S. retail sales data. The dollar traded near the strongest in a month against the euro as improving U.S. economic data bolstered the case for the Federal Reserve to continue tapering stimulus, moving closer to the first interest-rate increase since 2006. The yen declined against most of its major peers as Japanese stocks rose. The dollar rose 0.1 percent to 102.25 yen as of 12:50 p.m. yesterday, after earlier touching 102.24, the most since May 5. It was unchanged at $1.3757 per euro, after reaching $1.3745 on May 9, the strongest since April 8. The yen fell 0.1 percent to 140.66 against the Euro.

U.S. Posts Smaller Budget Surplus In April Than Forecast

U.S. budget data yesterday revealed a smaller budget surplus in April than projected as spending increased at more than twice the pace of tax receipts. Revenue exceeded spending by $106.9 billion last month, compared with a $112.9 billion surplus a year before. The median estimate was for a $114 billion surplus. So far this fiscal year, which began Oct. 1, the U.S is running a budget shortfall that’s about 37 percent smaller than it was a year earlier and was the narrowest at the seven-month mark since 2008. There was a little more growth in spending than would have been anticipated. The economy is starting to recover at a fairly decent pace, excluding the first-quarter slowdown, but given that the outlook is positive for growth this year, continued lower deficits can be expected.

Indian Rupee Having One Of The Best Runs In 2014

India’s economy ended 2013 growing at the slowest rate in a decade and now faces the fastest inflation rate of all the emerging markets at around 8 percent. Fears of the Federal Reserve scaling back its bond purchases sent the Indian rupee plunging to a record low late last year and had strategists predicting more declines this year on worries about sharp outflows from emerging markets. Instead, the currency has strengthened nearly 4 percent in 2014, with more strategists changing course and jumping on the bullish bandwagon. The ongoing election and hopes for new leadership are an important part of the sentiment reversal. Investors are also confident in the leadership at India’s central bank with Raghuram Rajan, former International Monetary Fund chief economist at the helm. With his international and investor credibility, Rajan has been on a mission to fight inflation, raising interest rates 75 basis points to 8 percent. Those higher rates have attracted foreign money in search of yield. Money has continued to flow into India and the rupee, the global environment is EM-friendly and with central bank credibility in good shape, the INR continues to ride a global risk-friendly wave.

That sums up today’s highlights! Remember to keep in touch with us for all your important trading news and information. We’re always on Facebook, Twitter, Google+ and Twitter! We hope you have a profitable day on the markets.

Just A Minute!

Here’s today’s ‘Just A Minute’ bringing you a 60 second summary of what’s happening in the markets:

Main Trading Events Of The Day: USD ADP Non-Farm Employment Change @ 13.15 & USD ISM Non-Manufacturing PMI @ 15.00 GMT

WHAT WE’RE WATCHING TODAY

U.S. Jobs Data On The Way…

With the focus having been on the situation in the Ukraine, the attention is back on U.S. economic reports today. The ADP report gives a hint of what the jobs report might look like on Friday. U.S. employers hired 150,000 workers in February, after adding 113,000 in January, according to a Bloomberg News survey. A report from ADP Research Institute today will show companies boosted payrolls by 155,000 last month after an increase of 175,000 in January. Employment gains for December and January were both less than economists forecast, depressed by winter storms. Weak data is explicable on account of the weather seems to be the mantra right now and the consensus is that it will take a couple of bad reports to disillusion investors at this point. In addition, the ADP report has been a wildcard in recent months in that it has been an inaccurate gauge of data from the U.S. Bureau of Labor Statistics.

Federal Reserve Chair Janet Yellen reiterated on Feb. 27 that the central bank is likely to keep curtailing its stimulus. The central bank said on Dec. 18 it would trim its monthly bond purchases to $75 billion from $85 billion, before cutting by another $10 billion in January. The purchases are designed to hold down long-term borrowing costs and spur economic growth.

Asian Shares Jump And Yen Recovers As Ukraine Tension Eases

Asian stocks jumped and the yen recovered after a sharp tumble on Wednesday, after Putin said that force was not needed for now. The markets took Putin’s words positively and with wariness over the Ukraine easing for the time being at least, the focus has shifted back to fundamentals, notably Thursday’s European Central Bank monetary policy meeting and Friday’s U.S. nonfarm payrolls report. However, despite the widespread relief, market watchers warned that the crisis was not over, warning of further jolts for the financial markets ahead. The easing of geopolitical tensions saw a reversal of yesterday’s movements in most asset markets. However, tensions remain high and suggest some further volatility in financial markets while the situation in Ukraine remains uncertain.

The Australian dollar, already on a bullish footing after cooling of tensions in Ukraine revived risk appetite, received a further boost after data showed Australia’s economic growth had beaten forecasts, reinforcing expectations of a steady interest rate outlook. The AUD was at $0.8947 from a low near 89 U.S. cents. Australia’s major trading partner China has said it will maintain its economic growth target for 2014 at around 7.5 percent as expected and push forward convertibility of the yuan. Analysts said the statement was an indication that China would widen the yuan’s trading band going forward as expected, further signaling a possible end to the currency’s one-way appreciation.

The yen, which rallied on its safe-haven appeal this week as tensions mounted in Ukraine, remained on the back foot after a heavy reversal on Tuesday. The dollar was buying 102.14 yen, moving away from a one-month low of 101.20 hit on Monday, while the euro bought 140.29 yen, after touching a two-week low of 138.75 yen on Thursday.

Tech News: PC Market Fell Hardest In 2013, Analyst Firm Says

The traditional PC industry saw its sharpest decline ever in 2013, and the sales drought is expected to continue through 2018 according to analysts, IDC. PC shipments fell by 9.8 percent overall last year, the sharpest drop on record. While the fourth quarter actually performed better than expected, IDC said that sales dried up in emerging markets, dipping 11.3 percent - evidence that tablets and phones are cutting into sales all across the world. 315.1 million PCs shipped in 2013, and 295.9 million are expected to be sold in 2014, a 6 percent dip. By 2018, the PC market should drop to annual sales of 291.7 million units.

Emerging markets used to be a core driver of the PC market, as rising penetration among large populations boosted overall growth but right now, emerging regions are finding themselves more affected by a weak economic environment as well as significant shifts in technology buying priorities. In making its projections, IDC said it factored in a number of variables, including concerns about the impact of slower economic growth and continued pressure from tablets and smartphones.

That sums up Wednesday’s highlights! We hope you have a profitable day on the markets.

Just A Minute!

Here’s today’s ‘Just A Minute’ bringing you a 60 second summary of what’s happening in the markets:

Main Trading Events Of The Day: USD New Home Sales @ 15.00 GMT

WHAT WE’RE WATCHING TODAY

New Home Sales Seen Declining For Third Month As Gold Holds Near 4-Month High

Weaker than expected data is being reported almost everywhere. New home sales likely declined 2.2% to a 405K rate in January, slumping for the third month in a row. The forecast for a decline in the pace of new home sales in January is based on declines in both starts and permits issued for new single-family homes during the month. Poor weather conditions appear to have negatively impacted residential construction activity and made it tough to pick out underlying trends for the housing market, as indicated in recent surveys from the National Association of Homebuilders’ Housing Market Index. A new study released today by the Demand Institute showed that the U.S. housing sector is likely to experience an uneven recovery over the next five years, with some local markets bouncing back faster than others. As the U.S. economy strengthens and employment rises, potential buyers will find entry into the market easier. However, the group also predicted that about 4 million households will fail to realise their current purchasing aspirations. The main driver of demand in the next five years is predicted to be the formation of new households.

Meanwhile, gold on Wednesday hovered close to a four-month high hit the day before as data raised questions about the strength of the U.S. economy, burnishing gold’s safe-haven appeal. Investors have poured back into the metal on worries about economic conditions in the United States and also China, which is now dealing with unprecedented growth in company debt. Gold eased 0.13 percent to $1,338.41 after rising to its strongest since October at $1,343.40 an ounce in its fourth day of gains. Despite recent gains, gold is still well below an all time high around $1,920 struck in 2011.

Do Emerging Markets Now Offer Good Value?

After months of fund outflows, analysts believe that emerging markets offer solid value. Emerging markets have been beaten up a lot recently and have consequently seen a brutal sell-off this year after sharp falls in the value of the Argentine peso, Turkish lira, South African rand and Brazilian real triggered panic selling across the asset class. Analysts largely blame the turbulence on the Federal Reserve’s move to begin tapering its asset purchases. Funds have flowed out of emerging market equity funds for 13 consecutive weeks with a total $18.76 billion exiting the segment so far this year. But while concerns about tapering and the potential for higher interest rates have decked emerging market assets, not everyone is certain this will hurt economies. Kelvin Tay from UBS Wealth Management believes instead, that the Fed’s easy money policy spurred a lot of borrowing by companies in Asia and Latin America, adding that if the rates go up gradually, he did not see a risk to the systems here or in Latin America - only if the rates were to go up very sharply would there be a problem. Analysts are selective on which emerging markets to play, preferring the Asian region and tipping South Korea and China as value plays.

Disney Starts Online Movie Service in ITunes Alliance

Walt Disney Co. has started an online movie service, Disney Movies Anywhere, with Apple Inc. iTunes to increase sales of films such as “Toy Story” that can be stored in Web-based accounts. Movies can be played on Apple’s iPad, iPhone and iPod Touch, as well as through the Internet. Users will be able to link to iTunes and import films they’ve previously purchased there to Disney Movies Anywhere accounts. The service cements a longstanding TV and film alliance between Disney, the world’s largest entertainment company, and Apple. Analysts have said that “Disney Movies Anywhere” could stabilise Disney’s home-entertainment business, which has experienced lower results for five consecutive years and recommend buying Disney stock. Disney fell 0.6 percent to $80.21 at the close in New York. The shares have advanced 5 percent in 2014.

That sums up Wednesday’s highlights! We hope you have a profitable day on the markets.

Just A Minute!

Here’s today’s ‘Just A Minute’ bringing you a 60 second summary of what’s happening in the markets:

Main Trading Events Of The Day: USD Existing Home Sales @ 15.00 GMT

Earnings Reports: N/A

WHAT WE’RE WATCHING TODAY

U.S. New Home Building Plunges As Existing Home Sales Due To Disappoint

U.S. new home construction - housing starts - recorded their biggest drop in almost three years in January, probably weighed down by harsh weather, but the third month of declines in permits pointed to some underlying weakness in the housing market. The Commerce Department said starts plunged 16% to a seasonally adjusted annual rate of 880,000 units, the lowest level since September. The percentage drop was the largest since February 2011. Starts for December were revised up to a 1.05 million-unit pace from the previously reported 999,000-unit rate. Economists had expected starts to fall to a 950,000-unit rate in January. Freezing temperatures have been blamed for the sharp slowdown in hiring in December and January although there is evidence that the economy was already losing momentum towards the end of the fourth quarter.

Meanwhile, January’s existing home sales are due to be reported today are expected to show a decline of 3.5 percent to 4.7 million. Stocks rallied Thursday and bonds fell, as investors ignored a weak report from the Philadelphia Fed, which showed a plunge in new orders and a surprise contraction in manufacturing activity. Analysts believe that there is a choppy picture in the very short term but housing is basically in good, solid shape from an intermediate point of view, and that with fairly moderate mortgage rates – assuming the economy starts to come back in the spring, a lot of the pent up demand for housing may get stronger as hiring picks up.

China’s Stocks Fall as Yuan Weakens

China’s stocks fell the most in six weeks, while the yuan headed for its biggest weekly slide since 2011 as a manufacturing slowdown fuelled concerns the economic expansion is weakening. Analysts believe the market is worried that the government may tolerate a bigger decline in economic growth amid the restructuring of the economy. The yuan dropped 0.3 percent today to 6.0837 per dollar, extending this week’s loss to 0.8 percent. The currency fell 0.1 percent to 6.089.

In the meantime, as finance ministers and central bank chiefs from the Group of 20 (G20) gather ahead of a weekend meeting in Sydney, the world’s rich nations pushed back against emerging market complaints about the spillover effects of their monetary policies, saying that they had to get their own houses in order and get on with the agenda of lifting global growth. Emerging nations want the U.S. Federal Reserve to calibrate its winding down of stimulus so as to mitigate the impact on their economies. Developed members reply that the troubles in the emerging world are mostly homegrown and domestic interest rates have to be set with domestic recoveries in mind. That was a sentiment very much echoed by the finance ministers of Japan, Britain and Germany. The head of the U.S. Treasury called on China, Japan and Europe to make domestic demand the engine room of growth.

Google Announces Project Tango, A Smartphone That Can Map The World Around It

Google has just announced, under a new initiative called Project Tango, a prototype Android smartphone that can learn and map the world around it. Google says that the phone will learn the dimension of rooms and spaces just by being moved around inside of them. Walking around your bedroom, for example, would help the phone learn the shape of your home. Google hopes that by creating a robust map of the world, the phone could eventually give precise directions to any given point that needs to be reached. The goal of Project Tango is to give mobile devices a human-scale understanding of space and motion. Google has 200 devices that it’s preparing to give out to developers who want to build mapping tools, games, and new algorithms that take advantage of the phone’s sensors, and it expects to send them all out by March 14th. Google stresses that the technology is still in early stages, but it still sees it as on the way to reaching millions of people down the road. Watch out for a major rollout in the future!

That sums up today’s highlights! We hope you have a profitable day on the markets.

Just A Minute!

Welcome to Wednesday’s ‘Just A Minute’. Here’s a 60 second summary what’s happening in the markets today:

Main trading events of the day: U.S. ADP Non-Farm Employment Change @ 08.15, CAD Building Permits m/m @ 08.30 & @ U.S. ISM Non-Manufacturing PMI @10.00 GMT
Stocks to watch: GlaxoSmithKline PLC, Twitter Inc, Walt Disney Company
Trader Tip For The Day: Watch Twitter & Walt Disney prices as earnings releases are expected today

What We’re Watching Today: Stock Markets

A big earnings day today as Twitter is due to post its first quarter report. Most analysts remain cautious on the stock, which some see as overvalued. We’re also still keeping an eye on the S&P and emerging stocks. U.S. stocks rose, with the Standard & Poor’s 500 Index rebounding following the biggest drop since June and added 0.8 percent. Turkey’s lira led gains among emerging-market currencies but overall, a gauge of stocks in developing nations extended its worst-ever start to a year.

Today’s Headline:

Emerging Markets Turmoil Sparks Credit Crunch Fears

Very much in the news right now, we continue to monitor the activities of emerging markets and possible economic repercussions. As economic growth slows in Brazil, India and China, there are fears that capital outflows out of these countries could be the first signs of a credit crunch — and the third stage of the global financial crisis after the U.S. subprime rout and the euro zone’s debt woes. lberto Gallo, who heads European macroeconomic credit research at RBS, said the outflows were indicators that two major emerging market economies, Brazil and China, were already in the early stages of a credit crunch. Banks create a credit crunch when they become more cautious to lend out and push up the cost of borrowing, making it harder and harder for companies to borrow to grow their businesses. A credit crunch is normally a sure sign a country’s economy is heading into stormy waters. Some analysts are even referring to the current emerging market turmoil as the “third leg” of the global financial crisis that struck in 2007.

Tech:

Google Wallet

Here’s an interesting one for our app fans. While Google Wallet has allowed you to store physical loyalty cards inside its app for some time, having to type in a long series of numbers tended to discourage people from adding them. An update that rolls out on iOS today (and on Android last week) uses your smartphone’s camera to take a picture of the barcode and then adds the loyalty card to your digital wallet. The app can also alert you via push notification when you pass by a store where you have enrolled in the loyalty program. Given how often people abandon their loyalty programs, it could also help people get the rewards they dreamed of getting when they first signed up for a card. Google Wallet has until now been a troubled product but today’s updates make it far more useful. Keep an eye on Google prices today (when don’t we!)

That sums up Wednesday’s highlights! Remember, watch for those important earnings announcements today and keep in touch with us on Facebook, Google+ & Twitter for all the latest news, information, tips and more! Trade with the experts and become a superior trader!

Just A Minute!

Welcome to our new look Coffee Break page. Now you can catch up on some of the key highlights of your trading day in just a minute!

Main trading events of the day: EUR CPI Flash Estimate y/y @10.00 GMT & CAD GDP @13.30 GMT
Stocks to watch: Google, Amazon, Zynga & Chipotle
Other trading news: Amazon.com, Inc. reported Q4 EPS of $0.51, $0.15, worse than the analyst estimate of $0.66. Revenue for the quarter came in at $25.59 billion versus the consensus estimate of $26.06 billion

What We’re Watching Today:

Emerging Markets

While investors love the promise of high returns from emerging-market equities, there are not many of them to buy. Just how few are indicated on the map below. In many emerging markets, the value of all the freely traded shares of firms that feature in the local MSCI share index is equivalent to just one single Western firm! That means all the shares available in India are worth about the same as Nestlé while Egypt’s are equal to Burger King. This suggests that emerging economies need deeper, more liquid markets-and investors need more perspective. Worth bearing in mind if you’re trading.

Tech

Facebook

Investors in Facebook who were worried about a possible slackening in the social network’s membership growth can stop worrying. Facebook says 170 million new users joined the service over the last year, bringing its total to 1.23 billion active monthly users around the world. Looking at this another way, Facebook added the equivalent of 73 percent of Twitter’s user base to its membership rolls in 2013. This amazing statistic came earlier in the week amid an upbeat earnings report from the world’s largest social network. No doubt this has quietened skeptics! As Mark Zuckerberg celebrates Facebook’s 10^th birthday, it looks like it’s here to stay!

Stocks

As goes January … so expect a volatile year (so the saying goes….)

As we say goodbye to January, the stock market is down about 3 percent, and it has already set the tone for a much more challenging year. As goes January, so goes the year, is the adage. It has been right in 62 of the last 85 years, that’s 73 percent of the time. Since World War II, whenever the market was down in January, the average price change was usually flat in the remaining 11 months. Will history repeat itself again? Let’s see what February has in store…

That sums up Friday’s highlights! We’re back on Monday. Don’t forget, if you need to brush up your trading skills, why not visit our educational site this weekend? Banc De Binary’s free tutorial is easy to follow and can be done at your own pace. Learn with the experts and become a superior trader! Here’s the link www.bancdebinary.net

Who Is The World’s Biggest Red Wine Consumer?

Time for a coffee? Better make it a glass of red wine this time because unless you live in China, we’ve all got some catching up to do! The time has come for France and Italy to step aside as China has pipped these famous wine producers to the post to become the world’s biggest consumer of red wine, according to a study by International Wine & Spirit Research.

The survey revealed that Chinese consumers downed 1.865 billion bottles of red wine last year, contributing to a 136 percent rise in consumption over the past five years. The biggest consumers of all types of wine does, however, remain the U.S. As far as red wine goes, the latest data on red wine consumption shows that China has pushed traditional wine-drinking countries France and Italy into second and third place respectively. China consumed 155 million nine-litre cases of red wine in 2013. France consumed 150 million cases and Italy consumed 141 million cases. Consumption of wine and spirits in China, the world’s second biggest economy, has risen sharply in recent years alongside an increasingly affluent consumer society. This reflects a similar situation with the increase in consumable commodities in general as those who follow the markets will be aware.

Apart from the fact that China’s taste for luxury goods is increasing, the Chinese view the colour red as a lucky colour and to some extent this may help explain their preference for red over white wine. The situation has led industry insider,s including Morgan Stanley, to question whether China is actually fueling a global wine shortage. We’ll certainly be keeping an eye on those prices. In the meantime, have a glass of red wine on us…cheers!

Living In A Material World?

Are we living in a material world? To a larger or lesser degree, the answer has to be ‘yes’ but it does seem that to what degree depends on where you live.

In a recent poll of 20 countries conducted by global market-research company Ipsos regarding their attitudes toward wealth and success, findings were that those in China were the most likely to equate success with material possessions, with 71 percent agreeing with the statement “I measure my success by the things I own.”

Perhaps it’s no coincidence that the next three countries were also large emerging markets, implying that people’s views may be shaped not only by culture, but by stage of national development: 58 percent of respondents in India agreed with the same statement, while 57 percent in Turkey and 48 percent in Brazil. In the more affluent US, the figure was 21 per cent.

People in China were also the most likely to say “I feel under a lot of pressure to be successful and make money,” with 68 percent agreeing. A separate global poll last year by U.K office-space company Regus, found that Chinese workers were also the most likely to report increasing stress levels over the past year.

Meanwhile, people in India were the most likely to be hopeful about their country as a whole over the next year, with 53 percent expressing optimism. Forty-six percent of people in China expressed optimism, well above the global average of 32 percent. The most pessimistic were those living in Spain, Italy and France, perhaps not surprisingly considering their recent financial woes.

So, does being well-off financially equate with success? That depends on how you measure your own personal success. What do you think?

Polls Show A Change in Indian Leadership Boosting Stocks and Currency

Poll results for the upcoming elections in India favour the country’s stocks and currency as investors see a change in government bringing them new opportunities.

The SENSEX, the Indian benchmark index, jumped to record levels and the rupee hit a four-month high when results showed the main opposition party winning the state polls. The S&P BSE Sensex gained 1.5 percent while the rupee sold for 60.8475 per dollar, the most since 12th August. At the same time, the seven-day losing run of ten-year bonds came to an end, and ICICI Bank Ltd. (ICICIB) rose 4.6 percent.

The ruling party’s ten-year run of the Congress might be coming to an end with the Bharatiya Janata Party winning victories in areas that hold a sixth of the Indian population of 1.2 billion people. Polls show that Narenda Modi would likely be installed as Prime Minister come May. Modi’s howm state of Gujarat, moreover, has already been enjoying exceptional economic growth of a 10 percent increase with companies from Ford Motors Co. to the Tata Group being lured in, not least by the fivefold increase of the state’s power-generating capacity since Modi became its chief minister in 2001.

The markets seem to be approving of the poll results and to be looking for the new government fo come in with a mandate which will bring more foreign investments and help the rupee appreciate.

The Sensex is expected to climb by as much as 6 percent by the end of the year. So far it has recorded a 9.8 percent advance, the most among the four largest emerging markets, with foreigners investing nearly $18 billion into the country’s $1.1 trillion stock market, spurred on by the higher earning that the growing export industry brought on, as well as the stimulus by the Federal Reserve.

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