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: USD Crude Oil Inventories @ 14.30 GMT
WHAT WE’RE WATCHING TODAY
U.S. Dollar Strength Wanes, Aussie Slides, Euro & Other Major Currencies Subdued
Investors trimmed U.S. dollar positions on Tuesday after a two-week run higher, seemingly unmoved by a U.S. March existing home sales report that beat expectations but still showed a modest decline to a one and a half year low. Trading ranges remained narrow as Europe returned from the Easter holidays and faced uncertainty over whether European Central Bank policy will move toward more monetary stimulus. The euro gave up some of its modest gains, but remained positive against the greenback and yen. European Central Bank President Mario Draghi recently stated that the euro’s strength and very weak inflation in the euro zone, due partly to the strong exchange rate, are possible triggers for the central bank to ease monetary policy. The euro slipped to a two-week low before rebounding to trade slightly higher around $1.38. Investors await today’s euro zone ‘flash’ PMI surveys while the German IFO institute’s monthly reading of business sentiment in Europe’s largest economy is due Thursday. The Australian dollar, meanwhile, slipped today after data showed that Australian consumer prices rose less than expected in the first quarter, lessening the risk of a rise in domestic interest rates this year. The currency tumbled 0.9 percent to $0.9286, pulling away from a five-month high of $0.9461 set earlier in April. Other major currencies were subdued, with the euro edging up 0.1 percent to around $1.381, while the dollar eased 0.1 percent to 102.55 yen.
Gold Above 10-Week Low as Investors Look To Ukraine & U.S. Recovery
Gold traded above a 10-week low as improvements in the U.S. economy were weighed against tension in Ukraine and signs of higher demand in China. Assets in the largest exchange-traded product held at the lowest in 12 weeks. Bullion for immediate delivery was at $1,284.84 an ounce from $1,283.81 yesterday, when prices fell for a sixth day to $1,277.69, the lowest level since Feb. 11. While gold’s 12-year bull-run ended in 2013 on expectations the Federal Reserve would reduce stimulus as the world’s largest economy recovers, prices have rallied 6.9 percent this year as unrest in Ukraine spurred haven demand. In China, the biggest consumer, volumes for the benchmark spot bullion contract in Shanghai climbed for a second day to a five-week high yesterday.
Google’s Stellar Growth…
More technological developments for Google as the company announces that together with NASA, it is developing smart robots designed to fly around the International Space Station which will eventually take over some menial tasks from astronauts with the aid of custom-built smartphones. NASA is planning to attach smartphones to the flying robots to give them spatial awareness that would enable them to travel throughout the space station. The Android-based phones will track the 3D motion of the robotic spheres while mapping their surroundings in an effort to give mobile devices human-scale sense of space and motion. The new phones are scheduled for launch into space on June 10. Google says the technology may also have applications on earth, such as in gaming and navigation assistance for the visually-impaired. Traders may wish to keep an eye on Google stock prices.
That sums up today’s highlights! Keep posted with our regular Facebook, Google+, Twitter and LinkedIn updates for traders. We hope you have a successful day on the markets!
