Chile’s business-minded president calls for free trade and innovation October 18, 2010 THE daring rescue of 33 miners against apparently impossible odds under the full glare of global media attention has helped Chile to capture the world’s imagination. The question for Sebastian Pinera yesterday was whether his country’s economic prospects are also bold and bright enough to make Chile attractive to European investors. The Chilean President’s long-planned [...]
FTSE 100 bounces back after a strong performance from the financial sector October 18, 2010 Britain’s top shares rebounded yesterday after falls in the past two sessions, boosted by oils and banks, with better-than-expected results from Citigroup and hopes of more US economic stimulus improving sentiment. The FTSE 100 index ended 39.15 points, or 0.7 per cent, higher at 5,742.52 after falling last Thursday and Friday. The index is up [...]
Wall Street is lifted by robust Citigroup earnings October 18, 2010 US stocks advanced yesterday as stronger-than-expected profit from Citigroup helped financial shares shake off worries that the foreclosure mess could threaten the stability of the housing market. Apple, which hit an all-time high during the regular session, disappointed investors after reporting gross margins and iPad shipments. Its shares skidded five per cent in after-hours trading [...]
Foreclosures dominate bank earnings season October 18, 2010 JUST before third-quarter earnings season kicked off in the US, JP Morgan released a research note on the US banking sector calling banking stocks “attractively valued”. Pointing to improved credit conditions this year, the note was cautiously upbeat, revising near-term estimates upwards. But there was one word missing from the note: foreclosures. In the past [...]
QE2 IS LIKELY TO BE ABOVE $1 TRILLION October 18, 2010 CFD MARKET STRATEGIST, GFT FEW analysts now doubt that the Federal Open Market Committee (FOMC) will announce another round of quantitative easing (QE) at its November meeting. In fact, speculation has turned to the harm that Fed inaction could cause to the markets. After all, equities have been a one-way bet ever since QE2 became [...]
When weaving a commodities basket, traders must be skilful October 18, 2010 GOLD bullion was down 0.7 per cent to $1,361 while the dollar gained ground against all major currencies except the yen yesterday. Talk of the inverse link between these safe havens is not new and the chart below shows it in action over the last four days. But this relationship is not only true of [...]
THE TIPSTER October 18, 2010 HOME Retail Group has seen its share price underperforming the market and its sector this year: the share price is down a whopping 30 per cent year-to-date. Wednesday’s interims, however, should provide us with some good news and investors might look favourably on the stock as the Christmas period approaches. Capital CFDs quotes 219.2p-219.9p. Euro-dollar [...]
Positive start forecast as rosy US results expected October 17, 2010 BLUE chips are set for gains on the open this morning, as investors are expected to focus on the prospect of some healthy numbers from the US by way of the third-quarter earnings season. GFT is quoting the FTSE 100 index to open up 22 points from Friday’s close, at a level of 5,725. The [...]
The Fed’s new wave of easing could help the Vix rise higher October 17, 2010 SHARP drop-offs in the volatility or “fear” index of the S&P 500 sparked a flurry of commentary last week as the indicator fell 11.5 per cent over one week to hit a six month low. The index (known as the Vix) is calculated by the Chicago Board Options Exchange using data from a range of [...]
More QE will support the FTSE 100 October 17, 2010 SINCE traders returned to work at the start of September, the FTSE 100 index has been climbing steadily higher. Having fallen to as low as 4,805 in early July, the blue-chip index is now trading around the 5,700 mark and there is every expectation among market participants that equities could continue to gain ground. However, [...]
