DAILY REPORT 13/06/14 Eurozone economic news • European stock markets trading down to fears Iraq.
The main European stock indexes trades Friday's session lower, showing more concerns about the violence in Iraq and oil prices. The FTSE 100 English opera down 1.16%, yielding 80 points before the opening on Wall Street. In Germany, the DAX has a variation of 0.83%, falling for a third day. The French CAC 40 replicates the movement of the other European indices, yielding 0.80% after half-time operations on the European continent. Bank of England The Governor of the Bank of England said that interest rates in the country could rise sooner than investors expect. This comment caused a strong upward movement in sterling.
"There is a strong speculation about the timing of which will come the rise in rates," Carney said in a speech Thursday morning. "The rate hike could come sooner than markets expect it," said Carney. The President of the central bank also made several comments in the housing sector. Prices for this field of economics have increased 11% over the last year and are close to the levels before the crisis and 2008.
Economic News Asia • Asia closed the last session of the week hike. Major Asian stock indexes closed mixed Friday session territory, showing concern for the growth of violent events in Iraq. The Japanese Nikkei appreciated 0.83%, gaining 124 units during the last round of this week. In China, the Hang Seng Index had a positive change of 0.62% while the Shanghai stock market traded higher, gaining 19 points from the close of trading on Thursday. The S & P / ASX 200 lost 0.44%, falling to its lowest level in three weeks. China The National Bureau of Statistics reported that industrial production in China increased 8.8% (year on year), meeting market expectations. Analysts expected an increase of 8.8% in May, slightly above the 8.7% recorded in April. In 2014 industrial production has shown little increase and has been established in a range between 8.6% and 8.8%. Retail sales rose more than expected in both the annualized framework and so far this year. Year to year the increase was 12.1%, above the 12.0% expected by economists. As far this year, the increase in retail sales in May was 12.5%, above the consensus of analysts who had expected a variation of 12.1%. Japan rises The Japanese Nikkei index showed a rebound during the last session this week, after falling to its lowest level in two weeks during the first hours of the wheel. Prime Minister Abe said the government is ready to make a cut of about 30% in corporate taxes over the coming years, starting in 2015. As expected, the Bank of Japan left its monetary policy unchanged. Governor Kuroda noted that the Japanese economy will continue its moderate recovery despite data that were released this week
Economic and corporate news United States • Producer prices fall unexpectedly. During Thursday's session in the U.S. market the major stock indexes closed lower for a third day, driven by the conflict in Iraq. The Dow Jones Industrial lost 0.65%, yielding 109 units along the wheel. The S & P 500 had a negative change of 0.71%, closing on 1930 points, 20 units of its highest level. The Nasdaq Composite Index depreciated 0.79%, losing 34 units and closing on 4297.63 points.
Producer Prices Future of the major indexes are down before the open on Wall Street after learning that producer prices fell 0.2% in May. The Labor Department reported this morning that the producer price index showed an unexpected drop in the previous month. With a contraction of 0.2%, higher than expected which was an increase of 0.1%, 0.6% happened April. Intel (INTC: NYSE) The chip company raised its outlook for the second quarter and for the remainder of 2014, citing a higher than expected in the field of personal computers of the various corporations of the country demand. Intel shares increased in value about 4% after the news, after the close of trading on Wall Street Thursday. The company expects total revenues of 13.7 billion in the current quarter, easily beating the 13 billion (about 500 million) were reported during the last earnings report.
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