Ramsco's Women Empowerment Initiative Recognized Among Top BRICS Businesswomen Practices for 2025    Egypt, Elsewedy review progress on Ain Sokhna phosphate complex    Gold prices end July with modest gains    Pakistan says successfully concluded 'landmark trade deal' with US    Egypt's FM, US envoy discuss Gaza ceasefire, Iran nuclear talks    Modon Holding posts AED 2.1bn net profit in H1 2025    Egypt's Electricity Ministry says new power cable for Giza area operational    Egypt's Al-Sisi, Italian defence minister discuss Gaza, security cooperation    Egypt's FM discusses Gaza, Nile dam with US senators    Aid airdrops intensify as famine deepens in Gaza amid mounting international criticism    Health minister showcases AI's impact on healthcare at Huawei Cloud Summit    On anti-trafficking day, Egypt's PM calls fight a 'moral and humanitarian duty'    Federal Reserve maintains interest rates    Egypt strengthens healthcare partnerships to enhance maternity, multiple sclerosis, and stroke care    Egypt keeps Gaza aid flowing, total tops 533,000 tons: minister    Indian Embassy to launch cultural festival in Assiut, film fest in Cairo    Egyptian aid convoy heads toward Gaza as humanitarian crisis deepens    Culture minister launches national plan to revive film industry, modernise cinematic assets    Rafah Crossing 'never been closed for one day' from Egypt: PM    I won't trade my identity to please market: Douzi    Two militants killed in foiled plot to revive 'Hasm' operations: Interior ministry    Egypt's EHA, Huawei discuss enhanced digital health    Egypt, Oman discuss environmental cooperation    Egypt's EDA explores pharma cooperation with Belarus    Foreign, housing ministers discuss Egypt's role in African development push    Egypt reveals heritage e-training portal    Three ancient rock-cut tombs discovered in Aswan    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Egypt's Irrigation Minister urges scientific cooperation to tackle water scarcity    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



World markets steady on US recovery optimism
Published in Youm7 on 28 - 04 - 2011

BANGKOK: Assurances from the Federal Reserve that the U.S. economic recovery is still on track helped support world markets Thursday, despite some bleak economic data from post-earthquake Japan.
Oil prices rose above $113 a barrel to the highest since 2008 as a weakening U.S. dollar made commodities such as crude cheaper for investors with other currencies. The dollar slid against the euro and the yen.
In early European trade, Britain's FTSE 100 was 0.1 percent higher to 6,073.71. Germany's DAX rose 0.5 percent, and France's CAC-40 was up 0.7 percent to 4,095.28. Futures augured a flat start for Wall Street.
The Fed's promise to keep U.S. interest rates low for an extended period also perked markets. That is expected to support growth in the world's largest economy — a major market for export-reliant nations in Asia and Europe.
"With US economic data broadly improving, and the current quarterly earnings season suggesting that corporate America is in pretty good shape, the confirmation of continued accommodative monetary policy should provide an attractive backdrop for further gains across equity markets," Cameron Peacock of IG Markets in Melbourne said in a research report.
Japan's Nikkei 225 index rose 1.6 percent to close at 9,849.74 after strong earnings from big name companies like Sharp helped boost a thirst for Japanese assets.
On Wednesday, Sharp said its annual profit more than quadrupled due to brisk demand for liquid crystal display screens used for game consoles, tablet computers and smartphones. Its shares rose 0.3 percent Thursday.
But Sony Corp. shares tumbled 4.5 percent on the heels of a major security breach that may have impacted users around the world. On Tuesday, the company acknowledged that credit card data of PlayStation users may have been stolen in a hack that forced it to shut down its PlayStation Network for the past week, disconnecting 77 million user accounts.
Other shares on the move include Panasonic Corp., Japan's biggest home appliance maker, which jumped 2.4 percent after reports said the company will cut its global work force by 40,000 people in a bid to streamline operations.
Failing to stem the Nikkei's rise were reports by the Japanese government that industrial output and consumer spending both fell the most on record last month as the March 11 earthquake and tsunami continued to stifle the country's economy.
Mainland Chinese shares lost ground Wednesday for a fifth straight trading day on concerns over further monetary tightening measures after the World Bank warned of continuing concerns over inflation.
The Shanghai Composite Index fell 1.3 percent to 2,887.04, while the Shenzhen Composite Index lost 2.8 percent to 1,183.70. Food and travel-related shares weakened despite the approaching May Day public holiday.
"We can see from the lost interest in travel-related shares, just before a public holiday, that investors are gloomy," said Peng Yunliang, an analyst based in Shanghai.
South Korea's Kospi was marginally up to 2,208.35. Hong Kong's Hang Seng was 0.4 percent lower at 23,805.63. Benchmarks in Australia and New Zealand rose, while those in Singapore and Taiwan dropped.
On Wall Street, stocks rose to another high for the year Wednesday after Federal Reserve Chairman Ben Bernanke said central bank officials expect the economy to continue recovering as the jobs market strengthens.
The Fed said it expects the economy to grow as much as 3.3 percent this year. It now expects the unemployment rate to fall as low as 8.4 percent by the end of the year. The unemployment is currently at a two-year low of 8.8 percent.
The Fed also announced that its $600 billion bond-buying program would end as scheduled in June. The Fed repeated its promise to keep interest rates low for "an extended period." That should bode well for stocks, analysts said.
The Dow Jones industrial average rose 0.8 percent to close at 12,690.96. The Dow was already up before Bernanke's appearance and rose another 50 points after the Fed chairman spoke. The Standard & Poor's 500 rose 0.6 percent to 1,355.66. That was its highest price since June 2008. The Nasdaq composite index rose 0.8 percent to 2,869.88.
Benchmark crude for June delivery was up 51 cents at $113.27 a barrel in electronic trading on the New York Mercantile Exchange. Crude reached $113.70 earlier in the session, the highest since September 2008. The contract rose 55 cents to settle at $112.76 per barrel on the Nymex on Wednesday.
In currencies, the dollar's decline deepened after Bernanke signaled that interest rates will stay low for some time. The euro strengthened to $1.4830 from $1.4740 late Wednesday. The dollar weakened to 81.50 yen from 82.24 yen.


Clic here to read the story from its source.