India Morning Call-Global Markets

>

NEW YORK - U.S. stocks closed little changed on Tuesday after the International Monetary Fund reduced its growth forecasts for 2015 and 2016, increasing speculation that central banks would take more aggressive policy moves to spark economic improvement.

The lower forecasts implied less demand for fuel through 2016, contributing to another fall in crude oil, although some bullish results from major energy companies kept the sector afloat. The S&P energy index eked out a gain of 0.09 percent.

For a full report, click on

----

LONDON - Britain's top share index rose for a fourth straight session on Tuesday, buoyed by mining stocks, after Chinese data beat expectations, although a tepid outlook from Unilever kept confidence in check.

The FTSE 100 index closed 0.5 percent higher at 6,620.10 points, after earlier reaching its highest point since the start of 2015 at 6,640.44 points.

For a full report, click on

----

TOKYO - Japan's Nikkei share average fell on Wednesday as investors pocketed gains from the sharp rises in the past two sessions, but expectations that the European Central Bank will unveil stimulus measures this week limited losses.

The market was also awaiting a policy decision by the Bank Of Japan likely around midday. The central bank is expected to continue its massive asset buying programme while possibly expanding two expiring loan schemes to support bank lending.

For a full report, click on

----

HONG KONG - Hang Seng Index is trading 1.07 percent higher.

For a full report, click on

----

FOREIGN EXCHANGE

SYDNEY - The yen nursed broad losses early on Wednesday as investors sold the Japanese currency in a precautionary move against any further policy easing by the Bank of Japan.

The BoJ is under growing pressure to increase its already massive stimulus program as slumping oil prices drag inflation away from its 2 percent target.

For a full report, click on

----

TREASURIES

NEW YORK - U.S. Treasury prices gained on Tuesday with 30-year bonds leading the rally, as investors bet the European Central Bank will launch new quantitative easing this week, keeping longer-dated debt in demand as investors hunt for higher yields.

The ECB meeting on Thursday is this week's main focus, when many expect the central bank will announce purchases of government bonds in a bid to fight off deflation and kickstart growth.

For a full report, click on

----

COMMODITIES

GOLD

SINGAPORE - Gold clung to sharp overnight gains on Wednesday, trading close to a five-month high as worries over the global economy and uncertainty over European Central Bank stimulus measures pushed investors towards the safe-haven metal.

Spot gold was down 0.2 percent at $1,291.30 an ounce by 0017 GMT, but held near a five-month high of $1,296.85 reached in the previous session.

For a full report, click on

----

BASE METALS

LONDON - London copper edged up on Wednesday, moving further away from last week's five-and-a-half-year lows, but trade was seen quiet until the the outcome of this week's European Central Bank policy meeting on Thursday.

Three-month copper on the London Metal Exchange climbed 0.4 percent to $5,711.50 a tonne by 0130 GMT, after posting a small gain in the previous session.

Prices are recovering from a low of $5,353.25 a tonne last week, which was the weakest since July 2009, while trade was very light with turnover of barely 200 lots.

For a full report, click on

----

OIL

NEW YORK - Oil prices edged up in early Asian trading on Wednesday in a further sign that prices are receiving support around current levels, but analysts said the outlook for the next six months remained weak due to oversupply.

Oil fell as much as 5 percent on Tuesday after the International Monetary Fund cut its 2015 global economic forecast and key producer Iran hinted prices could drop to $25 a barrel without supportive OPEC action.

For a full report, click on (Compiled by Dipika Lalwani)

FILED UNDER: Financials

• Tweet this
• Link this
• Share this
• Digg this
• Email
• Print
• Reprints