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Showing posts from June, 2011

Week ended 24th June, 2011 – Market this week .

Though Greece are trying to secure their bail out fund by completing the steps, by one by one. But Rating agencies are making the problem worse, as Fitch threat to cut the Greece rating if lenders rollover their loans, on the other hand Moody’s threat to downgrade 13 Italian banks and Italy’s Aa2 credit rating. Not only in Greece, Fitch warned that US credit rating would be put on negative watch if debt ceiling deal wasn’t reached.

Week ended 24th June, 2011 – Currencies this week .

Recent trends say that when ever there is problem in Euro-zone, investors are shifting to Swiss FRANC and USD. This weekSwiss FRANC was in strongest level against EURO. Problem in Euro-zone, not only Greek debt problem but also the rating downgrade of 13 Italian banks by Moody’s and bad economic news (better to say bad FED news) from US, effected the market this week.

Week ended 24th June, 2011 – Treasuries & Bonds this week .

Now it is 11th straight weeks during which 2 & 5 –Year Treasurie are giving negative yields. This week Fitch warned that US credit rating would be put into negative watch, if they miss coupon payment due on 15th August. Fears about Euro-zone debt and US economic slowdown, prompting investors to take shelter in Treasuries. But market is not satisfied due to comments of Fed regarding future Quantitative easing.

Week ended 17th June, 2011 – Market this week .

Most of the stock indexes were down on concern of Greek debt problem. HANG SENG & THAI index were down for 5th straight sessions. Inflation fell for May in Euro-Area but what created a problem in Euro-zone are the rating downgrades. First S&P downgraded Greece’s credit rating into a lowest one in the world, later it downgraded 4 Greece banks. In other parts Moody’s warned that there is a possibility of downgrade of 3 French banks because of their exposure to Greek debt.

Week ended 17th June, 2011 – Currencies this week .

In the initial days of this week market was average due to some better reports but matters become problematic due to Greece debt problem. Switzerland is making gain when Europe is feeling the pain, that is the talking going on  around the financial world. Swiss FRANC hit a record against EURO this week. In Monday EURO was all time low against the Swiss FRANC, but better reports from different parts of the world made EURO to rose more against Swiss FRANC in Tuesday. But again in Thursday it hit all time low figure against Swiss FRANC. Swiss government lowered its forecast for 2012 economic growth and said a further appreciation of the FRANC is a risk.

Week ended 17th June, 2011 – Treasury & Bonds this week .

Now this is 10th straight week during which 2-Year & 5-Year Treasury gave negative Yields. It is one of the longest winning streak for Treasury values. In Tuesday after better reports from China and US, Treasury prices made some correction. But Yields couldn’t able to continue with that gains. In the last day, Bonds and Treasuries Yields have not shown much rise in spite of better news about Greek’s rescue, though Treasury price initially fell due to some news about German stands about sharing bail out burden with private investors.

What is the current status of CAC , as on June 14, 2011 ?

NOTE :  Please see the disclaimer below this blog.

Week ended 10th June, 2011 – Market this week .

Dow Jones, CAC and DAX were in their 6th straight weekly decline this week. Continuing weakness in US economy, never ending European debt problem and some signals that growth may reduce in some of the Asian countries are the major causes of these decline.

Week ended 10rd June, 2011 – Currencies this week .

EURO is looking for some better news from problematic countries especially from Greece. After ECB’s president signaled that he may back Greek debt rollover, EURO strengthened to one month high against the dollar. Expectation was too high about rate hike in ECB’s meeting, but many were disappointed after Trichet signaled a slowing pace of rate hike, and as a result  EURO fell. Now this drop in EURO was acting as a cause of rise in USD. This week USD rose from it low point of around 73.5 level.

Week ended 10th June, 2011 – Treasury & Bonds this week .

Now this is 9th straight week during which 2-Year & 5-Year Treasury gave negative Yields. It is one of the longest winning streak for Treasury value.

What is the current status of Malaysia’s KLSE ?

NOTE :  Please see the disclaimer below this blog.

Week ended 3rd June, 2011 – Market this week .

This week reports from US is not good, especially that unemployment rate which rose 9.1% in May from 9% April. In this moment the bigger problem is how to raise the debt limit, because republicans have rejected the bill in US House. I do not know that whether Moody’s threat to downgrade US debt rating may help to melt that ice !

Week ended 3rd June, 2011 – Currencies this week .

Euro rose to highest point in 4 weeks due to expectation of financial package for Greece. Somewhere I read that matter will be decided in June end. USD was down due to Nonfarm Payroll report, which was not up to the expectation. USD  now also in trouble due to threat of rating downgrade and ending of QE-2.

Week ended 3rd June, 2011 – Treasury & Bonds this week .

US now is facing a big problem and may be whole financial system of the world can be in a trouble spot. This week Republicans in US House have rejected the bill to raise the US debt limit, so they have no other way than to do spending cuts. Now things will be critical for US, not only  because Moody’s warning of rating downgrade of US debt if congress fails to raise debt but also due to Treasury department’s warning of default if congress does not authorize more borrowing in August.