mynameisandhy

News and Reviews Economic Zone of Asia (Japan)

Japanese Economy: Industry Down 6.3% in March due to Earthquake

Friday, May 20, 2011

(Reuters) Japan's economy in March fell to a record 6.3% from the previous month in February, said the Ministry of Economy, Trade and Industry on Friday, reflecting a sharp blow to the factory and service sector output by the earthquake and tsunami 11 March.

The decline index of all industries is considered as a close approximation to the growth of gross domestic product as measured from the supply activity, was the largest since 1988, when the service adopted the comparative data format, said an official told Dow Jones Newswires.

The index was at 90.7 in March compared with 96.8 in February.

One subindeks a measure of construction activity fell 8.6% in March, the biggest drop since added to the main index in 1993, the official said.

Japan's economy rapidly deteriorated due to the manufacturing sector after the earthquake and tsunami and also the nuclear issue that crippled the supply chain and industrial activities. Japan is the worst disaster in decades that dampen consumer sentiment and hurt demand for luxury goods.

Terbesaritu third world economy contracted at a sharper rate than the annual estimate of 3, by 7% in the first quarter, slipping into a recession that make the domestic economy battered by the earthquake, such as consumer spending, according to government data showed on Thursday.

News and Reviews European Economic Zone

Friday, May 20, 2011 18:46

Surrender of the strengthening euro earlier in European markets on Friday as rumors of the sale of the euro currency in large numbers, as well as concerns over protests against the fiscal savings in Spain.

Observed by far the pair EUR / USD traded at 1.4220 level, down -0.62%. Protests in Spain again remind potential investors that may be suffered by the dominoes European region is still possible if policy makers fail to resolve the debt problems of Greece.

Based on technical studies, intraday bias is still bearish after failing to penetrate above the 1.4395 level, to re-test the 1.4200 level. Fell below that area is a sell signal targeting 1.4140 area. Nearest resistance in the area 1.4280 - 1.4305 - 1.4336.

News and Reviews European Economic Zone (Germany)

German PPI Rise 1% In April

Friday, May 20, 2011

(Reuters) producer prices in Germany, a country with Europe's biggest economy, rose at a faster pace in April and on-year, driven by higher energy prices, the Federal Statistics Office said on Friday.

Producer prices rose 1% in April from March and 6.4% from a year earlier, according to statistics office Destatis.

Figures higher than Dow Jones Newswires survey, where economists had forecast an increase of 0.7% from March and prices rose 6% from the previous year.

Statistical Office said that energy prices accounted for much annual rate increase for the month of April. Energy prices rose 11.8% from March and 2.6% from the prior year period.

Excluding energy, producer prices rose 0.4% on month and 4.2% from a year earlier, Destatis said.

Trigger For Lack of Gold Rally

Thursday, May 19, 2011

Gold is not much beubah in London session. Fairly widespread profit taking as gold tried to approach the psychological level of $ 1500. However, the continued weakening of the dollar sentiment is still supporting the movement of precious metals. Although the FOMC minutes showed the Federal Reserve is almost agreed to use monetary instruments to attract stimulus, but there is no indication when the tightening will begin; is certainly not enough to foster the strengthening dollar.

"Gold is still looking for an excuse to continue strengthening; now precious metal shortages trigger for the rally" said Dan Smith, analyst at Standard Chartered. "Overall, the gold was quite encouraging. Gold may have a print prices low, but $ 1,500 still to be resistant is important," said Li Ning, an analyst at Shanghai CIFCO.

Data World Gold Council (WGC) showed an increase of 26% of global gold investment to 310.5 tonnes. Demand for precious metals also rose 11% to 981.3 tonnes. Investors prefer gold bullion and gold coins instead of ETF products, this course can be a reason for reduced investment fund based gold ETF in the first quarter 2011

News and Reviews Economic Zone of Asia (China)

China Stock Market Up Thin; Shanghai +0.1%

Thursday, May 19, 2011

China's stock markets opened higher in early trading, supported by the strengthening of the U.S. stock market last night but the increase may be limited amid still big concerns over slowing economic growth and rising inflation.

The Shanghai Composite rose by 0.1% at 2876.87 levels with psychological resistance at 2900 levels.

"CPI was slightly lower in April compared to the previous month, but we expect to again increase in May and June", said Tu Chunhui, an analyst with China Development Bank Securities.

China's CPI rose by 5.3% in April, down from an increase of 5.4% in March.

China Shenhua Energy rose by 0.6% at the level of CNY28.70, China COSCO Holdings fell by 0.5% at the level of CNY9.25.

Shenzhen Composite rose by 0.2% at 1205.31 level.

News and Reviews Economic Zone of Asia (Japan)

Japanese Economic Losses Sharply in January - March 2011

Thursday, May 19, 2011

Japan's economy shrank nearly double the margins in which economists have estimated, as this country back into recession with a contraction of two consecutive quarters.

Gross domestic product contracted by 0.9% in January-March quarter, marking a 3.7% annual decline, the Cabinet Office reported Thursday morning.

These results show a much larger decline than the average estimate for the contraction quarter-on-quarter by 0.5% in a separate survey of economists conducted by Reuters and Dow Jones Newswires.

GDP figures this is the first in which incorporate the impact of the earthquake 11 March.

News and Reviews European Economic Zone (UK)

UK Retail Sales Heat Up Due to Weather, Wedding King

Thursday, May 19, 2011

British retail sales rose more than expected in April as an additional holiday for the wedding of the king and very hot weather in that month at a record boost sales of food, clothing and shoes, official data showed on Thursday (19 / 5).

The volume of retail sales include fuel rose 1.1% from March and rose 2.8% from April last year, said the Office for National Statistics (ONS). That suggests the increase month to month in April, the strongest since 2002, he said.

Economists expect sales rose 0.7% on a monthly basis and 2.4% on an annual basis in April, according to Dow Jones Newswires survey last week. In the revised sales in March rose 0.3% in the month and 1.1% in the year.

Factors triggering extraordinary sharp-than-expected increase in sales seems to reduce the impact of data on expectations for higher interest rates the Bank of England (BOE).

ONS said the bank holiday special on April 29 to celebrate the marriage between Prince William and Kate Middleton may encourage sales. Anecdotal evidence also showed sales of clothing and footwear benefit from good weather.

Sales of textiles, clothing and footwear rose 2.2% in the Master, who along with June 2009 was the sharpest increase since August 2008.

For the first time in 15 months, the food sector, especially the rise in year to year, increased 1.4% in April. On a monthly basis, food store sales rose 2.2% in particular, the sharpest increase since May 2008, the ONS said.

Sales in the category of other stores also rose 4.3% in the year, dogerakkan by garden centers, sporting equipment and toys, said the ONS.

European Stock Down; Commodities Support

Thursday, May 19, 2011

European stock markets opened higher Wednesday, supported by firm commodity prices and the IPO well received by Glencore.

If the U.S. IPO by LinkedIn that came out today to prove he was as successful, the index may have upward pressure further, traders said. However, gains may be limited by concern over the arrest of the International Monetary Fund chief Dominique Strauss-Kahn and a power vacuum at the moment due to the IMF must deal with the debt crisis of Europe.

At 0750 GMT, Europe's Stoxx 600 Index 0.1% higher at 278.37, the FTSE 100 rose 0.3% at 5940.22, Germany's DAX rose 0.6% at 7343.96 and France's CAC added 0.4% on 3993.78.

In company news, stock sales were well received by Glencore helped mining stocks basis, although for metal mixed session in Asia overnight. Glencore last traded at 545 pence, compared with an IPO price of 530 pence. Eurasian Natural Resources led the FTSE 100, gaining 2.7%, Lonmin followed, adding 2.1%.

In England, National Grid rose 2.2% after the annual report figures please investors.

Still in the release of data, UK retail sales due on 0830 GMT, UK CPI industry trends at 1000 GMT and U.S. existing home sales at 1400 GMT. In addition, the Philadelphia Fed index will be due at 1400 GMT.

Spot Gold Up, But Under Pressure Tend

Wednesday, May 18, 2011

Spot gold trading higher as the euro rose against the dollar. But - at least in the short term - commodities including precious metals tend to "stay on the defensive" as the margin increased commitment and enthusiastic data prompt traders and investors to pare exposure to risk and shift back to cash, Fastmarkets.com said.

Currency markets can provide additional pressure as the European debt problems burdening the euro, notes analyst James Moore. Spot gold rose 0.5% to trade at $ 1,494.30 / oz. Support graph further expected to be about 1.462 USD / oz, Moore said.

Asian Economic News and Review (Hong Kong)

Strengthen Energy Sector HK

Wednesday, May 18, 2011

Hong Kong stock exchange Wednesday moved to strengthen (5.18). The cause of increase in index is bargain-hunting action and properties of the energy sector, after the market fell for 12 in 14 sessions.

The Hang Seng Index rose 0.3% to as low as 22,966.87 and the Hang Seng China index increased 0.6% to as low as 12,814.99. HK shares steady despite the fall of the Dow Jones Industrial Average last night (05/17). Cnooc Ltd. shares rose 1.4% and PetroChina Co. reached 1.7%. Meanwhile, Aluminum Corp. of China Ltd. rose 1% as crude oil prices Globex, along with some recovery of commodity prices. The property sector is also slightly stronger in order to redeem the fall yesterday. Cheung Kong Holdings Ltd. drove 0.7% and Sun Hung Kai Properties Ltd. climbed 0.4%. Shanghai index sank 0.3% to as low as 2,844.55.

News and Reviews Economics Asia (Japan)

Japanese Tertiary Activity Reach Records Biggest Fall In 22 Years

Wednesday, May 18, 2011

Japanese service sector in March saw the sharpest fall in 22 years, as the March 11 disaster destroyed the infrastructure and businesses in the northeast, and virtually stop all economic activities that are not of national importance, to give a blow to the economic struggle

Government's tertiary industry index, released Wednesday by the ministry of economy, trade and industry, dropped 6.0% from 99.5 in February to 93.5 in March.

The decline was the biggest since April 1989, when the introduction of sales tax resulted in a decrease of 6.2% monthly.

All 13 categories of government surveys - including retail and sales, healthcare, banking and insurance - fell significantly.

A Ministry of Economy Trade and Industry officials say this is the first time the survey has decreased since the sector-wide statistical calculations when first used in 2005.

Wholesale and retail index fell 8.9%, while the hospitality down 11.0%. Transportation industry, most do not believe in tsunami-affected areas, fell 6.5%.

Recreation and leisure slumped 15.8%, because people stayed home after the disaster. The cancellation of concerts and theatrical performances whopping 61.1% resulted in a decrease in index of entertainment.

The ministry official said the government could not collect data from many affected areas. "We did the best we best reflect the economic situation with the data we have," the official said.

Euro Up But Vulnerable In Greek Debt

Wednesday, May 18, 2011

The euro strengthened against the U.S. dollar in volatile trade on Tuesday, but remains vulnerable to losses relating to how to restructure the debt of Greece is very large.

European finance officials expressing high on Tuesday and admitted for the first time that Greece may have to restructure its debt, a move which could trigger a debt crisis of European countries.

Speaking on the sidelines of the meeting of EU finance ministers, Jean-Claude Juncker, chairman of the Eurogroup of 17 countries, says there is a need to move towards the so-called "soft restructuring" of Greece's debt.

European finance ministers approved a package of financial aid to Portugal on Monday, but Greece's debt situation remains a significant wild card. A Greek debt restructuring could erode the credibility of the euro zone.

Key EU officials including German Chancellor Angela Merkel strongly against the euro zone sovereign debt restructuring. Merkel on Monday said such a scenario could cause a massive flight of investors from the euro zone bonds.

The euro traded up 0.6% at 1.4234 in early this morning, recovering from seven-week low around 1.4048 which is created on Monday. Some traders said that while he was under the moving average of 55 days at 1.4280, the euro is still vulnerable to reexamine the recent low.

This morning, the euro still continued to move strengthened at 1.4265.

Level 1.40 has made the euro received support by buying from central banks and hedge funds.

Yen, meanwhile, fell broadly in line Toshiba Corp. reportedly nearing a deal to buy Switzerland-based company Landis + Gyr and media reports said Takeda in advanced talks to buy Nycomed is also based in Switzerland, this development is seen as a catalyst to sell yen.

The euro rose 1.3 percent to 115.80?, While the Swiss franc rose 0.5 percent at 91.86?. Dollar rose to 81.34?, Rose 0.7 percent.

Euro reaches 17-month peak near 1.4940 in early May, supported by market expectations that the European Central Bank will raise interest rates further in coming months, while the Federal Reserve is expected to keep interest rates near zero this year.

News and Reviews European Economic Zone (UK)

UK Annual Inflation Rate Up To 4.5% In April

Tuesday, May 17, 2011

British Inflation accelerating to 4.5% in the year to April, official statistics showed on Tuesday (17 / 5), driven by the UK to higher travel expenses abroad during the Easter holidays.

The increase in inflation - after a surprise fall last month - will be renewed pressure on the Bank of England (BOE) raised its benchmark interest rate.

Office for National Statistics (ONS) said on Tuesday in the UK inflation as measured by the consumer price index, rose to 4.5% in the 12 months to April from 4.0% in March. Economist dipolling Dow Jones Newswires expected inflation will rise to 4.2% this year.

Inflation rose 1.0% month to month the second time since 1996, inflation has risen so much in a month.

ONS said the rise in inflation driven by rising costs transportai, an increase in excise duty on alcohol and higher rents for social housing.

An ONS official told reporters when the Easter holidays affect when the ONS data collected on the price, and it was noted to higher rates sharply in the air, sea and international rail tariffs. Air fare up 29% between March and April, said the ONS.

ONS added core inflation, except for items volatility such as alcohol, tobacco and energy, touching a record high at 3.7% in the 12 months to April.

Retail price index, an alternative measure of inflation, dropped to 5.2% from 5.3% in March, said the ONS.

Stable Gold, Silver Rebound; Support Asia

Tuesday, May 17, 2011

Gold held steady on Tuesday and silver rebounded from a 5% fall in the previous session, supported by physical buying in Asia, while investors observe the direction of price movement.

"Many people do not have a view of the direction the market will move, and observe closely the movement of the Euro", said Peter Fung, head of the dealing of Wing Fung Precious Metal in Hong Kong.

Spot gold moved up 0.2% to as low as $ 1,492.29 pe Rons. U.S. gold contract rose 0.1% to as low as $ 1,492.30.

Silver, rose sebanuak 60% from late 2010 to a record level of $ 49.51 I on 28 April. Prices have fallen by more than 30%, to trade at $ 33.79 level. However, prices are still up 9% this year.

Crude Oil Continue Destabilization, Crisis Impact Greece

Tuesday, May 17, 2011

Crude oil prices on trading today (17 / 5) recorded decreased on the second day. Oil weakened since yesterday due to the persistent worries about Europe's financial condition that is expected to experience pressure continued after the approval of the aid package to the Greek economy.

In Europe Finance Ministers Meeting which was held yesterday, the EU agreed to disburse aid package amounting to 156 billion dollars in order to overcome the continuing credit crisis in Greece

News and Reviews Economics Asia (China)

China Stock Market Up First Session; Shanghai +0.6%

TUESDAY, 17 MEI 2011

China stock market has increased its first session on bargain hunting action in coal and metals company. The Shanghai Composite rose by 0.6% at 2866.44 after touching an intraday level of the lowest in the level of 2821.20.

"I think it was purely as bargain hunting in resource shares after the fall following in the footsteps weakening commodity prices, " said Zhang Xiang, an analyst with Guodu Securities.

But Zhang said that the increase may only be temporary and too early to say that commodity prices have rebounded.

Yanzhou Coal Mining rose by 7.2% at the level of CNY33.20 and Zhongjin Gold rose by 1.9% at the level of CNY33.56.

Shenzhen Composite rose by 0.3% at 1202.55 levels

News and Reviews European Economic Zone

EU Deadlock, EUR Extend Bearish

Tuesday, May 17, 2011

In general, the movement of the single currency euro is still in a state of distress in the middle atmosphere that enveloped the market trading misgivings on Tuesday.

Market participants expect the bearish sentiment in the Euro seems to continue considering the EU meeting on Monday did not produce significant progress in the settlement of the Greek crisis, which is struggling to meet the requirements of the bailout program of the European Union / International Monetary Fund.

While the arrest of President of the IMF, Dominique Strauss-Kahn, on charges of sexual assault has sparked speculation vacancy peak position in the IMF and increase uncertainty over the outlook for the Eurozone financial aid. And these conditions trigger the limited Euro rally to get out of negative territory.

News and Reviews European Economic Zone (UK)

UK Annual Inflation Rate Up To 4.5% In April

Tuesday, May 17, 2011

UK inflation accelerate to 4.5% in the year to April, official statistics showed on Tuesday (17 / 5), driven by to higher travel costs for the UK abroad during the Easter holidays.

The increase in inflation - after a surprise fall last month - will be renewed pressure on the Bank of England (BOE) raised its benchmark interest rate.

Office for National Statistics (ONS) said on Tuesday in the UK inflation as measured by the consumer price index, rose to 4.5% in the 12 months to April from 4.0% in March. Economist dipolling Dow Jones Newswires expected inflation will rise to 4.2% this year.

Inflation rose 1.0% month to month the second time since 1996, inflation has risen so much in a month.

ONS said the rise in inflation driven by rising costs transportai, an increase in excise duty on alcohol and higher rents for social housing.

An ONS official told reporters when the Easter holidays affect when the ONS data collected on the price, and it was noted to higher rates sharply in the air, sea and international rail tariffs. Air fare up 29% between March and April, said the ONS.

ONS added core inflation, except for items volatility such as alcohol, tobacco and energy, touching a record high at 3.7% in the 12 months to April.

Gold Wedged Under $ 1,500 USD Strong Due

Gold prices still tend to weaken with a range under $ 1,500 on Monday mainly depressed by the strengthening U.S. dollar (USD) due to concerns over debt crisis the European zone of deepening ahead of a meeting of the Ministers of Finance in the block plus the emergence of news arrest of President of the Fund due to charges of rape.

The spot price of gold slumped more than 0.1% to about $ 1,490 per troy ounce at midmorning on Monday after ending with a flat at the weekend.

But according to commodity analysts Natalie Robertson, gold may reverse or behind the rebound from his downfall at the moment and perched above the support level of $ 1,500 until next week. This condition would allow for the safe-haven buying to continue due to continued concerns over the problem menerusnya eurozone debt crisis.

Falling Oil, Euro weakened After Incident IMF

Monday, May 16, 2011

Crude oil fell more than $ 1/bbl on dollar strength continued widespread, especially vs. the EUR, the news that the IMF chief Dominique Strauss-Kahn - who has been a strong supporter of saving the big European debtors - were arrested on charges of attempted rape will probably put S / T pressure on the euro, analysts said the euro zone finance ministers scheduled to meet at a later date to discuss settlement of the bailout to Portugal and are also expected to discuss Greece's debt position.

Oil market is aware of the weakness of the euro against the dollar, even though Strauss-Kahn said the incident may have only a life-term impact as the IMF will continue to function, Newedge Japan Yusuke Seta said, he added support for crude oil is likely to emerge around $ 98 / bbl after selling weight in recent weeks. Nymex June crude down $ 1.10 at $ 98.55/bbl, after hitting an intraday low $ 98.35/bbl; ICE Brent fell 70 cents to $ 113.13/bbl

Euro Walking in the middle of the Financial System Reform and Market

Monday, May 16, 2011

European Central Bank Governor Jean-Claude Trichet said on Friday the regulator is running through reforms to strengthen the financial system and ensure it makes a sustainable contribution to growth.

He said regulators have reached a blueprint that strict bank regulation which includes the loss-absorb more capital, better risk coverage and limitations for undue leverage.

Trichet said there had been strengthening supervision of financial systems and markets and market infrastructure, and reform of financial supervision is in progress. Supervision of financial markets should avoid excessive volatility, excessive influence of the dominant players and oligopolistic market structures, while strengthening transparency must be addressed, he said.

In an interview with Intereconomia Trichet also said Spain has obtained credbility through labor market reforms.

Euro zone moves in the negative pressure range at a low level areas in 6 weeks against the dollar below $ 1.41 related to dovish comments from ECB president last Friday increasingly deepening decline in the euro which has been hit hard by the Greek state debt problems.

News and Reviews Economics Asia (China)

Moody's: Negative Rating Trend Emerging To Chinese Property Developer

Monday, May 16, 2011

A negative trend of "famous" China appears to property developers during the first quarter because of their aggressive efforts to expand markets amid slowdown and tightening liquidity, a report from Moody's Investors Service Monday found

The report, which also noted a negative trend for airlines due to rising energy prices and earthquakes in Japan and New Zealand, said the trend of an overall assessment for corporate Asia Pacific ex-Japan is expected to remain stable, despite inflation and a gradual tightening of monetary policy raises challenge.

"Trends in Asia rating remained broadly stable, except that the negative pressure developed for China property development sector,"the report said, noting that the number of negative rating actions in this sector - eight - outnumbered positive actions - six - in the first quarter.

"Chinese property developer donated more than 60% of negative rating actions in this quarter, reflecting increased concerns about their business and liquidity risk, given their ambitious expansion plans at the time of constrained market growth and the tightening of liquidity," he said.

News and Reviews Economics Asia (Japan)

Japan Machinery Orders Rise On March Unforeseen

Monday, May 16, 2011

Japan's core machinery orders, an indicator utamayang many viewed as a major benchmark of capital spending, rose unexpectedly by 2.9% in March, according to Cabinet Office on Monday morning, with results far above expectations.

Monthly increase in core machinery orders, which does not include orders from manufacturers of boats and electric companies, in contrast to the median estimate of economists who predict a decrease of 9.9%, according to a survey reported by Dow Jones Newswires.

In February, core orders fell 1.9%.

Gold and Silver Down

Friday, May 13, 2011

Spot gold fell in Asian trade. "The weakening of gold seems to be limited by the fact that the gold be the safe-haven instrument is strong," according to an investment analyst at Phillip Futures, Ong Yi Ling.

Spot gold traded at $ 1,503.50 per ounce, down $ 3.40 from the closing of New York. Short-term support level for gold at $ 1.480 per ounce. "It should be enough time for investors to re-believe in the silver after the price had dropped," according to Ling. Silver prices had fallen sharply from peak levels last week that nearly $ 50/ons due to increase collateral requirements by CME Group.

Support for silver at $ 33/ons at levels 150-day MA. "If silver penetrate this level, could trigger a sell-and silver to continue to decline toward the level of $ 30/ons" Spot silver at $ 34.80/ons, up 18 cents from Thursday's closing level.

News and Reviews Economics Asia (Korea)

Bank of Korea Hold Interest Rates At 3%

Friday, May 13, 2011

Bank of Korea surprised the market on Friday morning to maintain the policy interest rate unchanged at 3%. Most economists expect the Korean central bank to raise interest rates because inflation pressures, with only 3 of 17 analysts surveyed by Yonhap Infomax South Korea which predict pause interest rate hikes.

This step marks the second consecutive month in which the Bank of Korea has kept interest rates unchanged. Korean Won lost strength after the release of this decision, with the U.S. dollar rose to 1090 won, up from previous low at 1,083.5 won, according to Dow Jones Newswires.