Oil higher on weaker US dollar, stocks higher... Canada is slipping down the G7... Trans-Pacific trade deal signed... Rosengren wants tougher stress tests for banks...
Oil higher on weaker US dollar, stocks higher
A strong lead from Wall Street has helped gains on world markets Thursday. A weaker US dollar has boosted oil futures and given hope to a delay in further interest rate hikes by the Fed.
Asian markets closed mostly higher led by Sydney which was up 2 per cent. The Nikkei went against the trend with the stronger yen against the greenback prompting a sell-off.
European indexes are trending higher with London leading the pack. Commodity stocks are edging higher on the stronger oil prices and weakened dollar. Europe’s banking sector are the biggest drag with Deutsche and Standard Chartered among the largest losers in Wednesday’s session.
Wall Street and Toronto are expected to open higher.
Canada is slipping down the G7
Having been relatively resilient during the financial crisis Canada is now being outpaced by other G7 nations. The latest forecasts from the Bank of Nova Scotia suggests that Canada will slip down the rankings to join Italy and Japan with the lowest growth of the G7, at 1.1 per cent. That puts Canada behind the US at 2.2 per cent, UK at 2 per cent, Germany at 1.8 per cent and France at 1.3 per cent.
Trans-Pacific trade deal signed
The Trans-Pacific Partnership has been signed in New Zealand amid protests in the streets of Auckland from groups concerned about negative impacts of the deal. Although Canada is one of the 12 signatories the TPP will require a vote in parliament to be ratified.
Rosengren wants tougher stress tests for banks
The president of the Boston Fed wants banks to undergo tougher stress tests including higher capital requirements. Eric Rosengren said Thursday that proposals that would force the ‘too big to fail’ institutions such as JP Morgan Chase and Goldman Sachs to pay a capital surcharge alongside larger reserves is something he would back.
A strong lead from Wall Street has helped gains on world markets Thursday. A weaker US dollar has boosted oil futures and given hope to a delay in further interest rate hikes by the Fed.
Asian markets closed mostly higher led by Sydney which was up 2 per cent. The Nikkei went against the trend with the stronger yen against the greenback prompting a sell-off.
European indexes are trending higher with London leading the pack. Commodity stocks are edging higher on the stronger oil prices and weakened dollar. Europe’s banking sector are the biggest drag with Deutsche and Standard Chartered among the largest losers in Wednesday’s session.
Wall Street and Toronto are expected to open higher.
| Latest | 1 month ago | 1 year ago | |
| North America (previous session) |
|||
| US Dow Jones | 16,336.66 (+1.13 per cent) | -4.74 per cent | -7.56 per cent |
| TSX Composite | 12,593.02 (+1.21 per cent) | -2.58 per cent | -16.02 per cent |
| Europe (at 5.30am ET) |
|||
| UK FTSE | 5,925.15 (+1.51 per cent) | -2.76 per cent | -13.63 per cent |
| German DAX | 9,501.70 (+0.71 per cent) | -7.60 per cent | -12.92 per cent |
| Asia (at close) |
|||
| China CSI 300 | 2,984.76 (+1.23 per cent) | -13.96 per cent | -12.26 per cent |
| Japan Nikkei | 17,044.99 (-0.85 per cent) | -7.62 per cent | -3.58 per cent |
| Other Data (at 5.00am ET) |
|||
| Oil (Brent) | Oil (WTI) | Gold | Can. Dollar |
| 35.30 (+0.74 per cent) |
32.63 (+1.08 per cent) |
1147.40 (+0.53 per cent) |
U$0.7311 |
| Aus. Dollar |
|||
| U$0.7219 | |||
Canada is slipping down the G7
Having been relatively resilient during the financial crisis Canada is now being outpaced by other G7 nations. The latest forecasts from the Bank of Nova Scotia suggests that Canada will slip down the rankings to join Italy and Japan with the lowest growth of the G7, at 1.1 per cent. That puts Canada behind the US at 2.2 per cent, UK at 2 per cent, Germany at 1.8 per cent and France at 1.3 per cent.
Trans-Pacific trade deal signed
The Trans-Pacific Partnership has been signed in New Zealand amid protests in the streets of Auckland from groups concerned about negative impacts of the deal. Although Canada is one of the 12 signatories the TPP will require a vote in parliament to be ratified.
Rosengren wants tougher stress tests for banks
The president of the Boston Fed wants banks to undergo tougher stress tests including higher capital requirements. Eric Rosengren said Thursday that proposals that would force the ‘too big to fail’ institutions such as JP Morgan Chase and Goldman Sachs to pay a capital surcharge alongside larger reserves is something he would back.
