Oil Futures Edge Higher on Ukraine, Driving Demand
Oil prices edged higher on Friday amid hopes of soaring demand as the
market approaches the summer-driving season and tensions in Ukraine
The June delivery West Texas Intermediate (WTI) added 52 cents from the
previous day to close at $102 a barrel. The per-barrel price of Brent
North Sea crude for July delivery was $109.75 in London.
As Channel News Asia reports, the oncoming US summer season will experience increased driving, in essence supporting oil prices.
Prices of gasoline jumped alongside those of Brent as markets
anticipated a shortfall of supplies due to escalating violence in
Ukraine. The futures added as much as 0.7%.NATO Secretary General Anders Fogh poured cold water on Russia’s
assurances that the country did not intend to invade Russia, in the wake
of rising tensions towards Ukraine’s presidential election scheduled
for May 25.
“Today I think we’re reflecting the Brent market. It looks like gasoline
is just bouncing off Brent, a little of WTI as well. Expiring June
Brent yesterday was much stronger than what anybody had thought,” Andrew
Lebow of New York-based Jefferies Bache LLC told Bloomberg.
The price of gasoline for June delivery was $2.971 per gallon as of
10:43 am after adding 0.68 cents on the New York Mercantile Exchange.
Gasoline’s crack spread in relation to WTI crude thinned 13 cents to
$22.87 per barrel. Gasoline’s premium to Brent dropped 14 cents to
Data from AAA in Heathrow, Florida, showed that US pump prices stood at
$3.648 per gallon after increasing 0.7 cents. Prices have surged 4.7%
from a year earlier.
June-delivery ultra low sulfur diesel climbed 1.17 cents or 0.4% to $2.9623 per gallon.
Diesel’s crack spread compared with WTI crude was flat at $22.43 for
every barrel. The premium to Brent crude of the motor vehicle’s fuel
reduced 11 cents to $14.50.
2014-05-18 22:45 GMT (or 00:45 MQ MT5 time) | [NZD - PPI Input]
if actual > forecast = good for currency (for NZD in our case)
NZD PPI Input = Change in the price of goods and raw materials purchased by manufacturers
Output producer prices in New Zealand climbed 0.9 percent on quarter in the first quarter of 2014, Statistics New Zealand said on Monday.The output PPI - prices received by New Zealand producers - topped forecasts for an increase of 0.7 percent following the 0.4 percent contraction in the fourth quarter.Input prices - prices of goods and services used by New Zealand producers - climbed 1.0 percent on quarter, topping expectations for 0.4 percent after shedding 0.7 percent in the three months prior."The higher prices for electricity generation contributed to both the higher input and output PPIs in the latest quarter," prices manager Chris Pike said. "This often happens in March quarters, due to spot-market conditions and low lake levels."The output electricity and gas supply price index rose 14 percent, which contributed more than half of the rise in the output PPI. The input electricity and gas supply price index (up 20 percent) contributed nearly three-quarters of the rise in the input PPI.Higher prices for raw milk resulted in an increase in prices received by dairy cattle farmers (up 4.0 percent), and an increase in input prices paid by dairy product manufacturers (up 3.1 percent) in the latest quarter.On a yearly basis, producer rice outputs climbed 4.0 percent after gaining 3.8 percent in Q1, while inputs added 3.1 percent after rising 2.8 percent in the previous three months.On a yearly basis, the output electricity and gas supply price index rose 2.8 percent, while inputs rose 0.7 percent.The prices received by the dairy cattle farming industry surged 47 percent, and the prices paid by the dairy product manufacturing industry spiked 39 percent.Also on Monday, the bureau said that capital goods prices in New Zealand were up 0.6 percent on quarter in Q1.The major upward contributions to the capital goods price index came from the residential buildings price index (up 1.1 percent), and the non-residential buildings price index (up 0.8 percent).The gains were offset by a decrease in the price index for transport equipment (down 0.4 percent). The appreciating New Zealand dollar against most key currencies also influenced this price change.On a yearly basis, the CGPI rose 2.1 percent. The increases for residential buildings (up 4.6 percent) and non-residential buildings (up 3.5 percent) were the highest since 2008, the bureau noted.Finally, the Performance of Services Index came in with a score of 58.9 in April, up from the upwardly revised 58.5 in March (originally 58.3) - and accelerating above the line of 50 that separates expansion from contraction.
Week Ahead: Alibaba Rival IPO, Fed Minutes, Home Sales, Microsoft
Markets remain jumpy despite recent highs for stocks, and the jitters
could continue in the week ahead with the release of minutes from the
Federal Reserve’s last meeting and two crucial updates on U.S. home
sales – all of which can be ultra sensitive to traders and their
The language used in the Fed minutes is always pored over for hints on
when interest rates will be allowed to rise from their historic lows,
and home sales data is central to the confidence of the U.S. economy.
Federal Reserve officials make a number of speeches throughout the week.
JD.com, China’s second-biggest e-commerce firm behind Alibaba Group, is
expected to raise as much as $1.7 billion in a U.S. initial public
Earnings due this week from home improvement companies Home Depot and
Lowe’s will give further clues to broader economic conditions.
And new Microsoft CEO Satya Nadella is expected to unveil at least one
new version of the company’s Surface tablet as it attempts to compete
with products from Apple and other rivals.
Monday sees former Fed chairman Ben Bernanke speaking in Dallas, as well
as current San Francisco Fed president John Williams and Dallas Fed
president Richard Fisher.
Monday also brings a conference at the U.S. Financial Stability
Oversight Council to consider whether the asset management industry is
systemically important enough to warrant supervision by the Federal
Earnings expected Monday include results from Urban Outfitters and Campbell Soup.
Tuesday sees earnings from Home Depot, Staples, Dick’s Sporting Goods
and Salesforce.com, and a new product launch from Microsoft CEO Satya
Nadela as he seeks to dazzle the market with at least one new version of
Microsoft’s Surface tablet.
Tuesday also brings speeches by Philadelphia Fed president Charles
Plosser and New York Fed president William Dudley, and the annual
meeting of JPMorgan Chase which will see a potentially controversial
vote on its executive compensation plans.
On Wednesday, the Federal Reserve will provide the minutes from the
April 29-30 meeting of the Federal Open Market Committee that reduced
further the Fed’s unconventional bond-buying stimulus measure that has
helped keep interest rates near zero for more than five years.
Expect traders and their ultra high-frequency trading algorithms to
twitch and gyrate – rightly or wrongly — on any nuance in the language.
Around the same time as the FOMC minutes are released, Fed chair Janet
Yellen will be speaking at a graduation ceremony for New York University
at Yankee Stadium.
Also expected as early as Wednesday, retail website JD.com, China’s
second-biggest e-commerce firm behind Alibaba Group, is expected to
raise as much as $1.7 billion in a U.S. initial public offering. The
whole of JD.com could be worth up to $24.6 billion, according to
Wednesday also brings earnings from retailers Target, Tiffany, Lowe’s
and American Eagle Outfitters, as well as an update on U.S. mortgage
Thursday will bring big updates on U.S. existing home sales, leading
indicators, initial jobless claims, and earnings from Hewlett-Packard,
Gap, Dollar Tree and Best Buy.
Thursday also sees Mary Jo White, chair of the U.S. Securities and
Exchange Commission, and BlackRock CEO Larry Fink, slated to speak at
the Investment Company Institute in Washington.
Finally, Friday brings updates on U.S. new home sales.
2014-05-19 07:00 GMT (or 09:00 MQ MT5 time) | [EUR - German Deutsche Bundesbank (Buba) President Weidmann Speech]
Speech at a Symposium organized by Deutsche Bundesbank, in Frankfurt
BUBA’s Weidmann says ECB will closely monitor FX moves when weighing policy decisions
Here we go, right on cue
EURUSD a little higher at 1.3719 on the view that a weaker euro could
prompt adverse impact so they will be careful on driving it lower.
Why Is Qatar Investing In Deutsche Bank?
The news that Qatar is to be the anchor investor in Deutsche Bank’s new
€8 billion fundraising increases once again the stake the gas-rich
Emirate has in western banks. But why?
Alongside a €6.3 billion rights issue, €1.75 billion will come directly
from the Qatari royal family through its Paramount Services Holdings
vehicle. While this will not be enough to earn the Qataris a seat on
the board, for example, nor even a particularly significant stake, it
is an interesting additional move into a sector the country now knows
well. In 2008 it put £6.1 billion into Barclays, through a combination
of Qatar Holding – the direct investment arm of the Qatar Investment
Authority sovereign wealth fund – and Challenger, which was an
investment vehicle of the former prime minister of Qatar. The QIA,
through Qatar Holding, also holds 6% of Credit Suisse and has stakes in
Bank of America and Agricultural Bank of China.
The Indian rupee surged the most in 11 months, continuing it with its
2.1 percent advance last week after the main opposition party won the
elections with more than enough majority, boosting investor confidence.
The rupee surged 0.5 percent to 58.4975 a dollar in mid-morning trade in
Mumbai. It rose to a session-high of 58.4750, the highest level since
June 18. Last week, the currency had earlier advanced the most in a week
The opposition Bharatiya Janata Party clinched 282 of the 543 seats in
the parliament, which was more than the required majority of 272 seats,
reported the Election Commission. The poll results was the first time a
single party had won the majority seats since 1984, fuelling optimism
that the incoming government will fast-track economic growth without the
burden of divisive coalition politics, reported Bloomberg News.
“The election result was clearly better than we expected,” said Craig
Chan, the head of currency strategy at Nomura Holdings for Asia
ex-Japan in Singapore. “The outlook for reforms, potential foreign
inflows and growth prospects will be even more positive now.”
Most analysts expect the currency to rally to 55 a dollar to 57 per
dollar by the end of this year. However, further rises in the currency
will be limited by dollar demand from the central bank and oil
importers. There are also fears that a stronger rupee may hurt the
The rupee’s one-month implied volatility, which measures the expected
shifts in the exchange rate used to assign prices to options, declined
0.31 percentage point, or 31 basis points, to 8.34 percent, the weakest
since March 17.
Japanese Yen and Euro Remain the Currencies to Watch in Week Ahead
Forex market conditions favor continuation of Japanese Yen gains versus the downtrodden Euro, while USD trades at support. Which trades are worth watching?
– The higher the number, the more likely we are to see strong movements
in price. This number tells us where current implied volatility levels
stand in relation to the past 90 days of trading. We have found that
implied volatilities tend to remain very high or very low for extended
periods of time. As such, it is helpful to know where the current
implied volatility level stands in relation to its medium-term range.
– This indicator measures trend intensity by telling us where price
stands in relation to its 90 trading-day range. A very low number tells
us that price is currently at or near 90-day
lows, while a higher number tells us that we are near the highs. A
value at or near 50 percent tells us that we are at the middle of the
currency pair’s 90-day range.
Range High – 90-day closing high.
Range Low – 90-day closing low.
Last – Current market price.
Forum on trading, automated trading systems and testing trading strategies
Market Condition Evaluation based on standard indicators in Metatrader 5
newdigital, 2014.05.19 17:51
There is very interesting and unique situation for USDJPY for now : breakdown for D1 and W1 timeframes.
D1 timeframe: Chinkou Span line of Ichimoku indicator is crossing historical price on open bar from above to below, and D1 price is located below Ichimoku cloud/kumo. Nearest support level is 101.31Possible breakdown.W1 price: Chinkou Span line is crossing the price on open W1 bar from above to below, but W1 price is located above kumo. Nearest support level is 101.31Possible correction.
D1 price will break 101.31 support on close D1 bar so we may see good price movement with the primary bearish to be continuing.If W1 price will break 101.31 support on close W1 bar so this tendency for downtrend will become long term situation.If not so we may see the ranging market condition.