Broadgate: Market News 5/3
5 March 2012
Oil advanced 0.3 percent after falling 2.8 percent last week. This comes after a pipeline was shut in Illinois following a vehicle collision and fire at a pumping station. Gains were also driven by concerns about escalating tensions with Iran.
President Obama said that the U.S. would consider using military force against the country’s nuclear weapon program.
Asian stocks fell the most in two weeks after China announced its lowest economic growth target since 2004. The government will aim for economic growth of 7.5 percent this year according to a transcript of Premier Wen Jiabao’s address to the National People’s Congress.
While China’s yuan touched a four-week low, Japan’s yen gained 0.6 percent versus the dollar, and the euro slid for a fourth day against the yen. Japan’s currency rose amid speculation that exporters are buying it after it touched a nine-month low.
Data today may show European retail sales and manufacturing declined for a third month. This adds to signs that the currency bloc’s debt troubles are hurting the economy. Italy, France and Germany will be releasing services PMI data today.
The Dollar Index (DXY) reached the highest in more than two weeks before a U.S. report today that may point to a continued expansion in service industries, easing speculation the Federal Reserve will add to monetary stimulus.
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