December 4th, 2013 by admin
World shares rose towards highs of six years and the Japanese Yen languished at fresh lows against the Euro and United States dollar after sentiment was boosted by a batch of strong U.S. economic data.
Wall Street spurred to a record close on November 26 after signs of an improving U.S. jobs market and more cheerful consumers. Talks that the Federal Reserve could start scaling back its stimulus, which supported the dollar, were also reinforced.
“Markets have taken on board the view that (U.S.) rates are not going up next year even if they start tapering soon,” said Simon Smith, chief economist at FXPro.
Japan’s Nikkei hit its highest close in almost six years. Germany’s DAX index touched an all-time high as trading got underway while the pan-European FTSEurofirst 300 index .FTEU3 was up 0.4 percent.
The U.S. dollar popped above 102.00 yen for the first time since May 29, while the euro traded just under $1.36. The Indonesian rupiah hit the 12,000 per dollar for the first time in nearly five years. The surging greenback also put pressure on commodity bloc currencies like the Australian and New Zealand dollars and many emerging market currencies with weak economic prospects.
- Comments Off
- Posted in News