Dollar retreats from 9-day high vs. yen as investors look to ECB

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The dollar moved lower Wednesday ahead of a hotly anticipated meeting of European Central Bank policy makers after hitting a nine-day high against the Japanese yen early in the session.

The buck traded at ¥119.91 late Wednesday in New York, little changed from its late-Tuesday level. Early in Wednesday’s session, the dollar traded as high as ¥120.10, its highest level since Oct. 12.

The euro traded at $1.1342 late Wednesday, little-changed from late Tuesday. The British pound edged lower to $1.5419, from $1.5445.

Investors are hoping ECB President Mario Draghi will provide more concrete details about the central bank’s plan to expand its quantitative easing measures – something he hinted at after the ECB’s September meeting, and during a speech before the European Parliament.

Some believe that investors are expecting too much from Draghi.

The ICE U.S. Dollar index a measure of the dollar’s strength against a basket of six currencies, was up 0.1% to 95.0480.

Source: MarketWatch

Crude Oil Declines as U.S. Inventories Grow Most in Six Months

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Oil slid after a government report showed U.S. crude inventories grew by the most in six months.

West Texas Intermediate futures for December delivery ended at the lowest settlement in almost three weeks. Inventories expanded in the world’s biggest oil consumer by 8.03 million barrels last week, the Energy Information Administration said. A Bloomberg survey forecast a gain of 3.75 million. Refineries processed more crude for the first time in five weeks.

Oil failed to sustain a gain above $50 a barrel earlier this month amid signs the market surplus will persist as the Organization of Petroleum Exporting Countries continues to pump above its target. U.S. stockpiles remain more than 100 million barrels higher than the five-year seasonal average even as output falls and drilling rigs are idled.

December WTI declined $1.09, or 2.4 percent, to $45.20 a barrel on the New York Mercantile Exchange, the lowest settlement for front-month futures since Oct. 1.

Source: Bloomberg

Asian Futures Tip Return to Losses With Oil Near Three-Week Low

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Most Asian index futures signaled a return to losses for the region’s stocks, with crude oil near an almost three-week low amid concerns over a global glut and after drugmakers drove declines in U.S. equities.

Futures on stock gauges from Japan to South Korea dropped after speculation over the outlook for Japanese stimulus fueled gains in the regional benchmark on Wednesday. Standard & Poor’s 500 Index futures rose after a short-seller takedown of Valeant Pharmaceuticals International Inc. roiled health-care stocks, dragging the index lower last session. Anxiety over global demand is hobbling commodities, with U.S. oil below $46 a barrel and gold holding losses following its steepest slump this month.

The S&P/ASX 200 Index fell 0.3 percent by 10:05 a.m. in Sydney, dropping for the second time this week, while New Zealand’s S&P/NZX 50 Index, the first major gauge to start trading each day in the Asia-Pacific region, was up 0.1 percent.

Futures on Japan’s Nikkei 225 Stock Average were bid for 18,450 in the Osaka pre-market, down from 18,540 at their close Wednesday. Yen-denominated contracts rose 0.1 percent in Chicago, after gaining 1.2 percent in the previous session. Japan’s currency, which typically moves at odds with local shares, was little changed for a second day, at 119.90 per dollar. Futures on the Kospi index in Seoul dropped 0.2 percent.

Source: Bloomberg

Saham AS Turun pada Valeant seiring Minyak dan Emas Pimpin Gejolak di SDA

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Sebuah short-seller yang diambil dari Valeant Pharmaceuticals International Inc menggolakan sektor kesehatan, mengirim saham AS untuk kerugian hari kedua di tengah bervariasinya hasil perusahaan. Tanda-tanda pemulihan dari perlambatan pertumbuhan global membantu mendorong minyak ke level terendah dalam tiga minggu.

Indeks Standard & Poor 500 mengakhiri sesi volatile mereka dengan penurunan terbesar dalam seminggu. Valeant menetapkan sektor kesehatan, jatuh sebanyak 40 persen pada laporan dari Citron Research, hanya memotong setengah kekalahan setelah miliarder William Ackman menambahkan sahamnya di perusahaan. Saga ini dibayangi batu tulis besar positif dari laba blue-chip. Minyak mentah di New York jatuh ke level terendah dalam tiga pekan dan emas tergelincir ke level terendah bulan ini.

Ekuitas telah berjuang minggu ini untuk memperpanjang rally yang menambahkan lebih dari $ 4 triliun untuk harga saham global sejak akhir September. Produsen komoditas mengalami reli itu, tapi sektor sumber daya alam jatuh hari ini setelah penurunan impor Jepang menambahkan tanda-tanda bahwa permintaan dari ekonomi utama dalam kelesuan. Gejolak di Valeant menghidupkan kembali penjualan di sektor biotek yang merupakan salah satu  sektor dengan performance terbaik di pasar banteng.

Indeks Standard & Poor 500 turun 0,6 persen pada pukul 4 sore waktu New York, menghentikan reli Oktober. Indeks telah rebound hampir 9 persen dari level terendah musim panas sebelum penurunan dua hari. (sdm)

sumber: Bloomberg

S&P 500 Fluctuates Amid Mixed Earnings Results, Biotechs Decline

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The Standard & Poor’s 500 Index fluctuated amid mixed corporate earnings results, and as a plunge in Valeant Pharmaceuticals International Inc. sparked a second day of selling in biotechnology shares.

Valeant dropped 27 percent after a critical research report. General Motors Co. climbed 6.3 percent after posting a better-than-estimated profit. Chipotle Mexican Grill Inc. and EMC Corp lost more than 5 percent after their profits were short of estimates. KLA-Tencor Corp. jumped 23 percent after Lam Research Corp. agreed to acquire the company for $10.6 billion, while SanDisk Corp. added 2.7 percent after its deal to be bought by Western Digital Corp. 

The S&P 500 gained 0.2 percent to 2,033.93 at 12:27 p.m. in New York, after rising as much as 0.4 percent. The Dow Jones Industrial Average added 77.53 points, or 0.5 percent, to 17,294.64, as Travelers Cos. and United Technologies Corp. rallied for a second day, joined by Boeing Co. after it raised its profit forecast. The Nasdaq Composite Index was little changed as biotechnology shares retreated for a second day.

The S&P 500 is making little progress for a third session after reaching a two-month high. Equities have been recovering from a summer selloff and the benchmark’s first correction in four years, which was fed by anxiety over China’s slowdown and confusion on the Federal Reserve’s intentions toward interest rates. The S&P 500 is up 5.9 percent this month, rebounding from its worst quarter since 2011.

Investors are looking to corporate America for clues on the strength of the economy as the Federal Reserve considers raising interest rates for the first time in almost a decade. The probability of a Fed rate increase this year is about 34 percent, according to data compiled by Bloomberg. March is the first month for which traders price in at least even odds of a boost.

Source: Bloomberg.