Dollar edges higher for third straight session

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The dollar was on track to finish higher against a basket of rivals for a third session Tuesday, as investors were cautious ahead of what many expect to be a volatile session Wednesday.

A reading on U.S. consumer-price inflation in July is expected then, along with minutes from the July meeting of Federal Reserve policy makers. In Europe, meanwhile, investors are anxious to see whether the German parliament will support a third bailout package for Greece.

The ICE U.S. Dollar index, a measure of the dollar’s strength against a basket of six rivals, was up 0.2% to 96.9600. The index had traded above the 98 level as recently as a week and a half ago.

U.S. housing starts rose 0.2% in July to the highest annual rate since October 2007. But the dollar shrugged off the strong reading, just as it ignored a weak reading from the Empire State Manufacturing index on Monday.

The yuan shed about 3% of its value versus the dollar after Chinese policy makers announced a major shift in their methodology for controlling the yuan’s value a week ago. But the Chinese currency has been relatively stable since Friday. Since then, it has traded around 6.40 to the dollar.

Elsewhere, the euro fell 0.4% to $1.1030; the dollar was little changed versus the yen at ¥124.43; and the British pound rose 0.6% to $1.5682 after official data showed that the U.K. consumer-prices index rose 0.1% in July. By comparison, the index was flat in June.

Source: MarketWatch

Gold falls after U.S. data as focus shifts back to rate rise

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Gold fell on Tuesday, as the dollar rebounded following upbeat U.S. housing data that supported views of a looming interest rate increase by the Federal Reserve, while silver tumbled on the heels of falling copper prices.

U.S. housing starts rose to a near eight-year high in July as builders ramped up construction of single-family homes, suggesting that the economy was firing on almost all cylinders.

Spot gold was down 0.1 percent at $1,116.73 an ounce by 3:19 p.m. after falling as much as 0.7 percent. U.S. gold for December delivery settled down 0.1 percent at $1,116.90 an ounce.

Spot silver was the worst-performing precious metal, dropping as much as 4 percent to $14.70 an ounce, its biggest tumble since July 7. It was pressured by a six-year low in copper prices as worries about weak demand growth from top consumer China were reinforced by tumbling equity prices in Shanghai.

Spot palladium fell by as much as 3.8 percent to $588.75 an ounce, the lowest since Aug. 4.

The dollar traded up 0.2 percent against a basket of leading currencies, while European shares were mixed and U.S. stocks were lower, following a 6 percent slump in Chinese markets. Platinum fell 0.5 percent to $989 an ounce.

Source: Bloomberg

Japan Stocks Fall, Following U.S., China, as Commodities Slump

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Japanese stocks fell, tracking declines in U.S. and Chinese equities, as a selloff in commodities pushed down shares of airlines and iron producers.

The Topix lost 0.4 percent to 1,666.24 at 9:02 a.m. in Tokyo, with all but eight of its 33 industry groups retreating. The Nikkei 225 Stock Average declined 0.4 percent to 20,479.60. Copper, zinc, nickel and oil fell in a renewed drop in commodities after Chinese stocks slumped amid speculation the world’s second-biggest economy will face further headwinds. The outlook for higher interest rates from the Federal Reserve also curbed demand for riskier assets.

The Bloomberg Commodity Index fell on Tuesday to the lowest level since February 2002. The gauge of 22 raw materials declined for a sixth day in the longest run of losses in more than a year.

With China the world’s biggest consumer of industrial metals, last session’s 6.2 percent slump in the Shanghai Composite Index rattled raw-material investors, coming a week after the country’s surprise devaluation of the yuan. U.S. oil fell for the second time in three days as investors awaited an update Wednesday on American crude stockpiles amid resurgent concern over a global glut.

Source: Bloomberg

Asian Stocks Fall as Oil Decline Signals Slowing China Economy

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Asian stocks fell a fourth day as a deepening commodities selloff raised concern growth may be slowing in China, and as investors await clues from the Federal Reserve on the timing of a U.S. interest-rate increase.

The MSCI Asia-Pacific Index dropped 0.1 percent to 136.83 as of 9:01 a.m. in Tokyo, extending a seven-month low. Crude oil resumed losses and copper dropped to the lowest since 2009 as concern mounted that slower growth in China will erode demand for raw materials. Minutes of the Federal Reserve’s last meeting will come under scrutiny Wednesday, with market expectations for a September rate hike falling to about 48 percent from around 50 percent last week.

Japan Topix index fell 0.4 percent. South Korea’s Kospi index rose 0.1 percent. Australia’s S&P/ASX 200 Index gained 0.1 percent. New Zealand’s NZX 50 Index climbed 0.2 percent. Markets in China and Hong Kong have yet to open.

The Bloomberg Commodity Index fell on Tuesday to the lowest level since February 2002. The gauge of 22 raw materials declined for a sixth day in the longest run of losses in more than a year. With China the world’s biggest consumer of industrial metals, Tuesday’s 6.2 percent slump in the Shanghai Composite Index rattled raw-material investors.

Chinese investors are cutting expectations for stimulus after data showed a stronger housing market and the central bank injected cash into the financial system. The securities regulator said Friday that China Securities Finance Corp., the state agency tasked with supporting share prices, will reduce buying as volatility falls.

Futures on the Standard & Poor 500 Index rose less than 0.1 percent. The underlying measure slid 0.3 percent on Tuesday.

Source : Bloomberg

Saham AS Melemah Seiring Penurunan Harga Komoditas dibayangi Data Perumahan

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Saham AS melemah karena kekhawatiran atas perlambatan pertumbuhan ekonomi di China dan negara-negara berkembang lainnya di tengah aksi jual komoditas terus memperdalam penurunan dibayangi perbaikan di pasar perumahan Amerika.

Indeks Standard & Poor 500 turun 0,3 persen ke level 2,096.89 pada pukul 4 sore di New York.

Tembaga memimpin penurunan komoditas terkait spekulasi banjirrnya pasokan minyak global akan bertahan dan ekonomi China akan menghadapi gejolak lanjut. Penurunan sudah berlangsung selama sepekan terakhir pasca pemerintah China untuk pertama kalinya mendevaluasi mata uang utamanya sejak tahun 1994 lalu yang mengejutkan para investor global dan memicu keprihatinan pihak otoritas yang tengah berjuang untuk memerangi perlambatan ekonomi terbesar kedua di dunia tersebut. (izr)

Sumber: Bloomberg