Data Overshadowed The Problems

(Reuters) - The dollar fell to a three-week low against a basket of major currencies on Thursday after the Federal Reserve said it was ready to launch another round of bond buying if the U.S. economy weakens. The dollar's weakness boosted the Canadian dollar and pushed the British pound to a seven month high against the U.S. currency, as the central banks of Canada and Britian, in contrast to the Fed, are seen moving away from further stimulus. A tightening of peripheral euro zone spreads lifted the euro, but with debt problems still brewing large and the threat of a recession and political instability hanging over the euro zone, the common currency was unlikely to break above its recent highs, analysts said. The dollar index .DXY was at 78.849, having fallen as low as 78.823 its lowest ...

Global equities and the euro rose on Tuesday on strong corporate earnings, while solid demand at European government debt sales eased concerns about the euro zone's growing economic slump. Yields fell on government debt of the Netherlands and some southern European countries that have been at the heart of the debt crisis after the Netherlands sold bonds without problems, calming markets a day after the Dutch government collapsed in a crisis over budget cuts. Data on the housing market also raised optimism about the economic recovery and helped stoke risk appetite. Big manufacturers continued a wave of strong earnings growth, with United Technologies Corp (UTX.N), 3M Co (MMM.N), Illinois Tool Works (ITW.N) and Parker-Hannifin Corp (PH.N) posting results that topped Wall Street forecasts. ...

Brent crude was a little weaker, below $119, on Tuesday as lingering concerns over the euro zone economy overshadowed the latest production problems at the UK's largest oilfield. Brent crude futures dipped 25 cents to $118.46 a barrel by 9:59 a.m. EDT (1359 GMT). U.S. crude futures rose 66 cents to $103.77. Brent briefly turned positive and U.S. crude extended its gains as North Sea Forties crude, one of the four key streams used as a benchmark to price about two thirds of global crude oil, have hit by further delays following the shutdown at the Buzzard oilfield at the weekend. "I really do not see much impact on prices (from Forties loading delays)," said James Zhang, oil analyst at Standard Bank. "At this moment supply is very ample." Investor sentiment in Europe has remained ...

(Reuters) - Fears of a Europe-wide recession undermining political will to tackle the region's debt crisis gripped financial markets on Monday, sending shares and the single currency lower and driving demand for safe-haven assets. U.S. stocks were also poised to open lower on Wall Street. The economic outlook for Europe was hurt by poor flash Purchasing Manager's Indexes (PMIs) for April, which are a guide to future activity. The reports for the euro zone, Germany and France pointed to a much faster rate of economic contraction across the debt-laden region than had been expected. The gloomier view came as the Dutch government, a close ally to Germany in calling for tougher austerity measures to fight the crisis, was preparing to resign because of a crisis over budget cuts, according to ...

(Reuters) - Brent crude held steady above $120 on Thursday as a weaker dollar helped recoup losses made earlier in the day, while comments from the Federal Reserve and the European Central Bank eased worries about growth in oil demand. The Fed said the economy expanded modestly in January through mid-February as hiring picked up a bit across several districts. Across the Atlantic, comments by a European Central Bank official on keeping a bond-buying program as an option to help Spain eased worries about the region's fiscal woes. Brent crude rose 31 cents to $120.49 a barrel by 4:23 a.m. EDT (0623 GMT), after touching a low of $119.93 earlier in the session. Oil rose 37 cents to $103.07, adding to $1.68 gains in the previous session. The dollar .DXY weakened 0.25 percent against a basket ...

The New Zealand dollar climbed today, reaching the all-time high versus the euro, after positive employment data from the United States bolstered risk appetite among Forex traders, making them prefer higher-yielding currencies. US employment data overshadowed the problems of Europe for a day and provided a major boost for currencies tied to growth. The United States has its share of problems, but traders prefer to look at a brighter side of things in the USA as they have enough negativity from Europe. That may change in a time, but for now positive indicators and low interest rates make a good economic environment for riskier assets. Commodity and stocks markets also reacted very positively to the US jobs growth, adding to appeal of the New Zealand currency. The Thomson Reuters/Jefferies ...

Weakness in banks and commodity stocks dragged Britain's leading share index lower on Monday as the protracted search for a Greek bond deal and concerns about economic growth kept investors nervous. The FTSE 100 .FTSE index closed down 62.36 points, or 1.1 percent, at 5,671.09, extending Friday's falls and retreating further from Thursday's six-month closing high. The FTSE volatility index .VFTSE was also active, up over 10 percent, its biggest daily percentage rise in a month and signaling an increase in risk aversion. Banks .FTNMX8350 were the biggest blue-chip casualties, hit by concerns that extra liquidity injections from central banks had not addressed the sector's fundamental problems. Credit Suisse reduced its recommendation on the European Banking sector to "underweight" as it ...

(Reuters) - Concern over how Greece's debt talks play out overshadowed the appetite for riskier assets on Wednesday, despite good economic data from Germany and a widely held view that the U.S. Federal Reserve is set to signal an extended period of ultra-low rates. The euro and European stocks fell, while a fairly lackluster earnings season so far kept most U.S. stocks on Wall Street under the weather. But Apple Inc's (AAPL.O) blow-out quarterly results late Tuesday helped lift the technology-rich Nasdaq. Growing worries the European Central Bank may have to write down its holdings of Greek bonds to help restructure the country's mountain of debt and unlock the funds needed to avoid a messy default hurt the euro and lifted safe-haven German government bond prices while also pushing up ...

(Reuters) - The euro and global stocks fell on Wednesday after ratings agency Fitch called on the European Central Bank to do more to solve the currency bloc's debt crisis, unnerving investors ahead of auctions for Spanish and Italian bonds later in the week. U.S. stock index futures also turned lower, pointing to a weaker start on Wall Street, hurt by computer giant Microsoft's (MSFT.O) warning that sales of personal computers will probably be lower than analysts expect in the fourth quarter. The euro hit session lows of $1.2695 after Fitch said the ECB needed to ramp up its buying of troubled euro zone debt to support Italy and prevent a "cataclysmic" collapse of the euro. "Can the euro be saved without more active engagement from the ECB? Quite frankly we think no," David Riley, the ...