Binary Options News : November 27, 2013
Crude Oil down for 4th Consecutive Day, Chinese Stocks Higher
After an initial subdued first half of the Asian trading session, volume levels picked up and there was increased volatility in the markets, presenting a fertile trading ground for binary options traders as Chinese and Hong Kong shares increased after a ramping up of tensions between the US and China boosted speculation of increased military spending. Crude Oil fell for a 4th consecutive day as supplies increased and the markets proved to be still reacting to the Iranian deal.
Yesterday in the US, building permits issued in October increased to their highest level since January 2008, fueling hopes for a rebound in the US housing sector which in turn would spark a recovery in the jobs market boosting the broader economy in general. The number of building permits issued increased 6.2% to a seasonally adjusted figure of 1.034 million units in October, up from 970,00 in.September and higher than the decline to 940,000 units analysts had been expecting.
Meanwhile, the US Dollar posted declines due to the disappointing gauge of U.S. consumer confidence figures also released yesterday. The widely watched U.S. consumer confidence data from Conference Board saw its index of U.S. consumer confidence decline to 70.4 in November from the 72.4 recorded in October, disappointing markets expecting an increase to 72.9.
Stocks outside of China and Hong Kong were lower in Asian with teh Chinese Shanghai Composite reversing early losses to be 0.81% higher and Hong Kong’s Hang Seng Index similarly reversing early session losses to be 0.60% higher. The reversals came after increased tension of territories with the US sparked speculation on increased spending on military, boosting Chinese stocks. Japan’s Nikkei 225 fell 0.54% as the Yen strengthened against the USD and Australia’s S&P/ASX 200 was down 0.45% despite the value of Australian construction work completed rising more than expected in the last quarter.
The US Dollar was very much mixed against all major currencies in overnight trade as the markets digested the poor consumer confidence data and high US building permits figures. The EUR/USD was up 0.16%, the GBP/USD was up 0.02%,the USD/CHF was down 0.08% whilst the US Dollar made gains against the JPY – up 0.19%, the CAD – up 0.10% and the AUD – up 0.09% as speculation heightened that Australia will have to reduced its 2.5% interest rate in the near future.
Gold and Silver prices rose, supported by demand prospects as the year end holidays get closer, gold gained 0.35% and Silver rose 0.24% as the rally in precious metals continued for a second day. Crude Oil fell for a 4th consecutive day, falling 0.23% as supply inventories increased and the Iranian deal continues to dominate trading. Natural Gas dropped 0.08% as profit takers cashed in on recent large rises.
After a quiet opening start to the Asian trading session, volume levels picked up and this is expected to carry into European markets as Germany will publish its Gfk report on consumer climate. The UK will publish revised data on third quarter economic growth and preliminary data on business investment. Meanwhile, in the US, the Labor Department will publish the weekly report on initial jobless claims a day earlier due to Thursday’s Thanksgiving holiday, whilst the US is also publishing durable goods orders data, a leading indicator of production, and the manufacturing activity report in the Chicago region as well as revised data on consumer sentiment.
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