Romanian informal economy causes damages of 40 billion EUR per year

The informal economy of Romania represented 28.4% of GDP in 2013, taking into account a slight decrease compared to 2011, when calculating the 30% of the GDP. More »

UBS reported profit growth in Q2 2014

UBS reported 15% profit growth in Q2 2014 amid lower costs. The net profit the lender rose to 792 million Swiss CHF (876 million USD) compared to 690 million CHF an year earlier. More »

Profit of Deutsche Bank dropped in Q2 2014

Deutsche Bank AG announced profit decrease by 29% yoy in Q2 2014, caused by lower non-interest profits and higher taxation. More »

Asian indexes closed on green

The Asian indexes closed on green, for the second consecutive session. They were supported by hopes that the growth of the Chinese economy in the world finally stabilized. More »

Wall Street indexes slightly increased

Wall Street indexes finished the session without single direction, as Dow Jones rose with 0.13% to 16,983 points, S&P 500 added 0.03% to 1, 979 points and Nasdaq lost 0.1% to 4,445 points More »

 

Asian indexes started the week with decreases

Asian trade marketsThe leading indices in Asia started the week with falls after heavy losses on Wall Street late last week. On Friday, the stock exchanges overseas technology sector suffered the most, as Nasdaq Composite slid 2.6%. The Japanese Nikkei 225 index fell to the bottom week after a strong yen weighed on exporters. The benchmark fell 1.69% to 14 808.85 points. In China, markets are closed for the celebration of the national holiday. The Hong Kong’s Hang Seng slid 0.65% to 22 363.52 points. In Australia, the index S&P ASX 200 is pulled away from its highest level in a month and eventually down 0.17% to 5 413.70 points. The South Korean KOSPI rose slightly by 0.08% to 1 989.70 points. In India, the leading measure of stock SENSEX a closed with a decline 0.64% to 22 215.97 points. The investors took winnings at the start of elections in the country that will continue for a month.
The stock exchanges in Japan tech companies being the biggest losers, commented the Finance News Wire. Shares of Rakuten and Yahoo Japan fell by 5% each, while those of Softbank and Panasonic – by over 4%. Daiichi Sankyo increased by 3% capitalization after the news that Sun Pharmaceutical Industries will buy its Indian unit Ranbaxy Laboratories. In turn, shares of Sun Pharmaceutical rose 2%, while those of Ranbaxy fell 2.5%.

Hesitant start to Wall Street after a series of losses

Wall Street indexesThe leading indexes on Wall Street started the trading session on Friday tentatively. The investors are still wary about the intentions of the U.S. Federal Reserve to reduce monetary stimulus.
Dow Jones Industrial Average rose 0.10% to 15754.42. The broader index S & P 500 was almost unchanged as inferior minimum of 0.01% to 1775.35. Telecommunications and energy companies represent the worst so far, while consumer goods companies – best among the 10 sector indexes. The technological Nasdaq Composite rose 0.11% to 4002.92 points. Producer prices in USA declined for the third consecutive month in November, despite signs of possible stabilization annually. To the Ministry of Labor of the United States showed that the index of producer prices has declined by 0.1% last month after falling 0.2% in October and that of 0.1% in September. Last Meter fell in three consecutive months at the end of 2012. The analysts believe that low inflation will force the Fed to keep the size of their incentives. Federal open market committee (FOMC) to the central bank will meet on 17-18 December to determine the future of monetary policy.

Market expects 8% growth of S&P 500 in 2014

Indexes USANearing the end of 2013 – the year which was really impressive to investors. So far, stock indexes, especially those in more developed markets, offers more than well. Remains few weeks, but now the situation looks like this: Topix is up by 44%, S&P 500 increased by about 25%, while European shares measured by the Stoxx 600 rose 11%. In more general terms, MSCI World Index rose by 19%.
The year 2013 is the best of the last 15 years for US equity markets, with the greatest force this applies to S&P 500. The main question is – what can we expect next year?
Among the 20 surveyed leading experts most optimistic set of these Morgan Stanley. According to them, S&P 500 will go above the level of 2000 points in the next calendar year. In fact, they expect that in 2014 it will reach exactly 2014 points, an increase of 13%. The most conservative estimate does comes from Stifel Nicolaus, who expect a decrease. Currently, the index is at around 1775 points, and the company predicts that next year it will fall further to a level of 1750 points.

Japanese stocks stopped their negative 3-days series

Toyota sharesThe Japanese stocks recorded gains and cut negative three-day series, after the yen continued to depreciate. Speculation that the US Federal Reserve may soon reduce incentives impacted investors in Asia. Nikkei 225 ended the session on Friday with a growth of 0.40% to 15 403.11 points. The Hong Kong’s Hang Seng registered a growth of 0.12% to 23 245.96 points. Leading Chinese Shanghai Composite Index declined by 0.31% to 2 196.07 point. The South Korean KOSPI index closed with a decline of 0.26% to 1962.91 points. Australia’s benchmark S&P ASX 200 climbed 0.71% to 5 098.43 points. The investors largely shrugged off news that the House of Representatives approved a U.S. bipartisan agreement on the budget. Next week, the Senate and the proposals. The JPY hit a new 5-year low against the USDand the euro. Domestic producers benefit from the cheaper currency. The mood of market participants and stimulate the Japanese government’s decision to approve new incentives to 53 billion USD to soften the impact of the reduction in sales tax next April. The shares of blue chips and sensitive to changes in the exchange rate rose exporters. Fast Retailing added 2,4%, Fanuc – 1,4%, and Nikon – 0,7%.

Bank of France raised its forecast for GDP for Q4 2014

Bank of FranceThe Bank of France revises earlier today its forecast for the gross domestic product (GDP) for the fourth quarter and trust among business has seen an unexpected increase in November. According to the monthly business survey published by the Bank of France, the economy will expand by 0.5% in the last three months of this year, compared to 0.4% in the previous forecast. The indicator of the business confidence in the manufacturing sector rose to 101 points in November from 100 in October.
The analysts had expected the index to fall to 98 points. The confidence in the service sector, however, has fallen to 92 from 93 points in October.

Sentix announced an unexpected of the investor confidence in Eurozone

European investorsThe investor confidence in the Eurozone fell more than expected in December, its highest level in two and a half years. It showed today monthly survey of the research group Sentix. The index of investor confidence dropped to 8 points in December compared to 9.3 points in November and did not meet growth forecasts to 10.3 points. Assessment of current conditions fell sharply to -6.3 points from -3.3 points in November. Meanwhile, the investor expectations have improved for the second consecutive month to 23.3 points in December (from 22.8 in the previous month), which is its highest rise since April 2006.
In Germany, investor confidence has risen by almost 2 points to 32.1, reaching its highest level since December 2010, while economic expectations rose to a historical high.

Weak growth of the Japanese economy did not stopped the rise of Nikkei

NikkeiThe leading capital markets in Asia ended the first session of the week in green territory, continuing the trend of Wall Street since the end of last week. The most significant growth in the continent has made Nikkei 225 in Tokyo, which added 2.29% to 15 650.21 points. The weakening of the yen offset pessimistic data that showed lower than expected economic growth in the third quarter. The Japanese currency traded at around 103 JPY per USD approaching reached last week, 6-month low of 103.37. A weaker yen boost the profits of export-oriented companies. The shares of SoftBank and Fanuc rose 2%, while KDDI and Fast Retailing added over 3%. The Japanese government lowered the initial estimate for the growth of the country during the third quarter. The ruling stated that the capital expenditure was lower than originally calculated. The GDP of Japan grew by 1.1% on an annual basis for the period from July to September compared with the second quarter, revising down an initial assessment of growth of 1.9% yoy, published three weeks ago. Interviewed by Nikkei and Wall Street Journal Economists expect the revised forecast to be up 1.5%. This is a serious decline from the first half of the year when Japan’s economy expanded by about 4%, surpassing even the growth of USA. The US economy grew by more than the Japanese in the third quarter objectives 3.6%.

Thailand’s Prime Minister dissolved the parliament

Yingluck ShinawatraAfter about a month of anti-government protests, Prime Minister of Thailand Yingluck Shinawatra announced that dissolve parliament and call as soon as possible choices. The Prime Minister Yingluck Shinawatra decided election after all opposition MPs left parliament and vowed today to hold a massive demonstration in front of the government building. Demonstration are convinced that the current cabinet is controlled by ousted leader Thaksin Shinawatra and so today we will take to the streets.
“We will continue to fight. Our goal is to overthrow”, said the leader of the protests. According to him, although there will be elections and Thaksin Shinawatra lives in exile, he is trying to influence the management in the country. Today, 60 schools in Bangkok were closed as a precaution because of planned demonstrations outside the government building. Since the start of the protests last month, at least five people were killed and 289 wounded.

Concerns about the luxury goods markets dragged the European stocks

Hugo BossThe concerns about the shrinking market for luxury goods dragged major indices of European markets down. Among the major losers are the manufacturer of cognac Remy Martin – Remy Cointreau. The company recorded a decline in its share price by 8.31% to a level of 66 EUR after voicing fears of declining sales in China. For the first six months of the fiscal year Remy Cointreau has a profit decrease of 20%. These data led to a decrease of Stoxx Europe 600 by 0.6% to 322.24 points, and so the index stopped its upward movement. Yesterday he registered a growth of 0.4%. Since the beginning of the year Stoxx Europe 600 increased by 15%. Among the biggest losers is another luxury brand – Hugo Boss. The company said it will not meet the targets set for 2015. This led to a reduction in the price of securities of the company by 2.1% to 97 USD per share.
Against this background, Repsol shares rose 4.3% to 19.24 EUR per share. The company was assured that he would be compensated for its share in YPF, taken from the Government of Argentina in April 2012. The Spanish company assess its share of 3.5 billion USD plus 1.5 billion USD for lost benefits of development projects in the company.

Asian indexes decreased after the good data from USA

Asian marketsThe stock markets in Asia reported declines in the last session of the week, when the indications for strengthening the US economy raised concerns that the Fed may begin gradually restrict their purchases of bonds. Preliminary data for US growth in the third quarter showed an increase in gross domestic product (GDP) by 2.8%. The result exceeded the quarter as reported earlier 2.5%, and experts forecast growth of 2%. The markets reacted negatively to the data in order to return investors’ fears that the US central bank may reduce the 85 billion year monthly bond purchases at its meeting in December. The Japanese benchmark Nikkei 225 stock average lost 1%, while the yen fell against the dollar to a level of 98.12. The Australian S&P/ASX 200 fell 0.4%, while South Korean Kospi lost 1%.
Fed outlook reduce incentives to lead to massive sales in the summer, which provokes substantial declines in the purchasing power of some of the leading Asian currencies. The following US economic data that market participants look forward to on Friday are those of the labor market in October. Among the countries of Southeast Asia that were hardest hit by the latest wave of selling, Philippine PSE Composite Index fell 1.3%, while in Indonesia JSX lost 0.2%.
The Hong Kong’s Hang Seng fell 0.6%, while the benchmark Shanghai Composite erased 2.9%.