Global Financial news:
Few on Fed ready for more easing: June minutes
A few Fed officials thought that more asset purchases would be necessary at the Federal Reserve's policy meeting in June, according to the minutes released on Wednesday. Several others said more action could be warranted if economic conditions deteriorated, the minutes showed. Only four Fed officials mentioned more quantitative easing in their individual forecasts, two in support of more easing and two saying they would consider it.
U.S. trade deficit narrows in May; exports rise
The U.S. trade deficit fell 3.8% in May to $48.7 billion largely because of lower oil imports, while exports rose slightly, the Commerce Department reported Wednesday. Imports in May fell 0.7% to $231.8 billion on a seasonally adjusted basis. Exports rose 0.2% to $183.1 billion, with all of the increase occurring on the services side of the economy.
U.S. wholesale inventories rise 0.3% in May
U.S. wholesale inventories rose 0.3% in May to $484.1 billion, while sales fell 0.8% to $409.6 billion, the Commerce Department reported Wednesday. The inventories-to-sales ratio was 1.18. Inventories of durable goods rose 0.6% in May, while inventories of nondurables decreased 0.2%. In April, total inventories grew 0.5%, compared with a prior estimate of 0.6%, while sales rose 0.6%.
U.S. weekly mortgage-application volume down 22%
The number of total mortgage applications filed in the U.S. last week fell 22%, the Mortgage Bankers Association said Wednesday. The refinance index decreased 23% from the previous week, according to the MBA's weekly survey, which covers more than three-quarters of all U.S. retail residential mortgage applications. On a seasonally adjusted basis, the purchasing index rose 3.3% from a week earlier, MBA said.
Spain’s Rajoy unveils €65 billion in new austerity
Spanish Prime Minister Mariano Rajoy on Wednesday announced €65 billion ($79 billion) of new austerity measures in an effort to meet new budget-deficit targets agreed with euro-zone partners.The new measures, which will be applied all the way through to the end of 2014, are likely to raise fresh questions about how quickly the country's economy will emerge from recession.
OPEC sees slower world oil demand growth in 2013
The Organization of the Petroleum Exporting Countries, or OPEC, on Wednesday left its forecast for 2012 growth in world oil demand unchanged at 0.9 million barrels a day and said it expects growth to slow to 0.8 million barrels a day in 2013 due to a continuing global economic slowdown. In its monthly report, the organization said it expects non-OPEC oil supply to rise by 0.67 million barrels a day this year and 0.92 million barrels in 2013.
News and Market interpretation:
ECB kept comfort market emotion, claiming EUR was not affected by the crisis based on the demand for euro bond. Fed June minutes released last night showed discrepancy in Fed. EUR felt to record high. Gold prices pulled back by Fed’s minute. Oil prices surged after a U.S. supply report showed a bigger-than-expected decline in crude supplies
Today Focus(event GMT+0):
05:00- Bank of Japan Rate Decision (JUL 12)
01:30- AU Unemployment Rate (JUN)
08:00- ECB Publishes July Monthly Report