economic

Stocks rallied overnight after the Australian economy showed more than expected second quarter growth and China’s PMI was reported stronger than estimated. Both reports triggered a surge in demand for higher risk assets overnight which led to the sharp rise in equities.

The U.S. Dollar is under pressure overnight as traders throw their support into the Yen, Euro, Swiss Franc and the commodity-linked currencies. On-going concerns over a slowdown in global growth continue to be the main catalyst behind the selling pressure.

The Euro is up this morning following a four-day setback which saw the currency drop from its highest level since late April. After reaching a low at 1.2780 on Thursday, the Euro has recovered slightly from this level and is now resting on an uptrending Gann angle at 1.2856.

U.S. equity markets lost some momentum on Tuesday as disappointing earnings and economic data pressured demand for equities. Stocks could never get on tract today following Monday’s impressive rally. Early weakness was triggered by disappointing earnings from Procter & Gamble. Later in the session, another series of weak economic news sealed the weakness for the day.

The U.S. Dollar was under pressure against most majors on Tuesday on speculation the Fed will consider renewing its quantitative easing program following next week’s FOMC meeting on August 10. Another round of weak economic data also contributed to the weakness in the Greenback which drove the Dollar to its lowest level since April against some of the currency pairs.

Improving economic outlooks for both the Euro Zone and U.K. are helping to boost the Euro and British Pound versus the Dollar overnight. Both currencies continue to soar to the upside, driven by strong trend buying and the lack of overhead resistance.

Weak Japanese economic data encouraged the shedding of risk overnight driving the U.S. Dollar higher against most major currencies while pressuring the Dollar/Yen.

Overnight it was reported that Japanese economic data was weak, with the core CPI falling 1% from a year earlier in June. May industrial production and employment figures also signaled a weakening economy.

U.S. equity markets tumbled shortly after the opening after Dallas Fed President Fisher reiterated that the economy was weak.

It's been an interesting few weeks since I last checked in on uranium.
The search for what's next in yellowcake projects has taken me to some out-of-the-way places. Dusty corners of libraries, with books that haven't been checked out since Reagan was president. Phone conversations with experts who've traveled to obscure uranium mines the industry has largely forgotten.

Fears of an economic relapse across the world have begun to stalk markets again after pending homes sales in the US crashed by a third and a slew of weak data from China and Japan sent bourses tumbling across Asia.

U.S. equity market plunged sharply lower into the close as disappointing U.S. jobs data as reported by the ADP Corp. encouraged investors to liquidate positions well ahead of Friday’s U.S. jobs data. Investors are now becoming concerned that calls for a gloomy outlook for the economy is going to become a self-fulfilling prophesy.

The U.S. Dollar traded mixed overnight as traders mulled over the suggestions of this weekend’s Group of 20 meeting. At the conclusion of the meeting on Sunday, G-20 members reached an agreement on common goals for deficit and debt reduction.

Stock index futures fell sharply lower on Thursday as investors slashed positions following a weak outlook for the economy and bad earning expectations for consumer-oriented and energy stocks.

The EUR USD rallied on Thursday as economic woes continued to pressure the U.S. Dollar. Weakness in the stock market triggered by a so-so weekly jobless claims report and only a slightly better than expected durable goods report encouraged traders to pressure the Dollar.

Global stock markets are under pressure overnight which is leading to expectations for a lower opening in the U.S. this morning. Traders are also expected to react to this morning’s durable goods and Weekly Initial Claims data. Flight to safety buying is helping to underpin the Treasuries. The Dollar is posting gains against the Euro and Dollar-linked currencies.