USD NEWS

Over USD 1.600 gold with a jump of 3.5%

He returned more than 1600 USD gold Friday noting jump above 50 USD as the USD was to be aware of heavy losses against the EUR after the announcements of European leaders in Brussels.

The contract of gold August delivery gained 53.80 USD or 3.5% to complete transactions at 1604.20 USD per ounce on the Commodity Exchange in New York. The precious metal recorded weekly gain 2% and in monthly strengthened to 2.8%.

For the quarter March - June, however, gold recorded a fall of 4%.

After completing the marathon negotiations in Brussels, European leaders announced that they will allow the use of mechanisms to rescue euro zone to recapitalize their banks to finally break the vicious circle between banking and debt.

At the same time the leaders decided to move to a single supervisory mechanism in which it participates and the European Central Bank taking a central role.

They also agreed to use existing mechanisms for rescue to stabilize the markets of the Member States comply with the recommendations and have complied with their commitments.

Regarding the progress of other metals July silver gained 1.33 USD or 5.1% to 27.58 USD per ounce. For the week the precious metal rose 3.4%, but on a monthly and quarterly basis fell 0.6% and 15% respectively.

Copper has completed transactions in July by jumping 4.9% to 3.49 USD a pound. In week won 5.6% and 3.8% this month. For the quarter, however, recorded a loss of 8.7%.

The July platinum gained 62.70 USD or 4.5% to close at 1449.10 USD per ounce by ending the week with gains of 1%. On a monthly basis rose 2%, while in the quarter fell 12%.

September palladium rose 20.65 USD or 3.7% completing transactions at 584.55 USD per ounce. For the week the precious metal slumped 4%, while monthly lost 5%. In the quarter recorded large losses of 11%.

 

 

 

At 85 USD a slow leap to 9.4%

USD News: A frantic rally in oil prices sparked by the agreement of EU leaders to adopt measures for the relief of countries facing the pressures of the market and move towards closer integration of banking.

The contract of supply of crude gained 7.27 USD August or 9.4% to end trading in 84.96 USD a barrel on the New York City. It was the biggest percentage rise in crude by March 2009.

In weeks later won 6.5%. The image is negative but the June quarter and the slow decline to 1.8% and 18% respectively. It was the worst quarterly performance since late 2008.

European leaders in Brussels agreed to move to a narrower banking framework and asked the European Commission to rapidly present its proposals for a single supervisory mechanism. At the same time agreed to allow the European Support Mechanism (ESM) have the possibility of direct recapitalization of banks.

For countries that have been found in the center of pressure lately, European leaders agreed to use existing mechanisms to rescue euro zone "flexible and effective way" to "stabilize the markets of the Member States comply with the recommendations."

The EUR against the USD continues, but the disbelieve spreads in eur area

The EUR was maintained against the USD Tuesday, despite the lowering by Fitch 18 new Spanish banks that fueled doubts about the effectiveness of European aid plan, while the suspicion was spreading other countries in the euro area.

Around 1800 GMT, the EUR bought 1.2497 USD against 1.2482 USD at 2100 GMT Monday.

The EUR was up slightly against the yen at 99.25 yen against 99.13 yen on Friday.

The USD steadied against the yen at 79.42 yen against 79.43 yen on Friday night.

"It's hard to be optimistic about the EUR these days, while the elections approach in Greece and the Spanish interest rates continue to rise," noted Mary Nicola, strategist at BNP Paribas New York.

In Greece, a victory Sunday in the radical left could indeed cause a renegotiation of the austerity measures implemented to satisfy the conditions imposed by donors of Greece and precipitate out of the country in the EUR area.

In addition to performance against Madrid-bond market, the weakness of the EUR has been "exacerbated by the lowering" notes Tuesday 18 Spanish banks by rating agency Fitch, said Michael Hewson, analyst at CMC Markets, shortly after the Monday of the degradation of the two largest, Santander and BBVA, and the note of Spain last week.

For him, "European leaders continue to look like blind men, groping in the dark looking for a solution to the debt crisis that hit Europe", without announcing specific details, and thus fail not reassure currency traders.
Greeted with relief after the announcement of a European aid up to € 100 billion to address the Spanish banking sector, financial markets, on Monday, was seized by doubts about the effectiveness of these measures and increased pressure on the European currency.

Indeed, the markets' fear above all that (the aid plan) requires even more pressure on debt and the Spanish government "and thus" exposes investors to a greater risk of loss, "observed Lee Hardman, analyst at Bank of Tokyo-Mitsubishi.

And mistrust was being extended to Italy, the third largest economy in the EUR area, which displays a huge debt of more than 1,900 billion EUR (120.1% of GDP at end 2011). Revenue in the crosshairs of the markets, its ten-year bond rates is ironed Monday above the symbolic threshold of 6%.

Finally, the crisis also threatens to spread to Cyprus, including banks, highly exposed to Greece, may also need external support as "the Cypriot government for 12 months just to borrow in the market and investors increasingly skeptical of the ability (the country) to repay its debts, "noted Philip Ryan, an analyst at Currencies Direct.

Around 1800 GMT, the British pound rose against the EUR at 80.27 pence per EUR as against the greenback at 1.5566 USD.

The Swiss franc was stable against the EUR at 1.2009 Swiss francs per EUR as against the greenback at 0.9610 Swiss francs to the USD.

The Chinese currency finished at 6.3705 yuan against one USD for 6.3692 yuan yesterday