Morning Briefing: Oil gains on supply fears, equities higher

Morning Briefing: Oil gains on supply fears, equities higher

Morning Briefing: Oil gains on supply fears, equities higher Oil gains on supply fears, equities higher
World stocks are higher so far Wednesday as oil prices continue to climb as Brazilian oil workers strike and unrest in Libya threatens supplies.

Equities have been boosted in Asia by optimism over data showing strong growth in China’s services sector in October; and high demand for Japan Post’s IPO pushing its shares up more than 25 per cent. All major Asian markets closed higher with Shanghai up more than 4 per cent.

European indexes are also trading higher so far with the gains in Asia, and those in North America in the previous session, boosting sentiment. Germany’s DAX is under pressure though as VW’s stocks are falling on expansion of the emissions scandal.

North American markets are expected to open higher.
 
  Latest 1 month ago 1 year ago
 
North America (previous session)
US Dow Jones 17,918.15 (+0.50 per cent) +8.78 per cent +3.18 per cent
TSX Composite 13,710.31 (+0.64 per cent) +2.78 per cent -4.73 per cent
 
Europe (at 6.10am ET)
UK FTSE 6,430.91 (+0.74 per cent) +4.91 per cent -0.36 per cent
German DAX 10,922.99 (-0.26 per cent) +14.34 per cent +19.16 per cent
 
Asia (at close)
China CSI 300 3,628.54 (+4.70 per cent) +13.29 per cent +44.38 per cent
Japan Nikkei 18,926.91 (+1.30 per cent) +6.78 per cent +15.31 per cent
 
Other Data (at 5.40am ET)
Oil (Brent) Oil (WTI) Gold Can. Dollar
50.62
(+0.16 per cent)
47.97
(+0.15 per cent)
1117.30
(+0.31 per cent)
U$0.7649
 
Aus. Dollar
U$0.7188
 
Vatican investigates money laundering
Suspected money laundering is being investigated in the Vatican. Officials believe that an office of the Holy See may also have been used for market manipulation and insider trading according to a document seen by Reuters. The activities relate to a period of more than a decade from 2000 and will be investigated by Swiss and Italian authorities.
 
Bad news for gold on US interest rate expectation
Fears that the Fed will hike interest rates at its December meeting are putting gold prices under pressure. The market benefits under lower interest rates as a solid investment amid low-yield alternatives. Expectation of an increase in interest rates, albeit slight, have seen gold fall to a 4-week low.