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On December 30th, according to foreign media reports, soybean oil futures on the Chicago Board of Trade (CBOT) closed higher on Monday, with the benchmark contract rising 0.1%, mainly reflecting stronger crude oil prices. Traders said that rising international crude oil futures and active arbitrage trading involving buying soybean oil and selling soybean meal supported the rise in soybean oil prices. However, declines in other vegetable oils, such as Malaysian palm oil, limited the upside potential of the soybean oil market.Meta Platforms (META.O): Manus talent will join the team to continue operating and selling Manus services and will integrate Manus services into the product.1. The WTI crude oil futures contract closed up 1.92% at $57.83 per barrel; the Brent crude oil futures contract rose 1.66% to $61.24 per barrel. Geopolitical tensions disrupted global energy markets. Peace talks between Russia and Ukraine failed to achieve a breakthrough, while Kazakhstans December crude oil production fell by about 6% due to Ukrainian drone attacks disrupting exports, exacerbating market concerns about supply and pushing oil prices higher. 2. Most London base metals fell. LME lead rose 0.73% to $2009.0 per tonne, LME copper rose 0.21% to $12187.5 per tonne, LME nickel fell 0.16% to $15760.0 per tonne, LME zinc fell 0.21% to $3084.0 per tonne, LME aluminum fell 0.34% to $2950.5 per tonne, and LME tin fell 6.55% to $40010.0 per tonne. 3. On Monday, spot silver broke through the $80/ounce mark for the first time in early Asian trading, quickly surging to near $84, a gain of nearly 6%. However, the market then reversed course sharply, with the price falling by more than 11% at one point during the New York session. The silver plunge dragged down other precious metals, with spot palladium plummeting by as much as 17%, spot platinum falling by 15%, and spot gold falling by more than 5%. Domestically, platinum and palladium both hit their daily limit down; Shanghai silver plunged at the end of the session, erasing all of its intraday 10% gains, and further fell by 8.74% in the night session; Shanghai gold closed down nearly 1%, and further fell by 4% in the night session. COMEX gold futures closed down 4.45% at $4350.2/ounce, and COMEX silver futures closed down 7.2% at $71.64/ounce. 4. Domestic futures contracts showed mixed performance, with asphalt, methanol, and low-sulfur fuel oil rising by more than 1%, while coated paper, corn, iron ore, soybean meal, and coking coal saw slight increases. In terms of declines, pulp, benzene, BR rubber, and TSR20 rubber all fell by more than 1%, while PVC, caustic soda, and rubber saw slight decreases. 5. US Treasury yields fell across the board: the 2-year Treasury yield fell 2.45 basis points to 3.450%, the 3-year Treasury yield fell 2.52 basis points to 3.502%, the 5-year Treasury yield fell 3.11 basis points to 3.663%, the 10-year Treasury yield fell 1.95 basis points to 4.108%, and the 30-year Treasury yield fell 2.02 basis points to 4.797%. 6. All three major US stock indexes closed lower: the Dow Jones Industrial Average fell 0.51% to 48,461.93 points, the S&P 500 fell 0.35% to 6,905.74 points, and the Nasdaq Composite fell 0.5% to 23,474.35 points. Goldman Sachs and American Express fell by more than 1%, leading the Dow Jones decline. Profit-taking put pressure on AI-related stocks, with the Wind US Tech Giants Index falling 0.6%, Tesla down over 3%, and Nvidia down over 1%. Most Chinese concept stocks declined, with Dingdong Maicai falling over 7% and Silvercorp Metals & Mining down nearly 7%. European stock indices closed mixed: the German DAX rose 0.05% to 24351.12 points, the French CAC40 rose 0.1% to 8112.02 points, and the UK FTSE 100 fell 0.04% to 9866.53 points. A weaker pound and the Bank of England maintaining a high interest rate of 3.75% weighed on the UK stock market, while a recovery in the Eurozone services PMI supported the German and French stock markets.Ukrainian President Zelensky: The meeting with US President Trump was productive.Faraday Future plans to change its name to Faraday Future Artificial Intelligence Electric Vehicle Company, and will hold a special meeting on February 13th next year.

Despite an increase in bullish BOE wagers, the EUR/GBP pair advances to 0.8640

Alina Haynes

Nov 01, 2022 17:57

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During the Tokyo session, the EUR/GBP pair aims to extend its recent rally beyond the 0.8625 level. After protecting the crucial support level of 0.8574 on Monday, the cross surged significantly. Long-term investors like the asset now that the euphoria generated by the UK's innovative leadership has diminished.

 

The nomination of Rishi Sunak as Prime Minister of the United Kingdom, the fifth leader in the past six years, provided bond markets with short-term stability. The synergy between British Prime Minister Rishi Sunak and Chancellor Jeremy Hunt is accountable for the reduction of the debt mess in an atmosphere of hyperinflation.

 

To lower the pile of debt, the administration is focusing on tightening fiscal policy by reducing spending and increasing tax rates on the general population.

 

According to Treasury insiders quoted in a Financial Times article published on Monday, Sunak and Chancellor Jeremy Hunt agreed that "those with the widest shoulders should be expected to face the heaviest burden" and that taxes will rise for all. They claimed that the administration believes it is vital to repair the hole in the economy generated by the minting of money to battle the spread of Covid-19 and to assist households with energy bills. And spending reductions seldom suffice to eliminate the deficit.

 

Governor Andrew Bailey of the Bank of England (BOE) is anticipated to further tighten monetary policy to minimize inflationary pressures. Analysts at Rabobank have predicted an increase of 75 basis points (bps) in interest rates. This would be the greatest rate hike during the current cycle.

 

In the interim, Euro investors anticipate future rate hikes from the European Central Bank (ECB) as the headline Harmonized Index of Consumer Prices (HICP) has increased to 10.7% opposed to the expected 10.2%. Price pressures have soared, necessitating additional rate hikes to combat inflation.