Showing posts with label prompt. Show all posts
Showing posts with label prompt. Show all posts

Friday, August 2, 2013

U.S. jobs data may show strength, prompt stimulus end




A pedestrian holding an umbrella walks past a stock quotation board displaying various stock prices outside a brokerage in Tokyo July 29, 2013. REUTERS/Yuya Shino


1 of 3. A pedestrian holding an umbrella walks past a stock quotation board displaying various stock prices outside a brokerage in Tokyo July 29, 2013.


Credit: Reuters/Yuya Shino






TOKYO | Thu Aug 1, 2013 11:26pm EDT



TOKYO (Reuters) – Asian shares advanced on Friday after brisk U.S. factory activity data and a commitment to easy monetary policy by European central banks and the Federal Reserve buoyed Wall Street to record highs overnight.


Stirred by optimism on the U.S. economic recovery, the benchmark U.S. Treasuries edged closer to a two-year high and triggered a sharp rebound in the dollar from a six-week low hit against a basket of currencies on Wednesday.


A strong reading in the upcoming U.S. payrolls data, due at 1230 GMT (8.30 a.m. ET), is likely to stoke further momentum in markets, possibly pushing the 10-year U.S. yield to new two-year highs.


“Essentially, the market is waiting for a global economic recovery in the latter half of this year,” said Tohru Yamamoto, chief fixed income strategist at Daiwa Securities.


“We had a decent Chinese manufacturing data yesterday. Periphery European countries are also improving recently. And central banks have confirmed that easy policy will be in place. These are the reasons why a rise in bond yields are not destabilizing share prices today unlike in June,” he added.


The European Central Bank and the Bank of England both ended policy meetings by leaving interest rates at record lows on Thursday, a day after the Fed said the U.S. economy still needed its support and avoided any mention of a change to its stimulus measures.


The Nikkei share average .N225 rose 1.4 percent while ex-Japan Asian shares gained 0.4 percent .MIAPJ0000PUS.


Shares in South Korea .KS11 and Hong Kong .HSI hit two-month peaks while Australian stocks .AXJO rose to a 2 1/2-month highs.


On Thursday, the Dow Jones index .DJI rose 0.8 percent and S&P 500 .SPX gained 1.3 percent to end above 1,700 for the first time ever.


The dollar index held onto Thursday’s gains of 1.1 percent, its biggest one-day rally in a month, to stand at 82.318 .DXY, extending its rebound from six-week low of 81.407 hit on Wednesday.


The broad rally in the dollar saw the euro ease to $ 1.3192, flat on the day but off Wednesday’s six-week high of $ 1.3345, while the yen fell towards 100 per dollar, well off this week’s high around 97.58.


The Australian dollar hit a three-year low as the currency was also smarting from dovish comments by the Reserve Bank of Australia (RBA) on Tuesday.


That prompted markets to not only price in a cut in interest rates next week, but a second easing before year-end, shrinking the yield premium offered by Australian over U.S. debt to its lowest since 2008. <AUD/>


On Thursday, U.S. data underlined the markets’ optimism about the recovery in the world’s largest economy. The Institute for Supply Management index of U.S. national factory activity for July rose to its highest level since June 2011, easing concerns a slowdown in emerging economies may take a toll on U.S. growth.


A separate report also showed first-time applications for jobless benefits hit a 5-1/2-year low last week, boding well for the payroll data.


A monthly rise in hiring in the 200,000 area, analysts say, should keep the Fed on track to start to pare its $ 85 billion purchases in Treasuries and mortgage-backed securities, as early as at its September 17-18 meeting.


“The market has digested the idea that the U.S. tapering will occur at some point,” said Andrew Doherty, head of equities at Morningstar, an independent research house based in Sydney.


“There’s been a reappraisal and revaluation that has seen moves back into high-yielding stocks providing decent returns for investors.”


Expectations of a gradual reduction in the Fed’s bond buying drove the 10-year U.S. Treasuries yield to 2.712 percent, within sight of a two-year peak of 2.755 percent hit last month.


U.S. crude oil futures prices were headed for their biggest weekly gain in a month, having risen three percent this week on upbeat global economic data and supply disruptions in Africa and Iraq. It last traded up 0.6 percent at $ 108.64 per barrel.


(Additional reporting by Thuy Ong in Sydney; Editing by Shri Navaratnam)





Reuters: Business News



U.S. jobs data may show strength, prompt stimulus end

U.S. jobs data may show strength, prompt stimulus end




A pedestrian holding an umbrella walks past a stock quotation board displaying various stock prices outside a brokerage in Tokyo July 29, 2013. REUTERS/Yuya Shino


1 of 3. A pedestrian holding an umbrella walks past a stock quotation board displaying various stock prices outside a brokerage in Tokyo July 29, 2013.


Credit: Reuters/Yuya Shino






TOKYO | Thu Aug 1, 2013 11:26pm EDT



TOKYO (Reuters) – Asian shares advanced on Friday after brisk U.S. factory activity data and a commitment to easy monetary policy by European central banks and the Federal Reserve buoyed Wall Street to record highs overnight.


Stirred by optimism on the U.S. economic recovery, the benchmark U.S. Treasuries edged closer to a two-year high and triggered a sharp rebound in the dollar from a six-week low hit against a basket of currencies on Wednesday.


A strong reading in the upcoming U.S. payrolls data, due at 1230 GMT (8.30 a.m. ET), is likely to stoke further momentum in markets, possibly pushing the 10-year U.S. yield to new two-year highs.


“Essentially, the market is waiting for a global economic recovery in the latter half of this year,” said Tohru Yamamoto, chief fixed income strategist at Daiwa Securities.


“We had a decent Chinese manufacturing data yesterday. Periphery European countries are also improving recently. And central banks have confirmed that easy policy will be in place. These are the reasons why a rise in bond yields are not destabilizing share prices today unlike in June,” he added.


The European Central Bank and the Bank of England both ended policy meetings by leaving interest rates at record lows on Thursday, a day after the Fed said the U.S. economy still needed its support and avoided any mention of a change to its stimulus measures.


The Nikkei share average .N225 rose 1.4 percent while ex-Japan Asian shares gained 0.4 percent .MIAPJ0000PUS.


Shares in South Korea .KS11 and Hong Kong .HSI hit two-month peaks while Australian stocks .AXJO rose to a 2 1/2-month highs.


On Thursday, the Dow Jones index .DJI rose 0.8 percent and S&P 500 .SPX gained 1.3 percent to end above 1,700 for the first time ever.


The dollar index held onto Thursday’s gains of 1.1 percent, its biggest one-day rally in a month, to stand at 82.318 .DXY, extending its rebound from six-week low of 81.407 hit on Wednesday.


The broad rally in the dollar saw the euro ease to $ 1.3192, flat on the day but off Wednesday’s six-week high of $ 1.3345, while the yen fell towards 100 per dollar, well off this week’s high around 97.58.


The Australian dollar hit a three-year low as the currency was also smarting from dovish comments by the Reserve Bank of Australia (RBA) on Tuesday.


That prompted markets to not only price in a cut in interest rates next week, but a second easing before year-end, shrinking the yield premium offered by Australian over U.S. debt to its lowest since 2008. <AUD/>


On Thursday, U.S. data underlined the markets’ optimism about the recovery in the world’s largest economy. The Institute for Supply Management index of U.S. national factory activity for July rose to its highest level since June 2011, easing concerns a slowdown in emerging economies may take a toll on U.S. growth.


A separate report also showed first-time applications for jobless benefits hit a 5-1/2-year low last week, boding well for the payroll data.


A monthly rise in hiring in the 200,000 area, analysts say, should keep the Fed on track to start to pare its $ 85 billion purchases in Treasuries and mortgage-backed securities, as early as at its September 17-18 meeting.


“The market has digested the idea that the U.S. tapering will occur at some point,” said Andrew Doherty, head of equities at Morningstar, an independent research house based in Sydney.


“There’s been a reappraisal and revaluation that has seen moves back into high-yielding stocks providing decent returns for investors.”


Expectations of a gradual reduction in the Fed’s bond buying drove the 10-year U.S. Treasuries yield to 2.712 percent, within sight of a two-year peak of 2.755 percent hit last month.


U.S. crude oil futures prices were headed for their biggest weekly gain in a month, having risen three percent this week on upbeat global economic data and supply disruptions in Africa and Iraq. It last traded up 0.6 percent at $ 108.64 per barrel.


(Additional reporting by Thuy Ong in Sydney; Editing by Shri Navaratnam)





Reuters: Business News



U.S. jobs data may show strength, prompt stimulus end

Sunday, May 5, 2013

Israeli airstrikes on Syria prompt threats, anger









In this image taken from video obtained from the Ugarit News, which has been authenticated based on its contents and other AP reporting, smoke and fire fill the the skyline over Damascus, Syria, early Sunday, May 5, 2013 after an Israeli airstrike. Israeli warplanes struck areas in and around the Syrian capital Sunday, setting off a series of explosions as they targeted a shipment of highly accurate, Iranian-made guided missiles believed to be on their way to Lebanon’s Hezbollah militant group, officials and activists said. The attack, the second in three days, signaled a sharp escalation of Israel’s involvement in Syria’s bloody civil war. Syria’s state media reported that Israeli missiles struck a military and scientific research center near the Syrian capital and caused casualties. (AP Photo/Ugarit News via AP video)






In this image taken from video obtained from the Ugarit News, which has been authenticated based on its contents and other AP reporting, smoke and fire fill the the skyline over Damascus, Syria, early Sunday, May 5, 2013 after an Israeli airstrike. Israeli warplanes struck areas in and around the Syrian capital Sunday, setting off a series of explosions as they targeted a shipment of highly accurate, Iranian-made guided missiles believed to be on their way to Lebanon’s Hezbollah militant group, officials and activists said. The attack, the second in three days, signaled a sharp escalation of Israel’s involvement in Syria’s bloody civil war. Syria’s state media reported that Israeli missiles struck a military and scientific research center near the Syrian capital and caused casualties. (AP Photo/Ugarit News via AP video)






In this image taken from video obtained from the Ugarit News, which has been authenticated based on its contents and other AP reporting, a Israeli airstrikes hit Damascus, Syria, early Sunday, May 5, 2013. Israeli warplanes struck areas in and around the Syrian capital Sunday, setting off a series of explosions as they targeted a shipment of highly accurate, Iranian-made guided missiles believed to be on their way to Lebanon’s Hezbollah militant group, officials and activists said. The attack, the second in three days, signaled a sharp escalation of Israel’s involvement in Syria’s bloody civil war. Syria’s state media reported that Israeli missiles struck a military and scientific research center near the Syrian capital and caused casualties. (AP Photo/Ugarit News via AP video)






In this image taken from video obtained from Shaam News Network, which has been authenticated based on its contents and other AP reporting, smoke and fire fill the skyline over Damascus, Syria, early Sunday, May 5, 2013 after an Israeli airstrike. Israeli warplanes struck areas in and around the Syrian capital Sunday, setting off a series of explosions as they targeted a shipment of highly accurate, Iranian-made guided missiles believed to be on their way to Lebanon’s Hezbollah militant group, officials and activists said. The attack, the second in three days, signaled a sharp escalation of Israel’s involvement in Syria’s bloody civil war. Syria’s state media reported that Israeli missiles struck a military and scientific research center near the Syrian capital and caused casualties. (AP Photo/Shaam News Network via AP video)






(AP) — Israel rushed to beef up its rocket defenses on its northern border Sunday to shield against possible retaliation after carrying out two airstrikes in Syria over 48 hours — an unprecedented escalation of Israeli involvement in the Syrian civil war.


Syria and its patron Iran hinted at possible retribution, though the rhetoric in official statements appeared relatively muted.


Despite new concerns about a regional war, Israeli officials signaled they will keep trying to block what they see as an effort by Iran to send sophisticated weapons to Lebanon’s Hezbollah militia ahead of a possible collapse of Syrian President Bashar Assad’s regime.


Israel has repeatedly threatened to intervene in the Syrian civil war to stop the transfer of what it calls “game-changing” weapons to Hezbollah, a Syrian-backed group that battled Israel to a stalemate during a monthlong war in 2006.


Since carrying out a lone airstrike in January that reportedly destroyed a shipment of anti-aircraft missiles headed to Hezbollah, Israel had largely stayed on the sidelines. That changed over the weekend with a pair of airstrikes, including an attack near a sprawling military complex close to the Syrian capital of Damascus early Sunday that set off a series of powerful explosions.


The Israeli government and military refused to comment. But a senior Israeli official said both airstrikes targeted shipments of Fateh-110 missiles bound for Hezbollah. The Iranian-made guided missiles can fly deep into Israel and deliver powerful half-ton bombs with pinpoint accuracy. The official spoke on condition of anonymity because he was discussing a covert military operation.


Syria’s government called the attacks a “flagrant violation of international law” that has made the Middle East “more dangerous.” It also claimed the Israeli strikes proved the Jewish state’s links to rebel groups trying to overthrow Assad’s regime.


Syria’s information minister, Omran al-Zoubi, reading a Cabinet statement after an emergency government meeting, said Syria has the right and duty “to defend its people by all available means.”


Israeli defense officials believe Assad has little desire to open a new front with Israel when he is preoccupied with the survival of his regime. More than 70,000 people have been killed since the uprising against Assad erupted in March 2011, and Israeli officials believe it is only a matter of time before Assad is toppled.


Still, Israel seemed to be taking the Syrian threats seriously. Israel’s military deployed two batteries of its Iron Dome rocket defense system to the north of the country Sunday. It described the move as part of “ongoing situational assessments.”


Israel says the Iron Dome shot down hundreds of incoming short-range rockets during eight days of fighting against Hamas militants in the Gaza Strip last November. Hezbollah fired some 4,000 rockets into Israel during the 2006 war, and Israel believes the group now possesses tens of thousands of rockets and missiles.


The Iron Dome deployment followed a surprise Israeli drill last week in which several thousand reservists simulated conflict in the north. In another possible sign of concern, Israel closed the airspace over northern Israel to civilian flights on Sunday and tightened security at embassies overseas, Israeli media reported. Israeli officials would not confirm either measure.


Reflecting fears of ordinary Israelis, the country’s postal service, which helps distribute government-issue gas masks, said demand jumped to four times the normal level Sunday.


Israel’s deputy defense minister, Danny Danon, would neither confirm nor deny the airstrikes. He said, however, that Israel “is guarding its interests and will continue to do so in the future.”


“Israel cannot allow weapons, dangerous weapons, to get into the hands of terror organizations,” he told Army Radio.


Israeli defense officials have identified several strategic weapons that they say cannot be allowed to reach Hezbollah. They include Syrian chemical weapons, the Iranian Fateh-110s, long-range Scud missiles, Yakhont missiles capable of attacking naval ships from the coast, and Russian SA-17 anti-aircraft missiles. Israel’s airstrike in January destroyed a shipment of SA-17s meant for Hezbollah, according to U.S. officials.


Israeli officials said Sunday they believe that Iran is stepping up its efforts to smuggle weapons through Syria to Hezbollah because of concerns that Assad’s days are numbered.


They said the Fateh-110s reached Syria last week. Friday’s airstrike struck a site at the Damascus airport where the missiles were being stored, while the second series of airstrikes early Sunday targeted the remnants of the shipment, which had been moved to three nearby locations, the officials said.


None of the Iranian missiles are believed to have reached Lebanon, said the officials, who spoke on condition of anonymity because they were discussing a classified intelligence assessment.


The attacks pose a dilemma for the embattled Assad regime.


If it fails to respond, it looks weak and opens the door to more airstrikes. But any military retaliation against Israel would risk dragging the Jewish state and its powerful army into a broader conflict. With few exceptions, Israel and Syria have not engaged in direct fighting in roughly 40 years.


The airstrikes come as Washington considers how to respond to indications the Syrian regime may have used chemical weapons in its civil war. President Barack Obama has described the use of such weapons as a “red line,” and the administration is weighing its options.


The White House declined for a second day to comment directly on Israel’s air strikes in Syria, but said Obama believes Israel, as a sovereign nation, has the right to defend itself against threats from Hezbollah.


“The Israelis are justifiably concerned about the threat posed by Hezbollah obtaining advanced weapons systems, including some long-range missiles,” said White House spokesman Josh Earnest. He said the U.S. was in “close coordination” with Israel but would not elaborate.


British Foreign Secretary William Hague also seemed to back Israel, telling Sky News that “all countries have to look after their own national security.”


Iran condemned the airstrikes, and a senior official hinted at possible retribution from Hezbollah.


Gen. Masoud Jazayeri, assistant to the Iranian chief of staff, told Iran’s state-run Arabic-language Al-Alam TV that Tehran “will not allow the enemy (Israel) to harm the security of the region.” He added that “the resistance will retaliate to the Israeli aggression against Syria.” ”Resistance” is a term used for Hezbollah and the Palestinian Hamas, another anti-Israel militant group supported by Iran.


Iran has provided both financial and military support to Hezbollah for decades and has used Syria as a conduit for both. If Assad were to fall, that pipeline could be cut, dealing a serious blow to Hezbollah’s ability to confront Israel.


U.N. Secretary-General Ban Ki-moon spoke to Arab League Secretary-General Nabil ElAraby by telephone Sunday and both shared their “grave concern” over the air strikes, U.N. spokesman Martin Nesirky said.


Ban called on all sides “to exercise maximum calm and restraint, and to act with a sense of responsibility to prevent an escalation of what is already a devastating and highly dangerous conflict,” Nesirky said.


Israel appears to be taking a calculated risk that its strikes will not invite retaliation from Syria, Hezbollah or even Iran.


But Salman Shaikh of the Brookings Doha Center in Qatar warned: “All this could lead us into a wider conflict.”


___


Federman reported from Jerusalem. Associated Press writers Ian Deitch and Diaa Hadid in Jerusalem and Bassem Mroue and Ryan Lucas in Beirut contributed to this story.


Associated Press



Powered By WizardRSS.com | Full Text RSS Feed | Amazon Plugin WordPress | Android Forums | WordPress Tutorials

Top Headlines

Israeli airstrikes on Syria prompt threats, anger