Daily Company News by ForexMart

[Luis ForexMart]

Lagarde Favors Less Strict Trade Policies

The stricter protectionist trade measures slows down the current frail economy not only in United States but including other countries as said by the head of the International Monetary Fund, Christine Lagarde. She described it as an “economic malpractice”. Restricting trades would worsen the status of workers and families.


It has pros and cons for members of trades but considering present weak economy and bigoted politics, an open trading is more advantageous to all. However, if the trade policies are neglected, the opportunity for progress is lessened since global economy still needs it to drive growth.

 

[Luis ForexMart]

Japanese Yen Declines, Commodity Currencies Hold Fast after OPEC Cuts Oil Outputs

Commodity currencies such as the AUD and the CAD held fast to their positions while the JPY experienced a significant decline in its value after the OPEC decided to cut back on its oil outputs, the oil organization’s first time to make such a move since 2008, causing oil prices to rise. OPEC has decided to reduce its oil output to a range of 32.5-33.0 million barrels per day from its previous output of 33.24 million barrels per day. Currencies such as the CAD, AUD, and NOK went up significantly, with the Norwegian Crown (NOK) hitting its highest level in five months at 8.0222 against the USD. Meanwhile, the Japanese yen weakened further as investors are growing more skeptical with regards to the BoJ’s capability to cheapen the yen’s value and ease its monetary policies, especially since most of Japan’s economic stimuli are about to reach their limit.

 

[Luis ForexMart]

ECB should not be blamed for the problems of the Deutsche Bank, says Draghi

ECB President, Mario Draghi emphasized that the European Central Bank holds no responsibility regarding the negative monetary rate policy that the Deutsche Bank is currently facing.

On Wednesday, the chief of Association of German Banks, Michael Kemmer stated that the central bank were partially liable on the current point of issue. But Draghi did not agree on Kemmer's comment because the Italian economist believes that the bank is not able to imply a systematic risk against the euro area in view of that the financial institution already suffered from a low rates of interest.

 

[Luis ForexMart]

Blackberry Phone will live for Indonesian customers

Blackberry Limited won't let their classical mobile devices to end gradually. According to their CEO, John Chen the company opt to stop in creating Android phone but they won't allow their products to die out. In as much as there are places that still patronizes their gadgets. For instance, an Indonesian mobile company is planning to launch their very own cellular phone design intended for those who dislike phones that does not have qwerty keyboard. PT Tiphone Mobile Indonesia Tbk decided to deal with BlackBerry and created a business arrangement in making portable phones in the Indonesian Republic.

 

[Luis ForexMart]

Agricultural Production of Soybean Boosts U.S. Economic Growth

US Agricultural exports performed well for the past two months. This lessened deficits and boost the prospects for short-term economic growth. Predominantly, this was due to Soybean production which was driven by a high demand in China and insufficient production in South America.


An estimated of 1% will add to GDP growth solely on Soybean production. Annually it is forecasted to contribute 4% in GDP. This may be just for a short-term demand and will most likely reversed on the next month but its effect will boost economic activity and would have a minimal impact to Federal Reserve’s price hike. Regardless of Economic growth, Fed will still proceed to price hike if the economy sustains progress.

 

[Luis ForexMart]

Deutsche Bank Exerts Extra Effort to Reach US Settlement before US Elections Next Month

Deutsche Bank (DBKGn.DE) is now putting in more efforts as the banking firm is attempting to reach a settlement a month before the US Presidential Elections take place, especially after US authorities demanded fines worth $14 billion after the bank erratically sold mortgage-backed securities. This has caused Deutsche Bank’s shares to decrease significantly, and a cutback in the settlement is needed in order for the German-based lending firm to gain back its footing and reverse its current downward trend in the financial market.

 

[Luis ForexMart]

British Pound Plummets to its Lowest Levels since 1985 after Post-Brexit Angst

The British pound plummeted to its lowest levels since 1985 after rising concerns that the UK is most likely headed toward a “hard Brexit”, which would lead to a restricted access of the European market in general. The sterling pound had already went beyond its current lows in relation to the USD after the Brexit vote and was in its lowest levels in 3 ½ years in relation to the EUR. The GBP even went lower after UK Prime Minister Theresa May allegedly took the view that the EU exit talks would not put in any special treatment for its financial services. This has caused the pound to drop against all other major currencies after Theresa May’s announcement that she will be pushing through with the formal process for Brexit in March next year.

 

[Luis ForexMart]

UK Prime Minister May have an announcement regarding Brexit

Theresa May defended that the economy of UK still have a wealthier economy after the EU exit which brought unfavorable impact to the pound.

At present, pound experienced a 31-year low decline versus the greens. Moreover, the IMF lowered down its expected GDP result. May will have her speech on Wednesday at the Conservative conference about the tension in the setting of the referendum. According to PM May she would impose certain conditions under the order of EU Freedom of movement which cause the sterling to shift downwards.

 

[Luis ForexMart]

Slow Growth of German Private Sector Drags Down the Economy

In September, the private sector growth in Germany slowed down alongside the weakening of Europe’s biggest economy. The Markit’s final PMI declined from 53.3 to 52.8 in August that comprises more than two-thirds of the economy. Although other sectors contributed to the increase of GDP in the third quarter, the PMI pulls it to slower pace as the final quarter approaches. A 1.9% increase in Economic growth rate is predicted for this year because of high private consumption and rise in state spending for migrants.

 

[Luis ForexMart]

Japanese Shares Surge for Fourth Consecutive Day as JPY Drops Continuously

Japanese shares closed down the last session with its benchmark equity measure its highest levels in four months after the JPY continued to decrease in value, logging in its longest dropping period since March after an increased possibility of an interest rate hike by the Federal Reserve following the release of positive US economic data. Japanese equity strategists are even speculating that the interest rate hike might be moved to November if the release of US jobs data on Friday would turn out to be stronger than the previous data release.