Equities drift lower after Draghi comments

Mario Draghi fails to convince the market that he can save the eurozone from sinking into the abyss. 

FTSE down 20 points

The FTSE 100 looks to close around the 6700 level. On the surface all seems well in the region, but simply mentioning the Japanese crisis of the 1990’s seems to have sent stocks sliding. Mr Draghi tried to reassure the market he has a few cards up his sleeve, but actions speak louder than words.  

The Madrid administration held a bumper bond auction, driving the yield on the 10-year bond to the lowest level since September 2006, so there is some light at the end of the tunnel. 

US await non-farms

In the US the Dow Jones is off 50 points at 16,410, as solid jobless claims figures prompt traders to square up their books ahead of the non-farm payrolls and unemployment report tomorrow. A stronger-than-expected ADP figure yesterday, and initial jobless claims today, have set the tone. The Federal Reserve feels it is getting less bang for its buck when it comes to quantitative easing, but will keep stimulus in place for the time being. 

Copper at two-week low

Copper drops to a two-week low as Chinese CPI and PPI miss estimates. This suggests the largest importer of copper is cooling off.

Australia hit by construction data

The Australian dollar is below the $0.89 mark as weak construction data hammers home the idea that the country is slowing down. 

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