With just over a week of trading left in 2013 there is still a chance that the index will be able to maintain the December rally that it has enjoyed every year for the last decade. If that does transpire, however, it will no doubt feel like a hollow victory, as the index has been sitting in the red for so long.
After the choppy waters experienced in the first half of the year, it looks like it’s now plain sailing for Carnival following the release of its fourth-quarter figures.
Unfortunately the same can’t be said for BAE Systems, as the expected Eurofighter contract with the United Arab Emirates has fallen through and protracted discussions with Saudi Arabia are yet to draw to a conclusion.
Having had a night to mull it over, it looks like Tesco’s decision to enter the India market has been taken positively by traders. Considering the humble pie eaten as it exited the US earlier in the year, it is hardly surprising that investors were initially worried over the entry into such an enigmatic market.
Bulls return to Wall Street
The Dow Jones’s flat finish yesterday has quickly been consigned to the history books, as once again the bulls are back in the driving seat and higher highs look to be the order of the day. Of course the solid nudge that the impressive final US quarterly GDP figures had hasn’t done momentum any harm. The last 48 hours of market-positive reaction following the Federal Open Market Committee’s tweaking of the debt purchasing scheme has shown a marked level of investor confidence in the Federal Reserve’s tactics and execution.
Gold tests June lows
Gold has broken below the $1200 level and is now testing the inter-day lows last seen in late June. Traders will be closely monitoring the major gold mining companies as the financial viability of a number of operations will come under question.
Following yesterday’s wobble instigated by disappointing US existing home sales, the copper price is now back on track.
EUR/USD sees double top
The last couple of days have seen the double top pattern in EUR/USD confirmed; following this it will be interesting to see how much support is offered around the 1.3620 zone.
USD/JPY has continued to head higher and appears to have been one of the main beneficiaries of the week’s economic shake up, which has certainly helped the Japanese government’s economic policies.