Property

Spanish construction rebuilds after market collapse

Property developer Olivier Crambade founded Therus Invest in Madrid in 2004 to build offices and retail space. For five years business went quite well, and Therus developed and sold more than €300m of properties. Then Spain’s economy imploded, taking property with it, and Mr Crambade spent six years tending to Dhamma Energy, a solar energy […]

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Currencies

Euro suffers worst month against the pound since financial crisis

Political risks are still all the rage in the currency markets. The euro has suffered its worst slump against the pound since 2009 in November, as investors hone in on a series of looming battles between eurosceptic populists and establishment parties at the ballot box. The single currency has shed 4.5 per cent against sterling […]

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Banks

RBS falls 2% after failing BoE stress test

Royal Bank of Scotland shares have slipped 2 per cent in early trading this morning, after the state-controlled lender emerged as the biggest loser in the Bank of England’s latest round of annual stress tests. The lender has now given regulators a plan to bulk up its capital levels by cutting costs and selling assets, […]

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Currencies

China capital curbs reflect buyer’s remorse over market reforms

Last year the reformist head of China’s central bank convinced his Communist party bosses to give market forces a bigger say in setting the renminbi’s daily “reference rate” against the US dollar. In return, Zhou Xiaochuan assured his more conservative party colleagues that the redback would finally secure coveted recognition as an official reserve currency […]

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Banks

Carney: UK is ‘investment banker for Europe’

The governor of the Bank of England has repeated his calls for a “smooth and orderly” UK exit from the EU, saying that a transition out of the bloc will happen, it was just a case of “when and how”. Responding to the BoE’s latest bank stress tests, where lenders overall emerged with more resilient […]

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Categorized | Currencies, Equities

US stocks set to extend record highs as oil climbs


Posted on November 22, 2016

Wall Street’s main equity gauges are poised for another round of record highs on Tuesday, as rising oil prices continue to buoy investor sentiment.

S&P 500 futures are up 0.2 per cent, Dow Jones futures rose 0.3 per cent and Nasdaq 100 futures are up 0.5 per cent an hour-and-a-half before the opening bell in New York.

The three indices finished at all-time highs on Monday, and their momentum carried through to equity markets in Europe and Asia. The pan-European Stoxx 600 gained 0.5 per cent, while Hong Kong’s Hang Seng rose 1.4 per cent. Japan’s Nikkei 225 closed 0.3 per cent higher after concerns of a strong earthquake in the morning faded.

Oil prices continued to rise on Tuesday as investors weigh the odds that Opec will reach a deal to reduce output. Brent crude was up 2 per cent to a session high of $49.96 a barrel, its highest point in nearly three weeks, while West Texas Intermediate gained 1.5 per cent to $49.20.

Meanwhile, bond markets and the US dollar are quiet. The yield on the 10-year US Treasury, which moves opposite to price, fell 2 basis points to 2.29 per cent, while the 2-year equivalent is up 2 basis points to 1.09 per cent. The dollar index, a measure of the currency against a basket of major peers, was flat at 101.05.