Economic and company news by ForexMart

October 25, 2016

Canadian Stocks Decrease in Value after Drop in Commodity Prices Affect Index

The value of Canadian stocks finally dropped during Monday’s session after five days’ worth of rallying as a result of falling commodity prices which added more pressure to commodity-based companies. The S&P/TSX Composite Index for Canada decreased by 0.1% and is currently resting the at 14,923.01 level. The index increased last week by up to 2.4%, while profits from energy production and mining caused the index to surge by up to 15% for 2016, making this particular index the top performing equity market in the international platform, surpassing that of the UK and New Zealand.

October 27, 2016

China Reassures Investors to Impede a Six-year Low

Chinese Yuan is depreciating nearing a record low in six years. The government is finding ways to hinder the process and recover from this impending threat. However, the deputy Governor of People’s Bank of China (PBOC) said that there is no grounds for a relentless decline and they stopped it from happening.

China is giving off signs that the currency is being carefully monitored and investors should be careful in their trading positions against the currency. Despite this information, this would have much of an impact considering past connotations to the problem since the driving force is the appreciation of dollar.

The PBOC is saying if volatility arises, investors should not be agitated as they would definitely do something to stabilize the situation. China has already eased the local bonds and abandoned the necessity for inbound investment program quotas.

October 27, 2016

Economy Update: UK falls below France and ranked fifth as the world's biggest economy


As it was presented in the global economy table, the sterling pound experienced declivity. France ousted the economy of the United Kingdom and made it as the sixth-largest economy in the world.

The World Bank were able to conclude the ranking due to the average value of the currency within a certain period, including currencies accompanied by the dollar. Countries that slip past the UK are US, China, Japan, Germany, and France in terms of US dollar. The final line up all boils down to the exchange rates considering that the pound is five times weaker versus the greenbacks because of the EU exit. The annual GDP of the Britain is roughly £1.8 trillion which makes it powerless compared to the greens and eventually cause the country to plunge down in the table.

October 27, 2016

Singaporean Energy Corporations Face Added Pressure due to Energy Price Slump

Lending firm Oversea-Chinese Banking Corporation said in a statement that a number of Singapore-based energy corporations are now facing increased pressure due to the recent drop in oil and gas prices, which means that these companies might face difficulties with regards to repaying debts. The CEO of the said lending firm also stated that the final quarter of 2016 might become particularly difficult for the energy sector, especially since oil and gas prices have yet to recovery from this particular price drop.

October 28, 2016
Apple Releases New Macbooks in an Attempt to Recover Market Losses
Apple Inc. has recently unveiled its new range of Macbooks as part of the tech firm’s attempt to revive a product which was predicted by Steve Jobs would be rendered obsolete soon by the iPad. Analysts are expecting that this newly-released product line would enable the firm to significantly update its long-term growth. The shares of the said firm has recently dropped by up to 1% and has traded at $114.48 towards the end of the New York trading session. Meanwhile, Apple stocks surged by up to 20% as a result of expected positive sales for the iPhone 7. However, the firm’s shares immediately gave up a portion of its value after the company released a rather careful sales forecast.

October 28, 2016

UK economy made a 0.5% growth after the Brexit authorization

Three months after the Brexit happened, UK economy manifested a fast recovery with the help of the country's service sector.

As it was indicated by the Office for National Statistics, there is a 0.5% increase in the economic health during the third quarter of the year. The result is lower compared to the previous quarter with a 0.7% rate, however, the latest increase is much stronger against the analyst's assessment.

Due to the better-than-expected outcome, the preconception regarding BoE's interest cut rate for the following week had subsided. However, the supporters of the referendum believes that these figures are an indication that the entire negative speculations about the EU exit are merely about fear-mongering.

October 28, 2016
Demand for Manufactured Capital Goods Weakened
The manufactured capital goods from America fell by 1.2% in September despite three consecutive months of gains. The demand for computers and other electronic products slowed down which is expected to affect business spending in the last quarter of the year.
Demand for new heavy machineries has been reduced because of the predominance of used construction equipments while the demand for transportation equipments declined by 0.8% that impelled durable goods lower by 0.1%. On the other hand, orders for electrical equipments and machineries including appliances has risen last month. However, this may shift course to a better predicament since the dollar appreciated as well as the oil and gas drilling activity has improved in the past months.