BP says natural gas overtakes coal as dominant US power source for the first time ever June 17, 2016 The world's largest economy burned more natural gas than coal for the first time ever last year. It coincides with a spate of bankruptcies within the embattled US coal industry, with embattled coal producers Peabody, Arch Coal, Patriot and Alpha Natural Resources all filing for bankruptcy in the last year. Spencer Dale, former Bank of England MPC [...]
At the close: Sterling stable and FTSE 100 fizzes June 17, 2016 Markets ended the day on the up as the moratorium in the EU referendum campaign allowed markets to compose themselves ahead of what is certain to be one of the most volatile weeks since the financial crisis. The FTSE 100 recovered some lost ground to close above the benchmark 6,000 point mark – but only just. [...]
Brexit fears prompt multi-million pound outflows from UK funds June 17, 2016 Rising Brexit fears prompted a huge outflow from UK equity funds in the week to Thursday. Data compiled by Bank of America shows that nervous investors withdrew $1.1bn (£769m) during this period, which marks the second largest outflows in the past decade behind last year's nail-biting General Election. Read more: No, Brexit won't hit house prices – [...]
Gold loses shine as it falls back below $1,300 June 17, 2016 The softer dollar pulled gold back from a two-year high today, as investor anxiety about next week's EU referendum eased slightly. The precious metal is still on course for its third weekly gain, with spot gold rising 0.7 per cent to $1,286.82 an ounce in early afternoon trading. US gold, however, slumped 0.6 per cent [...]
Sterling soars and markets jump as EU referendum campaigns on hold June 17, 2016 Sterling has risen against the dollar and the FTSE 100 is back above 6,000 points this morning, as the markets respond to the death of Jo Cox, and the EU referendum campaign takes a pause. The pound climbed to $1.4301, up 0.7 per cent overnight, as market chatter and hearsay suggested traders believe the suspension [...]
Oil rises for the first time in seven days as the US dollar weakens June 17, 2016 Oil snapped its biggest weekly drop in more than two months today, helped by foreign exchange rate movements. The greenback slumped 0.2 per cent to $94.407 against a basket of currencies, making the dollar-priced commodity more attractive to foreign buyers, and helping crude shrug off a sharp drop in the previous six sessions. Read more: IEA says global [...]
With the Bank of England warning of a sharp fall in sterling, would leaving the EU be a buying opportunity? June 17, 2016 Jason Hollands, managing director of Tilney Bestinvest, says Yes. A Leave vote will likely lead to a knee-jerk reaction in the markets, led by a sharp slide in sterling. However, far from hitting the panic button, I would see an indiscriminate slide in UK equities on the back of a Leave vote as a potential buying [...]
Kenya considering launching tea futures to stabilise prices June 16, 2016 The world's first tea futures contracts could be launched in Kenya in an attempt to stabilise prices and securitise production. Representatives of the Kenyan tea industry have held talks with INTL FCStone Inc, a financial advisory firm based in New York, about setting up the derivatives, Bloomberg reported. Kenya is the world’s largest exporter of [...]
Brent crude and WTI: Oil at $20 per barrel talk re-emerges June 16, 2016 An analyst has warned that oil prices could still fall to $20 per barrel within the next year — despite rising sentiment that the battered market could be starting to balance. Paul Jackson, head of research at exchange-traded-fund provider Source, told Morning Wire oil bottoming at around $20 after a bubble is part of a "historical cycle that repeats [...]
Gold hits highest level in nearly two years after US Federal Reserve’s dovish coos June 16, 2016 The US Federal Reserve's dovish coos helped gold smash through the $1,300 mark for the first time since early May today. Spot gold swelled 1.30 per cent to $1,308.1 per ounce this morning, having touched its highest level since August 2014 at $1,313.60 earlier. US gold added 1.80 per cent to $1,311.3, after hitting its highest rate [...]