BinaryOptionStrategy- Silver Soars, ECB Hints at Rate Increases

SamTrader1

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By, http://www.BinaryOptionStrategy.com
Equities

Asian markets closed mostly higher on Friday. The Nikkei inched up 6 points to 10843, extending its winning streak to 5 days. The Koran Kospi soared 1.8% following losses in the two previous sessions, and the Hang Seng rallied 1.3%. China’s Shanghai Composite lagged behind, dropping .9%.

After the close, China’s central bank announced yet another round of tightening, weighing on miners in Europe. BHP Billiton and Rio Tinto fell more than 2%, on fears that the tightening will cut demand for raw materials. European markets ended mixed as the FTSE trickled down 4 points to 6083, while the Dax rose .3%.

US markets rallied, led higher by the Dow which rose 73 points to 12391. The S&P 500 rose .2% and the Nasdaq trailed, closing up .1%. Trading was light ahead of the extended President’s Day weekend.

feb-21-dow-rallies.png

Dow Rallies 73 Points

Intuit shares jumped 7.3% on strong revenue, even though profits dropped. JDS Uniphase sank 5.3% after receiving a downgrade from Citi.

Treasuries and Commodities

Treasury prices eased, with the 10 year note down 2/32 to yield 3.58% and the 30-year note down 6/32 to yield 4..68%.

Silver rallied 2.3% to 32.296, its highest level in 31 years. Gold rose 3.50 to 1388.60 and copper closed flat reversing earlier losses.

Oil edged down .16 to 86.20, while gasoline gained .9%.

Agricultural futures were hit by steep selling, as wheat fell 3.3%, cotton dropped 3.4% and soybeans sank 2.6%.

Currencies

A statement by an ECB policy maker suggested that the central bank may soon raise rates to battle inflation. The news sent the Euro higher, rising .7% to 1.3698. The Pound and Swiss Franc both gained .5%,, and the Yen rose .2% to 83.19. The Canadian dollar closed down .2%, after briefly hitting a new 52-week high of .9818.

Economic Outlook


US markets will be closed on Monday for President’s day.
 
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