Daily Analysis – Protests in Libya Threaten Oil Exports

SamTrader1

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By, http://www.BinaryOptionStrategy.com

Equities

Asian markets began the week faced with China’s tightening on Friday, and unrest in Libya. The Nikkei eked out a gain of 115 points, extending its winning streak to 6 straight days. China’s Shanghai Composite reversed early losses to end .6% higher. Among the losers, the ASX 200 dropped .7% and the Kospi slipped .4%.

European shares skidded as violence in Libya threatened the country’s oil exports. The FTSE fell 1.1%, while the DAX and CAC40 both dropped 1.4%. Oil and gas shares led the losers, particularly the Italian ENI group.

US stock, bond, and futures markets were closed for Presidents Day.

Commodities

Crude oil rocketed 6% higher to 91.42 in response to the supply risks tied to Libya. Gasoline jumped 2.7%, and Brent Crude soared 5.4% to 108.00.
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Oil Spikes on Libyan Violence

Silver once again led the rally in metals, leaping 4.9% to 33.87, up 1.57. Gold rose 18.40 to 1407, while copper was fractionally higher at 4.4865.

Currencies


The currency market traded narrowly as US markets were closed. The Euro, Pound and Yen all closed within .2% of their Friday closes. The Canadian Dollar gained .4% to .9826, while the Swiss Franc slipped .2%, and the Australian dollar fell .5%.

Economic Outlook

The spreading unrest in the Middle East has now reached Libya, a major oil exporter. The waves of protests have defied national boundaries and powerful dictators. The spreading unrest will remain a focal point for global investors.
 
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