Gold hit its highest in two weeks because of Greece Problems of European sovereign debt markets manipulated

Gold hit its highest in two weeks because of Greece Problems of European sovereign debt markets manipulated

Source: «Reuters»
Date: May 24, 2011

 Manipulated the fears and the problems of sovereign debt the European global markets yesterday as gold rose and the dollar, while oil fell and the euro also went down stock markets in Europe and Asia. Gold rose to its highest level in nearly two weeks yesterday as investors sought a safe haven after a wave of negative news for the debts and classification of countries in the euro zone such as Greece. The price of gold in the spot market to 1518.71 dollars per ounce (an ounce) to its highest level since May 11 and was trading at 1508.24 dollars in the mid-trading yesterday of 1507.39 dollars an ounce in late trading in New York on Friday.
The price of gold denominated in euros hit a record high at 1076.42 euros for an ounce. The rise in gold after the cut on Friday, Fitch credit rating of Greece to three degrees. There are other reasons behind the demand for gold is the concerns about the austerity measures in Spain after the defeat of the ruling Socialist Party in local elections and expectations downgraded Italy's debt and the growing speculation about restructuring the debt of Greece.
Said Robin Bhar, an analyst at Credit Agricole: The motivating factor is clearly in Greece concerns about whether there will be a restructuring of debt. Silver fell in the spot market to 34.65 dollars per ounce compared to U.S. $ 35.01 in late trading in New York on Friday. And platinum fell to 1747.30 dollars per ounce from U.S. $ 1768.50 while palladium fell to 724.75 dollars per ounce of 734 dollars.

 
The euro was down
The euro fell to its lowest level in two months against the dollar to a record low against the Swiss franc yesterday by a wave of political news and economic consequences of the euro area may lead to further declines. Investors rushed to sell the euro in light of doubts about the austerity measures in Spain after the defeat of the party Socialist Party in local elections and after the cut in the outlook for the credit rating of Italy and the growing speculation about restructuring the debt of Greece.
And have concerns about the euro-zone countries facing difficulties to higher yields of these countries compared to German bonds, although Germany has a special political problems after receiving the ruling party is also a severe blow in local elections. Said Roberto Mialic currency strategist with UniCredit in Milan have already seen the euro was down last week due to low commodity prices and stocks, but concerns about European monetary union is now at the center of attention, the likelihood of continued decline below $ 1.40 more than the prospects of recovery. Difficult to imagine what this will change direction.
The euro in early European trading to 1.39961 U.S. dollars, its lowest level since mid-March. Investors sold the single currency after it fell exceeding sell orders to stop the losses at about U.S. $ 1.4030. The euro fell against the Swiss franc to 1.2345 francs, its lowest level since its launch in 1999. May result in the continued decline in the euro under the moving average in 200 week of about $ 1.40 to more sales, while indicating technical indicators to the more losses. The dollar was the biggest beneficiary from the loss of the euro as dollar index rose to its highest level in seven weeks at 76.247 to the a basket of currencies after it broke through a technical resistance level at about 76.

 
Pound Sterling
The euro fell to its lowest level in two months against the pound sterling yesterday of his fears of debt restructuring Greece and cut the outlook for the credit rating for Italy, and loss of an election for the ruling parties in Spain and Germany. The euro fell 0.65 percent to 86.64 pence, the weakest level since late March after he came down at the level of support 86.73 pence struck on May 12. and heading for the euro to test the level of 86.54 pence hit in late March and the moving average of a hundred a day at about 86.43 pence.

 
Oil contracts
Fell futures prices for crude oil more than three dollars yesterday with the rise of the dollar to its highest level in two months against the euro because of concerns about debt in Europe. The fall came under the leadership of contracts of Brent crude, which fell 3.03 dollars to 109.36 dollars a barrel in mid-trading after recording 109.13 dollars. The U.S. light crude fell 2.81 dollars to 97.29 dollars.
The dollar rose after a range of negative news on the crisis in the euro zone pushed the European single currency to decline. The euro fell to less than $ 1.40 for a brief period, which was regarded as a key support level. Said Olivier Jakob of Petromatrix The euro will continue to be the main focus of attention of global investors. He was unable to crude oil purchases to attract sustained during the past ten days, and without the key developments would be difficult for him to attract new purchases if the strong euro and continued to decline.

 
European equities
European shares fell yesterday on renewed fears about the debt crisis of the States Parties to the euro area after the cut in credit rating of Greece to a lesser extent in high-risk bond ratings and reduce the outlook for the classification of Italy to negative. The shares of mining companies of the leading losers after copper prices fell and the other metals because of the high dollar. The shares lost Anglo-American lobby. H. BHP Billiton and Rio Tinto between two and 2.7 percent.
In the mid-trading the FTSEurofirst 300 index of top European shares one percent to 1125.27 points, surpassing the moving average in 50 days, after tumbling 0.4 percent the previous week.
And lowered by Standard & Poor's outlook for Italy's credit rating to negative from stable, citing the weakness of growth opportunities and increase the likelihood of failure to reduce the heavy debt. Fitch lowered credit rating on Friday to Greece to my positive and throughout Europe, Britain's FTSE 100 index down 1.3 percent and France's CAC rose 1.4 percent and Germany's DAX up 1.5 percent.

 
Nikkei
The decline in the Nikkei Japanese equities to their lowest level in five weeks on Monday after the hedge funds to liquidate positions in the companies, a manufacturer of construction equipment after the cut ratings by Nomura Securities due to declining demand in China. And investors are expected to bear the cursor further losses after it broke through the level of support key. The benchmark Nikkei index of the shares of major Japanese companies was down 1.5 percent at 9460.63 points. Fell broader Topix index of 1.2 percent to 817.68 points.