By: Dr. Mike Campbell
Last week was yet another turbulent one for the major stock markets on the back of continuing uncertainty on sovereign debt, largely within Europe and the repercussions of the Gulf of Mexico oil pollution disaster which sent BP shares down steeply. In Europe over the course of last week the FTSE fell 1.2%, closing at 5126; the Dax shed 0.12 % ending the week at 5938.9; the CAC dropped by 1.7% to end the session at 3455.6.
The Dow ended the week down by 2%, finishing the trading session at 9932. The Nasdaq ended the week shedding 1.7%; closing at 2219.2.
The Nikkei was the only major market to close higher, gaining 1.4% over the course of the week, ending trading at 9901.2.
On the currency markets last week, the Dollar was the winner. The Dollar was flat against Sterling, closing at 1.4575 to the Pound. The Greenback was stronger against the Euro, rising by 2.6%, to close at 1.206. The Dollar was stronger against the Japanese currency at 92.6451 to the Yen, a gain of 1.5% on the week.
The Euro fell by 1.2% against the Yen closing at 111.7. The Euro fell against Sterling over the week by 2.7%. The close saw one £ buying 1.2085€.
On the commodities market, the price for Brent crude dropped again, closing at $72.09 per barrel (for July delivery); a fall of 2.6% over the course of the week’s trading. The value of gold retreated to 1205$ per ounce, representing a decline of 0.6% over last week’s value.