By: Dr. Mike Campbell
Technocrat leaders have been installed in Greece and Italy and the Spanish government fell at the weekend. The significant economic problems facing Spain are now the concern of the Popular Party (conservative). The markets remain unsettled with all of the majors ending the week lower.
In Europe over the course of the week, the FTSE fell by 3.3% and closed at 5362.9; the Dax ended the week at 5800.2, falling by 4.2%; the CAC dropped by 4.8% to end the session at 2997.
The Dow ended the week down by 2.9% at 11796.2. The Nasdaq composite index ended the week at 2572.5, shedding 3.8% over the week.
The Nikkei closed down over the course of the week, losing 1.6% to end the trading session at 8374.9.
Currency Markets Review
On the currency markets last week, the Yen saw the best of more nervous trading. The Dollar was stronger against Sterling, making 0.69% and closing at 1.58219 to the Pound. The Greenback strengthened against the Euro last week, making 0.54% to close at 1.3576. The Dollar lost ground against the Japanese currency closing at 76.6500 to the Yen, a fall of 0.91% on the week.
The Euro closed down against the Yen ending at 104.06, falling 1.5% over the course of the week. The Euro was stronger against Sterling over the course of the week by 0.15%; the close saw one £ buying 1.16543.
Commodities Market Review
On the commodities market, the price for Brent crude ended lower, closing at $107.56 per barrel (for January delivery); a fall of 5.8% over the course of the week’s trading. The value of gold fell last week, closing at $1719 per ounce, representing a loss of 3.1% over last week’s value.