As the emerging stock market has been approaching the peak of the last three years with a weak flow of the dollar, most currencies saw their peak of the last months with the support of the rise in profits of Chinese companies and healthy economic growth signals.
The gains in the currencies of emerging European countries remained below the gains in other emerging currencies because of the newest sanctions which were imposed by the United States on Russia. Investors’ interests for the emerging market assets has increased after the Federal Reserve’s (Fed) announcement of inflation, showing that the slowing of the US in the recent period will not continue temporary and the pressure on interest rate increases will fell down. The index, that followed the course of the basket against the basket consisting of the main six currencies, reached its lowest level in 13 months.
The MSCI index, which tracks emerging market stock markets, is up 0.8 percent after seeing its highest level since September 2014. The Stoxx Europe 600 Index has risen less than 0.1 percent. In the UK, the FTSE 100 rose less than 0.1 percent. DAX in Germany dropped 0.4 percent. S & P 500 index futures rose 0.2 percent after the benchmark index gained less than 0.1 percent on Wednesday.
The Bloomberg Dollar Spot Index rose to less than 0.05 percent today while the Euro fell 0.2% and reached the level of 1.1708. The pound gained 0.2% against the dollar, rising to 1.3142 which is the strongest level for over 10 months.
Treasury yields of 10-year maturity did not change much by 2.29 percent. In Germany, France and the UK, the interest rates on 10 years have all decreased by 4 basis points.
West Texas Oil (WTI) contracted at $ 48.40 per barrel, down 0.6 percent. Gold price rose 0.2 percent and reached $ 1,263.41 per ounce.