Benchmarks Sensex and Nifty ended at fresh lifetime highs today on optimism surrounding corporate earnings amid mixed global cues.

The BSE Sensex jumped 70.42 points to end at 34,503.49, while the broader NSE Nifty finished at 10,651.20, up 19 points.

The 30-share Sensex, after a cautious start, gathered momentum and rallied to 34,558.88, before ending at 34,503.49, a rise of 70.42 points, or 0.20 per cent.

It broke its previous closing high of 34,443.19 hit on January 9.

The 50-share Nifty, after range-bound morning trade, spurted to touch an all-time high of 10,664.60 on a flurry of buying.

It finally settled 19 points, or 0.18 per cent higher at 10,651.20, surpassing its previous closing record of 10,637 hit on January 9.&nbsp;

Benchmarks Sensex and Nifty ended at fresh lifetime highs today on optimism surrounding corporate earnings amid mixed global cues

Benchmarks Sensex and Nifty ended at fresh lifetime highs today on optimism surrounding corporate earnings amid mixed global cues. The BSE Sensex jumped 70.42 points to end at 34,503.49, while the broader NSE Nifty finished at 10,651.20, up 19 points. The 30-share Sensex, after a cautious start, gathered momentum and rallied to 34,558.88, before ending at 34,503.49, a rise of 70.42 points, or 0.20 per cent. It broke its previous closing high of 34,443.19 hit on January 9. The 50-share Nifty, after range-bound morning trade, spurted to touch an all-time high of 10,664.60 on a flurry of buying. It finally settled 19 points, or 0.18 per cent higher at 10,651.20, surpassing its previous closing record of 10,637 hit on January 9.

Markets set new records on earnings optimism, liquidity

The BSE Sensex hit new life-time intra day high of 34,565.63 in opening session today, extending its record-setting spree for a fourth session on buying by domestic investors ahead of quarterly results by bluechips.

The 30-share index rose by 122.44 points, or 0.35 per cent, to hit a new peak of 34,565.63, surpassing its previous record (intra-session) of 34,488.03 points hit yesterday.

The gauge had gained almost 650 points in previous four sessions to close at a record high at 34,443.19 in yesterday&#39;s session.

Sectoral indices, led by healthcare, realty, teck, oil &amp; gas, IT and infrastrcuture, were leading the gains.

The 50-share NSE Nifty gained 18.50 points, or 0.17 per cent, to quote at 10,655.50.

The gauge touched an intra-day high of 10,659.15 and closed at record high of 10,637 yesterday.

Major gainers were ONGC, Coal India, Bharti Airtel, Sun Pharma, Adani Ports, Reliance Industries, Power Grid, ITC Ltd, Dr Reddy&#39;s, SBI, Infosys, NTPC and TCS, rising by up to 1.40 per cent.

Brokers said fresh buying by domestic institutional investors (DIIs) and retail investors ahead of third quarterly earnings by bluechip companies lifted the flagship Sensex to new highs.

Besides, a firm trend in global markets also boosted sentiments, they said.

Among other Asian markets, Hong Kong&#39;s Hang Seng gained 0.21 per cent, while Shanghai Composite Index rose 0.24 per cent in early trade today. Japan&#39;s Nikkei, however, fell 0.22 per cent.

The US Dow Jones Industrial Average closed at new records ahead of key earnings reports.&nbsp;

The 30-share index rose by 122.44 points, or 0.35 per cent, to hit a new peak of 34,565.63, surpassing its previous record (intra-session) of 34,488.03 points hit yesterday

The BSE Sensex hit new life-time intra day high of 34,565.63 in opening session today, extending its record-setting spree for a fourth session on buying by domestic investors ahead of quarterly results by bluechips. The 30-share index rose by 122.44 points, or 0.35 per cent, to hit a new peak of 34,565.63, surpassing its previous record (intra-session) of 34,488.03 points hit yesterday. The gauge had gained almost 650 points in previous four sessions to close at a record high at 34,443.19 in yesterday's session. Sectoral indices, led by healthcare, realty, teck, oil & gas, IT and infrastrcuture, were leading the gains. The 50-share NSE Nifty gained 18.50 points, or 0.17 per cent, to quote at 10,655.50. The gauge touched an intra-day high of 10,659.15 and closed at record high of 10,637 yesterday. Major gainers were ONGC, Coal India, Bharti Airtel, Sun Pharma, Adani Ports, Reliance Industries, Power Grid, ITC Ltd, Dr Reddy's, SBI, Infosys, NTPC and TCS, rising by up to 1.40 per cent. Brokers said fresh buying by domestic institutional investors (DIIs) and retail investors ahead of third quarterly earnings by bluechip companies lifted the flagship Sensex to new highs. Besides, a firm trend in global markets also boosted sentiments, they said. Among other Asian markets, Hong Kong's Hang Seng gained 0.21 per cent, while Shanghai Composite Index rose 0.24 per cent in early trade today. Japan's Nikkei, however, fell 0.22 per cent. The US Dow Jones Industrial Average closed at new records ahead of key earnings reports.

Sensex, Nifty hit new record high in opening trade

Indian shares rose for a fourth consecutive session on Tuesday, boosted by Reliance Industries Ltd after Goldman Sachs raised its target price on the stock.

Goldman Sachs raised the target price on Reliance by 26 percent to 1,205 rupees and added the stock to its &lsquo;conviction list&rsquo; with a &lsquo;buy&rsquo; rating. The investment bank also expects the company&rsquo;s core earnings to double over the next three years. Reliance shares gained as much as 2 per cent.

The broader NSE Nifty was up 0.41 per cent at 10,341.05 as of 0637 GMT, while the benchmark BSE Sensex was 0.44 per cent higher at 33,507.26.

The Nifty Pharma index rose 2.2 per cent with Dr. Reddy&rsquo;s Laboratories Ltd gaining 9.65 per cent after the company got Establishment Inspection Report from the U.S. FDA for its Duvvada facility at Vishakapatnam.

Broader Asian markets were trading higher after strong German economic data boosted sentiment.

MSCI&rsquo;s broadest index of Asia-Pacific shares outside Japan was up 0.8 per cent.

&ldquo;Markets are riding on momentum and though there could be profit-booking by derivatives expiry next week, I expect Nifty to cross 10,500,&rdquo; said Krish Subramanyam, co-head - equity advisor at Altamount Capital.

Logistics firms gained after the government granted infrastructure status to the sector to help enable easy access to loans. Allcargo Logistics Ltd rose as much as 3.8 per cent.

Quess Corp Ltd surged as much as 9.5 percent after agreeing to buy a 51 per cent stake in Tata Business Support Services Ltd.

Among losers, L&amp;T Finance Holdings Ltd fell 3.9 percent after IFR reported that Citigroup is selling a 2.15 per cent stake in the company.

Indian shares rose for a fourth consecutive session on Tuesday, boosted by Reliance Industries Ltd after Goldman Sachs raised its target price on the stock

Indian shares rose for a fourth consecutive session on Tuesday, boosted by Reliance Industries Ltd after Goldman Sachs raised its target price on the stock. Goldman Sachs raised the target price on Reliance by 26 percent to 1,205 rupees and added the stock to its ‘conviction list’ with a ‘buy’ rating. The investment bank also expects the company’s core earnings to double over the next three years. Reliance shares gained as much as 2 per cent. The broader NSE Nifty was up 0.41 per cent at 10,341.05 as of 0637 GMT, while the benchmark BSE Sensex was 0.44 per cent higher at 33,507.26. The Nifty Pharma index rose 2.2 per cent with Dr. Reddy’s Laboratories Ltd gaining 9.65 per cent after the company got Establishment Inspection Report from the U.S. FDA for its Duvvada facility at Vishakapatnam. Broader Asian markets were trading higher after strong German economic data boosted sentiment. MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.8 per cent. “Markets are riding on momentum and though there could be profit-booking by derivatives expiry next week, I expect Nifty to cross 10,500,” said Krish Subramanyam, co-head - equity advisor at Altamount Capital. Logistics firms gained after the government granted infrastructure status to the sector to help enable easy access to loans. Allcargo Logistics Ltd rose as much as 3.8 per cent. Quess Corp Ltd surged as much as 9.5 percent after agreeing to buy a 51 per cent stake in Tata Business Support Services Ltd. Among losers, L&T Finance Holdings Ltd fell 3.9 percent after IFR reported that Citigroup is selling a 2.15 per cent stake in the company.

Sensex rises for fourth day; Reliance, pharma lead

India&#39;s benchmark Sensex shot up 348 points to end at 32,182 on the back surge in oil &amp; gas, healthcare, FMCG and auto stocks

The broader National Stock Exchange(NSE Nifty) regained the 10k mark ending up 1.12 per cent to close at 10,096.40 - &nbsp;recording its biggest single-day gain since May 25. &nbsp;

Intra-day, the NSE had scaled a high 10,104.45.

The Sensex surge was its best single-session gain since July 10 when it jumped 355.01 points.

The Sensex was buoyed over the announcement of quarterly results by several big players including Tata Consultancy Services(TCS) and Reliance Industries(TCS).

TCS stocks gained about 2 per cent while Reliance Industries stocks climbed 4 per cent ahead of its quarterly results tomorrow.

The Sensex surge was its best single-session gain since July 10 when it jumped 355.01 points.

India's benchmark Sensex shot up 348 points to end at 32,182 on the back surge in oil & gas, healthcare, FMCG and auto stocks The broader National Stock Exchange(NSE Nifty) regained the 10k mark ending up 1.12 per cent to close at 10,096.40 - recording its biggest single-day gain since May 25. Intra-day, the NSE had scaled a high 10,104.45. The Sensex surge was its best single-session gain since July 10 when it jumped 355.01 points. The Sensex was buoyed over the announcement of quarterly results by several big players including Tata Consultancy Services(TCS) and Reliance Industries(TCS). TCS stocks gained about 2 per cent while Reliance Industries stocks climbed 4 per cent ahead of its quarterly results tomorrow.

Sensex, Nifty zoom ahead of results by TCS, Reliance Industries

Asian equity markets extended a global slide on Friday as tensions ramped up between the United States and North Korea, sending investors fleeing to less risky assets such the yen, the Swiss franc and US&nbsp;Treasuries.

Wall Street closed sharply lower after US&nbsp;President Donald Trump issued a new round of fiery rhetoric, warning Pyongyang against attacking Guam or US&nbsp;allies after it disclosed plans to fire missiles over Japan to land near the US&nbsp;Pacific territory.

MSCI&#39;s broadest index of Asia-Pacific shares outside Japan skidded 1.4 per cent in its third session of declines to a near one-month low, heading for a 2.1 per cent drop for the week.

Australian shares were down 1.3 per cent, set for a weekly loss of 0.5 per cent. Japanese markets were closed for a holiday.

&quot;What has changed this time is that the scary threats and war of words between the US&nbsp;and North Korea have intensified to the point that markets can&#39;t ignore it,&quot; said Shane Oliver, head of the investment strategy at AMP Capital in Sydney.

&quot;Of course it&#39;s all come at a time when share markets are due for a correction so North Korea has provided a perfect trigger.&quot;

Many markets have climbed to record or multi-year highs, leaving them vulnerable to a sell-off.

Trump took specific aim at North Korean leader Kim Jong Un on Thursday, saying he had &quot;disrespected our country greatly&quot; and would not be &quot;getting away with it.&quot;

South Korea&#39;s KOSPI fell 1.8 per cent to a 9 1/2-week low, taking its losses this week to nearly 2.7 per cent.

The Korean won also continued to skid, sliding 0.4 per cent to 1,146.2, below its 200-day moving average.

Chinese blue-chips lost 0.9 per cent, while Hong Kong&#39;s Hang Seng was 1.6 per cent lower.

If North Korea launches an attack that threatens the United States,&nbsp;then China should stay neutral, but if the United States attacks first and tries to overthrow North Korea&#39;s government China will stop them, a Chinese state-run newspaper said on Friday.

&quot;This situation is beginning to develop into this generation&#39;s Cuban Missile crisis moment, with recent leaked intelligence reports alleging that North Korea now has miniaturised its nuclear warheads, which extends the range of its missiles, and potentially brings US&nbsp;targets into reach,&quot; ING&#39;s chief Asia economist Robert Carnell said in a research note on Friday.

&quot;While the US&nbsp;President insists on ramping up the war of words, there is a decreasing chance of any diplomatic solution,&quot; Carnell said.

Trump&#39;s threat earlier this week, to unleash &quot;fire and fury&quot; on Pyongyang if it attacked, was ultimately dismissed as bluster by many investors.

Trump&#39;s second warning, however, has shaken markets that have been largely resilient this year, swatting away a slew of risks. These have ranged from an investigation into Russia&#39;s possible interference in the 2016 US&nbsp;presidential election, to concerns about China&#39;s risky debt levels, to stubbornly low inflation in the US.

The CBOE Volatility Index, the most widely followed barometer of expected near-term US&nbsp;stock market volatility, rose the most in about 12 weeks. The index closed at 16.04 overnight, the highest level since Nov. 8, when Trump was elected president.

The Chinese volatility gauge jumped by the most since January 2016. It was at its highest level in more than seven months.

On Wall Street overnight, the Nasdaq retreated 2.1 per cent, while the S&amp;P 500 was down 1.4 per cent, and the Dow Jones Industrial Average pulled back 0.9 per cent.[.N]

US&nbsp;stock futures were 0.1 per cent lower on Friday.

The MSCI World index slipped 0.1 per cent, extending Thursday&#39;s 1.1 per cent drop, its biggest one-day slide since May 17, hurt by the escalating US-North Korea tensions.

The dollar extended losses against the yen to hit a new two-month low. It was down 0.2 per cent at 108.96 yen, after retreating 0.7 per cent on Thursday.

The yen is perceived as a safe haven because Japan is the world&#39;s biggest creditor country and investors there have tended to repatriate funds in times of crisis.

Low US&nbsp;Treasury yields are also weighing on the dollar. The yield on the benchmark 10-year Treasury fell as low as 2.197 per cent, its lowest level since June 28, before inching back to 2.201 per cent.

The dollar pulled back 0.1 per cent to $0.9635 Swiss francs on Friday, after dropping as much as 1.2 per cent to a two-week low overnight.

The dollar was steady against a basket of six major currencies at 93.385 after falling 0.2 per cent on Thursday, with disappointing US&nbsp;inflation and jobs data adding to the greenback&#39;s woes.

US&nbsp;producer prices unexpectedly fell in July, recording their biggest drop in nearly a year, while another set showed the number of Americans filing for unemployment benefits unexpectedly rose last week.

Markets are now focused on US&nbsp;consumer price data for July, due later in the session.

Spot gold prices were unchanged at $1,286.27 an ounce, after touching a two-month high earlier. They have soared over 2 per cent in the previous two sessions, and are set for a weekly gain of 2.26 per cent.

US&nbsp;crude futures extended losses from Thursday when they tumbled 2 per cent on fears of slowing demand and lingering concerns over a global oversupply.

They were down 0.7 per cent at $48.24 per barrel, on track for a weekly loss of 2.7 per cent.

Global benchmark Brent lost 0.7 per cent to $51.53, after Thursday&#39;s 1.5 per cent drop. It is poised to end the week down 1.7 per cent.

Wall Street closed sharply lower after US?President Donald Trump issued a new round of fiery rhetoric, warning Pyongyang against attacking Guam or US?allies after it disclosed plans to fire missiles over Japan to land near the US?Pacific territory

Asian equity markets extended a global slide on Friday as tensions ramped up between the United States and North Korea, sending investors fleeing to less risky assets such the yen, the Swiss franc and US Treasuries. Wall Street closed sharply lower after US President Donald Trump issued a new round of fiery rhetoric, warning Pyongyang against attacking Guam or US allies after it disclosed plans to fire missiles over Japan to land near the US Pacific territory. MSCI's broadest index of Asia-Pacific shares outside Japan skidded 1.4 per cent in its third session of declines to a near one-month low, heading for a 2.1 per cent drop for the week. Australian shares were down 1.3 per cent, set for a weekly loss of 0.5 per cent. Japanese markets were closed for a holiday. "What has changed this time is that the scary threats and war of words between the US and North Korea have intensified to the point that markets can't ignore it," said Shane Oliver, head of the investment strategy at AMP Capital in Sydney. "Of course it's all come at a time when share markets are due for a correction so North Korea has provided a perfect trigger." Many markets have climbed to record or multi-year highs, leaving them vulnerable to a sell-off. Trump took specific aim at North Korean leader Kim Jong Un on Thursday, saying he had "disrespected our country greatly" and would not be "getting away with it." South Korea's KOSPI fell 1.8 per cent to a 9 1/2-week low, taking its losses this week to nearly 2.7 per cent. The Korean won also continued to skid, sliding 0.4 per cent to 1,146.2, below its 200-day moving average. Chinese blue-chips lost 0.9 per cent, while Hong Kong's Hang Seng was 1.6 per cent lower. If North Korea launches an attack that threatens the United States, then China should stay neutral, but if the United States attacks first and tries to overthrow North Korea's government China will stop them, a Chinese state-run newspaper said on Friday. "This situation is beginning to develop into this generation's Cuban Missile crisis moment, with recent leaked intelligence reports alleging that North Korea now has miniaturised its nuclear warheads, which extends the range of its missiles, and potentially brings US targets into reach," ING's chief Asia economist Robert Carnell said in a research note on Friday. "While the US President insists on ramping up the war of words, there is a decreasing chance of any diplomatic solution," Carnell said. Trump's threat earlier this week, to unleash "fire and fury" on Pyongyang if it attacked, was ultimately dismissed as bluster by many investors. Trump's second warning, however, has shaken markets that have been largely resilient this year, swatting away a slew of risks. These have ranged from an investigation into Russia's possible interference in the 2016 US presidential election, to concerns about China's risky debt levels, to stubbornly low inflation in the US. The CBOE Volatility Index, the most widely followed barometer of expected near-term US stock market volatility, rose the most in about 12 weeks. The index closed at 16.04 overnight, the highest level since Nov. 8, when Trump was elected president. The Chinese volatility gauge jumped by the most since January 2016. It was at its highest level in more than seven months. On Wall Street overnight, the Nasdaq retreated 2.1 per cent, while the S&P 500 was down 1.4 per cent, and the Dow Jones Industrial Average pulled back 0.9 per cent.[.N] US stock futures were 0.1 per cent lower on Friday. The MSCI World index slipped 0.1 per cent, extending Thursday's 1.1 per cent drop, its biggest one-day slide since May 17, hurt by the escalating US-North Korea tensions. The dollar extended losses against the yen to hit a new two-month low. It was down 0.2 per cent at 108.96 yen, after retreating 0.7 per cent on Thursday. The yen is perceived as a safe haven because Japan is the world's biggest creditor country and investors there have tended to repatriate funds in times of crisis. Low US Treasury yields are also weighing on the dollar. The yield on the benchmark 10-year Treasury fell as low as 2.197 per cent, its lowest level since June 28, before inching back to 2.201 per cent. The dollar pulled back 0.1 per cent to $0.9635 Swiss francs on Friday, after dropping as much as 1.2 per cent to a two-week low overnight. The dollar was steady against a basket of six major currencies at 93.385 after falling 0.2 per cent on Thursday, with disappointing US inflation and jobs data adding to the greenback's woes. US producer prices unexpectedly fell in July, recording their biggest drop in nearly a year, while another set showed the number of Americans filing for unemployment benefits unexpectedly rose last week. Markets are now focused on US consumer price data for July, due later in the session. Spot gold prices were unchanged at $1,286.27 an ounce, after touching a two-month high earlier. They have soared over 2 per cent in the previous two sessions, and are set for a weekly gain of 2.26 per cent. US crude futures extended losses from Thursday when they tumbled 2 per cent on fears of slowing demand and lingering concerns over a global oversupply. They were down 0.7 per cent at $48.24 per barrel, on track for a weekly loss of 2.7 per cent. Global benchmark Brent lost 0.7 per cent to $51.53, after Thursday's 1.5 per cent drop. It is poised to end the week down 1.7 per cent.

Global stocks, dollar extend slide as tensions between US-North Korea escalate

Oil extended falls on Friday after tumbling in the previous session when OPEC and allied producers extended output cuts but disappointed investors betting on longer or larger supply curbs.

At Thursday&#39;s meeting in Vienna, the Organization of the Petroleum Exporting Countries (OPEC) and some non-OPEC producers agreed to extend a pledge to cut around 1.8 million barrels per day (bpd) until the end of the first quarter of 2018. The initial agreement would have expired in June this year.

Crude oil plunged 5 per cent following the announcement, and held its losses early on Friday.

Brent crude futures were at $51.26 per barrel at 0500 GMT, down 20 cents, or 0.4 per cent, from their last close.

US&nbsp;West Texas Intermediate (WTI) crude futures were back below $50, at $48.61, down 29 cents, or 0.6 per cent.

&quot;With Russia and Saudi announcing nine months (of extended cuts) a week before, this was already priced in, so the market wanted the &quot;over-and-above&quot; which didn&#39;t come &ndash; hence the sell-off,&quot; said Virendra Chauhan, oil analyst at Energy Aspects in Singapore, referring to a statement by Saudi Arabia and Russia earlier in May that a none months extension to the cut was needed.

Britain&#39;s Barclays bank said the ongoing production cut would result in a drawdown of bloated fuel inventories, but added that OPEC&#39;s goal of bringing stocks down to their five-year average would not be reached within the timeframe of the production cut.

Other analysts, including at Goldman Sachs and Jefferies bank said a normalisation of oil inventories could occur in early 2018.

Analysts also said that the OPEC-led production cuts would support a further rise in US&nbsp;output.

Ann-Louise Hittle, vice president at energy consultancy Wood Mackenzie said that the &quot;decision in Vienna sends a signal of continued support for oil prices from OPEC which helps US&nbsp;onshore drillers make plans&quot; to further increase their production.

US&nbsp;oil production has already risen by 10 per cent since mid-2016 to over 9.3 million bpd, close to the output of top producers Russia and Saudi Arabia.

&quot;OPEC agreeing to nine months without deeper cuts leaves prices at the mercy of inventories and US&nbsp;production and demand,&quot; said Greg McKenna, chief market strategist at futures brokerage AxiTrader.

Goldman Sachs warned that the biggest risk to oil markets was what would happen next year, at the end of the OPEC-led production cut.

With US&nbsp;output rising steadily and OPEC and its allies potentially ramping up production in 2018 to regain lost market share, many traders are already expect another price slump.

(Reuters)

Crude oil plunged 5 per cent following the announcement

Oil extended falls on Friday after tumbling in the previous session when OPEC and allied producers extended output cuts but disappointed investors betting on longer or larger supply curbs. At Thursday's meeting in Vienna, the Organization of the Petroleum Exporting Countries (OPEC) and some non-OPEC producers agreed to extend a pledge to cut around 1.8 million barrels per day (bpd) until the end of the first quarter of 2018. The initial agreement would have expired in June this year. Crude oil plunged 5 per cent following the announcement, and held its losses early on Friday. Brent crude futures were at $51.26 per barrel at 0500 GMT, down 20 cents, or 0.4 per cent, from their last close. US West Texas Intermediate (WTI) crude futures were back below $50, at $48.61, down 29 cents, or 0.6 per cent. "With Russia and Saudi announcing nine months (of extended cuts) a week before, this was already priced in, so the market wanted the "over-and-above" which didn't come – hence the sell-off," said Virendra Chauhan, oil analyst at Energy Aspects in Singapore, referring to a statement by Saudi Arabia and Russia earlier in May that a none months extension to the cut was needed. Britain's Barclays bank said the ongoing production cut would result in a drawdown of bloated fuel inventories, but added that OPEC's goal of bringing stocks down to their five-year average would not be reached within the timeframe of the production cut. Other analysts, including at Goldman Sachs and Jefferies bank said a normalisation of oil inventories could occur in early 2018. Analysts also said that the OPEC-led production cuts would support a further rise in US output. Ann-Louise Hittle, vice president at energy consultancy Wood Mackenzie said that the "decision in Vienna sends a signal of continued support for oil prices from OPEC which helps US onshore drillers make plans" to further increase their production. US oil production has already risen by 10 per cent since mid-2016 to over 9.3 million bpd, close to the output of top producers Russia and Saudi Arabia. "OPEC agreeing to nine months without deeper cuts leaves prices at the mercy of inventories and US production and demand," said Greg McKenna, chief market strategist at futures brokerage AxiTrader. Goldman Sachs warned that the biggest risk to oil markets was what would happen next year, at the end of the OPEC-led production cut. With US output rising steadily and OPEC and its allies potentially ramping up production in 2018 to regain lost market share, many traders are already expect another price slump. (Reuters)

Oil drops after OPEC-led output cut extension falls below expectations

&nbsp;

Indian shares ended at a record closing highs on Wednesday, buoyed by solid company results and higher global markets.

The benchmark BSE Sensex closed up 0.63 per cent at a record closing high of 30,133.35. The index hit an all-time high of 30,167.09 earlier in the session, surpassing a record last hit in March 2015.&nbsp;The broader NSE Nifty gained 0.49 per cent to end at a record closing high of 9,351.85. The index hit an intraday high of 9,367, surpassing Tuesday&#39;s high.

Earlier in the day, the BSE Sensex rose as much as 0.4 per cent to hit a record high, surpassing its previous milestone hit in March 2015, while the rupee hit a 20-month against the dollar.

The market rally came&nbsp;after a string of solid domestic quarterly results, with&nbsp;hopes for additional foreign inflows to India having increased on renewed optimism about the US economy and after the first round of French&nbsp;election which went to the market`s preferred candidate.

The Sensex rose to a high of 30,071.77 points during the day. The broader NSE Nifty rose as much as 0.4 per cent to a record high of 9,343.15 points, its second consecutive all-time milestone.

(Reuters)

The market rally comes after a string of solid domestic quarterly results

Indian shares ended at a record closing highs on Wednesday, buoyed by solid company results and higher global markets. The benchmark BSE Sensex closed up 0.63 per cent at a record closing high of 30,133.35. The index hit an all-time high of 30,167.09 earlier in the session, surpassing a record last hit in March 2015. The broader NSE Nifty gained 0.49 per cent to end at a record closing high of 9,351.85. The index hit an intraday high of 9,367, surpassing Tuesday's high. Earlier in the day, the BSE Sensex rose as much as 0.4 per cent to hit a record high, surpassing its previous milestone hit in March 2015, while the rupee hit a 20-month against the dollar. The market rally came after a string of solid domestic quarterly results, with hopes for additional foreign inflows to India having increased on renewed optimism about the US economy and after the first round of French election which went to the market`s preferred candidate. The Sensex rose to a high of 30,071.77 points during the day. The broader NSE Nifty rose as much as 0.4 per cent to a record high of 9,343.15 points, its second consecutive all-time milestone. (Reuters)

Sensex scales 30k, Nifty closes at record high

Donald Trump&#39;s stunning performance in the US presidential election triggered shock and angst in Asia, where observers fretted over the implications for everything from trade to human rights and climate change.

Although the race remained too close to call, Trump has won key states in the nail-biter against Hillary Clinton, building momentum as large numbers of American voters shrugged off concerns over the billionaire&#39;s temperament and lack of experience.

Trump&#39;s rise has been keenly watched abroad as he campaigned on a platform of trashing trade agreements, restricting immigration, dismissing climate change, and otherwise disengaging from the rest of the world.&nbsp;

In often hushed scenes, viewers at election-watching events around Asia stared at giant screens tallying the returns as they digested the impact of Trump possibly heading the world&#39;s most powerful nation.

Dianita Sugiyo, 34, a university lecturer in Indonesia -- the world&#39;s most populous Muslim country -- said she was particularly concerned by Trump&#39;s calls to temporarily ban from Muslims from countries with a history of terror ties.

&quot;As a Muslim I feel very uncomfortable if Trump wins. He has always been anti-Muslim and I am afraid he will discriminate against Muslims,&quot; said Sugiyo, a member of a leading Indonesian moderate Muslim organisation.

&quot;The United States is a multicultural country and there are a lot of Muslims there, so this is very terrifying,&quot; she said at a US embassy event in Jakarta.

<a href="http://www.wionews.com/uselection2016/">Click here for detailed coverage of the US election &gt;&gt;</a>

&nbsp;&#39;Dangerous&#39; for the planet&nbsp;

Financial markets registered their concern, with Tokyo&#39;s main index tumbling 5.5 per cent, leading regional stocks mostly downward.

Trump&rsquo;s tirades against global free trade were a big concern, said Clarita Carlos, a political science professor at the University of the Philippines.

&quot;The world is globalising and if the US, which is one of the economic powerhouses, is going to put up walls, I don&#39;t see that as good for the world economy,&rdquo; she said.

&quot;They can practically slow down economic growth for everybody. He is a businessman. He should know better.&quot;

Greenpeace Southeast Asia&rsquo;s executive director Yeb Sano said he was struggling to understand how Trump, who has threatened to &ldquo;cancel&rdquo; the historic UN pact struck last year to address climate change, could win.

&ldquo;In the context of a lot of other things happening around the world right now, it would be fair to ask: &ldquo;What have we become?,&rdquo; Sano said.

&ldquo;On climate change, clearly this is a massive blow to our prospects of progress and hope that the Paris Agreement had given us.&rdquo;

At election events around the region, American Democratic supporters gradually deflated throughout Wednesday morning, while Republicans were buoyed.

Bradley Jordan, a retired 59-year-old Californian in Bangkok, said a Trump win would &quot;throw the whole world upside down.&quot;

&quot;It&rsquo;s dangerous for the planet. If Trump wins, we will do nothing about climate change and the planet will be screwed. I just can&rsquo;t believe this is happening right now,&quot; he said, adding that he may renounce his US citizenship.

Even some Republicans expressed surprise.

&quot;To be honest we didn&#39;t really think he would win. The polls have all been quite clear,&quot; Kym Kettler-Paddock, a US Republican, said at an event hosted by the American Chamber of Commerce in Hong Kong.

She said Trump&#39;s outsider status was bound to increase uncertainty abroad in the short-term over what type of president he would be.

&quot;I think after that transition period it would settle down,&quot; she added.

But Amanda Mohar, the vice chair of Democrats Abroad Hong Kong, said the overseas fears are justified given Trump&#39;s calls to tear up international agreements he doesn&#39;t like.

&quot;His instability up to this point has made his administration very unpredictable. We have no idea if he says he&#39;s going to review all of our treaties, if he&#39;s actually going to do that,&quot; Gohar said, adding that he would be a &quot;dangerous person&quot; in office.

&nbsp;

(AFP)

With Donald Trump set to win, markets took a tumble with Tokyo's main index coming by 5.5 per cent

Donald Trump's stunning performance in the US presidential election triggered shock and angst in Asia, where observers fretted over the implications for everything from trade to human rights and climate change. Although the race remained too close to call, Trump has won key states in the nail-biter against Hillary Clinton, building momentum as large numbers of American voters shrugged off concerns over the billionaire's temperament and lack of experience. Trump's rise has been keenly watched abroad as he campaigned on a platform of trashing trade agreements, restricting immigration, dismissing climate change, and otherwise disengaging from the rest of the world. In often hushed scenes, viewers at election-watching events around Asia stared at giant screens tallying the returns as they digested the impact of Trump possibly heading the world's most powerful nation. Dianita Sugiyo, 34, a university lecturer in Indonesia -- the world's most populous Muslim country -- said she was particularly concerned by Trump's calls to temporarily ban from Muslims from countries with a history of terror ties. "As a Muslim I feel very uncomfortable if Trump wins. He has always been anti-Muslim and I am afraid he will discriminate against Muslims," said Sugiyo, a member of a leading Indonesian moderate Muslim organisation. "The United States is a multicultural country and there are a lot of Muslims there, so this is very terrifying," she said at a US embassy event in Jakarta. Click here for detailed coverage of the US election >> 'Dangerous' for the planet Financial markets registered their concern, with Tokyo's main index tumbling 5.5 per cent, leading regional stocks mostly downward. Trump’s tirades against global free trade were a big concern, said Clarita Carlos, a political science professor at the University of the Philippines. "The world is globalising and if the US, which is one of the economic powerhouses, is going to put up walls, I don't see that as good for the world economy,” she said. "They can practically slow down economic growth for everybody. He is a businessman. He should know better." Greenpeace Southeast Asia’s executive director Yeb Sano said he was struggling to understand how Trump, who has threatened to “cancel” the historic UN pact struck last year to address climate change, could win. “In the context of a lot of other things happening around the world right now, it would be fair to ask: “What have we become?,” Sano said. “On climate change, clearly this is a massive blow to our prospects of progress and hope that the Paris Agreement had given us.” At election events around the region, American Democratic supporters gradually deflated throughout Wednesday morning, while Republicans were buoyed. Bradley Jordan, a retired 59-year-old Californian in Bangkok, said a Trump win would "throw the whole world upside down." "It’s dangerous for the planet. If Trump wins, we will do nothing about climate change and the planet will be screwed. I just can’t believe this is happening right now," he said, adding that he may renounce his US citizenship. Even some Republicans expressed surprise. "To be honest we didn't really think he would win. The polls have all been quite clear," Kym Kettler-Paddock, a US Republican, said at an event hosted by the American Chamber of Commerce in Hong Kong. She said Trump's outsider status was bound to increase uncertainty abroad in the short-term over what type of president he would be. "I think after that transition period it would settle down," she added. But Amanda Mohar, the vice chair of Democrats Abroad Hong Kong, said the overseas fears are justified given Trump's calls to tear up international agreements he doesn't like. "His instability up to this point has made his administration very unpredictable. We have no idea if he says he's going to review all of our treaties, if he's actually going to do that," Gohar said, adding that he would be a "dangerous person" in office. (AFP)

US Election 2016: Shock and angst in Asia as Trump rises

Indian stocks cut losses and the rupee turned positive on Wednesday as the country&rsquo;s move to withdraw larger banknotes from circulation was seen as a positive for the economy, ushering transparency and leading to easing inflation.

The recovery offset an initial bout of uncertainty about the banking measures, which had been compounded as Republican candidate Donald Trump shocked investors by winning the US presidential election.

The broader NSE Nifty ended down 1.3 per cent after earlier falling as much as 6.3 per cent, while the rupee strengthened to a one-month high after earlier falls had prompted the central bank to intervene in currency markets. Bonds held on to gains from earlier in the session.

Indian Prime Minister Narendra Modi&rsquo;s unexpected announcement on Tuesday to remove from circulation 500 and 1,000 rupee notes was seen as likely to hit consumer demand in the short-term.

But any pain will turn to longer-term gains, as it will help usher in transparency, boost taxes and lower inflation, economists said.

Rupee

The domestic currency opened lower at 66.70 as against yesterday&#39;s closing level of 66.62 per dollar at the Interbank Foreign Exchange (Forex) market.

Later, it spiralled downward and languished between 66.90 and 66.70 during morning deals, it was still quoting 66.90 at 1045 hrs.

Meanwhile, the dollar Index was dropped by 2.06 per cent at 95.91 against a basket of six currencies in the early trade.

In overseas market, the US dollar sank more than three per cent versus yen and turned tail against other major peers in early Asian trade amid extremely volatile trade in global market.

The move hit consumer demand, as well as sectors long suspected to have been fuelled by illicit funds, such as gold and property, where many transactions are cash-based.

Real estate hit

Real estate shares were among the biggest decliners, reflecting a belief that large amounts of black money are steered towards property transactions. The Nifty Reality index ended down 1.6 per cent, with DLF Ltd, India&rsquo;s biggest property developer, down 17.3 per cent.

But banking shares recovered from earlier falls with the Nifty Bank sub-index ending flat after earlier falling as much as 7 per cent as coffers are expected to swell when people start tendering their cash.

Sectors with exposure to the US economy were among the biggest decliners due to uncertainty about Trump&rsquo;s presidency. The Nifty IT index, which exports heavily to the United States, ended down 3.25 per cent.

Investors lose Rs 1.75 lakh cr in market crash

Stock market investors became poorer by Rs 1.75 lakh crore today amid sharp sell-off in key indices after Donald Trump&#39;s victory in the US election and the government&#39;s decision to withdraw high-value currency notes.

The overall investor wealth measured in terms of valuation of all listed stocks on BSE fell Rs 1,75,192 crore to Rs 1,09,68,808 crore at the end of trade.

During the morning session, the total investor wealth was down by nearly Rs 6 lakh crore.

Market sentiment took a hit also on the government&#39;s sudden action to ban Rs 500 and Rs 1,000 currency notes in order to curb black money.

&quot;The double-whammy of US electoral prospects and Prime Minister&#39;s demonetisation steps announcement overnight had sunk Indian equities earlier in the day. The disruptive nature of the overnight announcement caught markets by surprise and deflated sentiment which were already on a low following global cues. The clampdown effect was more seen in realty sector where cash is still king,&quot; said Anand James, chief market strategist, Geojit BNP Paribas to PTI.

&quot;However, markets soon appreciated the long-term positives of the drive, which was followed by value buying across the board, staging a vertical recovery from the day&#39;s lows,&quot; he added.

Gold at 3-year high

Gold prices in India today shot up to three-year high of Rs 31,750 per ten gram,&nbsp;gaining a whopping Rs 900, following the government&#39;s scrapping high-denomination notes to curb black money and a firming trend overseas in view of Donald Trump&#39;s victory in US presidential election.

It was gold&#39;s highest closing level of Rs 31,820 after November 19, 2013 in the bullion&nbsp;market here.

India imports huge quantities of gold to meet domestic demand.

Sentiment also got a boost after gold jumped nearly 5 per cent in global market to its&nbsp;strongest in more than five weeks as investors sought safe havens in view of Trump&#39;s victory over Democrat Hillary Clinton in the US election.

Gold in Singapore, which normally sets the price trend in the market here, soared as much as 4.8 per cent, the biggest intra-day surge since June to USD 1,337.38 an ounce.

Silver also reclaimed Rs 45,000 per kg mark by registering a steep rise of Rs 1,150, largely in tandem with global trend as money flew to safe-haven investments following melting global equities.

Bullion traders said a significant rise of 3.43 per cent gold prices on the Multi Commodity Exchange further supported the uptrend, indicating more demand for the precious metals in coming sessions.

Some now expect the RBI to make deeper cuts to the repo rate than expected&nbsp;after it&nbsp;lowered it by a quarter percentage point last month.

For the government, increased transparency could yield more revenues. UBS estimated the government could reap an additional $30 billion in taxes, a vital support for a country that has long struggled to contain its fiscal deficits.

The decision is designed to bring billions of dollars in unaccounted wealth into the&nbsp;mainstream economy and to tackle India&rsquo;s rampant corruption and counterfeit currency&nbsp;problems.

Only around three percent of Indians pay any income tax at all and they face the prospect of serious scrutiny if they cannot account for a sudden increase in their bank balance.&nbsp;

Religious institutions

Temples and ashrams, where lavish donations can be a front for money-laundering, will be figuring out what to do next, as will those running illegal cricket betting rings and property dealers who often deal in black money.

(WION with agencies)

The decision to remove from circulation 500 and 1,000 rupee notes was seen as likely to hit consumer demand in the short-term

Indian stocks cut losses and the rupee turned positive on Wednesday as the country’s move to withdraw larger banknotes from circulation was seen as a positive for the economy, ushering transparency and leading to easing inflation. The recovery offset an initial bout of uncertainty about the banking measures, which had been compounded as Republican candidate Donald Trump shocked investors by winning the US presidential election. The broader NSE Nifty ended down 1.3 per cent after earlier falling as much as 6.3 per cent, while the rupee strengthened to a one-month high after earlier falls had prompted the central bank to intervene in currency markets. Bonds held on to gains from earlier in the session. Indian Prime Minister Narendra Modi’s unexpected announcement on Tuesday to remove from circulation 500 and 1,000 rupee notes was seen as likely to hit consumer demand in the short-term. But any pain will turn to longer-term gains, as it will help usher in transparency, boost taxes and lower inflation, economists said. Rupee The domestic currency opened lower at 66.70 as against yesterday's closing level of 66.62 per dollar at the Interbank Foreign Exchange (Forex) market. Later, it spiralled downward and languished between 66.90 and 66.70 during morning deals, it was still quoting 66.90 at 1045 hrs. Meanwhile, the dollar Index was dropped by 2.06 per cent at 95.91 against a basket of six currencies in the early trade. In overseas market, the US dollar sank more than three per cent versus yen and turned tail against other major peers in early Asian trade amid extremely volatile trade in global market. The move hit consumer demand, as well as sectors long suspected to have been fuelled by illicit funds, such as gold and property, where many transactions are cash-based. Real estate hit Real estate shares were among the biggest decliners, reflecting a belief that large amounts of black money are steered towards property transactions. The Nifty Reality index ended down 1.6 per cent, with DLF Ltd, India’s biggest property developer, down 17.3 per cent. But banking shares recovered from earlier falls with the Nifty Bank sub-index ending flat after earlier falling as much as 7 per cent as coffers are expected to swell when people start tendering their cash. Sectors with exposure to the US economy were among the biggest decliners due to uncertainty about Trump’s presidency. The Nifty IT index, which exports heavily to the United States, ended down 3.25 per cent. Investors lose Rs 1.75 lakh cr in market crash Stock market investors became poorer by Rs 1.75 lakh crore today amid sharp sell-off in key indices after Donald Trump's victory in the US election and the government's decision to withdraw high-value currency notes. The overall investor wealth measured in terms of valuation of all listed stocks on BSE fell Rs 1,75,192 crore to Rs 1,09,68,808 crore at the end of trade. During the morning session, the total investor wealth was down by nearly Rs 6 lakh crore. Market sentiment took a hit also on the government's sudden action to ban Rs 500 and Rs 1,000 currency notes in order to curb black money. "The double-whammy of US electoral prospects and Prime Minister's demonetisation steps announcement overnight had sunk Indian equities earlier in the day. The disruptive nature of the overnight announcement caught markets by surprise and deflated sentiment which were already on a low following global cues. The clampdown effect was more seen in realty sector where cash is still king," said Anand James, chief market strategist, Geojit BNP Paribas to PTI. "However, markets soon appreciated the long-term positives of the drive, which was followed by value buying across the board, staging a vertical recovery from the day's lows," he added. Gold at 3-year high Gold prices in India today shot up to three-year high of Rs 31,750 per ten gram, gaining a whopping Rs 900, following the government's scrapping high-denomination notes to curb black money and a firming trend overseas in view of Donald Trump's victory in US presidential election. It was gold's highest closing level of Rs 31,820 after November 19, 2013 in the bullion market here. India imports huge quantities of gold to meet domestic demand. Sentiment also got a boost after gold jumped nearly 5 per cent in global market to its strongest in more than five weeks as investors sought safe havens in view of Trump's victory over Democrat Hillary Clinton in the US election. Gold in Singapore, which normally sets the price trend in the market here, soared as much as 4.8 per cent, the biggest intra-day surge since June to USD 1,337.38 an ounce. Silver also reclaimed Rs 45,000 per kg mark by registering a steep rise of Rs 1,150, largely in tandem with global trend as money flew to safe-haven investments following melting global equities. Bullion traders said a significant rise of 3.43 per cent gold prices on the Multi Commodity Exchange further supported the uptrend, indicating more demand for the precious metals in coming sessions. Some now expect the RBI to make deeper cuts to the repo rate than expected after it lowered it by a quarter percentage point last month. For the government, increased transparency could yield more revenues. UBS estimated the government could reap an additional $30 billion in taxes, a vital support for a country that has long struggled to contain its fiscal deficits. The decision is designed to bring billions of dollars in unaccounted wealth into the mainstream economy and to tackle India’s rampant corruption and counterfeit currency problems. Only around three percent of Indians pay any income tax at all and they face the prospect of serious scrutiny if they cannot account for a sudden increase in their bank balance. Religious institutions Temples and ashrams, where lavish donations can be a front for money-laundering, will be figuring out what to do next, as will those running illegal cricket betting rings and property dealers who often deal in black money. (WION with agencies)

Indian currency withdrawal, Trump win: What it means for rupee, gold, real estate

Oil prices dipped on Friday morning after Saudi&#39;s energy minister lowered&nbsp;expectations of strong market intervention by producers in next month&#39;s talks. 
 
International benchmark Brent crude oil prices were trading at $49.55 per&nbsp;barrel at 0114 GMT, 12 cents below their previous close. 
 
US West Texas Intermediate (WTI) crude was seven cents below at $47.26 a&nbsp;barrel. 
 
Saudi Arabian Energy Minister Khalid Al-Falih told Reuters late on Thursday&nbsp;that &quot;we don&#39;t believe any significant intervention in the market is necessary&nbsp;other than to allow the forces of supply and demand to do the work for us,&quot;&nbsp;adding that the &quot;market is moving in the right direction&quot; already. 
 
Members of the Organization of Petroleum Exporting Countries (OPEC) will&nbsp;meet at the International Energy Forum (IEF), with producers and consumers,&nbsp;in Algeria in the last week of September. 
 
The minister&#39;s comments dampened expectations of a significant intervention&nbsp;into the market which has been marked by oversupply for more than two years. 
 
(WION with inputs from agencies)

The oil market has been marked by oversupply for more than two years now

Oil prices dipped on Friday morning after Saudi's energy minister lowered expectations of strong market intervention by producers in next month's talks. International benchmark Brent crude oil prices were trading at $49.55 per barrel at 0114 GMT, 12 cents below their previous close. US West Texas Intermediate (WTI) crude was seven cents below at $47.26 a barrel. Saudi Arabian Energy Minister Khalid Al-Falih told Reuters late on Thursday that "we don't believe any significant intervention in the market is necessary other than to allow the forces of supply and demand to do the work for us," adding that the "market is moving in the right direction" already. Members of the Organization of Petroleum Exporting Countries (OPEC) will meet at the International Energy Forum (IEF), with producers and consumers, in Algeria in the last week of September. The minister's comments dampened expectations of a significant intervention into the market which has been marked by oversupply for more than two years. (WION with inputs from agencies)

Oil prices dip as Saudi Arabia dampens output freeze expectations

The Dollar slumped today as dealers awaited the release of minutes from the Federal Reserve&#39;s&nbsp;last meeting, while an overnight jump in oil prices lifted emerging Asian currencies. 
 
The US central bank is on Wednesday due to release minutes of its July 26-27 meeting, when it left key interest rates unchanged. 
 
But the Fed acknowledged an improved performance in the world&#39;s top economy, suggesting a rate hike may still be on the horizon this year. 
 
A rise in borrowing costs would tend to stoke demand for the Dollar-denominated assets, boosting the green back. 
 
&quot;The market really has not moved to price in any more chance of Fed tightening,&quot; Daniel Katzive, head of foreign-exchange strategy for North America at BNP Paribas, told Bloomberg News. 
 
&quot;That&#39;s sapped the Dollar of any momentum.&quot; 
 
In Tokyo, the Dollar slipped to 100.44 yen from 101.25 yen Monday in New York and its lowest level in about a month, while the euro was at $1.1191 against $1.1183. 
 
The common currency weakened to 112.41 yen from 113.23 yen in US trade. 
 
The pound traded at $1.2902 against $1.2883 in the US, still near its weakest levels in more than 30 years touched in the aftermath of Britain&#39;s&nbsp;June vote to leave the European Union. 
 
The Dollar also dropped against higher-yielding emerging market currencies, which benefited from stronger oil prices and an uptick in investor sentiment. 
 
The oil-linked Malaysian ringgit, the South Korean won, Singapore and Taiwan Dollars, Philippine peso and Indonesian rupiah all rose against the US unit.&nbsp; 
 
&quot;A recovery in risk appetite is sending emerging currencies stronger,&quot; said Wu Mingze, a Singapore-based foreign-exchange trader at INTL FCStone Inc. 
 
&quot;Commodities are rallying, lifting stock prices and commodity currencies.&quot; 
 
(AFP)

A rise in borrowing costs would tend to stoke demand for Dollar-denominated assets, boosting the green back

The Dollar slumped today as dealers awaited the release of minutes from the Federal Reserve's last meeting, while an overnight jump in oil prices lifted emerging Asian currencies. The US central bank is on Wednesday due to release minutes of its July 26-27 meeting, when it left key interest rates unchanged. But the Fed acknowledged an improved performance in the world's top economy, suggesting a rate hike may still be on the horizon this year. A rise in borrowing costs would tend to stoke demand for the Dollar-denominated assets, boosting the green back. "The market really has not moved to price in any more chance of Fed tightening," Daniel Katzive, head of foreign-exchange strategy for North America at BNP Paribas, told Bloomberg News. "That's sapped the Dollar of any momentum." In Tokyo, the Dollar slipped to 100.44 yen from 101.25 yen Monday in New York and its lowest level in about a month, while the euro was at $1.1191 against $1.1183. The common currency weakened to 112.41 yen from 113.23 yen in US trade. The pound traded at $1.2902 against $1.2883 in the US, still near its weakest levels in more than 30 years touched in the aftermath of Britain's June vote to leave the European Union. The Dollar also dropped against higher-yielding emerging market currencies, which benefited from stronger oil prices and an uptick in investor sentiment. The oil-linked Malaysian ringgit, the South Korean won, Singapore and Taiwan Dollars, Philippine peso and Indonesian rupiah all rose against the US unit. "A recovery in risk appetite is sending emerging currencies stronger," said Wu Mingze, a Singapore-based foreign-exchange trader at INTL FCStone Inc. "Commodities are rallying, lifting stock prices and commodity currencies." (AFP)

Dollar slumps ahead of Fed meeting minutes

Asian shares fell on Thursday, reversing recent gains following losses on Wall Street, though regional currencies rose after Beijing let the Chinese yuan strengthen to mark the one-year anniversary of a landmark devaluation. 
 
Broad risk sentiment remains on the back foot as oil prices tumbled on news of a surprising jump in US government stockpiles and as Singapore, the region&#39;s bellwether for trade, cut its economic forecast for the year. 
 
&quot;I still think the investors are trying to hang in there for the rally and while the general opinion seems to be that the Chinese authorities have steadied the ship, it is still a bit too early to draw that conclusion,&quot; said Cliff Tan, Bank of Tokyo-Mitsubishi UFJ&#39;s east Asia head of global markets research. 
 
MSCI&#39;s broadest index of Asia-Pacific shares outside Japan fell 0.5 per cent. It hit a one-year high on Wednesday and has broadly outperformed the MSCI world index since end-June. 
 
Hong Kong and Indonesia led regional gainers in trade. Japan&#39;s markets are closed for a holiday. 
 
Singapore cut its economic growth forecast on concerns over Brexit and weakening global demand with official forecasts downgraded to an expansion of one to three per cent this year from a previous forecast of one to three per cent growth. 
 
The surprising jump in US government oil stockpiles weighed on the S&amp;P 500 and Dow Jones indices, which closed 0.29 per cent and 0.20 per cent down, respectively. 
 
The energy sector was among the worst-performing of the 10 major S&amp;P groups, falling 1.4 per cent after data from the US Energy Information Administration (EIA) showed US crude inventories rose 1.1 million barrels in the weekend of Aug. 5, a third consecutive weekly rise that surprised the market. 
 
A weakening stock market and strong demand for government debt at bond auctions pushed yields down further. 
 
The yield on the benchmark 10-year Treasury note extended a recent fall to 1.508 per cent while the yield on 10-year UK gilts tumbled to a record low of 0.52 per cent. 
 
The fall in gilt yield came after the Bank of England said it would buy the 52 million pound (US$67.5 million) remainder of Tuesday&#39;s reverse auction shortfall in the second half of its bond-buying program. 
 
In Asia, yields on 10-year benchmark New Zealand bonds fell to 2.18 per cent after the Reserve Bank of New Zealand cut its official cash rate by 25 basis points to a record low of two per cent as widely expected. 
 
In currency markets, the dollar was broadly flat against a basket of currencies, nursing recent losses sustained in the wake of Friday&#39;s strong US jobs report. 
 
The Chinese yuan led regional currencies higher after the People&#39;s Bank of China let the yuan appreciate slightly to mark the anniversary of the one-year devaluation. 
 
It has weakened by more than 8 per cent since then, though some analysts say that weakness may be fading. 
 
&quot;There have emerged signs the yuan has stabilised somewhat recently as capital outflows have eased and the market has adjusted the expectations on Fed&#39;s rate hike process,&quot; said Zhou Hao, senior emerging market economist, Asia at Commerzbank AG. 
 
More clarity about the US economy&#39;s health and the Federal Reserve&#39;s next move on interest rates could come with Friday&#39;s release of July retail sales and a speech by Fed Chair Janet Yellen later this month. 
 
US West Texas Intermediate crude eased 0.7 per cent lower to $41.41 per barrel after sustaining sharp losses overnight. Brent crude fell 0.6 per cent to $43.77 per barrel. 
 
Gold consolidated overnight gains to trade at $1,343.26 per ounce after posting overnight gains. 
 
(Reuters)

News of a jump in US government stockpiles and Singapore's cutting of its economic forecast for the year likely to have impacted the share

Asian shares fell on Thursday, reversing recent gains following losses on Wall Street, though regional currencies rose after Beijing let the Chinese yuan strengthen to mark the one-year anniversary of a landmark devaluation. Broad risk sentiment remains on the back foot as oil prices tumbled on news of a surprising jump in US government stockpiles and as Singapore, the region's bellwether for trade, cut its economic forecast for the year. "I still think the investors are trying to hang in there for the rally and while the general opinion seems to be that the Chinese authorities have steadied the ship, it is still a bit too early to draw that conclusion," said Cliff Tan, Bank of Tokyo-Mitsubishi UFJ's east Asia head of global markets research. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.5 per cent. It hit a one-year high on Wednesday and has broadly outperformed the MSCI world index since end-June. Hong Kong and Indonesia led regional gainers in trade. Japan's markets are closed for a holiday. Singapore cut its economic growth forecast on concerns over Brexit and weakening global demand with official forecasts downgraded to an expansion of one to three per cent this year from a previous forecast of one to three per cent growth. The surprising jump in US government oil stockpiles weighed on the S&P 500 and Dow Jones indices, which closed 0.29 per cent and 0.20 per cent down, respectively. The energy sector was among the worst-performing of the 10 major S&P groups, falling 1.4 per cent after data from the US Energy Information Administration (EIA) showed US crude inventories rose 1.1 million barrels in the weekend of Aug. 5, a third consecutive weekly rise that surprised the market. A weakening stock market and strong demand for government debt at bond auctions pushed yields down further. The yield on the benchmark 10-year Treasury note extended a recent fall to 1.508 per cent while the yield on 10-year UK gilts tumbled to a record low of 0.52 per cent. The fall in gilt yield came after the Bank of England said it would buy the 52 million pound (US$67.5 million) remainder of Tuesday's reverse auction shortfall in the second half of its bond-buying program. In Asia, yields on 10-year benchmark New Zealand bonds fell to 2.18 per cent after the Reserve Bank of New Zealand cut its official cash rate by 25 basis points to a record low of two per cent as widely expected. In currency markets, the dollar was broadly flat against a basket of currencies, nursing recent losses sustained in the wake of Friday's strong US jobs report. The Chinese yuan led regional currencies higher after the People's Bank of China let the yuan appreciate slightly to mark the anniversary of the one-year devaluation. It has weakened by more than 8 per cent since then, though some analysts say that weakness may be fading. "There have emerged signs the yuan has stabilised somewhat recently as capital outflows have eased and the market has adjusted the expectations on Fed's rate hike process," said Zhou Hao, senior emerging market economist, Asia at Commerzbank AG. More clarity about the US economy's health and the Federal Reserve's next move on interest rates could come with Friday's release of July retail sales and a speech by Fed Chair Janet Yellen later this month. US West Texas Intermediate crude eased 0.7 per cent lower to $41.41 per barrel after sustaining sharp losses overnight. Brent crude fell 0.6 per cent to $43.77 per barrel. Gold consolidated overnight gains to trade at $1,343.26 per ounce after posting overnight gains. (Reuters)

Asian shares retreat as oil slips, Yuan pulls peers higher

China&#39;s growth slipped to a new seven-year low of 6.6 per cent in the second quarter, according to an AFP survey, despite government efforts to spur activity in the world&#39;s second-largest economy. 
 
The forecast for expansion in gross domestic product (GDP), based on a poll of 17 economists, represents an easing from 6.7 per cent in the first three months of the year. 
 
As the world&#39;s biggest trader in goods, China is crucial to the global economy and its performance affects partners from Australia to Zambia. Investors worldwide have been worried by its slowing growth. 
 
&quot;Momentum remains downward, so if the government would like to maintain a 6.5 per cent minimum growth rate in the next several years, more aggressive stimulus will be needed,&quot; Brian Jackson, Beijing-based economist at IHS Economics, said. &nbsp; 
 
The slowdown comes as policymakers seek to retool the economy, embracing weaker growth as a trade-off for structural reforms to wean the country off cheap exports and massive government spending in favour of domestic consumption. 
 
GDP expanded 6.9 per cent in 2015 - its weakest in a quarter of a century - and the government has targeted growth in a range of 6.5-7 per cent for this year. The AFP poll forecasts China will just meet the goal, predicting 6.6 per cent. 
 
Official Chinese figures are viewed with widespread scepticism, and just days ago the government altered its growth calculation method for the second time in less than a year. 
 
&quot;China&rsquo;s quarterly GDP releases are being greeted with increasing scepticism and for good reason,&quot; Capital Economics said in a recent research report. &quot;The speed of growth that it points to is increasingly hard to believe given the clear structural drags that the economy is facing.&quot; 
 
Still, most wave off fears of a &quot;hard landing&quot; for China.&nbsp;&quot;We expect data for the second quarter of 2016 to further reinforce our view that China has not collapsed,&quot; PNC Financial Services Group senior international economist Bill Adams said in a research note, though he added the country still faces &quot;daunting challenges&quot;. 
 
Loosening seen 
 
Lower commodity prices, a decline in private spending and weak exports all dragged on the economy in the April-June period, analysts said.&nbsp; 
 
Adding to the uncertainty, recent flooding in China could cut into industrial production although at the same time give the government the opportunity to build infrastructure for water control, which could be positive for longer-term growth. 
 
&quot;Infrastructure will likely remain a key sector that policy makers rely on to stabilise growth,&quot; Rong Jing, an economist at BNP Paribas in Beijing, said.&nbsp;Britain&#39;s decision to exit the European Union, could actually benefit China, some analysts argue. 
 
&quot;If &#39;Brexit&#39; results in slower growth in the UK and anxiety in the developed West and in emerging Europe, the Chinese share of global growth could rise even higher,&quot; Andy Rothman, investment strategist at Matthews Asia, said in a research note. 
 
In order to maintain expansion, the central bank must maintain its loose monetary policy, possibly by again cutting the proportion of funds banks must set aside as reserves as well as interest rates - which it has already lowered six times since late 2014. 
 
An annual summer gathering of Chinese leaders at the beach resort of Beidaihe could yield other economic policies after the State Council, or cabinet, called for support to boost private investment, analysts said.&nbsp; 
 
&quot;The government is likely to introduce further loosening but not necessarily strong stimulus,&quot; Zhao Yang, an economist at Nomura in Hong Kong, said.&nbsp;&quot;Economic growth will likely continue to slow down in the next two to three years,&quot; he said, adding the level could drop to 5.0 per cent or even less. 
 
(AFP)

An AFP survey, based on a poll of 17 economists, says the slowdown comes as policymakers opt for weaker growth but structural reforms

China's growth slipped to a new seven-year low of 6.6 per cent in the second quarter, according to an AFP survey, despite government efforts to spur activity in the world's second-largest economy. The forecast for expansion in gross domestic product (GDP), based on a poll of 17 economists, represents an easing from 6.7 per cent in the first three months of the year. As the world's biggest trader in goods, China is crucial to the global economy and its performance affects partners from Australia to Zambia. Investors worldwide have been worried by its slowing growth. "Momentum remains downward, so if the government would like to maintain a 6.5 per cent minimum growth rate in the next several years, more aggressive stimulus will be needed," Brian Jackson, Beijing-based economist at IHS Economics, said. The slowdown comes as policymakers seek to retool the economy, embracing weaker growth as a trade-off for structural reforms to wean the country off cheap exports and massive government spending in favour of domestic consumption. GDP expanded 6.9 per cent in 2015 - its weakest in a quarter of a century - and the government has targeted growth in a range of 6.5-7 per cent for this year. The AFP poll forecasts China will just meet the goal, predicting 6.6 per cent. Official Chinese figures are viewed with widespread scepticism, and just days ago the government altered its growth calculation method for the second time in less than a year. "China’s quarterly GDP releases are being greeted with increasing scepticism and for good reason," Capital Economics said in a recent research report. "The speed of growth that it points to is increasingly hard to believe given the clear structural drags that the economy is facing." Still, most wave off fears of a "hard landing" for China. "We expect data for the second quarter of 2016 to further reinforce our view that China has not collapsed," PNC Financial Services Group senior international economist Bill Adams said in a research note, though he added the country still faces "daunting challenges". Loosening seen Lower commodity prices, a decline in private spending and weak exports all dragged on the economy in the April-June period, analysts said. Adding to the uncertainty, recent flooding in China could cut into industrial production although at the same time give the government the opportunity to build infrastructure for water control, which could be positive for longer-term growth. "Infrastructure will likely remain a key sector that policy makers rely on to stabilise growth," Rong Jing, an economist at BNP Paribas in Beijing, said. Britain's decision to exit the European Union, could actually benefit China, some analysts argue. "If 'Brexit' results in slower growth in the UK and anxiety in the developed West and in emerging Europe, the Chinese share of global growth could rise even higher," Andy Rothman, investment strategist at Matthews Asia, said in a research note. In order to maintain expansion, the central bank must maintain its loose monetary policy, possibly by again cutting the proportion of funds banks must set aside as reserves as well as interest rates - which it has already lowered six times since late 2014. An annual summer gathering of Chinese leaders at the beach resort of Beidaihe could yield other economic policies after the State Council, or cabinet, called for support to boost private investment, analysts said. "The government is likely to introduce further loosening but not necessarily strong stimulus," Zhao Yang, an economist at Nomura in Hong Kong, said. "Economic growth will likely continue to slow down in the next two to three years," he said, adding the level could drop to 5.0 per cent or even less. (AFP)

New survey says China?s Q2 growth slips to a seven-year low of 6.6%

Gold edged down on Friday as investors turned cautious ahead of US jobs data later in the day, but the precious metal remained on course for a sixth consecutive weekly gain. 
 
Spot gold was trading down 0.1 per cent at $1,358.36 an ounce by 0418 GMT. Bullion is up over 1 per cent so far for this week. 
 
US gold fell 0.1 per cent to $1,360.20 an ounce. 
 
&quot;We have seen some slight correction in gold prices from yesterday. Prices have come up quite a lot. It was long time since many of them decided to take profits,&quot; said Brian Lan, managing director at Singapore-based gold dealer GoldSilver Central. 
 
Ahead of the closely watched US non-farm payrolls report, data published on Thursday suggested a rebound in job growth after May&#39;s paltry gains. 
 
US private payrolls increased more than expected in June as small businesses ramped up hiring, and fewer Americans applied for unemployment benefits last week. 
 
&quot;A very strong jobs figure will trigger some short term pain for gold, however, the underlying uptrend should prevail in the medium term,&quot; MKS Group trader James Gardiner wrote in a note. 
 
But any weakness in hiring could be an indication that the US Federal Reserve may not raise interest rates anytime soon amid the economic uncertainty following the Brexit vote, analysts said. 
 
Gold is sensitive to higher rates, which lift the opportunity cost of holding non-yielding assets such as bullion, while boosting the dollar, in which it is priced. 
 
Investors poured the most money into US-based funds invested in precious metals since February, adding $2 billion to in the latest week, data from Thomson Reuters&#39; Lipper service showed on Thursday. 
 
Technical analysts at ScotiaMocatta said pegged support for gold at $1,346 and resistance at $1,375.30, with the RSI (relative strength index) currently showing the yellow metal to be slightly in overbought territory and added that profit-taking may emerge in the short-term. 
 
SPDR Gold Trust, the world&#39;s largest gold-backed exchange-traded fund, said its holdings fell 0.42 per cent to 978.29 tonnes on Thursday from 982.44 tonnes on Wednesday.&nbsp; 
 
In wider markets, Asian stocks looked set to post their biggest weekly loss in three weeks on Friday and government bond yields plunged to record lows.&nbsp; 
 
Silver, which touched a two-year high on Monday, was trading up 0.4 per cent at $19.73. 
 
Among other precious metals, platinum and palladium were down 0.2 and 0.3 per cent at $1,083.80 an ounce and $606 an ounce, respectively. 
 
(Reuters)

US private payrolls increased more than expected in June as small businesses ramped up hiring

Gold edged down on Friday as investors turned cautious ahead of US jobs data later in the day, but the precious metal remained on course for a sixth consecutive weekly gain. Spot gold was trading down 0.1 per cent at $1,358.36 an ounce by 0418 GMT. Bullion is up over 1 per cent so far for this week. US gold fell 0.1 per cent to $1,360.20 an ounce. "We have seen some slight correction in gold prices from yesterday. Prices have come up quite a lot. It was long time since many of them decided to take profits," said Brian Lan, managing director at Singapore-based gold dealer GoldSilver Central. Ahead of the closely watched US non-farm payrolls report, data published on Thursday suggested a rebound in job growth after May's paltry gains. US private payrolls increased more than expected in June as small businesses ramped up hiring, and fewer Americans applied for unemployment benefits last week. "A very strong jobs figure will trigger some short term pain for gold, however, the underlying uptrend should prevail in the medium term," MKS Group trader James Gardiner wrote in a note. But any weakness in hiring could be an indication that the US Federal Reserve may not raise interest rates anytime soon amid the economic uncertainty following the Brexit vote, analysts said. Gold is sensitive to higher rates, which lift the opportunity cost of holding non-yielding assets such as bullion, while boosting the dollar, in which it is priced. Investors poured the most money into US-based funds invested in precious metals since February, adding $2 billion to in the latest week, data from Thomson Reuters' Lipper service showed on Thursday. Technical analysts at ScotiaMocatta said pegged support for gold at $1,346 and resistance at $1,375.30, with the RSI (relative strength index) currently showing the yellow metal to be slightly in overbought territory and added that profit-taking may emerge in the short-term. SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.42 per cent to 978.29 tonnes on Thursday from 982.44 tonnes on Wednesday. In wider markets, Asian stocks looked set to post their biggest weekly loss in three weeks on Friday and government bond yields plunged to record lows. Silver, which touched a two-year high on Monday, was trading up 0.4 per cent at $19.73. Among other precious metals, platinum and palladium were down 0.2 and 0.3 per cent at $1,083.80 an ounce and $606 an ounce, respectively. (Reuters)

Gold eases ahead of US jobs data, but eyes 6th weekly gain

Interior minister Theresa May opened up a strong lead on Tuesday in what is now a three-horse race to become Britain&#39;s next Prime Minister, but the first stage of voting was overshadowed by post-Brexit carnage for property investors and the Pound. 
 
In symptoms of market concern about the economic impact of leaving the European Union, sterling hit new 31-year lows and three funds investing in British property said they were suspending trading because too many people were rushing to withdraw their money at once. 
 
May won 165 votes in a first ballot of Conservative members of parliament and Andrea Leadsom, a junior energy minister, won 66, increasing the likelihood that Britain will get only its second woman Prime Minister after Margaret Thatcher. Justice secretary Michael Gove was third on 48. 
 
Former defence minister Liam Fox won the fewest votes, 16, and was eliminated from the battle to replace David Cameron, who has said he will step down after Britons voted in a June 23 referendum to break away from the EU. 
 
Soon afterwards, work and pensions minister Stephen Crabb, who placed fourth with 34 votes, said he was pulling out and throwing his &quot;wholehearted support&quot; behind May. Fox said he would also back her.&nbsp; 
 
May, 59, said: &quot;There is a big job before us: to unite our party and the country, to negotiate the best possible deal as we leave the EU, and to make Britain work for everyone.&nbsp;I am the only candidate capable of delivering these three things as Prime Minister, and tonight it is clear that I am also the only one capable of drawing support from the whole of the Conservative Party.&quot; 
 
&#39;No coronation&#39; 
 
The drawn-out selection process will ultimately be decided by about 150,000 Conservative Party members in September, once MPs have whittled the field down to two candidates. 
 
Given strong eurosceptic sentiment among grassroots Conservatives, Leadsom, 53, and Gove, 48, remain in contention. Both were leading voices in the victorious Leave campaign, while May favoured remaining inside the 28-nation EU. 
 
Leadsom backer Stewart Jackson told Sky News: &quot;This shows she&#39;s ready to go all the way, there isn&#39;t going to be a coronation&quot; of May. 
 
In the meantime, signs are multiplying that concern about the impact of Brexit on trade, investment and business confidence is starting to hit the economy. 
 
The 4.4-billion-Pound ($5.7 billion) Property Portfolio run by M&amp;G Investments, the fund arm of insurer Prudential, was the latest to suspend business on Tuesday afternoon. Insurer Aviva&#39;s fund arm had earlier stopped trading in its 1.8-billion-Pound UK Property Trust, while Standard Life Investments suspended a 2.9-billion-Pound fund late on Monday. 
 
Shares plunged in other property-related funds, and asset managers and insurers were also hit. 
 
The Pound, which has borne the brunt of market concern about potential damage to the economy, plumbed new 31-year lows and is now down more than 12 per cent since the referendum.&nbsp; 
 
&quot;There is evidence that some risks have begun to crystallise. The current outlook for UK financial stability is challenging,&quot; the Bank of England said, announcing measures to encourage banks to keep lending. 
 
In a possible blow to London&#39;s financial centre, Germany&#39;s Deutsche Boerse signalled on Tuesday that the headquarters of a European giant to be created from its merger with the London Stock Exchange Group may now have to be outside the United Kingdom. 
 
Voters were bombarded in the run-up to the referendum with warnings from Cameron and a host of financial institutions and think tanks that Brexit would plunge Britain into a self-inflicted recession by jeopardising its access to the EU&#39;s tariff-free single market. 
 
The Leave campaign derided such arguments as &#39;Project Fear&#39;, arguing Britain would prosper by regaining &#39;independence&#39; from Brussels and freeing itself to set its own laws, clinch its own trade deals and set a cap on immigration - something it cannot do under EU rules allowing free movement throughout the bloc. 
 
&#39;Bloody difficult woman&#39; 
 
Whoever wins the Conservative leadership and the keys to 10 Downing Street will have to stabilise the economy and unify a party that was deeply split by the referendum campaign. 
 
The victor will also need to decide when to initiate divorce proceedings with the EU, and how to extricate Britain from 43 years of membership while trying to negotiate favourable terms of trade. 
 
The most seasoned candidates in the field are May and Gove, who stunned colleagues and commentators alike when he abruptly withdrew his support for former London mayor Boris Johnson last week, effectively forcing him from the race. Leadsom entered parliament only six years ago after a long career in financial services, and has never served in the cabinet. 
 
Gove and Leadsom have both argued forcefully that the next prime minister should come from the winning side in the referendum, which would disqualify May. 
 
&quot;I&#39;ve managed to bring people together across the Conservative Party behind a hopeful and optimistic message of change, and I hope that I&#39;ll be able to take that message to the country,&quot; Gove said. 
 
In unguarded comments earlier on Tuesday, caught on camera and broadcast by Sky News, former Conservative minister Ken Clarke made disparaging remarks about all three contenders, saying that with Gove as Prime Minister &quot;we would go to war with at least three countries at once&quot;. 
 
He described May as &quot;a bloody difficult woman&quot;, but no more difficult than Thatcher, in whose cabinet he served. He added that she was &quot;good&quot;, but lacking in foreign policy experience. 
 
Of Leadsom, Clarke said: &quot;She does have experience in the city...She is not one of the tiny band of lunatics who think we can have a sort of glorious economic future outside the (EU) single market. So long as she understands that she&#39;s not to deliver on some of the extremely stupid things she&#39;s been saying.&quot;&nbsp; 
 
(Reuters)

The victor will need to decide when to pull out of the EU, and how to favourably extricate Britain after 43 years of membership

Interior minister Theresa May opened up a strong lead on Tuesday in what is now a three-horse race to become Britain's next Prime Minister, but the first stage of voting was overshadowed by post-Brexit carnage for property investors and the Pound. In symptoms of market concern about the economic impact of leaving the European Union, sterling hit new 31-year lows and three funds investing in British property said they were suspending trading because too many people were rushing to withdraw their money at once. May won 165 votes in a first ballot of Conservative members of parliament and Andrea Leadsom, a junior energy minister, won 66, increasing the likelihood that Britain will get only its second woman Prime Minister after Margaret Thatcher. Justice secretary Michael Gove was third on 48. Former defence minister Liam Fox won the fewest votes, 16, and was eliminated from the battle to replace David Cameron, who has said he will step down after Britons voted in a June 23 referendum to break away from the EU. Soon afterwards, work and pensions minister Stephen Crabb, who placed fourth with 34 votes, said he was pulling out and throwing his "wholehearted support" behind May. Fox said he would also back her. May, 59, said: "There is a big job before us: to unite our party and the country, to negotiate the best possible deal as we leave the EU, and to make Britain work for everyone. I am the only candidate capable of delivering these three things as Prime Minister, and tonight it is clear that I am also the only one capable of drawing support from the whole of the Conservative Party." 'No coronation' The drawn-out selection process will ultimately be decided by about 150,000 Conservative Party members in September, once MPs have whittled the field down to two candidates. Given strong eurosceptic sentiment among grassroots Conservatives, Leadsom, 53, and Gove, 48, remain in contention. Both were leading voices in the victorious Leave campaign, while May favoured remaining inside the 28-nation EU. Leadsom backer Stewart Jackson told Sky News: "This shows she's ready to go all the way, there isn't going to be a coronation" of May. In the meantime, signs are multiplying that concern about the impact of Brexit on trade, investment and business confidence is starting to hit the economy. The 4.4-billion-Pound ($5.7 billion) Property Portfolio run by M&G Investments, the fund arm of insurer Prudential, was the latest to suspend business on Tuesday afternoon. Insurer Aviva's fund arm had earlier stopped trading in its 1.8-billion-Pound UK Property Trust, while Standard Life Investments suspended a 2.9-billion-Pound fund late on Monday. Shares plunged in other property-related funds, and asset managers and insurers were also hit. The Pound, which has borne the brunt of market concern about potential damage to the economy, plumbed new 31-year lows and is now down more than 12 per cent since the referendum. "There is evidence that some risks have begun to crystallise. The current outlook for UK financial stability is challenging," the Bank of England said, announcing measures to encourage banks to keep lending. In a possible blow to London's financial centre, Germany's Deutsche Boerse signalled on Tuesday that the headquarters of a European giant to be created from its merger with the London Stock Exchange Group may now have to be outside the United Kingdom. Voters were bombarded in the run-up to the referendum with warnings from Cameron and a host of financial institutions and think tanks that Brexit would plunge Britain into a self-inflicted recession by jeopardising its access to the EU's tariff-free single market. The Leave campaign derided such arguments as 'Project Fear', arguing Britain would prosper by regaining 'independence' from Brussels and freeing itself to set its own laws, clinch its own trade deals and set a cap on immigration - something it cannot do under EU rules allowing free movement throughout the bloc. 'Bloody difficult woman' Whoever wins the Conservative leadership and the keys to 10 Downing Street will have to stabilise the economy and unify a party that was deeply split by the referendum campaign. The victor will also need to decide when to initiate divorce proceedings with the EU, and how to extricate Britain from 43 years of membership while trying to negotiate favourable terms of trade. The most seasoned candidates in the field are May and Gove, who stunned colleagues and commentators alike when he abruptly withdrew his support for former London mayor Boris Johnson last week, effectively forcing him from the race. Leadsom entered parliament only six years ago after a long career in financial services, and has never served in the cabinet. Gove and Leadsom have both argued forcefully that the next prime minister should come from the winning side in the referendum, which would disqualify May. "I've managed to bring people together across the Conservative Party behind a hopeful and optimistic message of change, and I hope that I'll be able to take that message to the country," Gove said. In unguarded comments earlier on Tuesday, caught on camera and broadcast by Sky News, former Conservative minister Ken Clarke made disparaging remarks about all three contenders, saying that with Gove as Prime Minister "we would go to war with at least three countries at once". He described May as "a bloody difficult woman", but no more difficult than Thatcher, in whose cabinet he served. He added that she was "good", but lacking in foreign policy experience. Of Leadsom, Clarke said: "She does have experience in the city...She is not one of the tiny band of lunatics who think we can have a sort of glorious economic future outside the (EU) single market. So long as she understands that she's not to deliver on some of the extremely stupid things she's been saying." (Reuters)

May leads three-horse PM race as Brexit hits Pound and property

Britain&#39;s vote to leave the European Union raises &quot;longer-term concerns&quot; about global growth at a time of already weak economic output, US President Barack Obama said today. 
 
&quot;I think there are some genuine, longer-term concerns about global growth if, in fact, Brexit goes through and that freezes the possibilities of investment in Great Britain or in Europe as a whole,&quot; Obama said, speaking at a North American leaders summit.&nbsp; 
 
&quot;At a time when global growth rates were weak already, this doesn&#39;t help,&quot; he said. 
 
However, the US President, after meeting his Canadian and Mexican counterparts, expressed confidence in the global financial system&#39;s resilience as markets rebounded on Wednesday from post-Brexit losses following a bruising two-day rout. 
 
&quot;Given the vote of the United Kingdom to leave the European Union, our economic teams are going to continue to work together so that we remain focused on keeping our economies growing and making sure that the global financial system is stable,&quot; Obama said. 
 
Both Obama and Canadian Prime Minister Justin Trudeau had made clear their desire to see Britain remain in the 28-member bloc and the fallout from the Brexit was high on their agenda in Ottawa. 
 
(AFP)

Obama pledged to work with other nations to keep the economic system growing and stable

Britain's vote to leave the European Union raises "longer-term concerns" about global growth at a time of already weak economic output, US President Barack Obama said today. "I think there are some genuine, longer-term concerns about global growth if, in fact, Brexit goes through and that freezes the possibilities of investment in Great Britain or in Europe as a whole," Obama said, speaking at a North American leaders summit. "At a time when global growth rates were weak already, this doesn't help," he said. However, the US President, after meeting his Canadian and Mexican counterparts, expressed confidence in the global financial system's resilience as markets rebounded on Wednesday from post-Brexit losses following a bruising two-day rout. "Given the vote of the United Kingdom to leave the European Union, our economic teams are going to continue to work together so that we remain focused on keeping our economies growing and making sure that the global financial system is stable," Obama said. Both Obama and Canadian Prime Minister Justin Trudeau had made clear their desire to see Britain remain in the 28-member bloc and the fallout from the Brexit was high on their agenda in Ottawa. (AFP)

Brexit raises 'genuine concerns' for long-term global growth: Obama

Bank of England governor Mark Carney said on Friday the central bank was ready to provide 250 billion Pounds ($345.93 billion) of additional funds to support financial markets after Britain voted to leave the European Union. 
 
&quot;We are well prepared for this. Her Majesty&#39;s Treasury and the Bank of England have engaged in extensive contingency planning and the Chancellor and I have remained in close contact, including through the night and this morning,&quot; he said. 
 
Carney also said the central bank will consider whether to take additional policy responses in the coming weeks. 
 
&quot;In the future we will not hesitate to take any additional measures required to meet our responsibilities as the United Kingdom moves forward,&quot; he said. 
 
Global financial markets plunged as results from Thursday&#39;s referendum showed a near 52-48 per cent split for leaving. 
 
(Reuters)

Her Majesty's Treasury and the central bank have been planning a contingency scheme, says Mark Carney

Bank of England governor Mark Carney said on Friday the central bank was ready to provide 250 billion Pounds ($345.93 billion) of additional funds to support financial markets after Britain voted to leave the European Union. "We are well prepared for this. Her Majesty's Treasury and the Bank of England have engaged in extensive contingency planning and the Chancellor and I have remained in close contact, including through the night and this morning," he said. Carney also said the central bank will consider whether to take additional policy responses in the coming weeks. "In the future we will not hesitate to take any additional measures required to meet our responsibilities as the United Kingdom moves forward," he said. Global financial markets plunged as results from Thursday's referendum showed a near 52-48 per cent split for leaving. (Reuters)

Bank of England to supply 250 billion Pounds to help markets after Brexit vote

Britain&rsquo;s 2.2 million financial industry workers face years of uncertainty and the risk of thousands of job cuts after the country voted to quit the European Union, leaving question marks over London&#39;s status as Europe&#39;s premier financial centre. 
 
The &lsquo;Vote Leave&rsquo; campaign fronted by a slew of Conservative lawmakers and financial industry veterans claimed victory over its &lsquo;Britain Stronger in Europe&rsquo; rival, after 374 of a total 382 counting areas declared majority support for their plan to leave the 28-nation club by 0507 GMT. 
 
The final official result is expected around 0600 GMT.&nbsp; 
 
Bankers&rsquo; early confidence that Britain would remain within the European Union quickly evaporated after early vote counts suggested the &quot;leave&quot; camp had the upper hand, sending Sterling plummeting to a thirty-year low and heart-rates racing on trading floors from London to Hong Kong. 
 
A leave vote means the future of Britain&#39;s financial services industry is now hanging in the balance.&nbsp; 
 
All depends on the divorce between Europe and Britain, the latter&#39;s ability to retain access to the European free market, and cope with the volatility that has seen Sterling nosedive against major global currencies. 
 
Mood in the restaurants and coffee shops in the high-rise banking hub of Canary Wharf, home to JPMorgan, Citi, HSBC and Barclays, was sober and contemplative, with job security fears rising to levels unseen since the 2008 financial crisis. 
 
Major investment banks have already warned they could move thousands of jobs elsewhere if Britain opts out of the EU, while the European Central Bank has signalled it could force euro trading out of London, the world&#39;s largest foreign exchange market.&nbsp; 
Wall Street bank Morgan Stanley could move around 1,000 of its roughly 6,000 employees currently in Britain on to the Continent if the country votes to leave the EU, a person familiar with the matter has told Reuters.&nbsp; 
 
Jamie Dimon, CEO of rival JPMorgan told staffers his bank &quot;may have no choice&quot; but to overhaul its UK business model, casting a pall over its 16,000 strong workforce. 
 
But for now, sources at banks said memos emailed internally to rattled employees advised them to think about clients first. 
 
&quot;I&rsquo;ve convened a big team meeting at 0800 GMT as the juniors are freaking out. I will tell them to focus on their job and wait for the volatility to pass but the reality is much, much starker, we&#39;ll have a crash and big layoffs,&quot; a senior investment banker at a U.S. bank told Reuters.&nbsp; 
&quot;It&#39;s an act of national self-harm,&quot; he added. 
 
CARNAGE ON MARKETS 
Months of bitter campaigning has left the industry - which earned the nation 190 billion pounds in 2014 - deeply divided, with investment banks and insurers pitted against many fund managers and brokers who wanted a Brexit. 
 
&quot;This is the biggest vote in my lifetime. Black Wednesday and the impact of Lehman Brothers collapsing - these other big events don&#39;t even compare in magnitude to this,&quot; said Mark Boleat, Chairman of the City of London&rsquo;s Policy and Resources Committee. 
 
&quot;We are just beginning to think through what will have to happen legally and it is massive, absolutely massive,&quot; he told Reuters. 
 
Reflecting the uncertainty that will hit the financial services sector, Hong Kong-listed shares of HSBC and Standard Chartered fell more than 10 per cent, while other UK banks are expected to post sharp declines when they start trading in London. 
 
All the major international and British banks in London had traders either working through the night or on call. Bankers in New York were also burning the midnight oil with special numbers laid out for clients to call, foreign exchange desks fully staffed and senior management keeping a fretful eye on screens. 
 
&quot;Leave&rsquo;s victory has delivered one of the biggest market shocks of all time ... Panic may not be too strong a word,&quot; Joe Rundle, Head of Trading at ETX Capital said. 
 
Many financial firms rely on the EU&rsquo;s &lsquo;passporting&rsquo; regime to sell their services across all of the bloc while basing the majority of their staff and operations in London.&nbsp; 
 
European government officials said UK-based firms could lose these privileges in the event of a Brexit, a move that would force them to shift some of their operations to the likes of Frankfurt, Paris or Dublin if they wanted to serve EU clients. 
 
WHAT NEXT? 
The Financial Conduct Authority said it would not comment about any immediate action it might take until after the referendum result has been formally announced. The Bank of England&#39;s Prudential Regulation Authority said it had no comment for the time being.&nbsp; 
 
For investment bankers, a Brexit vote is more than just about volatile prices on a screen but also about where they may end up working and living. 
 
&quot;I will be ok because I&#39;ve had a long career and I have savings and assets,&quot; the senior banker said. 
 
&quot;People just starting out, people in much more precarious situations, will lose out from Brexit.&quot;&nbsp; 
 
But some commentators said the volatility would be temporary and would soon subside when international investors drawn by a fall in sterling began to scour financial markets for bargains. 
 
&quot;Certainly, some international investors could find the UK less attractive but history shows us others are positively attracted to economies that get a devaluation boost,&quot; said Colin McLean, Managing Director at SVM Asset Management. 
 
&quot;There may even be more takeover activity from overseas firms looking for bargains on the London stock market,&quot; he said. 
 
Disappointed supporters of the EU project on mainland Europe said Britain would struggle to keep the same market freedoms that have attracted more than 250 foreign lenders to its shores and turned financial services into Britain&#39;s biggest export. 
 
&quot;If Britain guarantees to implement all the rules, then Europe will unlikely punish London,&quot; said European Parliament member Sven Giegold, a member of the German Green Party. 
 
&quot;But the will of the citizens was exactly to get rid of that dependence. That is the irony because you can&#39;t do both. If you want to keep your market open, you have to accept all the rules. Without that, Europe would be foolish to extend privileges to the UK and the City of London,&quot; he said. 
 
(Reuters) 
 
 
 
 
&nbsp;

Its 2.2 million financial industry workers face years of uncertainty and the risk of thousands of job cuts

Britain’s 2.2 million financial industry workers face years of uncertainty and the risk of thousands of job cuts after the country voted to quit the European Union, leaving question marks over London's status as Europe's premier financial centre. The ‘Vote Leave’ campaign fronted by a slew of Conservative lawmakers and financial industry veterans claimed victory over its ‘Britain Stronger in Europe’ rival, after 374 of a total 382 counting areas declared majority support for their plan to leave the 28-nation club by 0507 GMT. The final official result is expected around 0600 GMT. Bankers’ early confidence that Britain would remain within the European Union quickly evaporated after early vote counts suggested the "leave" camp had the upper hand, sending Sterling plummeting to a thirty-year low and heart-rates racing on trading floors from London to Hong Kong. A leave vote means the future of Britain's financial services industry is now hanging in the balance. All depends on the divorce between Europe and Britain, the latter's ability to retain access to the European free market, and cope with the volatility that has seen Sterling nosedive against major global currencies. Mood in the restaurants and coffee shops in the high-rise banking hub of Canary Wharf, home to JPMorgan, Citi, HSBC and Barclays, was sober and contemplative, with job security fears rising to levels unseen since the 2008 financial crisis. Major investment banks have already warned they could move thousands of jobs elsewhere if Britain opts out of the EU, while the European Central Bank has signalled it could force euro trading out of London, the world's largest foreign exchange market. Wall Street bank Morgan Stanley could move around 1,000 of its roughly 6,000 employees currently in Britain on to the Continent if the country votes to leave the EU, a person familiar with the matter has told Reuters. Jamie Dimon, CEO of rival JPMorgan told staffers his bank "may have no choice" but to overhaul its UK business model, casting a pall over its 16,000 strong workforce. But for now, sources at banks said memos emailed internally to rattled employees advised them to think about clients first. "I’ve convened a big team meeting at 0800 GMT as the juniors are freaking out. I will tell them to focus on their job and wait for the volatility to pass but the reality is much, much starker, we'll have a crash and big layoffs," a senior investment banker at a U.S. bank told Reuters. "It's an act of national self-harm," he added. CARNAGE ON MARKETS Months of bitter campaigning has left the industry - which earned the nation 190 billion pounds in 2014 - deeply divided, with investment banks and insurers pitted against many fund managers and brokers who wanted a Brexit. "This is the biggest vote in my lifetime. Black Wednesday and the impact of Lehman Brothers collapsing - these other big events don't even compare in magnitude to this," said Mark Boleat, Chairman of the City of London’s Policy and Resources Committee. "We are just beginning to think through what will have to happen legally and it is massive, absolutely massive," he told Reuters. Reflecting the uncertainty that will hit the financial services sector, Hong Kong-listed shares of HSBC and Standard Chartered fell more than 10 per cent, while other UK banks are expected to post sharp declines when they start trading in London. All the major international and British banks in London had traders either working through the night or on call. Bankers in New York were also burning the midnight oil with special numbers laid out for clients to call, foreign exchange desks fully staffed and senior management keeping a fretful eye on screens. "Leave’s victory has delivered one of the biggest market shocks of all time ... Panic may not be too strong a word," Joe Rundle, Head of Trading at ETX Capital said. Many financial firms rely on the EU’s ‘passporting’ regime to sell their services across all of the bloc while basing the majority of their staff and operations in London. European government officials said UK-based firms could lose these privileges in the event of a Brexit, a move that would force them to shift some of their operations to the likes of Frankfurt, Paris or Dublin if they wanted to serve EU clients. WHAT NEXT? The Financial Conduct Authority said it would not comment about any immediate action it might take until after the referendum result has been formally announced. The Bank of England's Prudential Regulation Authority said it had no comment for the time being. For investment bankers, a Brexit vote is more than just about volatile prices on a screen but also about where they may end up working and living. "I will be ok because I've had a long career and I have savings and assets," the senior banker said. "People just starting out, people in much more precarious situations, will lose out from Brexit." But some commentators said the volatility would be temporary and would soon subside when international investors drawn by a fall in sterling began to scour financial markets for bargains. "Certainly, some international investors could find the UK less attractive but history shows us others are positively attracted to economies that get a devaluation boost," said Colin McLean, Managing Director at SVM Asset Management. "There may even be more takeover activity from overseas firms looking for bargains on the London stock market," he said. Disappointed supporters of the EU project on mainland Europe said Britain would struggle to keep the same market freedoms that have attracted more than 250 foreign lenders to its shores and turned financial services into Britain's biggest export. "If Britain guarantees to implement all the rules, then Europe will unlikely punish London," said European Parliament member Sven Giegold, a member of the German Green Party. "But the will of the citizens was exactly to get rid of that dependence. That is the irony because you can't do both. If you want to keep your market open, you have to accept all the rules. Without that, Europe would be foolish to extend privileges to the UK and the City of London," he said. (Reuters)

Britain's financial sector reels after the bombshell

Hong Kong stocks plunged more than five per cent&nbsp;on Friday&nbsp;afternoon after Britain voted to leave the EU, sparking a rout across Asian equity and currency markets. 
 
The Hang Seng Index shed 5.11 per cent, or 1,067.34 points, to 19,801.00 in the afternoon.&nbsp; 
 
(AFP)

Spark rout across Asian equity and currency markets

Hong Kong stocks plunged more than five per cent on Friday afternoon after Britain voted to leave the EU, sparking a rout across Asian equity and currency markets. The Hang Seng Index shed 5.11 per cent, or 1,067.34 points, to 19,801.00 in the afternoon. (AFP)

Hong Kong stocks plunge more than 5% after Brexit vote

The pound sinks a staggering 9 per cent, fall is even larger than during the global financial crisis

Carnage came to world markets on Friday as early voting returns suggested Britain was on the brink of leaving the European Union, threatening the existence of the entire bloc and its single currency. Risk assets were scorched as investors fled to the safety of top-rated government debt, with FTSE futures off 6 per cent and EMINI S&P 500 futures down 3.5 per cent. The British pound had collapsed no less than 15 US cents, easily the biggest fall in living memory, while the euro slid 2.8 per cent as investors feared for its very future. Sterling sank a staggering 9 per cent to $1.3550, having carved out a range of $1.3462 to $1.5022. The fall was even larger than during the global financial crisis and the currency was moving two or three cents in the blink of an eye. "Sterling is getting smackadoodled," said Tim Kelleher, Head of FX Institutional Sales New Zealand for ASB Bank in Auckland. "While we thought it was all going to be "Remain", it's quite clearly not going to be as clear cut as that." Early official results showed the margins were nail-bitingly tight but pointing to a "Leave". Betting firm BetFair estimated the probability of leaving as high as 74 per cent. Traders were particularly spooked by returns from Sunderland showing a large majority for the "Leave" camp and just a narrow win for "Remain" in Newcastle. With half of 382 counting areas declared, the Leave camp was put at 51.3 per cent against 48.7 per cent for "Remain", according to Reuters calculations. The tremors shook all asset classes and regions. The safe-haven yen sprang higher to stand at 101.00 per dollar, having been as low as 106.81 at one stage. That dragged the Nikkei down 3 per cent and prompted warnings from Japanese officials that excessive forex moves were undesirable. Indeed, traders were wary in case global central banks chose to step in to calm the volatility. Other currencies across Asia suffered badly on worries that alarmed investors could pull funds out of emerging markets. MSCI's broadest index of Asia-Pacific shares outside Japan slid 3.3 per cent, its biggest fall in 10 months, while Shanghai stocks lost 1 per cent. UK bank shares listed in Hong Kong tumbled on the prospect of a destabilising exit. HSBC fell 8 per cent while Standard Chartered sank 9 per cent. FALSE HOPES? Financial markets have been racked for months by worries about what Brexit, or a British exit from the European Union, would mean for Europe's stability. Early opinion polls had favoured the "Remain" camp and perhaps led to a false sense of complacency in markets. An Ipsos MORI poll put the lead at 8 points while a YouGov poll out just after polls closed found 52 per cent of respondents said they voted to remain in the EU while 48 per cent voted to leave. Sovereign bonds came back into favour as safe harbours against market volatility, with U.S. 10-year Treasury futures jumping 1.29 points. Yields on the cash note fell 16 basis points to 1.58 per cent, the steepest one day drop since 2011. Investors also priced in even less chance of another hike in U.S. interest rates given the Federal Reserve had cited a British exit from the EU as one reason to be cautious on tightening. "It adds weight to the camp that the Fed would be on hold. A July (hike) is definitely off the table," Mike Baele, managing director with the private client reserve group at U.S. Bank in Portland, Oregon. Commodities likewise swung lower as a Brexit would be seen as a major threat to global growth. U.S. crude shed $2.02 to $48.09 a barrel in erratic trade while Brent fell $1.91 to $49.00. Copper slipped but gold galloped more than 3 per cent higher thanks to its perceived safe haven status. (Reuters)

Sterling, stocks in free fall

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