Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Guidance and Visibility -- Ignore unavailable to you. Want to Upgrade?

To: 2MAR$ who wrote (66873)	8/13/2002 3:55:48 AM
From: 2MAR$	Respond to of 208838

GLOBAL MARKETS-Markets nervous ahead of Fed By Christopher Kaufman SINGAPORE, Aug 13 (Reuters) - Shares in Japan slipped while most others gained in thin trade and the dollar stuck to a narrow range ahead of the U.S. Federal Reserve's interest rate setting meeting later on Tuesday. Fears about the dollar's weakness put renewed pressure on Japanese exporters Sony <6758.T>, which fell 1.17 percent, and Toyota <7203.T>, off 2.45 percent. The Nikkei average <.N225> lost 0.61 percent to 9,688.61, while the broader TOPIX index <.TOPX> lost 0.52 percent to 954.88. "Nobody feels any pressure at all to buy at the moment," said Keiko Kondo, senior strategist at UFJ Tsubasa Securities, referring to the lull ahead of the Fed's meeting and Wednesday's deadline by which around 1,000 U.S. company heads must attest to the accuracy of their books. Summer holidays in Tokyo where also keeping a lid on trade. The dollar struggled against the yen and euro as the market shied away from taking new positions ahead of the Fed meeting. The dollar bought 118.84 <JPY=> yen at 0632 GMT, against a late U.S. level of 119.05 yen. It was little changed against the euro <EUR=> at $0.9780. U.S. stocks were mostly lower on Monday, snapping a four-day rally for blue chips, after US Airways Group Inc <U.N> filed for bankruptcy, rattling Wall Street's confidence. A growing belief the Federal Reserve would not cut interest rates at its Tuesday meeting also hurt stocks after anticipation of a Fed move had sparked a rally last week. FUTURES GIVE LITTLE INDICATION The Dow Jones industrial average <.DJI> fell 0.65 percent to 8,688.89. The broader Standard & Poor's 500 Index <.SPX> was off 0.53 percent to 903.78 while the Nasdaq Composite Index <.IXIC> gained 0.04 percent to 1,306.69. Futures trade gave little indication as to how U.S. cash markets would open, with September contracts for the Dow, S&P and Nasdaq 100 virtually unchanged by 0632 GMT. European equities were set to open slightly firmer after the Nasdaq's small uptick, and Swiss bank UBS <UBSZn.VX> posted strong results, but volumes were forecast to be light ahead of the Fed meeting. Financial bookmakers in London expected Britain's FTSE 100 <.FTSE> to open up six points and France's CAC-40 <.FCHI> to start five points higher. They saw Germany's DAX <.GDAXI> up 22 points. OIL STEADIES NYMEX crude futures steadied after gaining nearly four percent in New York, as dealers eyed upcoming U.S. weekly oil stocks data to provide short-term market direction. At 0632 GMT, front-month September light crude <CLU2> was down six cents at $27.80 a barrel following Monday's $1 surge. Prices leaped in New York on heightened speculation that the United States was preparing for a possible attack against Iraq. Moody's downgrade of Brazil's sovereign ratings spooked Asian emerging market bond investors sending spreads on Philippine sovereign bonds due 2025 10 basis points wider. But otherwise credit markets were unfazed by the move which saw Moody's downgrading Brazil's country ceiling for foreign currency bonds and notes by one notch to B2 from B1, and the country ceiling for foreign currency bank deposits to B3 from B2. The agency placed a stable outlook on all the new ratings. Investors, who chose instead to focus on the Fed meeting, have been buying safe-haven U.S. Treasuries on hopes of a cut in the Fed funds rate, currently at a 40-year low of 1.75 percent. SHARES HIGHER Hong Kong's key share index was slightly higher by midday on Tuesday, helped by rebounding real estate stocks. The benchmark Hang Seng Index <.HSI> was up 0.42 percent to 10,001.28 by 0633 GMT. Singapore shares raced higher on buying in index-linked stocks, but dealers doubted the gains would hold with investors on edge about the U.S. economy and corporate misconduct. The Straits Times Index <.STI> was 2.32 percent higher at 1,520.91 by 0635 GMT. South Korean shares rose for the fifth straight day with the benchmark Korea Composite Stock Price Index (KOSPI) <.KS11> closing up 1.9 percent at 708.63, but trade was light. Taiwan stocks closed lower for the first time in three sessions on Tuesday with financial shares seeing profit taking after two big local bank mergers. The main TAIEX <.TWII> share index ended down 0.70 percent to 4,817.93, reversing a 3.23 percent rise over the past two sessions. ((For the state of play of Asian stock markets please click on: <0#.INDEXA>)) REUTERS * end of story *