With talks over the 'fiscal cliff' in its early stages, investors are reacting to the uncertainty by shedding positions. Soon after the press conference, the markets started to fall again from 0.5% decline to up to 1.45% at the closing of the session.
At the open of the trading session today in Asia, China’s markets went down to a seven-week low as a reaction to the US markets and as the ruling party named its new generation of leaders to oversee an economy that is forecast to grow this year at the slowest pace in more than a decade.
European equity market join the other market today with a marginal decline at the open as uncertainty over whether Greece will soon receive additional financial aid and concerns over the worsening of the euro zone's debt crisis continued to weigh on market sentiment
Official data revealed this morning that the Euro-zone industrial production declined 2.5% in September, well beyond expectations for a more modest 1.9% decline.
The numbers sparked fears that the euro-zone's preliminary gross domestic product rate for the third quarter will disappoint when released later Thursday.
If the uncertainty in Europe, US and China is not enough, In the middle east yesterday, Israel launched a military offensive against Palestinian militants in Gaza that killed a Hamas military leader. This reaction by the Israeli forces came after a massive rocket attacks lead by the Palestinian militants that launched over 80 rockets in the last 14 hours and around 230 rockets on Israel since Saturday.
EUR/USD The euro was steady against the U.S. dollar on Thursday, ahead of the release of economic growth data from the euro zone, while the minutes of the Federal Reserve's latest policy meeting pointed toward more easing measures in the future.