euro rally on joint central bank action
NEW YORK (Reuters) Global stocks and the euro rallied on Wednesday after the world leading central banks acted jointly to provide cheaper dollar Canada Goose Outlet funding for European banks facing a cash crunch.
The Federal Reserve, the European Central Bank and other central banks moved to ensure that financial markets rocked by the euro canada goose uk black friday zone escalating debt crisis can tap much needed dollar swaps used for funding. money market funds have pulled canada goose uk shop their lending to European banks on fears canada goose factory sale of exposure to the debt crisis. The banks need to finance foreign operations and liabilities denominated in dollars.
The surprise emergency move, which also involved the central banks canada goose coats on sale of Britain, cheap canada goose uk Canada, Japan and Switzerland, recalled coordinated action taken to steady global markets when the financial crisis erupted in 2008. interest rates strategy cheap Canada Goose at buy canada goose jacket cheap Nomura Securities International in New York.
no means does this address all of canada goose store the issues facing markets, and we remain worried European Union policymakers might drop the ball, but it removes one roadblock and signals that perhaps more help is on buy canada goose jacket the way, Goncalves said.
Wednesday move came after euro zone finance ministers agreed to bulk up their bailout fund but acknowledged they may need International Monetary Fund help.
Stocks on Wall Street closed more than 4 canada goose clearance percent higher. dollar denominated Nikkei canada goose uk outlet futures gained 2.4 percent. It was the largest daily points gain for the Dow since March 2009, the depth of the financial crisis. economy was solidly on the way to canada goose recovery. Midwest grew more quickly than expected.
RALLY ROOTS IN CHINA The rally in global stock markets started earlier in uk canada goose outlet the day when canadian goose jacket China central bank moved to ease credit strains by cutting reserve requirements for its commercial lenders for the first time in nearly three years.
A man walks past screens at the bourse Canada Goose sale in Madrid November 7, 2011. REUTERS/Andrea Comas
The Chinese measure and the coordinated move by the other major central banks come amid growing concern that the global economy is on a slippery slope as the euro zone struggles to tackle its huge sovereign debt woes. government debt.
a clear indication that policymakers are beginning to take credit issues in Europe very, very seriously, Boris Schlossberg, Canada Goose Online director of FX research at GFT in Jersey City, New uk canada goose Jersey, said of the coordinated action.
clearly seeing some very big stresses in the global banking system, and they wanted to do a pre emptive strike. The fact that this was a coordinated move took the market by canada goose coats surprise and lifted all risk trades, Schlossberg said. Treasury note briefly rose above 2.1 percent for the first time in more than two weeks. Its price was last down 26/32 in price to yield 2.08 percent. oil inventories stemmed an early rally sparked by the central bank action.
ICE January Brent crude traded in London settled down 30 cents at Canada Goose Coats On Sale $110.52 a barrel.
Gold rose nearly 2 percent, its biggest three day rally Canada Goose Parka in more than a month, as investors piled into bullion as a our web page https://www.cagooseclearance.com Canada Goose Clearance canada goose black friday sale hedge against currency depreciation after the central bank action.
are seeing an Canada Goose Jackets enhancement of the loose Canada Goose online monetary situation around the world and canada goose clearance sale continued currency devaluation, and that what causing the rise in gold today, said Michael Cuggino, portfolio manager of the Permanent Portfolio Funds.
