This week will be vital for the Eurozone since on Wednesday, Germany’s constitutional court will determine the legality of the financial rescue fund for the Eurozone, a general election will be held in the Netherlands, and the European commission will issue a statement considering a Eurozone banking union.
According to business surveys published on Wednesday, the Eurozone is probably back into recession. The PMI (Purchasing Managers’ Index) index for the Eurozone, which measures services and manufacturing together, has dropped to 46.3 from 46.5 in July.
The services index also went down to 47.2 from 47.9 in July. The number of newly-found businesses has decreased and companies are forced to retrench workers in order to cut…Continue
Australia’s economic growth slowed to 3.7% in the second quarter, compared to the first quarter’s 4.3%. The reason for this is a drop in domestic consumption and lack of global demand for the country’s resources.
On a three monthly basis, the growth during the second quarter is 0.6%. If the global demand for Australia’s resources continues to decrease, growth may further slow down.
The best single gauge for the US market, the S&P 500 index, is experiencing major resistance. Its price on the CFD market rallied to 1439.10, just a point away from the high established on 20 May 2008. The previous resistance high was at 1440.20. The price action may range between the 1.440.20…Continue