Two opposing forces compete for the markets and lead to inevitable volatility when the two tendencies are of equal power: on the one hand, evidence of a slowdown in the world economy; on the other, the expectation of stimulus measures that the slowdown invites. Today on the Asian markets – for the fifth consecutive day – a pessimistic or at least non-confident view continues to prevail. The regional index is falling by 0,9%. American, Chinese and Australian data were not good: the ISM index fell in America, indicating stagnant manufacturing production, while in Australia second quarter GDP growth rate halved, from 1,3 to 0,6 %. However, not all of yesterday's data was bad: American auto sales in August, estimated at 14,52 million (annualized rate), are the highest since March 2008.
The euro, which awaits (like the rest of the world) tomorrow's ECB meeting, fell just above 1,25, and oil too, regardless of supply problems, fell towards 95 $/b.
Read up Bloomberg
