Oil Companies Lowering Fuel Prices; Citing Global Fall in Oil PricesIn New Zealand, many Companies are reducing their petrol prices in tune with the dropping international oil prices. One such new Company is Caltex, which declared to decrease its petrol prices by 2 cents a liter.
The Shell brand possessors, BP and Greenstone also reduced the petrol prices by the same amount, as Caltex did.
Petrol is now being offered by both the Companies at $1.75.9 a liter for 91 octane and the diesel is being sold at $1.18.9 cents per liter. The price of the 95 V-Power petrol has been kept at $1.82.9 cents a liter.
Asda, a supermarket chain having 180 filling stations also dropped its petrol price by 1p, which now costs 111.9p a liter and it cut its diesel price by 2p bringing it to 114.9p a liter. The Company would keep reducing the price till the last week of the August, so as to ease consumer spending.
As revealed by the Company, its yearly spending rate was low as 4.2%, which means the Company would lose £7 of its income, every week.
Asda brought out a report, which showed that in last quarter of 2010, the UK families could experience the lowest amount of disposable income in two years.
"These are increasingly uncertain times for millions of families across the UK, and it's clear from all the data customers will need us more than ever", said Andy Clarke, Asda President and CEO.
Friday, October 22, 2010
Wednesday, October 20, 2010
Forex Characteristics
1st, It consists market but no trading field
The finance industry in the western countries consist two sets of systems, namely the centralism business central operation and there is no fixed place for such business network. Stock trading is being traded through stock exchange. Like the New York Stock Exchange, the London stock market, the Tokyo stock market, respectively is American, English, the Japanese stock main transaction place, it is a centralism business financial commodity, its quoted price, the transaction time and hand over to the procedure all consist of unification the stipulation, and has established the same business association, it has formulated the same business rules. The investor could buy and sells the commodity through the broker company, this is known as "consist of trading market and trading field".
But foreign exchange business is done without any unification operation market and business network, it has no centralism unified place like the stock transaction. But, the foreign currency trading network actually is globally, and it has formed a organization which has no formal organization, the market is relied through an approval way and the advanced information system, Forex traders do not consist any membership qualification for any organization, but must obtain colleague’s trust and approval. This kind of Forex market which has no trading field is known as "consist of market but no trading field". Each day, the trading volume in the global Forex market involves billions of U.S dollars, the so huge large amount fund, is being control under both the non-centralism place and non central governance system, plus it is settle based on non-government governance.
2nd, Circulation work
Due to the different geographical position of the various financial centre, the Asian market, the European market, the Americas market because of the time difference relations, it has become an entire day 24 hour continued operation whole world foreign exchange market.
Early morning 0830 (New York time) New York market opens, 0930 Chicago market opens, 1830 Sydney opens, 1930 Tokyo opens, 2030 Hong Kong, Singapore open, before dawn 1430 Frankfurt opens, 1530 o'clock London market opens. So 24 hours uninterrupted movements, the foreign exchange market becomes a day and night market, only on Saturday, Sunday as well as the various countries' significant holiday, the foreign exchange market only then can close.
This kind of continued operation, provided no time and spatial barrier ideal outlet for investors, the Forex trader may seek the best opportunity to carry on the transaction. For instance, Forex trader buys up the Japanese Yen in the morning at the New York market, in the evening Hong Kong market opens the Japanese Yen rises, the Forex trader sells in the Hong Kong market, no matter Forex trader in where, he all may participate in any market, any time business. Therefore, the foreign exchange market may say is does not have the time and the spatial barrier market.
3rd, Zero and Game
In the stock market, the rise or the drop of stock market could influence the value of the stock whether to rise or drop, for example the Japanese new date iron stock price falls from 800 Japanese Yen to 400 Japanese Yen, the value of this stock has been reduced to half. However, in the foreign exchange market, the value of a stock and a currency is being calculated differently, this is because the exchange rate is refers to the exchange ratio both countries currency, the exchange rate change will influence one kind of monetary value to reduce and at the same time another kind of monetary value increase. For instance in 22 years ago, 1 US dollar exchanges 360 Japanese Yen, at present, 1 US dollar exchanges 110 Japanese Yen, this explains the Japanese Yen currency value rise, but US dollar currency value drops, in the end the value will not reduce or increase. Therefore, some people described the foreign currency trading is "zero and the game", exactly said is the wealth shift.
In recent years, investment foreign exchange market fund has continuously increased, the exchange rate fluctuation expands day by day, urges the wealth shift to be larger, the daily trading volume of the global foreign exchange involves 150 billion US dollars, the rise or falls 1%, means that the 150 billion funds has been shifted. Although the foreign exchange rate change is very big, but, any kind of currency will not become waste paper, even if some kind of currency unceasingly falls, however, but generally it represents certain value, only if such currency has been abolished.
The finance industry in the western countries consist two sets of systems, namely the centralism business central operation and there is no fixed place for such business network. Stock trading is being traded through stock exchange. Like the New York Stock Exchange, the London stock market, the Tokyo stock market, respectively is American, English, the Japanese stock main transaction place, it is a centralism business financial commodity, its quoted price, the transaction time and hand over to the procedure all consist of unification the stipulation, and has established the same business association, it has formulated the same business rules. The investor could buy and sells the commodity through the broker company, this is known as "consist of trading market and trading field".
But foreign exchange business is done without any unification operation market and business network, it has no centralism unified place like the stock transaction. But, the foreign currency trading network actually is globally, and it has formed a organization which has no formal organization, the market is relied through an approval way and the advanced information system, Forex traders do not consist any membership qualification for any organization, but must obtain colleague’s trust and approval. This kind of Forex market which has no trading field is known as "consist of market but no trading field". Each day, the trading volume in the global Forex market involves billions of U.S dollars, the so huge large amount fund, is being control under both the non-centralism place and non central governance system, plus it is settle based on non-government governance.
2nd, Circulation work
Due to the different geographical position of the various financial centre, the Asian market, the European market, the Americas market because of the time difference relations, it has become an entire day 24 hour continued operation whole world foreign exchange market.
Early morning 0830 (New York time) New York market opens, 0930 Chicago market opens, 1830 Sydney opens, 1930 Tokyo opens, 2030 Hong Kong, Singapore open, before dawn 1430 Frankfurt opens, 1530 o'clock London market opens. So 24 hours uninterrupted movements, the foreign exchange market becomes a day and night market, only on Saturday, Sunday as well as the various countries' significant holiday, the foreign exchange market only then can close.
This kind of continued operation, provided no time and spatial barrier ideal outlet for investors, the Forex trader may seek the best opportunity to carry on the transaction. For instance, Forex trader buys up the Japanese Yen in the morning at the New York market, in the evening Hong Kong market opens the Japanese Yen rises, the Forex trader sells in the Hong Kong market, no matter Forex trader in where, he all may participate in any market, any time business. Therefore, the foreign exchange market may say is does not have the time and the spatial barrier market.
3rd, Zero and Game
In the stock market, the rise or the drop of stock market could influence the value of the stock whether to rise or drop, for example the Japanese new date iron stock price falls from 800 Japanese Yen to 400 Japanese Yen, the value of this stock has been reduced to half. However, in the foreign exchange market, the value of a stock and a currency is being calculated differently, this is because the exchange rate is refers to the exchange ratio both countries currency, the exchange rate change will influence one kind of monetary value to reduce and at the same time another kind of monetary value increase. For instance in 22 years ago, 1 US dollar exchanges 360 Japanese Yen, at present, 1 US dollar exchanges 110 Japanese Yen, this explains the Japanese Yen currency value rise, but US dollar currency value drops, in the end the value will not reduce or increase. Therefore, some people described the foreign currency trading is "zero and the game", exactly said is the wealth shift.
In recent years, investment foreign exchange market fund has continuously increased, the exchange rate fluctuation expands day by day, urges the wealth shift to be larger, the daily trading volume of the global foreign exchange involves 150 billion US dollars, the rise or falls 1%, means that the 150 billion funds has been shifted. Although the foreign exchange rate change is very big, but, any kind of currency will not become waste paper, even if some kind of currency unceasingly falls, however, but generally it represents certain value, only if such currency has been abolished.
Thursday, October 7, 2010
Gold Hits Reocrd High
Gold rose slightly on Monday, hitting record highs for a third consecutive day as funds kept buying the metal on a weaker dollar and a report showing U.S. homebuilder sentiment stayed in the doldrums.
Traders said the market was focussed on the Federal Reserve's policy meeting which concludes on Tuesday.
Most economists do not expect any new economic stimulus programs from the Fed, But if the economic recovery falters, the U.S. central bank may opt later this year to make major repurchases of U.S. government debt, a plan known as quantitative easing. This could increase gold's appeal.
"There is a possibility that we could get at least some hints leaning towards quantitative easing, and that's what the gold market wants to hear," said Bill O'Neill, partner at New Jersey-based commodities firm LOGIC Advisors.
"Part of the recent rally has been based on the idea that we could have a second round of quantitative easing. So, if the Fed meeting turns out to be a complete nonevent, then you may see short term negative reaction on gold," he said.
The possibility of Fed stimulus kept many traders bullish about gold, which remained sharply below its inflation-adjusted all-time high above $2,200 an ounce.
Spot gold hit a record $1,283.70 an ounce, then pared gains. It stood at $1,277.60 an ounce at 3:16 p.m. (1916 GMT), up from $1,275.95 late in New York on Friday. U.S. gold futures for December delivery settled up $3.30 at $1,280.80 an ounce.
In recent years, many prominent hedge fund managers led by George Soros and John Paulson turned to bullion, fuelling its 17 percent rally year to date, sharply higher than the S&P 500 stock index, which is up less than 2 percent so far this year.
"Everyone's on the surfboard riding the wave. It's definitely the funds. We would never be seeing a run-up like this if it were not the big money behind it," said Miguel Perez-Santalla, vice president of sales at New York-based Heraeus Precious Metals Management.
But last week, Soros renewed a warning that gold is the "ultimate bubble" and "it's certainly not safe and won't last forever."
The dollar slipped, with some in the currency market cautious about the upcoming Fed meeting.
A weaker dollar often boosts gold. Although that correlation has been shaky this year, the inverse relation has strengthened in the last five days.
The home builders' sentiment report was the latest indication that confidence in the U.S. recovery remained fragile. U.S. consumer confidence data on Friday showed Americans this month at their most pessimistic in over a year.
Traders said the market was focussed on the Federal Reserve's policy meeting which concludes on Tuesday.
Most economists do not expect any new economic stimulus programs from the Fed, But if the economic recovery falters, the U.S. central bank may opt later this year to make major repurchases of U.S. government debt, a plan known as quantitative easing. This could increase gold's appeal.
"There is a possibility that we could get at least some hints leaning towards quantitative easing, and that's what the gold market wants to hear," said Bill O'Neill, partner at New Jersey-based commodities firm LOGIC Advisors.
"Part of the recent rally has been based on the idea that we could have a second round of quantitative easing. So, if the Fed meeting turns out to be a complete nonevent, then you may see short term negative reaction on gold," he said.
The possibility of Fed stimulus kept many traders bullish about gold, which remained sharply below its inflation-adjusted all-time high above $2,200 an ounce.
Spot gold hit a record $1,283.70 an ounce, then pared gains. It stood at $1,277.60 an ounce at 3:16 p.m. (1916 GMT), up from $1,275.95 late in New York on Friday. U.S. gold futures for December delivery settled up $3.30 at $1,280.80 an ounce.
In recent years, many prominent hedge fund managers led by George Soros and John Paulson turned to bullion, fuelling its 17 percent rally year to date, sharply higher than the S&P 500 stock index, which is up less than 2 percent so far this year.
"Everyone's on the surfboard riding the wave. It's definitely the funds. We would never be seeing a run-up like this if it were not the big money behind it," said Miguel Perez-Santalla, vice president of sales at New York-based Heraeus Precious Metals Management.
But last week, Soros renewed a warning that gold is the "ultimate bubble" and "it's certainly not safe and won't last forever."
The dollar slipped, with some in the currency market cautious about the upcoming Fed meeting.
A weaker dollar often boosts gold. Although that correlation has been shaky this year, the inverse relation has strengthened in the last five days.
The home builders' sentiment report was the latest indication that confidence in the U.S. recovery remained fragile. U.S. consumer confidence data on Friday showed Americans this month at their most pessimistic in over a year.
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