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15 Dec 2014
Oil and the Nikkei bouncing back
FXStreet (Guatemala) - Oil has taken a further hit on the open of the week with comments coming over the weekend from OPEC officials, UAE minister of energy, who explained that they will not even cut supply at $40. This is giving the green light for sellers to keep on with the offer.
The market has been in risk-off mode for the most part and that has benefitted the Yen to some degree on the open of the week, despite Abe’s victory where Yen weakness was delayed.
Investors are concerned for global growth as the outlook is worsening, which has pushed credit risk higher and JGB’s yields to a 20-month low. The Nikkei was down on the open marking lows of 17005 while WTI gapped lower to $56.20 in Asian trade. WTI has been steadily climbing back and making recent highs of $58.41 while the Nikkei traded a high of 17248 on the rebound also.
The market has been in risk-off mode for the most part and that has benefitted the Yen to some degree on the open of the week, despite Abe’s victory where Yen weakness was delayed.
Investors are concerned for global growth as the outlook is worsening, which has pushed credit risk higher and JGB’s yields to a 20-month low. The Nikkei was down on the open marking lows of 17005 while WTI gapped lower to $56.20 in Asian trade. WTI has been steadily climbing back and making recent highs of $58.41 while the Nikkei traded a high of 17248 on the rebound also.