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Focus Shifts Away from Europe

By Sara Patterson

Sara Patterson has a Master’s Degree in political science and enjoys analyzing both current events and the international markets to get a fuller perspective of the currency market. Before turning to financial writing, she taught English writing skills to high-school age students. Sara’s work has been published on various financial and Forex blogs. ...

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As investors wait until Friday’s deadline for Greece’s bailout decision they have shifted their focus to more pressing economic events including January’s industrial production report which is expected to turn up slightly from December’s numbers. This number is especially important today because of the dollar’s recent strength and because other recent reports (specifically the jobless claims and the retail sales reports) posted weaker results than expected.

The US stock market got off to a rocky start on Tuesday that quickly reversed and oil also continued to stabilize with WTI crude ending the day at $53.53, up 75 cents per barrel. The S&P 500 Index closed over 2,100 for the first time in history on Tuesday. The Dow Jones industrial average and the Nasdaq also closed higher on Tuesday.

Looking at Asia

Wednesday’s Asian session saw limited trading with exchanges in China and South Korea closed entirely and exchanges in Hong Kong and Singapore closing early for holidays.

On the heels of an extended lag for China’s economy many investors are now turning their attention to India whose stock market and national currency have risen steadily of late. The country’s new Prime Minister, Narenda Modi has implemented many new business-friendly policies and tax policies that investors expect will continue to help businesses thrive. Also helping businesses is the recently reduced price of oil which has reduced previously expensive transport needs and made it possible for businesses to see more of their profit.

Sara Patterson has a Master’s Degree in political science and enjoys analyzing both current events and the international markets to get a fuller perspective of the currency market. Before turning to financial writing, she taught English writing skills to high-school age students. Sara’s work has been published on various financial and Forex blogs.

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