Saturday, August 13, 2011

Gold speculators, stock out of insecurity?

Gold speculators, stock out of insecurity?
A series of upbeat economic news helped the stock from American strong recovery, crude oil rose slightly, pull back the momentum of the gold market in the previous session 11-8. Does it have a positive signal to investors that peace is normal again? Labor Department said the number of people applying for unemployment benefits in the first week ended 6-8 was reduced to 395 000 7000 people, the lowest since early April. This is a small signal was also reduced somewhat the concern about the economic outlook.

The same day, in a speech to workers in automobile manufacturing, Barack Obama promised to give the new approaches, new ideas each week to create jobs, reduce unemployment and promote economic growth.

In another move, also yesterday, the Commission and the Securities Market Europe (ESMA) to or from the date of 12-8, the European countries including Belgium, France, Italy and Spain will implementation of the new ban on short selling activities.

ESMA said in the message: "The Government of a number of countries have decided to impose or extend a ban on short selling activity in order to limit profit from the false rumors as well as provide a level playing field."

The decision was made after U.S. stock market, the European session 10-8 violently shaken by rumors France is going to be lower trust level. Shares of the second-largest bank in France, Societe Generale, dropped straight 15%, despite the bank management had previously denied rumors.

This is an attempt by the eurozone in restoring confidence in the markets affected by the rumors, higher borrowing costs ... ESMA that, in normal conditions, short selling is nothing strange, but when combined with the rumors, you do not become an act of abuse. Copyright @ 2011 - Theme by NanLimo - Thanks to Google