Archive For "August, 2010"

WASHINGTON (MarketWatch) — The Federal Reserve on Tuesday said it has allowed a Chinese sovereign wealth fund, China Investment Corp., to purchase “indirectly” up to 10% of the voting shares of Morgan Stanley .

The dollar recovers against the euro but remains down against the yen after U.S. stocks turn negative and Federal Reserve officials indicate willingness to consider taking additional steps to provide more support if the economy weakens further.

Better-than-expected data on U.S. home prices and consumer confidence boost U.S. stocks and reduce demand for the relative safety of the greenback and yen.

NEW YORK (MarketWatch) — Treasury prices held onto gains and the dollar fell against the euro on Tuesday after minutes from the Federal Reserve’s latest policy meeting showed several officials think the central bank should consider taking additional steps to provide more support if the economy weakens further. A few members argued against the step taken on Aug. 10 to reinvest cash from maturing mortgage debt into Treasurys. Yields on 10-year notes , which move inversely to prices, fell 5 basis points to 2.48%. The euro rose to $1.2702 from $1.2664 in late North American trading on Monday. The dollar index , a measure of the U.S. unit against a basket of currencies, fell to 83.014, from 83.076 earlier and compared with 83.184 late Monday.

Better-than-expected data on U.S. home prices and consumer confidence boost U.S. stocks and reduce demand for the relative safety of the greenback and yen.

Better-than-expected data on U.S. home prices and consumer confidence boost U.S. stocks and reduce demand for the relative safety of the greenback and yen.

The U.S. dollar extends losses against the euro after better-than-expected data on U.S. home prices, boosting U.S. stocks and reducing the demand for the relative safety of the greenback and yen.

Home prices rise 1.0% in June compared with May in 20 major U.S. cities, according to the Case-Shiller home price index.

NEW YORK (MarketWatch) — Treasury prices stayed up and the dollar fell against the euro on Tuesday after the Conference Board’s index on consumer confidence rose to 53.5 in August. Yields on 10-year notes , which move inversely to prices, fell 3 basis points to 2.50%. The euro rose to $1.2724, up from $1.2664 in late North American trading on Monday. The dollar index , a measure of the U.S. unit against a basket of currencies, fell to 82.969, from 83.184 late Monday. Separately, the purchasing managers’ index for the Chicago region fell to 56.7 in August from 62.3 in July.

WASHINGTON (MarketWatch) — Manufacturing activity in the Chicago region expanded at a less rapid pace in August, according to media reports of the purchasing managers’ index for the Chicago region released on Tuesday. The Chicago purchasing managers index fell to 56.7% from 62.3% in July. The drop was in line with forecasts. Readings over 50% indicate overall business expansion. The Chicago PMI is the last of a series of regional indicators that give clues to the national Institute for Supply Management manufacturers’ survey for August to be released on Wednesday. Based on other regional readings, economists expect the August ISM manufacturing composite to slow a bit more to 53.2 from a July reading of 55.5%. This would be the fourth straight monthly decline after the index hit 60.4 in April.