World shares hit the highest level in five months after reaching a financial agreement in the United States at the last minute and could which was threatening to drag the U.S. economy in the clutches of a new recession and create turmoil in the financial markets around the world.
The agreement led to the revitalization of Asian and European stock markets urged to open the Hong Kong index up more than 1% to achieve an increase of 1.91% as the Seoul Stock Exchange index rose 1.4%, Sydney 1.26%. The FTSEurofirst 300 index fell 1.1% to 1146.20 points and is trading at levels not seen in the market since May 2011.
Gold rose 7.01 dollars to $ 1681.55 an ounce, after hitting the lowest level at 1670 dollars. Gold ended in 2012, up about 7% to record gains for the second year in a row in the longest rally ever for the precious metal since 1920. Gold scored highest on record about 1920 dollars in September 2011 as a result of a stampede to buy because of the worsening debt crisis in Europe.
The global gold prices over the past year the longest period of high connected at least since 1920 due to renewed expectations that the central banks take in Europe and China further steps to promote economic growth as well as near the agreement of political leaders in the United States on the budget.
The average price of gold during the past year in New York Stock Exchange $ 1670.71 an ounce, which fell by 6% compared to its level last September, the biggest quarterly decline since 2004.
Most analysts believe in “Wall Street” that U.S. stocks will continue to rise in 2013 after better-than-expected performance in 2012. Despite the fragile economic recovery and concerns about “financial abyss” in the United States and breadth of the horrors of debt in Europe and slower growth in emerging economies, but the U.S. stock made a spectacular profit in 2012.
The benchmark “Dow Jones” industrial shares outstanding by 7% for 2012 as a whole. The index “Standard & Poor’s 500”, which measured the performance of the most active 500 companies by about 13.5%, while the “Nasdaq” laced technology companies by 16%. Analysts believe that 2013 will be a good year for U.S. stocks and the momentum will be particularly stronger in the second half of the year.
The Bank of America Merrill Lynch are among the most optimistic institutions on Wall Street where the goal puts the end of 2013 for the “S & P 500” so that up to 1600 points.
The Foundation expects “Goldman Sachs” that ended the “S & P 500” in 2013 at 1575 points, which implies gains exceeding 10% compared to current levels. And feel David costin senior strategists in U.S. equities with optimism toward 2013 as greater than his counterparts on Wall Street. David said a big rise will happen in the second half of 2013 based on expectations of record economic growth of 3% in 2014.
And economists see in the institution, “Deutsche Bank” to gain from a more moderate type will be realized. But chief U.S. equity in the bank, David Bianco pointed out that if the tax remained on capital gains and dividends low, it will be 1600 points a reasonable goal for the end of 2013.
The yen fell and the dollar
The yen fell generally fell to its lowest level in 18 months against the euro. The dollar – which is usually a safe haven tends to rise when the deterioration of the market – under pressure and fell against the Australian dollar and the euro. The euro rose to 115.995 yen, its highest level against the Japanese currency since July 2011. Having trimmed gains amounted to euro 115.73 yen, up about 1.2% from the previous session.
The dollar rose to 87.335 yen, its highest level against the Japanese currency since late July 2010, or about 29 months. In the latest trading price of the dollar 87.23 yen, up 0.6% from the previous session.