By: Dr. Mike Campbell
The devastating earthquake and tsunami that struck Japan on Friday afternoon occurred too late to produce a very strong influence on the markets, but it is already feeding into this week’s figures. All markets closed down as news of the disaster fed through.
In Europe over the course of the week, the FTSE shed 2.7%, closing at 5828.7; the Dax fell by 2.8% to close at 6981.5; the CAC fell by 2.3% to end the session at 3928.7.
The Dow ended the week down to the tune of 1%, finishing the trading session at 12044. The Nasdaq ended the week lower, shedding 2.5% to close at 2715.6.
The Nikkei closed down by 4.1% to end the trading session at 10254.4 and has fallen strongly in Monday’s trading, ending the session at 9460; a further fall of 7%.
Currency Markets in Review
On the currency markets last week, ironically, the Yen enjoyed the best of the trading. The Dollar was stronger against Sterling, making 1.7% closing at 1.5993 to the Pound. The Greenback was stronger against the Euro last week, climbing by 1.3% to close at 1.3773. The Dollar was weaker against the Japanese currency, closing at 82.2188 to the Yen, a loss of 0.76%.
The Euro closed down against the Yen ending at 113.24, dropping 2.1% over the course of the week. The Euro strengthened against Sterling over the course of the week by 0.37%. The close saw one £ buying 1.16117.
Commodities in Review
On the commodities market, the price for Brent crude eased, closing at $113.8 per barrel (for April delivery); a fall of 1.8% over the course of the week’s trading. The value of gold also eased last week, closing at 1411.5 per ounce; representing a loss of 1.1% over last week’s value.