Global Market and Economic Update - Week Ending 20th June

June 19, 2014 - PRLog -- Hexagon Capital Management is a privately held wealth management company that manages hundreds of client assets in a wide range of products and services with a non biased, client orientated program that is tailored to each individual or corporate requirement.

The Nikkei led the Asian markets on Thursday as it broke four and a half month highs, seeing gains over 1.5%. Business confidence in Japan is high and manufacturing confidence for June was up too. The Bank of Japan is still looking to battle decades of deflation whilst dealing with reduced imports and exports and a slowdown in consumer spending. The BoJ has kept its monetary policy the same for quite some time and recently stated that they believed the 3rd largest economy was going to weather the current stormy economic arena without having to implement drastic stimulus measures.

Nikkei 225  at 15,361.16 (+1.62%)          Hang Seng at 23,138.65 (-0.19%)

SSE Comp at 2,023.73 (-1.55%)

Today is the first day of the yen being directly traded against the pound in London. An agreement has been made between the Bank of England and the Peoples Bank of China to reduce currency trading costs. Earlier in the week the China Construction Bank became the first yen clearing house in London. Now the UK joins Australia, New Zealand, Japan and the US as direct currency trading partners to China. This comes as the Chinese PM signs bi-lateral trade agreements to the tune of £14bn with the UK earlier this week.

FTSE 100  at 6,819.00 (+0.60%)          Dax at 9,930.33 (+0.10%)

CAC 40 at 4,566.64 (+0.80%)          BEL 20 at 3,176.69 (+0.51%)

IBEX at 11,189.30 (+0.69%)          Zurich SMI at 8,691.87 (+0.40%)

After a 2 day FOMC meeting the US markets reacted negatively to the Fed announcement but rallied before the end of the day on Janet Yellen's speech. Confirming what many analysts expected the Fed will continue to reduce its asset purchase program in July, reducing the budget from $45bn to $35bn. This along with hints towards that interest rates will be lower than first thought but may be implemented sooner gave the markets some confidence and helped the S&P 500 close on yet another record high. The US markets do not seem to be affected by the crisis in Iraq, Ukraine or Syria at the moment and as oil steadily increases with stock in tow we can start to wonder as to how long the Bulls can keep it up.

Dow Jones Closed at 16,906.62 (+0.58%)

NASDAQ Closed at 4,362.84 (+0.59%)

S&P 500 Closed at 1,956.98 (+0.77%)

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DISCLAIMER  The views, opinions, findings, and conclusions or recommendations expressed on this service are those of the author(s) and do not necessarily reflect the views of the Hexagon Capital Management. All market data within this release is for your general information and enjoys indicative status only. Hexagon Capital Management does not accept any responsibility for its accuracy or for any use to which it may be put. All share prices and market indexes delayed at least 15 minutes. 52 week high and low values are calculated from close price data.