Thursday, June 24, 2010

20100624 0945 Global Market News.

GLOBAL MARKETS: Dollar off on Fed view as stocks dip, bonds rise
NEW YORK, June 23 (Reuters) - The dollar weakened across the board while Treasuries rallied on Wednesday after the U.S. Federal Reserve acknowledged a faltering economic recovery and data showed sales of new U.S. homes fell to a lifetime low.
"There's no rate hike expected for the foreseeable future - at least not until the end of the year, if not 2011," said Michael Woolfolk, senior currency strategist at BNY Mellon in New York. "The longer the Fed keeps kicking the can down the road, the less positive this is for the U.S. dollar outlook."  

World stocks retreat on growth fears
LONDON, June 23 (Reuters) - European and Asian stocks fell  as fears about the global economic recovery dominated investors thinking and renewed concerns over Europe's banking system undermined flows into risky assets.
"(The Fed) may downgrade its view of the US economy ... citing the latest disappointing employment data, renewed weakness in the housing sector and recent turmoil in Europe," said Nick Stamenkovic, rate strategist at RIA Capital Markets.

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