Tuesday May 24, 2022

Concerns about the financial sector in America have arisen

The dollar ended its week with its fierce drive, weakening a problem in the US financial sector. The price of oil rose sharply and returned to 120 USD / barrel. The Czech koruna is held in zkm psmu below 24.50 CZK / EUR.

Last week was marked by much significant data from both the US and Europe. They were most surprised by the most widely published price indicators in production, which in both the US and Germany grew at a much slow pace in July, which was not expected.

Speculation on dream rates in the UK has intensified. The pound therefore slipped against the dollar, this time by 0.3% to 1.85 USD / GBP. The British currency also weakened against the euro (by 1.3%), but is still in a good trend between 0.78-0.80 GBP / EUR.

Problmy ve finannm sektoru petrvvaj
But last week, markets focused on data developments around US banks and mortgage institutions Fannie Mae & Freddie Mac, the conflict between Russia and Georgia, and the weather in the Mexican Gulf, where the hurricane season is in full swing. American Lehman Brothers, which tried to sell half of the company to Asian investors, failed first. Not even is it known to fully help mortgage lenders Fannie Mae and Freddie Mac, who have debts of $ 233 billion and will have to make ends meet.

Russia’s attitude to the problems in the financial sector has stopped, which has stopped cooperation with NATO, and the rise in international politics is thus escalating. The price of Brent crude oil jumped $ 6 a.m. on Thursday to close at $ 120 a barrel, while the week stood at $ 112 a barrel.

All these issues reached the dollar last week, which ended the gym from the previous five weeks. It weakened against the euro by 1% during the quarter alone. During the Friday session, the dollar wiped out its losses, losing only 0.85% last week.

Stock indices in ervench hearing
The stock markets fell into the red due to oil prices. In particular, the US stock markets experienced a sharp decline last week, due to changing problems in the financial sector. Due to the rise in energy commodity prices on world markets, energy companies have grown.

Commodity prices on the rise
Oil ended a five-day decline of a total of 22% from 144 to 112 USD / barrel and strengthened last week by 5% to 118 USD / barrel. Other energy raw materials thus strengthened. For example, fuel oil by 4.5%, natural gas by 4.2% and petrol by 0.6%. Gold stood at 4% to 824 USD / ounce.

Agricultural commodities also continued to grow. Kukuice scored 8.6% to 6.1 USD / bul, penny 6% to 9.1 USD / bul, soybeans 7.5% to 13.4 USD / bul and re high 9% to 18.1 USD / cent. The main reason was the dramatically weakening dollar, which reduces the price of commodities for non-dollar investors, and you oil prices. In addition, the price of re was supported by declining imports from Vietnam in the last two weeks (by 8.6%) due to widespread flooding.

The Czech koruna strengthened slightly
After weakening in previous weeks, the Czech koruna managed to strengthen last week, the euro against the euro by 0.6% to 24.38 CZK / EUR and the dollar by 1.4% to 16.45 CZK / USD. However, the main increase is in the Central European region of the Hungarian forint, which strengthened against the euro by 2.2%. The Polish zloty was doing well, strengthening against the euro by 0.8%. The strengthening of Central European currencies is one of the reasons for the decline in interest by the dollar and, conversely, the re-search for safe-haven stocks, which are the first Central European currencies for investors in the currency market.

Graph: Development of the EUR / CZK exchange rate

The stock markets in the region did not differ from the world. They tended to lose during the week, but during a good day they lost the loss. The Hungarian BUX thus lost 2%, the Warsaw TIG 0.8% and the crack of the PX index ended the dark without change. In Prague, the main actions of the energy companies NWR and EZ were successful.

Back to Top