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Crude oil hit a new intra day above $122 a barrel on Tuesday and major market indexes closed mixed in New York.
The Dow Jones Industrial Average fell 51.29 points or 0.4%, at 13020.83 and the tech-dominant Nasdaq Composite Index rose 0.8%, or 19.19 points, to 2483.31. The Standard & Poor's 500 rose 0.8%, or 10.77 points, at 1418.26, led by a 2.7% rise in the energy sector.
Treasury Secretary Henry Paulson said in an interview with The Wall Street Journal, that US financial markets are emerging from the credit crunch and that "the worst is likely to be behind us," marking possibly the most optimistic comments yet from the Bush administration on the financial crisis.
"There's no doubt that things feel better today, by a lot, than they did in March,"Paulson said. He pointed to the Federal Reserve's decision to help prevent the collapse of Bear Stearns Cos. and to provide liquidity to other investment banks as "an inflection point" in the crisis.
The Treasury Secretary was careful to predict that there would be further "bumps along the road," and that it will take "some months longer" for the market distress to fully dissipate.
Asia-Pacific stocks fell Wednesday and the MSCI Asia Pacific Index lost 0.4% while in Tokyo, the Nikkei 225 Stock Average rose 0.4%, following a two-day holiday. China's CSI 300 Index fell 4.7%.
Asia-Pacific Benchmarks
European stocks rose Wednesday for the first time in three days.
The Dow Jones 600 is up 0.18% and 16 of 17 Western European markets that are open are trading up.
In Dublin, the ISEQ Index is up 0.21%.
Anglo Irish has risen 2.84% after its half-year report today.
CRH is down 0.29% after today's publication of its Interim Management Report.
Providence has jumped 5.26% after reporting an acquisition in the US.
Anglo Irish Bank reports a 17% increase in underlying pre-tax profits for the six months to the end of March
CRH warns that the weaker US Dollar over recent months together with slower trends in a number of markets makes 2008 a challenging year
Providence Resources acquires Louisiana oil firm for $67.5 million
Ryanair has fallen 1.85% on oil price worries.
National benchmarks- Europe
Irish Share Prices
Euribor Rates
AIB Daily Report
Bank of Ireland Daily Report
Currencies
The euro is trading at $1.5485 and at £0.7907.
For live currency updates, check the right-hand column of the Finfacts home page.
The dollar had fallen to $1.6019 per euro on April 22nd - an-all time record.
Commodities
Crude oil is currently trading on the New York Mercantile Exchange (Nymex) at $121.80 per barrel down 4 cents from Tuesday's close. In London, Brent for June delivery is trading on the International Commodities Exchange at $120.47 up 16 cents.
Oil hit new intra-day record of above $122 a barrel on Tuesday; Goldman Sachs says world may face a "super-spike" with crude in range of $150 to $200 a barrel as early as October
Paul J. Harris, Head of Natural Resources Risk Management, Bank of Ireland Global Markets, commented today:
US WTI (West Texas Intermediate) hit a record $122.73 in bullish trading yesterday with the London Brent contract touching $120.99. Oil prices have risen by 25% since the start of the year and nearly 100% since this time last year. The market advanced over continuing concerns over Nigerian production which has been hit by terrorist activity by Niger-based rebels. Additionally a strike in the region halted output. The Iranian nuclear dispute also resurfaced adding to the bullish sentiment with Tehran refusing to allow inspection of its nuclear facilities adding to fears that the worlds fourth largest producer may be linking its programme to a weapons capability. A forecast by Goldman Sachs that crude prices may top $200/bbl also served to encourage buyers.
The upward progression in the markets may falter today as the Nigerian situation has eased with the terrorists signalling a willingness to enter into negotiations and the strike having ended. Furthermore the recovery of the Dollar and rebound in global equities has served to rein in bullish exuberance. Key today will be the release of the weekly EIA data. Forecasts on the numbers - which are often widely different from the reported numbers - suggest a crude stock build of around 1.6mio bbls with gasoline draws of 100,000 bbls. Should the data disappoint the market could quickly test yesterdays highs. Of particular interest will be the gasoline number in the context of the upcoming US driving season. Better-than-expected figures may prompt the belief that the market is over-extended and deliver a retracement - but this is likely to be only marginal.
Trading range for Brent crude is probably supported at the $117 with an upside prospect of $121.70
Gold spot price
The spot price of gold is at $874.20 per ounce down $1.40 from Tuesday's close in New York.
