MORNING BRIEFING: BP reports Q2 loss of $17.15 billion; CEO Hayward steps down

[RTFX-Trading]

MORNING BRIEFING: BP reports Q2 loss of $17.15 billion; CEO Hayward steps down

What’s new:
United Kingdom: BP CEO to step down, Robert Dudley to step in as CEO
Switzerland: UBS beats Q2 forecasts
Euro zone: EU toughens sanctions on Iran
China: IMF says Yuan ‘substantially undervalued’
Forex: Euro inches higher to 2-month peak versus US Dollar

Today:


Rates in Asia and Indices:
EURUSD: 1.3021 - 1.2979.
USDCHF: 1.0503 - 1.0482.
GBPUSD: 1.5530- 1.5479.
EURJPY: 113.30 – 112.79.
USDJPY: 87.06 – 86.84.
DowJones: 10'525.43 +0.97%
NASDAQ: 2'296.43 +1.19%
S & P 500: 1'115.01 +1.12%
Nikkei: 9'496.85 -0.07%
Shanghai: 2'586.71 -0.08%
Gold: $ 1'184.80    
Crude Oil: $ 78.89

Comments:

BP confirmed Tuesday that under fire CEO Tony Hayward will step down in October, to be succeeded by fellow executive director Robert Dudley. Dudley, the US executive managing BP's response to the spill in the Gulf of Mexico, is poised to get the top job, a move that could soften US criticism of the British oil giant, sources close to the company said.

Iran said on Monday it was ready to resume talks on a nuclear fuel swap, a surprise that came shortly after the European Union agreed tougher sanctions, including a block on oil and gas investment. EU foreign ministers approved a range of extra restrictions on Iran that went well beyond U.N. sanctions agreed last month and included a ban on dealing with Iranian banks and insurance companies and steps to prevent investment in Tehran's lucrative oil and gas sector, including refining.

The International Monetary Fund believes that the Chinese Yuan is "substantially undervalued", the Wall Street Journal reported on Tuesday, citing two unidentified IMF officials.
A US Treasury official also said on Monday that the Yuan remained clearly undervalued and that the Treasury Department was closely monitoring it. The Yuan has risen 0.7% since the People's Bank of China announced its depegging from the Dollar on June 19th.

Sterling reached a three-month high against the US Dollar on Monday, extending gains in the aftermath of strong UK economic growth data and tracking gains in other higher-risk currencies following European bank stress tests. The Euro inched up towards a two-month peak above $1.3000 on Tuesday; however traders remained cautious as they await clarity on Deutsche Bank's exposure to euro zone sovereign debt.

The Euro is up 0.1% today against the Dollar to 1.3010, while against the Yen, the single currency is up 0.3% to 113.22. The Sterling remains above 1.55 up 0.10% so far today.  RTFX Trend for EURUSD remains bullish, which is registering a 0.78% profit since 22nd of July, while GBPUSD also bullish since the 22nd is up 1.49% from 1.5259. RTFX Asset Management Service, Shiva, is enjoying an 11.66% gain so far in July.

Have a nice day,

Emman Xuereb
Trading Desk
RTFX Ltd
Risk Disclaimer