Gold maintains its safe haven status
In an increasingly risk averse environment and in the wake of tumbling commodity markets, gold is maintaining a bid, albeit in a tight trading range with strong resistance at $777 , confirming its status as a safe haven asset. Gold is currently trading at $755 (12:15GMT).
Oil sinks below $50 a barrel
For the first time since 2005, oil dipped below $50 a barrel yesterday. Despite this, Nigeria said it did not want to decrease its oil production to try and stop the slide in prices because it needed higher output to balance its budget. Meanwhile, other OPEC members, including Iran and Kuwait said that they would agree to a production cut.
S&P 500 slumps to 11 and a half year low
Amid fears of a severe recession, global markets took a hammering yesterday, with the New York S&P 500 in particular, falling 6.71% to 752.44, its lowest level in 11 and a half years. Economic news from across the world were bleak, with Japan reporting that a slump in exports threatened to push them further into recession and the Swiss National Bank cut another 100 basis points off interest rates, its third cut in 6 weeks.
RBS top brass apologise to investors
99% of the 300 RBS investors at a meeting in Edinburgh yesterday voted in favour of a plan to allow the bank to raise £20bn. At the same meeting, Sir Fred Goodwin, the outgoing chief executive apologised to investors saying, "I am extremely sorry that this has come about and sad to be leaving at these difficult times." An apology from a chief executive – now there’s something you don’t see every day.
Good week for:
Slavica Ecclestone, the former Croatian model who has been married to Formula 1 supremo Bernie Ecclestone for 24 years, announced through a spokesman that the couple were set to split. This opens the gates for, potentially, the biggest divorce settlement in history with estimated assets of $5bn in "Bambino," the family’s offshore trust set up for the benefit of Slavica and the couple’s two children.
Bad week for:
Bernie Ecclestone.
