The noticeable thing for the second week in a row is that gold prices have continued to fall all be it at just 1.5% this week.

In a crisis investors always run for the hills and invest in gold – so when this reverses and the price starts to fall back then it could signal an improved view on the way things are going in world economies.

End of the week saw:
Stock exchanges:
FTSE 100: 3,984
DOW: 8,083
S&P: 856.56
Nikkei: 8,964

Currencies
UK Sterling £ to US Dollar $ 1.46575
UK Sterling £ to Euro € 1.11071
UK Sterling £ to Japanese Yen 146.869
UK Sterling £ to Aus $ 2.03629
US Dollar $ to Euro € 0.757775
US Dollar $ to Japanese Yen 100.200
US Dollar $ to Aus $ 1.38925

Commodities
Nymex Crude oil – $52.24
Gold – $883.30

Sterling saw a bit o f a recovery this week against a few currencies and in particular by over 4% against the US Dollar and just under 6% against the Japanese Yen.

Gold has dropped below $900 this week having dropped by 2.8% on the week, which offers encouragement for world economies when gold prices drop.

End of the week saw:
Stock exchanges:
FTSE 100: 4,030
DOW: 8,018
S&P: 842.50
Nikkei: 8,750

Currencies
UK Sterling £ to US Dollar $ 1.48549
UK Sterling £ to Euro € 1.09911
UK Sterling £ to Japanese Yen 148.935
UK Sterling £ to Aus $ 2.07451
US Dollar $ to Euro € 0.739870
US Dollar $ to Japanese Yen 100.319
US Dollar $ to Aus $ 1.39713

Commodities
Nymex Crude oil – $52.51
Gold – $897.30

The was a mis-match of markets this week between the UK and the other leading economies with the Dow Jones moving ahead by  6.9% and the Japanese Nikkei by 8.6% and yet the FTSE 100 only gained 1.5%.

Turning to commodities gold saw a drop of 3.2% this week falling to $923.20 per ounce whereas oil remained relatively unchanged on the week. Also, the currency markets did not move a great deal in this week.

End of the week saw:
Stock exchanges:
FTSE 100: 3,899
DOW: 7,778
S&P: 815.94
Nikkei: 8,627

Currencies
UK Sterling £ to US Dollar $ 1.42670
UK Sterling £ to Euro € 1.07684
UK Sterling £ to Japanese Yen 140.515
UK Sterling £ to Aus $ 2.06798
US Dollar $ to Euro € 0.754900
US Dollar $ to Japanese Yen 98.0334
US Dollar $ to Aus $ 1.44924

Commodities
Nymex Crude oil – $52.38
Gold – $923.20

This week saw the Asian markets gain the most with the Nikkei gaining 5% over the end of last weeks close. Whereas the UK’s FTSE 100 gained just 2% and the New York Dow Jones 1% – what is positive though is that this is the second week the indexes have gained.

Sterling gained ground this week over the US Dollar by 4%, but this was not due to Sterling strengthening, but more to do with the US Dollar weakening. The US Dollar weakened against the Euro and the Australian Dollar by 5% this week, whereas Sterling lost 2% against the Euro and 1% against the Australian Dollar.

The price of oil jumped this week by a massive 15% ending the week at a recent high of $52.82 per barrel. Also, investors again seek safety in gold with the price per ounce rising by 3% on the week.

End of the week saw:
Stock exchanges:
FTSE 100: 3,843
DOW: 7,278
S&P: 768.54
Nikkei: 7,946

Currencies
UK Sterling £ to US Dollar $ 1.44776
UK Sterling £ to Euro € 1.06158
UK Sterling £ to Japanese Yen 138.620
UK Sterling £ to Aus $ 2.09244
US Dollar $ to Euro € 0.733372
US Dollar $ to Japanese Yen 95.7632
US Dollar $ to Aus $ 1.44600

Commodities
Nymex Crude oil – $52.82
Gold – $954.20

The dollar has lost some ground against the euro, a day after hitting a six-month high against the single currency.

The euro has been rattled by growing fears of a European recession. Sterling has also been falling against the dollar, hitting two-year lows.

But the dollar slipped on fears about the US economy as the Federal Reserve signalled that weak financial conditions and growth would continue.

Currency traders were also taking profits on recent gains, analysts said.

The euro was trading at $1.4730, above Tuesday’s six-month low of $1.4570.

The pound stood at $1.8463, after falling to a two-year low of $1.8330 a day earlier.

Geoffrey Yu, a currency strategist at UBS in London, said that the dollar weakness was likely to be temporary.

“Investors are finding it hard to find reasons to get into the dollar and chase this move further (right now),” he said.

“We are still positive in general on the dollar – we see the euro at $1.40 by year end – but it’s probably wise to exercise some caution.”

News reported by The BBC

Pakistan’s currency has hit a record low against the dollar on speculation that President Pervez Musharraf might be on the verge of resigning.

The Pakistan rupee fell to 76.9 to the dollar on Friday, the fourth consecutive trading day it has hit an all-time low.

The currency has weakened on fears that the president faces impeachment.

Inflation in Pakistan is at its highest in 30 years, the trade deficit is widening and reserves have fallen.

The value of the rupee has dropped by 23% this year.

“It’s panic and the central bank is not doing anything,” one trader told the Reuters news agency.

Some investors say intervention by the central bank is needed to bolster the currency, but given its lack of capital this would be hard.

Mr Musharraf, who was involved in a coup that toppled former Prime Minister Nawaz Sharif in 1999, is being threatened with impeachment by Pakistan’s new ruling alliance.

News reported by The BBC