US futures and stocks have risen today on the back on increased speculation that the Fed will step in to ease the economy. IMF meetings and G7 meetings over the weekend have done little to calm international friction over currency issues, which are already sparking a rise in protectionist behavior.
Mansoor Mohi-uddin from USB AG reported today that the Federal Reserve is set to buy as much as $65 trillion in US Treasuries in October in an attempt to stem job losses in the flagging US economy. If the Fed employs further quantitative easing measures, it will likely boost short-term liquidity and support broader economic growth in the longer-term.
Grains were in the forefront of a commodity hike today, as corn hit a two-year high amid supply fears. Corn futures rose 45 cents, which is an extended allowance for price expansion on the Chicago Board of Trade, which normally caps it at 30 cents a day. Soybeans were also up at $11.74 a bushel, rising 39.75 cents.
Crude oil futures again gained, rising 12 cents to reach $82.78 per barrel for November deliver, according to the New York Mercantile Exchange.
The yen has also fallen today after reaching its highest in fifteen years last week. It now stands at 82.04 per dollar, while it fell against the euro as well to reach 114.34.
Meanwhile US Futures have risen after Chinese company Cnooc Ltd. agreed to a $1.08 billion purchase of a third of US’s Eagle Ford shale development in Texas.
