The South Korean won was the worst-performing currency among the Asian ones this month as the investors moved out of the countrys assets and the exports to the developed economies fell sharply. The drop of the Korean won against the U.S. dollar is already at 8.7 percent this year — thats the worst January performance for this currency. The Asian shares tumble as the demand and … “Korean Won Leads Asian Currencies Decline”
Month: January 2009
NZD/USD Broke Support Line – What’s next?
NZD/USD currency pair broke the support line of 0.5150. I’m following up on a post NZD/USD on the Edge that was written prior to this break, and after the huge interest cut of 1.5%. It came after the Building Consents squeezed by 6%. The fall of the New Zealand dollar was also helped by remarks by … “NZD/USD Broke Support Line – What’s next?”
Yen Grows against High-Yielders
The Japanese yen is currently positioned as the locomotive of growth on the Forex market as the global economic slowdown takes its toll, keeping the traders and investors away from the risk-ridden high-yielding currencies. Despite the great problems with the economic situation in the home countries of the so called «safe haven» currencies, the traders expectations for the deepening of the recession in all the … “Yen Grows against High-Yielders”
New Zealand Dollar Falls on Rate Cut
The New Zealand currency declined against the U.S. dollar, the yen and its Australian counterpart today after the countrys central bank decided to cut the interest rate to a record low amidst the raging recession. The Reserve Bank of New Zealand reduced the official cash rate (OCR) to 3.5 percent down from 5 percent. The same 1.5 percent cut was conducted also on December 4. Analysts … “New Zealand Dollar Falls on Rate Cut”
NZD/USD on the Edge
The New Zealand dollar got two major blows this evening: A big rate cut and a bad Trade Balance. Looking at forex charts, NZD/USD is on the edge of major support line. Breaking it could show the way for deep plunge. First, RBNZ cut the interest rate by 1.5%! This dramatic cut was more than … “NZD/USD on the Edge”
Dollar Falls on Banks Support Expectations
The U.S. dollar along with the yen declined against almost all other major currencies today as the traders expect that the bank bailout plan will be adopted soon in the United States. The dollar declined also because the Federal Reserve will end its two-day meeting today and will probably announce some additional measures to ease the credit conditions, providing … “Dollar Falls on Banks Support Expectations”
Rupee Opens Higher Today on Stocks Revival
The Indian rupee advanced against the U.S. dollar during the Forex trading session opening today as the stock markets showed some strength world-wide and the investors used the short-term opportunity to enter the high-risk assets. Almost 3 percent growth of the Bombay Stock Exchange Sensitive Index (SENSEX) was accompanied by the news from the Reserve Bank of India Governor Duvvuri Subbarao — … “Rupee Opens Higher Today on Stocks Revival”
Dollar Yen Currency Correlation
In the fast few weeks, the forex market has seen a correlation between the US dollar and the Japanese Yen. Whenever the dollar becomes stronger, the Yen beats everybody else, including the dollar. And vice versa. Whenever the dollar weakens, like today, the Yen weakens even more. Today, despite good data from the US, the … “Dollar Yen Currency Correlation”
NZD Falls as Service Industry Contracts
The New Zealand dollar declined against the U.S. and Australian currencies today as the countrys services industry continued to decline for a ninth month in a row last December, according the Performance of Services Index that was released yesterday. The index of the service industry was reported at 48.0 for December — up from 47.3 in November; but the reading below 50 means a contraction in all of the countrys service sectors. The report … “NZD Falls as Service Industry Contracts”
Will Obama’s Stimulus Package weaken the Dollar?
Less than a week in office, and Barack Obama isn’t wasting any time. He’s pushing forward on all fronts, and regarding the stimulus package on particular. Despite the plan being helpful for the American economy, it will be very unhelpful for the US dollar. Obama’s $825 billion plan is huge: it is meant to help … “Will Obama’s Stimulus Package weaken the Dollar?”