The Malaysian ringgit reached its monthly high today on the traders speculations that the demand for the emerging markets assets will increase as the recession eases. The emerging stock markets in the Asian region continue to rise and such currencies as the Malaysias ringgit and the Koreas won are posting one of the longest gaining streak in their recent history. The stimuli from and … “Ringgit Rises to New Monthly High”
Month: March 2009
Cable Should Go Down
GBP/USD had a nice rally in the past week. It happened despite bad fundamentals. It seemed to have reached the ceiling but still hasn’t fallen. It should go down. The British economy saw lots of bad figures lately. Clairmount Count Change was very disappointing last week. It recorded 138,000, much more than early expectations. This … “Cable Should Go Down”
Korean Won Grows on Dollar’s Decline
The South Korean won, which is the outsider among the Asian currencies in the current year, rose to near the 2-month high against the U.S. dollar today as the latter declined on the lower risk-aversion mood of the currency market. The inflow of the investors foreign currency into the Korean stock market allowed the domestic banking institutions and exporters to fulfill their demand … “Korean Won Grows on Dollar’s Decline”
FOMC Statement Impact – One Week After
A week ago, the FOMC released a stunning statement, that meant printing $1 trillion dollars. This shocked the forex markets, and sent the dollar down. Some called it a death sentence for the greenback. One week after, let’s review where the buck is going. On Wednesday, Match 18th, the Federal Open Market Committee released its … “FOMC Statement Impact – One Week After”
China Wants “Super-Currency” for Reserves
Chinas calls for creation of the super-national currency specifically for the global foreign exchange reserves state not only the Chinese point of view that the dollar is going to depreciate in the long-term perspective but also that China is going to play a major role in the process of creation of the new global financial structure. After the U.S. dollar fell at a fastest pace in its history against the … “China Wants “Super-Currency” for Reserves”
Yen Drops on Toxic Assets Disposal
The Japanese yen declined against the other major currencies today as the Forex traders speculated that the U.S. plan to buy out the toxic assets is going to hurt the «safe haven» currencies, spurring the risk-hungry carry trade. During the early Asian trading session the U.S. dollar was also bearish against the euro and the pound as the investors dumped … “Yen Drops on Toxic Assets Disposal”
Aussie Settling Above 0.7000
AUD/USD encountered short term resistance on the psychological 0.70 level, but with the help of Philip Lowe, RBA assistant governor, it now trades above this level, looking up to major resistance. AUD/USD, one of my favorite currency pairs, began the forex trading week with a weekend gap of about 60 pips. During the Asian and European … “Aussie Settling Above 0.7000”
American Housing Is Above The Bottom
Existing Home Sales in the US were better than expected, and better than last month. This adds to last week’s housing data that also gave some hope. Is there a house at the end of the tunnel? American Existing Home Sales in the US stood on 4.72 million in February. Early expectations were for a … “American Housing Is Above The Bottom”
Dollar Vulnerable on Bank Help Plans
The dollar continued its decline against the euro and the pound today as the currency traders believe that the bank help plans by the U.S. administration will boost the demand for the high-yielding assets, including the currencies with higher interest rates. The U. S. currency wasnt alone in its depreciation today, the yen declined as well, as its safety became less attractive … “Dollar Vulnerable on Bank Help Plans”
Toxic Asset Plan – Toxic for the Dollar
Timothy Geithner is due to present the plan to relieve US banks from toxic assets. While this is intended to be a Public-Private plan, funding this scheme may, yet again, result in printing US dollars – sending the greenback down. It already happens now, before the announcement. US Secretary of Treasury, Timothy Geithner, is due … “Toxic Asset Plan – Toxic for the Dollar”