In this deep economic crisis, everyone wants a weak currency. Europe’s export-oriented economy is suffering from a strong currency, especially after the moves from Switzerland and from America. Will they stay on the sidelines or intervene? The Japanese economy is export based, and has significantly suffered from the global economic crisis. A strong currency is … “Forex War – Will Europe Join?”
Month: March 2009
EUR/GBP Bounced on Resistance Line
EUR/GBP tested the 0.95 resistance line and bounced back down. This came on the background of falling Industrial Production in Europe and stablization of the dollar selling. EUR/GBP tried breaching the 0.95 resistance line, which was the high point in the end of December. The EUR/GBP reached a high of 0.9475 before retracting significantly back to … “EUR/GBP Bounced on Resistance Line”
Dollar Ready to Post Worst Week vs. Euro
The U.S. dollar is currently heading for its worst week against the single European currency since the inception of euro on the markets prolonged reaction to the Feds pledge to increase dollar liquidity. The dollar is currently ready to renew its more than 2-month low against the euro, which was set yesterday. The spree of bullish days on EUR/USD lasts for 9 days already and the Forex … “Dollar Ready to Post Worst Week vs. Euro”
Aussie Reached Initial Target – Resting Before Next Move
AUD/USD continues it’s march upwards, breaking the 0.68 resistance line. It rose on the wave of massive dollar selling that began with the shocking FOMC statement yesterday. The next resistance line is much stronger for the Aussie. AUD/USD was trading in a narrowing channel for a very long time. Downtrend resistance and uptrend support were … “Aussie Reached Initial Target – Resting Before Next Move”
Euro Declines in Correction Following Rally
The euro fell against the dollar and the yen today following the yesterdays unprecedented rally as the market participant speculate that ECB will have to follow Feds money-printing trend. The European currency rallied yesterday against the U.S. dollar after the Federal Reserve pledged to buy $300 billion in the U. S. Treasury securities, technically stating that it will print those money. The euro advanced by more … “Euro Declines in Correction Following Rally”
Pound Declines before Employment Report
The Great Britain pound declined against the other major currencies today on speculations that the employment report that is scheduled for the release today will show that the situation with labor market is worsening. Despite the continued gains on the global stock markets and the elevated interest for the high-yielding assets, the pound sterling fell for the first day … “Pound Declines before Employment Report”
Has American Housing Reached the Bottom?
Housing Starts and Building Permits were better than expected in the US. The real estate market, that began the crisis with the subprime crisis, might start to stabilize, giving new hope for the greenback. Building Permits rose by 3% to 547K (annually adjusted). This was the first good surprise. Expectations were for 500K. And the … “Has American Housing Reached the Bottom?”
Aussie Rises to New Monthly Maximums
The Australian dollar reached the new monthly maximum the Japanese yen as the stock markets signaled growth for a third day on improved earnings of the banks. The currency experienced a minor decline during the day as the markets reacted on the RBA minutes stating the necessity of the further interest rate cuts. But then the growth followed. The Aussie also fell against … “Aussie Rises to New Monthly Maximums”
Japanese Yen Falls for Third Day against Euro
The yen declined for the third day in a row against the dollar, the euro and the pound today as the Bank of Japan decided to buy the government debt and the stock markets rose during the Asian trading session. The G20 meeting resulted in a pledge to a collective easing of the monetary policy and fiscal stimulating of the economies to recover from the ongoing crisis. The … “Japanese Yen Falls for Third Day against Euro”
Danger for Dollar After Obama Relates to Treasuries
President Barack Obama publicly addressed China’s deep concerns to America’s ability to pay its debt. American debt has become scary to everyone. Chinese Prime Minister Wen Jiabao publicly asked if America could pay back its debt. China is biggest holder of US treasuries, and its hundreds of billion of dollars. With the growing debt, and … “Danger for Dollar After Obama Relates to Treasuries”