Mervyn King managed to meet expectations in a perfect way – so perfect, that the Pound hardly moved, a rarity. It left the Pound in its low position towards tomorrow’s big event. The Bank of England left the interest rate unchanged at 0.5%, the historic low. This rate has been in place since March 2009. … “Pound Still Weak After Rate Decision”
Month: January 2010
Aussie Hits Record High on Commodities
The Australian currency touched the highest level in 2 years versus the euro as commodities rates are fueling the Aussie’s rally, which also gained considerably versus the greenback during today’s session. The Aussie advanced sharply versus the euro, yen and its U.S. counterpart as estimates that a global economic recovery will continue raise rates for the nation’s commodities, helping the Australian dollar to outperform most of the 16 main traded currencies as it happened … “Aussie Hits Record High on Commodities”
Dollar Drops on Fed Quantitative Easing Discussions
After December’s Fed meeting minutes went public today, the U.S. dollar declined versus multiple currencies, as policy makers discussed extending economic stimulus to revive the economy if necessary, impacting negatively the greenback’s outlook. The content of a Federal Reserve meeting held in December and published surprised traders and analysts as extending asset purchase programs were among the topics, according to policy makers, if the economy weakens. The U.S. dollar declined versus … “Dollar Drops on Fed Quantitative Easing Discussions”
Metals Fuel Canada’s Dollar Advance
The Canadian dollar continued to advance today versus its U.S. counterpart as demand for commodities are still on the rise, favoring the loonie which is one of the currencies with the highest correlation with commodities charts, specially the crude oil, one of Canada’s chief exports. The year of 2010 started with a very positive scenario for the Canadian currency which gained today before an employment report to be released this week, which, according to forecasts … “Metals Fuel Canada’s Dollar Advance”
Finance Minister Resignation Forces Yen Down
The yen declined today versus virtually all of the 16 main traded currencies as investors opted for higher-yielding currencies betting on the global economic recovery for 2010, abandoning yen priced assets after Japan’s Finance Minister Hirohisa Fujii resigned today. The yen posted the sharpest losses today versus commodities linked currencies like the Australian dollar, as demand for metallic commodities has been rising since the beginning of the week. The Japanese currency, known … “Finance Minister Resignation Forces Yen Down”
AUD/USD Makes a Big Comeback – An Update and a
The Aussie is getting back to normal, making kangaroo leaps on good data and facing some challenging resistance lines. Here’s an update on the high-yielding Aussie, and a look forward towards the next technical hurdles for AUD/USD. The Australian dollar is doing well this week. It confirmed the break above 0.8950 and continued higher. The Aussie … “AUD/USD Makes a Big Comeback – An Update and a”
Mexican Peso Extends Rally on U.S. Recovery
The Mexican peso is benefiting from the U.S. economic outlook for 2010, as Mexico has the U.S. as the main destination for its exports, both raw and manufactured, and an accelerated growth of its neighbor is helping Mexico’s currency to gain in foreign-exchange markets. The peso continued to profit today from a better confidence towards its main trading partner, the U.S., as well as for increased crude oil rates, since the Latin American nation is one of the main … “Mexican Peso Extends Rally on U.S. Recovery”
Romanian Leu Hits 6-Month High as Political Crisis Eases
The Romanian leu rallied today versus the euro and the U.S. dollar as interest rates were unexpectedly cut in the country after a political crisis that delayed an IMF bailout finally ended, adding confidence that stability in the parliament will lead the nation towards a faster recovery. After interest rates were cut today to 7.5 percent at the lowest level in a year, the leu rose versus most of the main currencies, as a political crisis ended regarding … “Romanian Leu Hits 6-Month High as Political Crisis Eases”
Pound Declines Before Policy Makers Meeting
The pound lost versus several key-currencies today and specially versus its regional rival, the euro, as traders speculate that U.K.’s financial authorities will insist in quantitative easing measures to stimulate the British economy, affecting the sterling outlook in currency markets. The British currency posted a declining session versus most of the 16 main traded currencies two days before a Bank of England policy makers meeting, where, according to analysts, the current asset … “Pound Declines Before Policy Makers Meeting”
Yen Gains on U.S. Weak Housing Report
The yen managed to gain versus most of the 16 main traded currencies today after a negative U.S. housing report brought risk aversion up among investors, which opted for the safety provided by the Japanese currency. The Japanese currency gained the most in four weeks versus the greenback as a pending home sales report frustrated forecasts and indicated a monthly drop of 16 percent, declining risk appetite and favoring the Japanese currency, even if the actual … “Yen Gains on U.S. Weak Housing Report”