The euro jumped today for the fourth day, reaching the highest level in three weeks against the US dollar, on the speculation that positive changes in Greece’s situation will allow the European Central Bank to raise the interest rates next week. The ECB policy makers will meet on July 7 to set the lending rates. ECB President Jean-Claude Trichet reiterated his statement that the policy makers are in the state of “strong vigilance”. Market analysts … “Euro Push Even Higher as Traders Look for ECB Rates Hike”
Month: June 2011
Debt Ceiling: Afghanistan and Iraq Could Provide Solutions
Democrats and Republicans aren’t able to reach an agreement on budget adjustments that would pave the way for raising the debt ceiling, which is set to be passed on August 2nd. Pulling out of Iraq and Afghanistan could provide a solution that would allow for significant budget cuts. Leveraging the debt ceiling crisis and using … “Debt Ceiling: Afghanistan and Iraq Could Provide Solutions”
5 Most Predictable Currency Pairs
There are forex pairs which will slow down and bounce back as they get close to a distinct support ro resistance line. If they do have strong, determined momentum, they will break through without looking back. These pairs, that tend to obey the rules, are the more predictable ones. Not all of them are. Here … “5 Most Predictable Currency Pairs”
USD/JPY: Trading the Tankan Manufacturing Index
The quarterly Tankan Manufacturing Index release is one of the most important Japanese indicators, and it always rocks USD/JPY. Here is what is expected, and 5 possible outcomes for dollar/yen, that can break out of the tight range. Published on Thursday, June 30th, at 23:50 GMT. Indicator Background The Bank of Japan publishes this report early … “USD/JPY: Trading the Tankan Manufacturing Index”
GBP/USD Reverses Gains, EUR/GBP Bullish
GBPUSD: Reverses Gains, Set For 1.5911 Level GBPUSD: The pair has failed to follow through higher on the back of its Wednesday gains and tumbled lower wiping out those gains early trading today. With GBP dominated by its bearishness triggered from the 1.6745 level, its 2011 high, a return to the 1.5911 level, its Jun … “GBP/USD Reverses Gains, EUR/GBP Bullish”
EUR/USD Remains Trapped In Range, For Now!
Despite some strong moves and quite high volume in recent weeks, Eur/Usd remains trapped in range between 1.4938 May highs and 1.3967 May lows. As such, direction of a trend on this pair remains unconfirmed, which however should unfold to the downside if we consider weakness on other markets, especially commodities which supports the US … “EUR/USD Remains Trapped In Range, For Now!”
Sixth Quarter of Gains for Yuan
The Chinese yuan posted the sixth straight quarterly gain on the speculation that China will allow the currency to appreciate faster in order to slow growth of consumer prices. The Peopleâs Bank of China increased the reference rate for the yuan to 6.4716 per dollar today, allowing the currency to fluctuate 0.5 percent in either side of the target. Li Daokui, the adviser to the central bank, explained the rise of prices in June by higher costs of agricultural products and pork. China Securities … “Sixth Quarter of Gains for Yuan”
NZ Dollar Reaches Record vs. US Dollar on Business Confidence
The New Zealand dollar touched the all-time high against the US dollar today after the reports showed that the building approval advanced last month and the business confidence improved in June. The seasonally adjusted figure for the new building permits rose 2.2 percent in May, following the drop by 1.2 percent in April. The Business Confidence index of the National Bank of New Zealand was at 46.5 in June, up from 38.3 in May. The New Zealand dollar … “NZ Dollar Reaches Record vs. US Dollar on Business Confidence”
Canada’s Currency Erases Losses in Big Jump
The Canadian dollar posted a big jump against most of its major counterparts today as the nation’s inflation accelerated much more than was forecast and commodities, including crude oil, advanced. The Canadian Consumer Price Index grew 0.7 percent in May from April, compared to the median forecast of 0.2 percent growth. The April increase was 0.3 percent. As for negative fundamentals, the report on Canada’s gross domestic product is expected to show … “Canada’s Currency Erases Losses in Big Jump”
US Dollar Loses After Greek Vote
The US dollar fell after the Greek lawmakers supported the proposition of Prime Minister George Papandreou about budget cuts and asset sales, reducing nervousness on markets and erasing attractiveness of the US currency as a safe haven. 155 lawmakers voted for the Prime Minister’s package of budget cuts and asset sales, while 138 voted against this proposition. Parliament will vote tomorrow for implementing of the austerity plan. The positive outcome of today’s vote reinforced the outlook … “US Dollar Loses After Greek Vote”