The Australian dollar gained today after the government reports showed that China’s economic growth accelerated and stocks jumped, increasing appeal of higher-yielding currencies. The MSCI Asia Pacific Index of shares rose 1.1 percent after falling 0.2 percent. The Stoxx Europe 600 index advanced 0.8 percent. The gains can be limited after China National Radio said today that the nation may boost borrowing costs this … “China’s Economy Benefits Australia’s Dollar”
Month: June 2011
Growing China’s Economy Saps Demand for Safety of Yen
The Japanese yen together with other safe currencies, including the US dollar and the Swiss franc, weakened against most major currencies today as the robust growth of China’s economy reduced investors’ demand for safety. China’s consumer prices inflation accelerated to 5.5 percent from 5.3 percent last month according to the National Bureau of Statistics. The industrial production grew 13.3 percent in May, following the 13.4 percent growth in the month before. The Producer … “Growing China’s Economy Saps Demand for Safety of Yen”
Loonie Gains on Employment, Will Crude Oil Stop Rally?
Canada’s dollar gained today as the unexpected drop of the unemployment rate last week improved outlook for the nation’s economy and attractiveness of its assets. The currency weakened versus the euro. Canadian employers added 22,000 jobs in May, following the increase by 58,300 jobs in April. The unemployment rate went down to 7.4 percent from 7.6 percent, even as analysts forecast no change. Dean Popplewell, the head analyst at the online currency-trading firm Oanda Corporation, … “Loonie Gains on Employment, Will Crude Oil Stop Rally?”
Swiss Franc Reaches Record vs. Euro
The Swiss franc jumped to the all-time high against the euro and climbed against other most-traded currencies on concerns that the European Union policy makers won’t be able to reach agreement about measures to deal with the sovereign debt. German Finance Minister Wolfgang Schaeuble thinks that holders Greek bond should accept longer maturities. European Central Bank President Jean-Claude Trichet, on the other hand, insists that imposing losses … “Swiss Franc Reaches Record vs. Euro”
Trichet Softens His Tone on a Possibility that A Country
The head of the ECB, Jean-Claude Trichet, begins understanding that things have changed. Contrary to his words less than three weeks ago, he now hints that some countries could leave the euro. On May 27th, Trichet totally ruled this out. He gave an interview and said that it is entirely realistic for a country to … “Trichet Softens His Tone on a Possibility that A Country”
Malaysian Ringgit Down on Growth Concerns, Europe’s Crisis
The Malaysian ringgit dropped today on the signs that the global economic recovery is faltering and on the speculation that Europe’s leaders won’t be able to deal with the debt issues. Asian currencies, as well as other higher-yielding assets, were falling as the European policy makers can’t agree whether to incur losses in Greece’s second bailout on holders of the Greek bonds. The MSCI Asia Pacific Index of regional shares dropped 0.9 percent, while the MSCI … “Malaysian Ringgit Down on Growth Concerns, Europe’s Crisis”
Yen Falls on Anticipation of Stimulus
The Japanese yen weakened today on the speculation that the nation’s central bank will perform stimulus measures to help the recovery of the economy. The policy makers of the Bank of Japan will meet tomorrow and many economists expect that they will decide to expand the program of asset purchases on the meeting. Japan’s private-sector machinery orders decreased at a seasonally adjusted rate of 3.3 percent in April, following the increase by 1 percent in March. The report was a total surprise … “Yen Falls on Anticipation of Stimulus”
USD/JPY Eyes Lower Levels, USD/CHF Triggers Corrective Recovery
USDJPY: Outlook Lower With Eyes On The 76.18 Level (Monthly Outlook) USDJPY – Having followed through lower on the back of its flat close in May 2011, further bear pressure looks to push USDJPY towards its 2011 low at 76.18. With corrective attempts rebuffed at the 85.52 level in April followed with continued downside pressure, … “USD/JPY Eyes Lower Levels, USD/CHF Triggers Corrective Recovery”
Week of Relief for US Currency
The US dollar posted gains against other major currencies this week as the positive macroeconomic data improved outlook for the US economy and helped to attract investors to the currency. This week has brought good news for the US economy and currency, including the shrinking deficits of the trade balance and the federal budget, the rising import and export prices. These were a good signs, much needed after a wave of awful report in the previous weeks. The uncertainty about … “Week of Relief for US Currency”
CAD Falls as Positive Fundamentals Muted by Drop of Crude
The Canadian dollar fell today against the US dollar and the Japanese yen as stocks and crude oil declined. The currency gained versus the euro as the macroeconomic reports showed positive tendencies in Canadian employment. Employment in Canada rose by 22,000 in May, following the 58,300 changed in April. The unemployment rate unexpectedly edged down 20 basis points to 7.4 percent. The labour productivity of Canadian businesses increased 0.4 percent in the first quarter of 2011, rising for the third … “CAD Falls as Positive Fundamentals Muted by Drop of Crude”