The US dollar weakened today against most major currencies after the government report showed that growth the US non-farm payrolls was much lower than predicted and the unemployment rate unexpectedly increased. The US currency advanced versus the euro. The non-farm payrolls added only 18,000 in June, while the expected value was 97,000. The unemployment rate edged up from 9.1 percent to 9.2 percent. The growth of the payrolls was … “US Dollar Weakens on Very Bad Payrolls”
Month: July 2011
Thai Baht Advances on Overseas Inflows
The Thai baht rose today, together with other Asian currencies, on the speculation that the growing economy and increasing interest rates will draw inflows of foreign funds in the nation’s economy. Pheu Thai party won a clear majority in the elections last week, easing concerns about political unrest. The Bloomberg-JPMorgan Asia Dollar Index gained 0.3 percent this week, reaching today the highest level in 14 years of 119.40. Global funds … “Thai Baht Advances on Overseas Inflows”
GBP/USD Goes Higher on UK PPI
The Great Britain pound rallied today against the US dollar as the data from the UK producers was positive, improving outlook for Britain’s economy and currency. The output Producer Price Index rose 0.1 percent in June from May, matching forecasts. The input PPI increased 0.4 percent. The expected increase was by 0.4 percent. The input fell 1.7 percent in May, while the May growth of output was 0.2 percent. GBP/USD climbed … “GBP/USD Goes Higher on UK PPI”
Canadian Dollar Surge on Positive Employment Data
The Canadian dollar jumped on the positive report about the employment in the US and on the optimistic outlook for other employment reports from the US and Canada. The positive report from Automatic Data Processing Inc. about the US employment improved mood on market. Market sentiment was already positive as the increase of interest rates by the European Central Bank and prospect for future increases made investors willing to buy riskier assets. Today, the reports are expected to be moderately … “Canadian Dollar Surge on Positive Employment Data”
US Employment Improves, Reducing Need for Swissie
The Swiss franc weakened today as the reports show that the employment in the US improved much more than predicted, reducing demand for the currency as a safe haven. The US employers added 157,000 jobs in June, on a seasonally adjusted basis. That’s much higher value than the forecast 67,000 and a big improvement from the May change of 36,000. The unemployment claims slipped from 432,000 to 418,000 last week. Demand for safe currencies also decline as President … “US Employment Improves, Reducing Need for Swissie”
Big Correction in Jobs? NFP Preview
After a very weak outcome for May, a significant rise in jobs is expected now, given some positive positive signs. This may boost the dollar, but the reaction can be quite different for different currencies. Here are the details and 5 possible outcomes for the greenback. Published on Friday at 12:30 GMT. A very disappointing … “Big Correction in Jobs? NFP Preview”
BOE Holds Rates, Pound Suffers
The Great Britain pound fell today against most major currencies after the nation’s central bank kept its key interest rate and the asset purchase program unchanged. The currency managed to advance versus the Japanese yen. The Bank of England left its Official Bank Rate at the record low 0.5 percent, as was expected by Forex market participants. The bank also kept its asset purchase program unchanged at £200 billion. The pound … “BOE Holds Rates, Pound Suffers”
ECB Puts Main Interest Rate at 1.50%, EUR/USD Down
The euro erased its losses versus the Japanese yen, but fell against the US dollar today even after the European Central Bank raised its main interest rate. The ECB boosted its benchmark Minimum Bid rate by 25 basis points to 1.50 percent. The French traded balance unexpectedly widened from â¬7.2 billion to â¬7.4 billion. The German industrial output rose 1.2 percent in May, following the 0.8 percent … “ECB Puts Main Interest Rate at 1.50%, EUR/USD Down”
The ECB’s big gamble
There’s been little indication that the ECB has wavered from its intent to tighten rates this week, despite the deterioration in the eurozone sovereign crisis since last month’s press conference. But is its resolve in (seemingly) pushing ahead to tighten rates a sign of confidence or recklessness? There are growing signs that it may be … “The ECB’s big gamble”
Swiss Franc Strengthens on Europe’s Woes
The Swiss franc gained against the euro as the downgrade of Portugal’s credit rating by Moody’s Investors Service spurred demand for the currency as a safe haven. Many traders were unprepared to the sudden surge of risk aversion after the last week. It looked like the problems of Europe would go to the background for some time as Greece has “bought” some time for dealing with the debt crisis by accepting required austerity. The downgrades of European countries’ rating by rating … “Swiss Franc Strengthens on Europe’s Woes”