Euro weakness accelerated late in the past week once the prices broke through the lower support line of a base channel, which we know is an evidence of an impulsive wave three. As such, decline from 1.4548 is considered as a powerful impulsive, but still incomplete leg, currently with a corrective wave 4 underway. Guest … “EUR/USD – Next Stop 1.330”
Month: September 2011
EUR/USD: Trading the European Industrial Production
The European Industrial Production index measures production in the important sectors of manufacturing, energy supply and mining. An increase from the previous reading is an indication of growth in the European economy, which would reflect positively on the Euro. Here are all the details, and 5 possible outcomes for EUR/USD. Published on Wednesday at 9:00 GMT. Indicator … “EUR/USD: Trading the European Industrial Production”
CAD Rebounds from Parity with USD
The Canadian dollar rebounded as the speculation that China may help Europe to deal with the debt crisis eased concerns on markets and boosted stocks. According to the announcement of the Italian government, Italy discussed potential investment in the nation’s economy with China. This announcement eased concerns that the crisis would spread from Greece to Italy and Spain. The Standard & Poorâs 500 Index closed higher 0.7 percent over the day, erasing previous … “CAD Rebounds from Parity with USD”
European Crisis Isn’t Good for Rand
The South African rand is just another higher-yielding currency that suffers from the adverse impact of the European-sovereign debt crisis on currency markets. The rand suffers not only from the direct effect of the risk aversion on riskier currencies, but also from the decline of the euro. As much as 45 percent of the South African exports are based on the euro, meaning the problems of Europe had additional negative impact of South Africa’s economy and currency, besides … “European Crisis Isn’t Good for Rand”
New Zealand Dollar Falls as Concerns About Greece Intensify
The New Zealand dollar dropped today as growing concerns that Greece will face default caused a decline of stocks and sap demand from higher-yielding assets. Germany’s officials debate how to help the nation’s banks in case Greece would fail to meet the bailout requirements. German Chancellor Angela Merkel will with European Commission President Jose Manuel Barroso in Berlin today to discuss the Euro-region debt crisis. The MSCI Asia Pacific … “New Zealand Dollar Falls as Concerns About Greece Intensify”
Worst Week for Sterling in Nine Months
The Great Britain pound posted this week the biggest weekly drop against the US dollar in nine months on the speculation the fragile UK economy will force the nation’s central bank to keep the interest rates at the record low level. Virtually all the fundamental data this week was negative for the pound. Be it house prices, industrial production or producer price index, all the indicators signaled about the worsening state of Britain’s economy. … “Worst Week for Sterling in Nine Months”
Will the Dollar Take a Break?
The US Dollar Index had one of its strongest weeks in a long time. It jumped from under 75 to 77.2 points – the highest level in two months. Where will it go next? Here are the lines to watch out for and an analysis of the next moves. Perhaps it is time for a … “Will the Dollar Take a Break?”
Franc Considered Overvalued Even Pegged to Euro
The Swiss franc fell today against most major currencies as Economy Minister Johann Schneider-Ammann said that the currency is “massively overvalued” even after the central bank pegged the franc to the euro. The franc advanced against the euro today. Minister explained what he thinks the fair rate for the franc is: There is a general understanding that purchasing-power parity is around 1.35 to 1.40 francs per euro. Thatâs pretty … “Franc Considered Overvalued Even Pegged to Euro”
Canadian Dollar Falls with Employment
The Canadian dollar fell today for the second day against its US counterpart and the Japanese yen, heading to parity with the greenback, after the report showed that employment in Canada unexpectedly dropped and unemployment rate rose last month. The currency managed to gain versus the euro. Statistics Canada reported today that the number of employed persons decreased by 5,500 in August, following the increase by 7,100 in July. Forecasts much were more optimistic, promising … “Canadian Dollar Falls with Employment”
BoE Keeps Main Interest Rate Unchanged, GBP/USD Fluctuates
The Great Britain pound fluctuated versus the dollar today after the Bank of England kept its main interest rates unchanged yesterday and today’s report showed that producer prices declined last month. The pound advanced against the yen. The BoE left the official Bank Rate at 0.5 percent and asset purchases at £200 billion yesterday. The minutes of the monetary policy meeting is scheduled to be released on September 21. The input Producer Price … “BoE Keeps Main Interest Rate Unchanged, GBP/USD Fluctuates”