US dollar is once again gaining the upper hand, rising against high beta currencies as uncertainty drives Forex traders to safe havens. This time, it’s reduced optimism about a quick solution to the sovereign debt problem in the eurozone. Over the weekend, rumors flew about a solution to the sovereign debt situation: Greek debt was to be restructured! The EFSF is to be expanded! Banks are to be recapitalized! While some … “US Dollar Gains in Forex Trading on Uncertainty”
Month: October 2011
USD/JPY: Trading the US TIC Long-Term Purchases
The US TIC Long-Term Purchases release measures the level of foreign and domestic investment in the US. This important indicator is released monthly, and if the reading exceeds the market forecast, this bodes well for the US dollar. Here are all the details, and 5 possible outcomes for USD/JPY. Published on Tuesday at 13:00 GMT. Indicator … “USD/JPY: Trading the US TIC Long-Term Purchases”
EU Crisis Can Be Resolved? Not Everyone Agrees
The euro retreated today as the optimism caused by the Group of Twenty meeting weakened on the speculation the credit crisis in the European Union can’t be resolved in the near future. Steffen Seibert, German Chancellor Angela Merkelâs spokesman, said there’s no quick way out from the current unpleasant situation in Europe. Canadian Finance Minister Jim Flaherty explained after the G20 meeting the danger of the crisis: The risk of a recession would be increased dramatically were … “EU Crisis Can Be Resolved? Not Everyone Agrees”
Yen Goes Down as G20 Meeting Reduces Need for Safety
The Japanese yen weakened today as investors preferred higher-yielding currencies to safer ones after the meeting of Group of Twenty reinforced the hopes for a resolution of the European debt crisis. The leaders of G20 approved parts of the plan presented by the European Union policy makers. The plan includes writing off parts of the Greek debt, reinforcing the European banks and boosting the European Financial Stability Facility. The deadline for completing the rescue plans for the EU was set on October 23, when … “Yen Goes Down as G20 Meeting Reduces Need for Safety”
Euro: Multi-month consolidation
After a sharp move lower, seen in the past few weeks pair has found a support and has rebounded quite significantly since then. As such, we suspect that wave D is complete and that pair is now trading in final stages of a wave B) running triangle, which may complete late this year. Keep in … “Euro: Multi-month consolidation”
FXCM Continues Strong Growth, Debuts Rates on NYSE, Completes
A lot of news is coming out of US forex broker FXCM recently. The broker enjoyed a surge in customer activity during September both in retail and in institutional trading. The impressing numbers are in line with numbers from other brokers, such as FxPro. In the M&A front, FXCM completed the acquisition of Foreland, a broker … “FXCM Continues Strong Growth, Debuts Rates on NYSE, Completes”
Best Week for Euro in Years
The euro posted the biggest weekly gain in more than two years as the unexpected optimism of Forex traders about ability of the European leaders to deal with the problems of the region spurred the currency to the highest level in several weeks. The promise of German Chancellor Angela Merkel and French President Nicolas Sarkozy to find a mean to resolve the debt crisis of the European Union was welcomed by FX market participants, except for bears, of course. The downgrade of Spain’s credit rating … “Best Week for Euro in Years”
Canada’s Dollar Ends Week with Big Gain
The Canadian dollar ended this week with a big gain as the optimism caused by the G20 meeting and the good fundamentals in the US helped the currency to attract attention of investors that looked for higher yield. The G20 meeting has started yesterday in Paris. The leaders of the Group of Twenty gathered to discuss the debt problems of Europe and a way to deal with them. Investors put high hopes on this meeting and the resulting risk appetite spurred stocks, commodities and riskier … “Canada’s Dollar Ends Week with Big Gain”
Pound Higher Against Dollar, Down Against Euro
UK pound hit a one-month high against the US dollar earlier today, thanks to renewed optimism. Sterling followed the euro higher in Forex trading, gaining against the US dollar as investors look for high yields as risk appetite makes an appearance. The UK pound is benefiting from a positive end to the week for stocks in Europe and in the US. Indeed, in the US, this week marks a positive 2011 overall for stocks. Pound is also benefiting … “Pound Higher Against Dollar, Down Against Euro”
US Dollar Down on Optimism
Optimism is high regarding the upcoming G20 meeting, and that is sending the US dollar lower in Forex trading. Greenback is lower today as economic data boosts hopes, and as Forex traders shrug off the latest downgrade of Spain’s sovereign debt. Since the US dollar has been used as a safe haven recently, it is little surprise that the greenback slides in currency trading when things start looking better. … “US Dollar Down on Optimism”