US dollar is mixed in forex trading today as many currencies trade rangebound as the Forex market — and other markets — look for direction. Economic data is mixed today, and that is likely contributing to the confusion with currencies. Right now, jobs data has been released in the US that shows that nonfarm payrolls added 80,000 jobs to the economy in October. However, this good news is a bit … “US Dollar Mixed in Forex Trading”
Month: November 2011
Aussie Heads Down on RBA Economic Outlook
The Australian dollar fluctuated today, heading for a first weekly loss against the US dollar since September, after the Reserve Bank of Australia cut its economic forecast, leading to the speculation that the central bank will decrease the interest rates on its next monetary policy meeting. The RBA released its economic outlook today and it was less optimistic than the previous one. The central bank predicted the economic growth will be … “Aussie Heads Down on RBA Economic Outlook”
EURO Shows Bearish Technical Set-Up Ahead Of The NFP
The FX market is trapped in tight ranges ahead of the NFP release at 08:30EDT. From a technical perspective, we still think that US dollar is headed higher, but we need a catalyst and a confirming price action. This will of course be an impulsive reversal higher on dollar index, or lower on Euro. On … “EURO Shows Bearish Technical Set-Up Ahead Of The NFP”
EUR/USD Rallies for Third Day on US Employment Expectations
The euro rallied today for the third straight day on the speculation the employment growth in the USA slowed, supporting the case for the Federal Reserve to perform additional monetary easing. Analysts predict that the US non-farm payrolls will show today that the employment growth moderated to 97,000 in October, compared to 103,000 in the preceding month. Earlier, the euro slowed its rally and was attempting to go down as concerns about Greece returned with new strength. Greek … “EUR/USD Rallies for Third Day on US Employment Expectations”
Russian Ruble Goes Up with Crude
The Russian ruble went higher against the US dollar as crude oil rallied after the positive developments in Europe reinvigorated markets and returned risk appetite to investors. Germany and France postponed the planned bailout for Greece after the country’s government announced the intention to hold a referendum. Now, after Greece scrapped its plans for the referendum, investors became more interested in buying higher-yielding assets, like commodities and currencies of emerging markets, rather than safer … “Russian Ruble Goes Up with Crude”
No Referendum in Greece, Traders Less Concerned
The Canadian dollar rallied today as traders’ sentiment improved and risk appetite after Greek Prime Minister George Papandreou canceled the planned referendum about the austerity measures required to get the bailout. Europe and its financial instability continue to rule the Forex market, but today FX traders have felt some relief. The referendum in Greece, offered by the Prime Minister, was a grave threat to the Eurozone as it could easily lead to expelling of Greece … “No Referendum in Greece, Traders Less Concerned”
Good Reasons for Optimism – Non-Farm Payrolls Preview
The month of October probably saw more gains in jobs, perhaps even better than in the previous month. There are many signs pointing to a strong gain in jobs. The unemployment rate and the “real unemployment rate” are not expected to move. This is likely to weaken the dollar against risk currencies. Here is what … “Good Reasons for Optimism – Non-Farm Payrolls Preview”
Rand Jumps After ECB Cut Rates
The South African rand climbed today after the European Central Bank made an unexpected move by reducing its main interest rate. The first monetary policy meeting of the European Central Bank under leadership of the new President Mario_Draghi provided a surprise as the key minimum bid rate was reduced by 25 basis points to 1.25 percent. The rand reacted positively to the news as lower interest rates reduces pressure on the frail economy of the European Union … “Rand Jumps After ECB Cut Rates”
Papandreou’s Brilliant Political Maneuver
This seems like a brilliant political maneuver by the Greek Prime Minister Papandreou: the announcement of a referendum shuffled all the cards in Greece, and Papandreou may not only avoid quitting, but also emerge as the winner. This is the chain of events and a possible outcome: Papandreou was under pressure from the people, the … “Papandreou’s Brilliant Political Maneuver”
UK Pound Gains as ECB Cuts Rates Unexpectedly
In a surprise move today, the ECB announced a rate cut of 25 basis points. The cut to 1.25 percent, the first move by new ECB president Mario Draghi, surprised nearly everyone. The move has given the UK pound some strength against the euro, and provided the pound with some strength against other currencies as well. As expected, the Bank of England is holding its own rate steady at 0.5 percent. Additionally, the BOE is … “UK Pound Gains as ECB Cuts Rates Unexpectedly”