The Philadelphia Fed Index is an important leading indicator, based on a survey of manufacturers in the Philadelphia area. It is based on a survey of manufacturers’ opinions of business activity, and as such provides a snapshot of the business climate and sentiment in the US. Here are all the details, and 5 possible outcomes … “EUR/USD: Trading the Philadelphia Index December 14 2011”
Month: December 2011
Chile’s Peso Goes Higher After Central Bank Maintains Key Interest Rate
The Chilean peso rose today before returning to the opening price after Chile’s central bank kept the main interest rate unchanged for the sixth time, but analysts speculate that the adverse economic conditions still may spur the bank to lower the rates. Yesterday, the Central Bank of Chile decided that it’s prudent to keep the monetary policy interest rate at 5.25 percent. Economists predict that the central bank may yet lower … “Chile’s Peso Goes Higher After Central Bank Maintains Key Interest Rate”
Aussie Trades Flat, Australian Consumers Pessimistic
The Australian dollar traded flat today with upward bias even though the report showed an unexpected drop of the consumer sentiment in Australia. The same pattern of sideways trading was seen yesterday in the first half of the trading session, but later most currencies have broken to the downside. Currently it’s hard to tell whether the Forex market would see such breakout today. It’s true that the fundamentals aren’t very good for the Australian … “Aussie Trades Flat, Australian Consumers Pessimistic”
Loonie Weakens as Fed Doesn’t Announce QE3
The Canadian dollar fell yesterday and remained weak today after the US Federal Reserve refrained from performing another round of quantitative easing, supporting the US currency. The negative sentiment about Europe also continues to put downward pressure on Canada’s currency. The Federal Open Market Committee performed yesterday its last meeting this year. The FOMC reiterated its pledge to keep the interest rates exceptionally low, but didn’t mention … “Loonie Weakens as Fed Doesn’t Announce QE3”
USD/JPY: Trading the Tankan Manufacturing Index
The Tankan Manufacturing Index is an important leading indicator, based on a survey of about 1200 large Japanese manufacturers, who are asked for their opinion on general business conditions. As such, the index helps provides a picture of the current business climate in Japan. A reading which exceeds the forecast is bullish for the yen. … “USD/JPY: Trading the Tankan Manufacturing Index”
Lose-Lose Situation for the Euro
If the ECB continues its policy regarding bond buying, the euro is set to fall. If it launches QE, it will likely follow the path of the greenback after QE2, with one specific euro cross set to gain. Christopher Vecchio of DailyFX analyzes the current situation of the euro, the bright side for the pound in the … “Lose-Lose Situation for the Euro”
US Dollar Rises Slightly Against Pound, Euro
US dollar is rising slightly against the pound and the euro, reversing some earlier weakness against the currencies earlier. In earlier trading, greenback slipped as speculation began that the Fed would end its policy of low interest rates before the middle of 2013. Today marks the beginning of the last Federal Reserve meeting of the year, and there are indications that recent progress for the US economy will render easing measures unnecessary. The news … “US Dollar Rises Slightly Against Pound, Euro”
UK Pound Looks for Success Against the Euro
UK pound is heading higher against the euro right now, thanks to the news that Moody’s is planning to review many of the countries in the eurozone. The possibility of downgrades has been floated, and that is impacting the euro in its performance against the pound. Indeed, the pound has been alternating between gains and losses against the euro for the last little while. News from Great Britain, indicating that home prices rose over … “UK Pound Looks for Success Against the Euro”
FOMC Preview: 3 Reasons for No Changes and 3 For Action
The FOMC will likely remain on the sidelines for a second meeting in a row. The balance between the different members remains unchanged and so do indicators. Any action by the Fed will indicate a very worrying situation among banks, probably on the other side of the Atlantic, but the chances are small. The only hope … “FOMC Preview: 3 Reasons for No Changes and 3 For Action”
NZD/USD Rises on US & Europe’s Fundamentals
The New Zealand dollar edged higher today after the fundamental reports from Europe improved the market sentiment somewhat, while the report about the US retail sales later today is expected to show growth. The currency dropped heavily yesterday. The trading on the Forex market is rather dull today. Most currencies move sideway and the New Zealand dollar isn’t exception. The news from Europe was good enough to negate the pessimism, … “NZD/USD Rises on US & Europe’s Fundamentals”