The Canadian dollar was rallying for a third week against the US dollar and the Japanese yen on a back of surging commodity prices. Commodities jumped after the US Federal Reserve announced its intention to keep interest rates low for a prolonged time, leading to weakness of the US currency. The currency was down against the euro for the second week. The most positive event for the Canadian currency this week was the pledge of the Fed to keep rates low till … “Loonie Rallies for Third Week, Going to Upside with Commodities”
Month: January 2012
Franc Rises, Will SNB Intervention Follow?
The Swiss franc rose against the US dollar amid speculations that Greece is struggling to persuade creditors into forgiving part of the nation’s debt. The currency was falling against the euro and the yen on prospects for Swiss central bank’s intervention, but closed almost unchanged. George Saravelos, a foreign-exchange strategist at Deutsche Bank, explained: Central bank intervention could emerge any day now given where we are. How they … “Franc Rises, Will SNB Intervention Follow?”
NZD/USD Rises to Highest Since September as Trade Balance Posts Surplus
The New Zealand dollar closed higher versus its US counterpart as nation’s trade balance posted an unexpected surplus last month. The currency closed lower against the euro and the Japanese yen. New Zealand’s trade balance posted a surplus of NZ$338 million in December after showing a deficit of NZ$307 million. Forecasters promised a deficit of NZ$74 million. The surplus was a result of rising exports and falling imports. Milk powder, butter, and cheese were … “NZD/USD Rises to Highest Since September as Trade Balance Posts Surplus”
Euro Holding On in Forex Trading
Euro is managing to hold to most gains made earlier today, thanks to a bit of hope out of Greece, and disappointing economic data. However, some of the euro’s early gains have been pared, and risk aversion could overpower the 17-nation currency, and send it lower. The situation is quite volatile right now, with conflicting data. US economic data has been disappointing, with the GDP missing estimates, and jobless claims … “Euro Holding On in Forex Trading”
US Dollar Remains Lower
US dollar remains lower on the Forex market, dropping as economic conditions continue to exert downward pressure. Greenback is lower as the latest news comes in about the GDP, and as Forex traders continue to weigh the latest statements from policymakers in the United States. Today, economic numbers from the fourth quarter of 2011 were released, showing that the economy grew by 2.8%. This news was actually disappointing to analysts because many had predicted … “US Dollar Remains Lower”
Ruble Slows Rally vs. Dollar as Bank Rossii Sells Currency
The Russian ruble slowed its rally against the US dollar today on speculation the nation’s central bank sold the currency. The ruble currently is above the opening price, indicating that it may yet continue its rally. The Bank Rossii usually sells the nation’s currency to keep it in the predetermined range, which is now at 32.20 to 38.20. The Russian currency was rising for nine consecutive sessions and appreciated 3.4 percent against … “Ruble Slows Rally vs. Dollar as Bank Rossii Sells Currency”
Iraqi Dinar Gains vs. Dollar, Falls Back to Opening
The Iraqi dinar gained against the dollar today, but fell back to the opening level later as tensions between Sunni, Shiâite and Kurdish political groups intensify, adding to the political turmoil and preventing an introduction of the much needed oil law. The oil law should resolve the disagreement between the central government in Baghdad and semi-autonomous Iraqi Kurdistan in the north over Iraqâs crude oil stockpiles. Country’s political blocks agreed on the law back in 2007, but … “Iraqi Dinar Gains vs. Dollar, Falls Back to Opening”
Roubini: EUR/USD Parity Needed to Avoid Euro-zone Doom
There’s a reason they call him Dr. Doom. Nouriel Roubini, who foresaw the 2008 financial crisis, has a tough prescription for the euro – a 30% cut in value, to get it closer to parity with the US dollar. Without this devaluation, Roubini sees the euro-zone as doomed. A drop in the value of the … “Roubini: EUR/USD Parity Needed to Avoid Euro-zone Doom”
CAD Reaches Parity vs. USD, Retreats
The Canadian dollar reached parity with its US peer yesterday, but retreated today as negative macroeconomic data from the United States decreased willingness of Forex traders to buy riskier currencies. The pledge of the US Federal Reserve to keep its interest rates exceptionally low till at least 2014 was supporting commodities yesterday. Commodities make up about a half of Canada’s export revenue. The Thomson Reuters/Jefferies CRB Index of commodities … “CAD Reaches Parity vs. USD, Retreats”
European Cliff Hanger – Italy
Italy is becoming too similar to Greece: unsustainable debt, a technocrat government run by an ex-banker and slow moves on reforms. Yet contrary to Greece, Italy is too big to bail. And contrary to Greece, Italy’s problem is mostly a liquidity problem rather than a solvency problem. Italy can certainly avoid PSI, IMF intervention and … “European Cliff Hanger – Italy”