The Japanese yen advanced today after Japan posted trade balance surplus in February and as concerns about the possible North Korean rocket launch increased demand for the yen as a safe haven. Japan’s current account had a 1.18 trillion surplus in February after it posted a deficit in January. The average forecast was a 1.12 trillion surplus. North Korea is rumored to plan a long-range rocket launch that would follow underground nuclear … “Yen Climbs on Japan’s Current Account Surplus”
Month: April 2012
Weekly Summary: Dollar’s Rally Unfazed by Prospect of QE
The US dollar had a strong rally this week on the signs that the Federal Reserve will refrain from quantitative easing. The speculation about easing reemerged by the end of the week, but didn’t influence the rally to a high degree. The first important event this week was the release of the Federal Open Market Committee monetary policy minutes on April 3. The minutes showed that most members of the Committee don’t think that additional stimulus … “Weekly Summary: Dollar’s Rally Unfazed by Prospect of QE”
Canadian Dollar Slides on US Payrolls & European Debt Problems
The Canadian dollar slipped as US nonfarm payrolls disappointed Forex market participants, rising far less than was expected, and on reemerging concerns about the debt problems in Europe. US nonfarm employment advanced by 120,000 jobs in March. That’s not a bad figure by itself, but it’s significantly below the market expectations of 207,000. On the bright side, the increase in the preceding month was revised upwardly and the unemployment rate unexpectedly went down from … “Canadian Dollar Slides on US Payrolls & European Debt Problems”
UK Pound Takes the Upper Hand
UK pound is higher today, gaining as things take a turn toward the positive. The news that stimulus is unlikely to come in the eurozone is helping the pound against the euro, and disappointing news in the United States is helping the pound against the US dollar. Sterling is higher against the euro today, thanks to remarks from Mario Draghi to the effect that inflation remains a problem in the eurozone. It seems unlikely that the ECB … “UK Pound Takes the Upper Hand”
Euro Mixed On Remarks from Mario Draghi
Euro is mixed today, dropping against the UK pound, but rising against the US dollar. The economic news today is offering a little uncertainty, and resulting in a degree of choppiness in trading. Earlier, Mario Draghi, president of the European Central Bank, said that the fear of inflation was high in the 17-nation currency zone. This news came as a surprise to many, who had hoped that the ECB would take steps to stimulate the economy … “Euro Mixed On Remarks from Mario Draghi”
Dollar Harmed by Worse-Than-Expected Non-Farm Payrolls
The US dollar weakened today as non-farm payrolls came out somewhat disappointing, increasing prospects for a next round of quantitative easing by the Federal Reserve and reducing appeal of the greenback. Non-farm employment rose by 120,000 jobs in March. That’s significantly below the market expectation of 207,000. The February reading was revised from 227,000 to 240,000. The unemployment rate managed to fall from 8.3 percent to 8.2 percent despite the slowing employment growth, even though … “Dollar Harmed by Worse-Than-Expected Non-Farm Payrolls”
5 Reasons Why the Weak Non-Farm Payrolls Could Be
The US dollar is weaker on the very disappointing gain in US non-farm jobs: only 120K. The small drop in the unemployment rate to 8.2% is “blamed” for the drop in the participation rate. But not all is bad in the US jobs report. Here’s why it could be only a temporary pause. Participation: Let’s start with … “5 Reasons Why the Weak Non-Farm Payrolls Could Be”
Franc Fluctuates Near Ceiling
The Swiss franc was struggling today as it nears the ceiling set by the Swiss National Bank, testing the resolve of interim Chairman Thomas Jordan to keep the policy of making the currency weaker. The Swissie has breached the cap of 1.20 francs per euro yesterday, but retreated back below the ceiling. It was the first time the franc reached the cap since it was introduced in September last year. Today, the currency fluctuates near … “Franc Fluctuates Near Ceiling”
Canada’s Employment Improves Beyond Expectations, Loonie Profits
The Canadian dollar climbed today, erasing earlier losses against the Japanese yen, as Canada’s employers added much more jobs than was predicted by analysts and as the unemployment rate unexpectedly dropped. Canada’s employment increased by 82,000 jobs in March, following the decline by 2,800 jobs in February. That’s significantly above the expected change by 11,300 jobs. What’s more, the unemployment rate was expected to rise from 7.4% to 7.5%, but it fell … “Canada’s Employment Improves Beyond Expectations, Loonie Profits”
EUR/USD: Trading the US NFP Apr 2012
The Non-Farm Employment Change, released by the US Government, measures the change in the number of employed people in the US, excluding workers in the farming industry. A reading which is higher than the market forecast is bullish for the dollar. Here are the details and 5 possible outcomes for EUR/USD. Published on Friday at 12:30 GMT. … “EUR/USD: Trading the US NFP Apr 2012”