Spain is currently the epicenter of the debt crisis. The euro-zone’s fourth largest economy suffers from a wide range of problems, with the unemployment rate of 24.4% being the worst. High debt, like in Spain or Greece, isn’t Spain’s problem. So far. The bigger financial issue lies is with the financial sector. With banks losing … “Will Spain Follow Ireland or Iceland?”
Month: May 2012
GBP/USD: Trading the British Manufacturing May 2012
The British Manufacturing Production indicator provides analysts and traders with a snapshot of the health of the manufacturing sector. A reading which is higher than the market prediction is bullish for the pound. Here are all the details, and 5 possible outcomes for GBP/USD. Published on Thursday at 8:30 GMT. Indicator Background The British Manufacturing … “GBP/USD: Trading the British Manufacturing May 2012”
Taiwan Dollar Fluctuates, Will Central Bank Allow Currency Appreciate?
The Taiwan dollar fluctuated today as the impact of the general negative sentiment on the Forex market battled with the influence of speculation that the nation’s central bank will allow the currency appreciate. Analysts speculate that Taiwan’s central bank will tolerate gains of the currency to stem growth of inflation even as the strong currency puts pressure on exporters. Inflation accelerated to 1.44 percent in April from a year ago after consumer prices increased 1.25 percent … “Taiwan Dollar Fluctuates, Will Central Bank Allow Currency Appreciate?”
AUD Drops as Trade Balance Deficit Unexpectedly High
The Australian dollar dropped today, trading near this year’s lows, as a government report showed that the nation’s trade balance deficit in March was bigger than estimated by specialists. Australia’s trade balance registered a deficit of A$1.587 billion in March, compared to experts’ forecast of A$1.380 billion. The February shortage was revised from A$0.480 billion to A$0.754 billion. The poor data made traders afraid that Australia’s economic growth is … “AUD Drops as Trade Balance Deficit Unexpectedly High”
USD/JPY: Trading the Japanese Current Account May 2012
The Japanese Current Account measures the difference between imported and exported goods, services and other transfers. A reading which is higher than the market forecast is bearish for the dollar. Here are all the details, and 5 possible outcomes for USD/JPY. Published on Thursday at 23:50 GMT. Indicator Background Similar to the Trade Balance indicator, analysts track the level of … “USD/JPY: Trading the Japanese Current Account May 2012”
Euro Sinks Under Political Weight
Euro is sinking right now, forced down by the political situation in the eurozone. Concerns about what’s next for the 17-nation currency zone are dragging down the euro as Forex traders look for safety, and choosing the US dollar and the Japanese yen instead. Euro is struggling as the political situation in the eurozone deteriorates. For the most part, the focus is on Greece. The country has been unable to form a new government, and there are already rumblings of another … “Euro Sinks Under Political Weight”
Rand Falls to Lowest at Three Weeks as Head of Roads Agency Resign
The South African rand dropped today to the three-week low after head of the national roads agency resigned, spurring talks that South Africa’s budget deficit will grow as the country will be required to repay debts of the agency. The South African National Roads Agency (usually called Sanral) planned to start electronic tolling on 185 kilometers of roads around Johannesburg, but the Pretoria High Court last month made the agency to postpone … “Rand Falls to Lowest at Three Weeks as Head of Roads Agency Resign”
US Dollar Index Retains Modest Gains
US dollar index is retaining its earlier modest gains today as risk aversion sets in. Concerns about the Greek drama playing out, as wells concerns about the state of the global economy, are weighing on riskier assets. Greenback is being sought as a safe haven, with the US dollar index likely to pick up steam. Although the economic recovery in the United States continues to move slowly, it is still … “US Dollar Index Retains Modest Gains”
Pound Falls on Negative House Price Balance
The Great Britain pound dropped today house price balance fell last month more than was predicted by analysts, spurring speculation that additional stimulus from the Bank of England should be expected. The Housing Market Survey of Royal Institution of Chartered Surveyors showed that the house price balance fell from -11 in March to -19%. That means that 19 percent more surveyors reported price declines than … “Pound Falls on Negative House Price Balance”
Israel’s Grand Coalition Reduces Chances of War with Iran
In a last minute deal, Israel’s largest party joined the government to form a grand coalition and push back planned elections to the end of 2013. The politicians in this government are mostly committed to remain in their seats, and not rocking the boat in the near future. This certainly reduces the chances of a … “Israel’s Grand Coalition Reduces Chances of War with Iran”