The Australian dollar advanced today, rising for the third straight session against the US dollar and the Japanese yen, as Australia’s economy grew in the first quarter more than analysts predicted. The currency also rose as Asian shares gained, bolstering demand for higher-yielding assets. Australia’s gross domestic product expanded 1.3 percent in the first quarter of 2012 from the preceding quarter. Additionally, the previous reading was revised upwardly from 0.4 percent to 0.6 … “Aussie Climbs for Third Session as GDP Growth Beats Forecasts”
Month: June 2012
Yen Drops as G7 Does Not Object Interventions
The Japanese yen dropped today after Finance Minister Jun Azumi said that the Group of Seven is not going to object interventions to contain big currency move. That leaves room for more attempts to weaken the currency by the Bank of Japan. Azumi stated: I said at todayâs conference that I want G-7 members to share this agreement, which states that excessive and disorderly moves of foreign exchange rates would have a bad … “Yen Drops as G7 Does Not Object Interventions”
Loonie Advances as Bank of Canada Suggests Interest Rate Hike
The Canadian dollar climbed today after the Bank of Canada left its key overnight rate at 1 percent and hinted that interest rates hikes may follow in the future despite weakening global economic growth. Canada’s central bank left its target interest rate at 1 percent. The BoC said in the statement: To the extent that the economic expansion continues and the current excess supply in the economy is gradually absorbed, some modest withdrawal … “Loonie Advances as Bank of Canada Suggests Interest Rate Hike”
AUD/USD: Trading the Australian jobs Jun 2012
The Australian Employment Change indicator, released monthly, is an important leading indicator which often has a significant impact on the markets. Traders and analysts carefully examine employment figures, looking for any trends which could affect the movement of AUD/USD. A reading which is higher than the market forecast is bullish for the Australian dollar. Here are the details and 5 possible outcomes for AUD/USD. Published on … “AUD/USD: Trading the Australian jobs Jun 2012”
Won Drops as Traders Skeptical About G7 Meeting
The South Korean won declined today as members of the Group of Seven meet today. Forex market participants do not believe that the meeting will bring anything new and expect only more talks about how bad the crisis is. Risk aversion rules the FX market and riskier currencies suffer from it. Commodities also reacted negatively to pessimism among traders, hurting prospects for emerging economies that are usually … “Won Drops as Traders Skeptical About G7 Meeting”
Aussie Rate Cut Affects Performance Only Slightly
Aussie’s performance has been affected only slightly today after a Reserve Bank of Australia rate cut. Aussie is a recovering against the US dollar today, due mostly to general risk aversion, while the Down Under currency gains slightly against European currencies. Most Forex traders were expecting a rate cut from the RBA, so today’s cut hasn’t come as a surprise. Some had expected a bigger rate … “Aussie Rate Cut Affects Performance Only Slightly”
UK Pound Down Against US Dollar, But Higher Against Euro
UK pound is down against the US dollar today, but higher against the euro. Once again, the interesting place the UK pound finds itself in is contributing to its mixed performance. The pound is heading lower against the US dollar as risk appetite dissipates, and higher against the euro as the pound represents a European safe haven. Even after Egan-Jones Rating Company downgraded the UK pound to AA- from AA, the sterling … “UK Pound Down Against US Dollar, But Higher Against Euro”
GBP/USD: Trading the British Construction PMI
The British Construction PMI is based on a survey of Purchasing Managers in the construction industry. The survey includes about 170 respondents, who are surveyed for their view of a wide range of business conditions, including employment, new orders, prices and inventories. A reading which is higher than the market forecast is bullish for the pound. Here … “GBP/USD: Trading the British Construction PMI”
Ruble Goes Higher with Oil Prices & Central Bank’s Support
The Russian ruble advanced today for the second day as the nation’s central bank stepped up to support the currency and crude oil, the main Russia’s export, rebounded after reaching a lowest level in more than a year. The Bank Rossii (Russia’s central bank) boosted its sales of foreign currencies to $250 million to $300 million yesterday as a measure to support the ruble. Brent crude oil gained yesterday after reaching the lowest level since January … “Ruble Goes Higher with Oil Prices & Central Bank’s Support”
AUD/USD: Trend-line Test; Recovery Underway
The Aussie moved lower in the past week as expected, and hit a projected Fibo ratio; 2.00 x wave (1) before reversed to the upside. AUD USD Elliott Wave Analysis – Click image to enlarge Notice that current recovery is now already testing falling EW channel resistance line, where a breakout will definitely put wave … “AUD/USD: Trend-line Test; Recovery Underway”