The Canadian dollar fell today even after the US Federal Reserve announced that it is going to expand the stimulating measures. The currency surprised traders as it managed to advance versus the Japanese yen. The Fed announced today that it expanded its Operation Twist: The Committee also decided to continue through the end of the year its program to extend the average maturity of its holdings of securities. Specifically, the Committee intends to purchase Treasury … “Canadian Dollar Falls Even After Fed Extends Operation Twist”
Month: June 2012
Franc, SNB & Euro-Peg: Can Swiss Central Bank Maintain Ceiling?
The Swiss National Bank took an unprecedented step to weaken the franc as it introduced a cap of 1.20 francs per euro back in September 6, 2011. The move followed several years of unsuccessful attempts to devaluate the currency. The announcement immediately met criticism from skeptics who did not believe that such a ceiling is sustainable. Was the intervention successful and, what is even more important, can the central bank to maintain … “Franc, SNB & Euro-Peg: Can Swiss Central Bank Maintain Ceiling?”
NOK Rises as Norges Bank Signals Rate Hikes are Possible in 2013
The Norwegian krone climbed today after Norway’s central bank left its key policy rate unchanged and signaled that there is a possibility of interest rate hike next year. Norges Bank kept its main interest rate at 1.5 percent today. The bank explained that domestic fundamentals are good, but the European debt issues threaten the nation’s economy: The level of uncertainty surrounding developments in Europe is now … “NOK Rises as Norges Bank Signals Rate Hikes are Possible in 2013”
EUR/USD at Strong Resistance Before the FOMC – Short
EUR/USD is close to the weekly highs just before the FOMC meeting. Expectations are high for more monetary stimulus. However, there are many reasons to believe that the Federal Reserve will not announce any new policy this time. With the pair close to resistance, this could be a short opportunity. Update: Indeed a short opportunity, … “EUR/USD at Strong Resistance Before the FOMC – Short”
UK Pound Gets Boost Against the US Dollar
UK pound is getting a boost today, heading higher against the US dollar as Forex traders sell the greenback ahead of the upcoming FOMC monetary policy announcement. This rebound comes after losses due to Bank of England minutes. Pound is ready to come roaring back against the US dollar, even as it looks for stability against the euro. Earlier in the session, UK pound saw some losses with the release of the Bank … “UK Pound Gets Boost Against the US Dollar”
Japanese Yen Trades Mixed in Forex Trading
Japanese yen is mixed in Forex trading today, gaining against the US dollar, but moving lower against the euro and the UK pound. Yen received a boost earlier as traders bought on its attractive levels, but the Japanese currency has since pared some of its gains against the US dollar and pulled back against the euro. For the most part, yen trading has been relatively quiet today. Forex traders have … “Japanese Yen Trades Mixed in Forex Trading”
USD/JPY: Trading the US jobless claims June 2012
The US Unemployment Claims, a key indicator, is released weekly. It measures the number of people who filed for unemployment for the first time during the previous week. 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 … “USD/JPY: Trading the US jobless claims June 2012”
NZ Dollar Falls on Europe’s Problems, Pares Losses on US QE
The New Zealand dollar fell today on renewed concerns about debt problems in countries of Europe, particularly Spain. The losses were trimmed as anticipation of a third round of quantitative easing from the US Fed lifted traders’ mood. The yield on Spanish bonds maturing in 10 years reached 7.04 percent yesterday. Greece, Ireland and Portugal have required a bailout after their benchmark borrowing costs rose past 7 percent. That means … “NZ Dollar Falls on Europe’s Problems, Pares Losses on US QE”
Brazilian Real Gains Amid Speculations About QE
The Brazilian real gained today against the US dollar as speculations that the US Federal Reserve would stimulate the economy bolstered riskier assets, weakening the US currency at the same time. The Federal Reserve has started its two-day meeting today and will announce its monetary policy decision tomorrow. The recent stream of bad macroeconomical data led to speculations that the US central bank will turn to a policy known as quantitative easing. … “Brazilian Real Gains Amid Speculations About QE”
Australian Dollar Gains Amid Renewed Optimism of Forex Traders
The Australian dollar rose against the Japanese yen and the US counterpart, though retreated versus the euro, as risk appetite again reappeared among Forex traders after Spain met its target on a debt auction and amid speculations about quantitative easing from the Federal Reserve. Worries about the eurozone and its problems eased, while speculators were hoping that the Fed would announce more stimulating measures tomorrow. Resulting optimism translated … “Australian Dollar Gains Amid Renewed Optimism of Forex Traders”