The South African rand fell today after the data showed that consumer inflation slowed last month, triggering speculations that the nation’s central bank would cut its interest rates on the next policy meeting. The Consumer Price index fell to 4.9 percent in July from 5.5 percent in June. Analysts expected a drop, but thought it would smaller — to 5.2 percent. The unfavorable domestic fundamentals added to worries … “Rand Falls with Slowing Inflation”
Month: August 2012
US Dollar Gains the Upper Hand Today
US dollar is gaining the upper hand today as uncertainty makes its appearance. At first there was profit taking from yesterday’s gains against the US dollar, but now there is a bit of an edge to the markets as investors and Forex traders await more information. Greenback is gaining against high beta currencies today, particularly the euro and the loonie, as Forex traders wait for the latest round of economic data. There is … “US Dollar Gains the Upper Hand Today”
Japan’s Trade Deficit Widens, EUR/JPY Falls
The Japanese yen advanced today against the euro and was little changed versus the US dollar after the report showed that the nation’s trade balance deficit widened last month, adding to signs of global economic slowdown. The Ministry of Finance reported that Japan’s trade balance posted a deficit of ¥0.33 trillion. That was a little increase from the deficit of ¥0.32 trillion, but the actual value was much smaller than the predicted … “Japan’s Trade Deficit Widens, EUR/JPY Falls”
Canadian Dollar Pulls Back as Risk Aversion Returns
After a bit of optimism, risk aversion is creeping back, and that is pulling the Canadian dollar down against the US dollar. Stocks are pointing to a lower open today, and European stocks are heading lower. However, the recent losses aren’t all due to risk aversion; there’s been some profit taking as well. Yesterday, loonie appreciated to its highest level since early May, thanks to optimism that the ECB … “Canadian Dollar Pulls Back as Risk Aversion Returns”
5 Reasons to Short Gold
The price of gold has been floating in a relatively narrow range. As the summer nears an end, there is a good chance that volatility will return to the precious metal. But in which direction will it go? There are quite a few signs that point to a downfall in prices. Here are 5 reasons … “5 Reasons to Short Gold”
USD/JPY: Trading the US New Home Sales Aug 2012
US New Home Sales is a leading indicator of activity in the US housing sector. The indicator is released on a monthly basis, and helps analysts track consumer spending. A reading that is higher than expected by the market is bullish for the dollar. Here are all the details, and 5 possible outcomes for USD/JPY. … “USD/JPY: Trading the US New Home Sales Aug 2012”
OANDA Reaches a Billion Transactions
US based Forex Broker OANDA, celebrates transaction No. 1,000,000,000. To celebrate this event, OANDA granted prizes to the traders that performed the first three trades following the billionth transaction. OANDA recently won the “Best Global Forex Broker” award from IBTimes. More details about the winners are here: London, August 22, 2012 — OANDA, a provider … “OANDA Reaches a Billion Transactions”
Australian Dollar – Will the Aussie Remain Popular?
The Australian dollar is moving away from its “risk” status. This comes as the world is looking for good investments and doesn’t see the euro and the A$ in the same light anymore. Will this rally find a limit? The Aussie is enjoying some positive factors but not all is rosy down under: Sound metrics: … “Australian Dollar – Will the Aussie Remain Popular?”
NZ Dollar Falls on Pessimistic Outlook for PMI Reports
The New Zealand dollar retreated today as traders were afraid that tomorrow’s reports would show that manufacturing has slowed in China and the eurozone. Decline of manufacturing means falling demand for New Zealand’s exports and, as a result, currency. PMI data for Europe and China will be tomorrow and economists are worried that it would show slowdown of manufacturing. The Federal Reserve will release the minutes of its last policy meeting … “NZ Dollar Falls on Pessimistic Outlook for PMI Reports”
ECB Ready to Start Bond Buying? Traders Hope So — Euro Jumps
The euro jumped today on speculations that the European Central Bank is ready to initiate its program of unlimited bond buying. The shared 17-nation was rising since it has reached the multi-year low in July (and against several currencies it has touched record lows). How long the rally would continue is anybody’s guess. There were rumors that the ECB is ready to start unlimited purchases of sovereign debt … “ECB Ready to Start Bond Buying? Traders Hope So — Euro Jumps”