The year began with ending the unfinished business left from 2012: the fiscal cliff. Politicians did kick some of the issues down the road, with the sequester awaiting us in February. However, markets are far more optimistic that solutions will be found – or are willing to buy temporary solutions as full ones. Regarding the … “US: Slow improvement and far less political uncertainty”
Month: February 2013
In Order to Weaken the Euro, the ECB Should Suspend
The ECB’s OMT is seen the ultimate bazooka that backstops the debt crisis: it is so big and comes from such a powerful factor. However, this bazooka also has adverse effects: it curbs the enthusiasm for reform and also pushes the value of the euro higher. After Draghi showed us that he is not shy … “In Order to Weaken the Euro, the ECB Should Suspend”
Euro’s Huge Weekly Drop After ECB Meeting
The euro posted a huge drop this week, falling against most of other major currencies. The shared 17-nation currency dropped for the first week in five against the Great Britain pound and the first time in seven weeks against the Japanese yen. The week started with a decline of the euro, but at that time it did not look anything but a minor correction after an incredible rally. The currency rose a bit ahead of the European Central … “Euro’s Huge Weekly Drop After ECB Meeting”
Central Bank of Brazil Intervenes to Curb Real’s Gains
The Brazilian real fell, erasing gains as the central bank intervened to curb the rally of the currency. The real was rising previously as Finance Minister Guido Mantega hinted that the government will allow appreciation of the currency. The Banco Central do Brasil (the Brazilian central bank) intervened to stem appreciation of the real, offering reverse foreign-exchange swaps for the first time since October. Previously, the currency had rallied as Mantega said that the government may allow … “Central Bank of Brazil Intervenes to Curb Real’s Gains”
Loonie Weakened by Falling Employment
The Canadian dollar slid today after a report showed that employment fell in Canada last month, adding to concerns about slowing economic growth in the country. The currency fell even as other macroeconomic data was rather positive. Canadian employment fell 21,900 in December, being much worse even than the pessimistic forecast that has promised growth by 4,500. At the same time, the number of people looking for work declined, pushing the unemployment … “Loonie Weakened by Falling Employment”
Apiary Fund Teaches Traders Via Management of an Investment
Utah based Apiary Fund has launched a very interesting educational service: traders are given sub-accounts within the fund and begin seeking short and long term opportunities. Apiary assumes traders’ losses and makes its money via tuition fees. For more, here is the official press release: Lindon, UTAH (Feb. 8, 2013) – Apiary Fund (www.apiaryfund.com) is … “Apiary Fund Teaches Traders Via Management of an Investment”
Taro Aso’s Remarks Help Strengthen the Japanese Yen
Japanese yen is heading higher today, thanks in large part to comments made by Japan’s finance minister. The idea that the yen has depreciated too far has many ready to buy on the hopes that the government won’t be stepping in to weaken the yen in the near future. Japanese finance minister Taro Aso said that the yen’s rapid depreciation in recent months was more than the government expected. The yen dropped dramatically … “Taro Aso’s Remarks Help Strengthen the Japanese Yen”
US Dollar Mixed Even as Risk Appetite Makes an Appearance
US dollar is mixed today, even as a measure of risk appetite returns to the markets, with equities moving higher and indicating an interest in riskier assets. Concerns about the economy remain, though, and there is plenty of pause to provide a mixed performance for the greenback. Even though the US dollar is mixed in its performance against other currencies, the dollar index is lower today. Optimism about the eurozone is helping the risk situation, … “US Dollar Mixed Even as Risk Appetite Makes an Appearance”
AUD/JPY Ready For Short
AUD JPY Technical Analysis – Click image to enlarge For the last six months the AUD/JPY par was trading in a upward movement, today we want see where can this exotic currency pair go in the next few weeks. So let’s start! Guest post by Nicola Delic of the ND- Blog. Technical View If you look at … “AUD/JPY Ready For Short”
AUD/USD Falls on RBA Forecast, AUD/JPY Gains
The Australian dollar fell against the Japanese yen today after the Reserve Bank of Australia reduced its inflation and growth forecasts. The currency gained versus its US counterpart. The RBA predicted that Australian economic growth will be “below trend” near 2.5 percent in 2013, down from the previous projection of 2.75 percent. Consumer price inflation is expected to reach 3 percent by June 2013, while price growth … “AUD/USD Falls on RBA Forecast, AUD/JPY Gains”