The realities of what’s happening in the Europe are weighing on the euro today, and even better news out of the United States can’t boost risk appetite enough to help. Mario Draghi’s remarks during yesterday’s ECB policy announcement were less than inspiring, and the latest news on the US economy only serves to highlight differences. The latest US nonfarm payrolls report has been released, and the news is generally good. In February, the US economy … “European Realities Keep the Euro Down Today”
Month: March 2013
Japanese Yen Heads Lower as Forex Traders Consider New BOJ Head
Yesterday, the Bank of Japan reached a decision to keep its monetary policy steady, and even rejected the idea of increasing monetary stimulus. However, the yen is still down across the board as Forex traders contemplate the end of Shirakawa’s time as head of the BOJ. The Bank of Japan decided against dramatic changes to monetary policy yesterday, but many Forex traders think that there is more yen weakness on the way. The new head of the BOJ … “Japanese Yen Heads Lower as Forex Traders Consider New BOJ Head”
Unexpected Chinese Trade Surplus Makes Yuan Stronger
The Chinese yuan appreciated today as the nation’s trade balance posted an unexpected surplus, improving the market sentiment and increasing the appeal of China’s assets. According to the Customs General Administration of China, China’s trade balance posted a surplus of $15.3 billion in February after demonstrating a surplus of $29.2 billion in the previous month. Traders counted on a deficit of $8.8 billion. It was a nice surprise and the yuan reacted positively to the news. USD/CNY fell 0.06 percent to 6.2163 … “Unexpected Chinese Trade Surplus Makes Yuan Stronger”
Dollar Loses to Euro, Jumps to Highest Since 2009 vs. Yen
The US dollar fell sharply against the euro yesterday and stayed little changed today. The US currency was flat versus the Great Britain pound, while against the Japanese yen it reached the highest level since August 2009. The euro was strong against most currencies after European Central Bank President Mario Draghi said in the statement after the policy meeting: As regards 2013, recent data and indicators suggest that … “Dollar Loses to Euro, Jumps to Highest Since 2009 vs. Yen”
Improving Canadian Trade Balance Makes Loonie Stronger
The Canadian dollar jumped against its US peer yesterday, but backed off a little today. The currency maintained its gains versus the Japanese yen. The euro was too strong after the European Central Bank policy meeting and the loonie could not compete with the shared European currency. The Canadian trade balance deficit narrowed from C$332 million in December to C$237 million in January. Market participants have feared that … “Improving Canadian Trade Balance Makes Loonie Stronger”
UK Pound Gets Boost from BOE Decision
UK pound is getting a boost against its low-beta counterparts today, thanks to the latest decision from the Bank of England. A touch of risk appetite is also helping the pound against currencies like the dollar and the yen, but the euro continue to dominate the pound. The Bank of England announced earlier today that it would keep the rate at 0.5%, and that it would keep its asset purchases at the current level. There is … “UK Pound Gets Boost from BOE Decision”
Euro Gains on ECB, US Jobs Report
Euro is gaining ground today, after some recent disappointments, thanks to the latest move from the European Central Bank. Additionally, risk appetite is making an appearance today on the news that the latest US unemployment data shows some continued improvement in the labor market. The ECB, as expected, kept its interest rate the same. Mario Draghi was a little vague about what he thinks about the runaway performances in equities, … “Euro Gains on ECB, US Jobs Report”
AUD Rallies Even as Trade Gap Unexpectedly Widens
The Australian dollar managed to rise today even after the data showed that the trade balance deficit widened, surprising traders who have expected it to decline. The Australian trade balance posted a deficit of A$1.057 billion in January, up from A$0.69 billion in the previous month. Analysts have expected a decrease to A$0.51 billion. Yet Forex market participants were not particularly worried as they did not expect the Reserve Bank … “AUD Rallies Even as Trade Gap Unexpectedly Widens”
EUR/USD: Trading the US Non-Farm Employment Change Mar 2013
US Non-Farm Employment Change measures the change in the number of newly employed people in the US, excluding workers in the farming industry. A reading which is higher than the market forecast is bullish for the dollar. Here are the details and 5 possible outcomes for EUR/USD. Published on Friday at 13:30 GMT. Indicator Background … “EUR/USD: Trading the US Non-Farm Employment Change Mar 2013”
Yen Drops Even as BoJ Leaves Policy Unchanged
The Bank of Japan left its interest rates and the size of the asset purchase program unchanged today. The Japanese yen dropped after the news. The BoJ left interest rates near zero during today’s meeting, which was the last with Masaaki Shirakawa as an acting leader. One member of the board suggested an introduction of an open-ended asset-purchase program, but others voted against this proposal. Market participants viewed such suggestion as laying down … “Yen Drops Even as BoJ Leaves Policy Unchanged”