Last Friday, the monthly jobs report came out stating that the US economy created 165,000 new jobs in April versus 146,000 expected; additionally the unemployment rate fell to 7.5%. This was viewed as positive news as evidenced by the markets on Friday. The Dow hit the 15,000 mark and the news was cheered by the … “Jobs Report?”
Month: May 2013
Positive Fundamentals Lead to Week of Strength for Sterling
The Great Britain dollar was rallying this week as positive macroeconomic data confirmed economic recovery in the country that recently emerged from recession. Fundamentals outside of Britain also helped the currency. The reports about manufacturing and services were better than expected, boosting the pound, but even negative reports did not affect the currency in a negative manner. The sterling advanced versus the US dollar on quantitative easing from the Federal Reserve … “Positive Fundamentals Lead to Week of Strength for Sterling”
Euro Heads Higher on US Economic Data
Euro is heading higher today, even in the midst of a deteriorating outlook for the eurozone. The risk appetite prompted by a better than expected jobs report out of the United States is helping high beta currencies around the world, never mind the fundamentals. Earlier, the European Commission warned that the recession in the eurozone is expected to worsen, and the unemployment is expected to be a problem as well. This is in sharp contrast to the US economy, which saw … “Euro Heads Higher on US Economic Data”
Aussie Gains as Risk Appetite Surges in Markets
Australian dollar is gaining ground today, heading higher as risk appetite surges in the markets. Even though gold is struggling a bit today, the Aussie has the upper hand against its major counterparts as investors enthusiastically cheer the latest US economic data. Recent disappointments out of China are fading a bit today as US economic data steals the show and sends risk appetite soaring. The Australian dollar is heading … “Aussie Gains as Risk Appetite Surges in Markets”
April US Non-Farm Payroll rose 165,000
The April US Non-Farm Payroll number rose 165,000.Unemployment rate fell to 7.5%, the lowest since December, 2008 Average earning up 0.2%March number revised up from 88,000 to 138,000February number revised up from 268,000 to 332,000
UK Services PMI Adds to Strength of Pound
The Great Britain pound rose today as data showed that the service sector expanded last month faster than was expected, adding to signs of economic recovery in the United Kingdom. The Markit/CIPS UK Services Purchasing Managers’ Index rose from 52.4 in March to 52.9 in April. Analysts have expected it to stay little changed. Today’s data added to the previous positive reports, proving that the UK economy is indeed on track … “UK Services PMI Adds to Strength of Pound”
Yuan Firm on Hopes for Capital Inflows
The Chinese yuan was strong today together with other Asian countries on hopes that monetary stimulus in developed nations will result in higher capital inflows into the region. Domestic fundamentals were less supportive for the currency though. Quantitative easing from the Federal Reserve and the European Central Bank fueled speculations that investors will be courageous enough to seek higher yield in China and other Asian markets. Such talks … “Yuan Firm on Hopes for Capital Inflows”
“Buy the rumor, sell the fact” mentality ahead of Non
A very busy week of economic releases and central bank meetings comes to an end this morning with the release of US April non-farm payroll and that month’s unemployment rate. Analysts are calling for a increase in jobs of 155,000 in April compared to March’s increase of 88,000. Traders however, are a bit more skeptical … ““Buy the rumor, sell the fact” mentality ahead of Non”
CAD Loses to USD, Gains on EUR & JPY
The Canadian dollar fell today after a successor to the position of the Bank of Canada head was announced. The currency managed to gain against the euro and the Japanese yen. Stephen Poloz, the leader of Canada’s export credit agency, will replace the incumbent BoC Governor Mark Carney, who will take the leadership of the Bank of England. Market participants speculated that the new Governor may be more inclined to ease monetary policy. Such talks weakened … “CAD Loses to USD, Gains on EUR & JPY”
Dollar Climbs on Positive Data & ECB Rate Cut
The US dollar rallied today following yesterday drop as macroeconomic data from the United States was better than market participants have hoped for. The currency was especially strong versus the euro after the European Central Bank slashed its main interest rate. Basically all US fundamental reports were good today, totally opposite to the yesterday’s data. The US trade balance deficit shrank from $43.6 billion … “Dollar Climbs on Positive Data & ECB Rate Cut”