The New Zealand dollar advanced today as risk appetite on markets helped riskier assets, driving commodities higher and increasing the appeal of growth-related currencies. Gold reached the highest level in a month and iron ore was at the highest since April yesterday. The Thomson Reuters/Jefferies CRB Index of commodities closed at the highest rate since May 9. The export-oriented economy of New Zealand depends on prices for raw materials, making its currency stronger when the prices … “Gains of Commodities Make NZ Dollar Stronger”
Month: July 2013
Yuan Gains as Chinese Officials Promise Growth Will Not Slow
The Chinese yuan rallied today as officials’ comments about economic growth improved the traders’ sentiment and attracted them to nation’s assets. Chinese premier Li Keqiang expressed an opinion that growth will not slow below the 7 percent level and even if it decelerate below this mark the government will step in to support the economy. Vice Premier Zhang Gaoli said that the government is going to expand infrastructure and social … “Yuan Gains as Chinese Officials Promise Growth Will Not Slow”
USD/JPY: Trading the US New Home Sales Jul 2013
US New Home Sales is released monthly, and provides analysts with important data on the health and direction of the housing sector. A higher reading than the market prediction is bullish for the dollar. Here are all the details, and 5 possible outcomes for USD/JPY. Published on Wednesday at 14:00 GMT. Indicator Background US New … “USD/JPY: Trading the US New Home Sales Jul 2013”
Can Australian Dollar Maintain Rally for One More Week?
The Australian dollar had rather nice rally last week. Can it keep gains this week or even move higher? Analysts disagree on this matter. There are not many important events over the week, therefore the reasons for the Aussieâs rally should remain in place. The most important of them is Ben Bernankeâs testimony that made investors less concerned about possible trimming of Federal Reserveâs stimulus and more … “Can Australian Dollar Maintain Rally for One More Week?”
AUD/USD: Trading the Chinese Flash PMI Jul 2013
Chinese Flash Manufacturing PMI (Purchasing Managers’ Index) is based on a survey of purchasing managers in the manufacturing sector. Respondents are surveyed for their view of the economy and business conditions in China. A reading which is higher than the market forecast is bullish for the Australian dollar. Here are all the details, and 5 possible … “AUD/USD: Trading the Chinese Flash PMI Jul 2013”
PBoC Removes Floor on Lending Rates, Yuan Down
China’s policy makers made a move to liberalize the economy by removing floor on lending rates, a measure that was welcomed by market participants. Still, the Chinese yuan was weaker today. The People Bank of China removed the floor on lending rates that was previously set on 30 percent below the benchmark rate. Such reform should improve the banking system and encourage economic growth. Not everything was positive today though as the Asian … “PBoC Removes Floor on Lending Rates, Yuan Down”
Franc Rises Even as Jordan Says Currency Ceiling Remains in Place
The Swiss franc gained today even after Swiss National Bank President Thomas Jordan said that the cap on the currency will remain in place as the economy is not healthy enough to tolerate stronger franc. Jordan said during the Group of Twenty meeting on the weekend: We will maintain our current policy for as long as necessary. This monetary policy stance is needed to act within our mandate. He added that … “Franc Rises Even as Jordan Says Currency Ceiling Remains in Place”
Japanese Yen’s Current Gains Probably Temporary
Japanese yen is heading higher today, bouncing following a drop accompanying the latest Japanese election. With Shinzo Abe confirmed in the Prime Minister spot, it appears as though there is a stamp of approval for further measures that are likely to result in more weakness for the yen. After a few years of political turmoil, the fact that Shinzo Abe remains the Prime Minister of Japan is a victory for some sort of political stability. … “Japanese Yen’s Current Gains Probably Temporary”
Euro Gains Against Dollar, Even as Eurozone Debt Swells
Euro is higher against the US dollar today, even with the swelling eurozone debt. However, the greenback is one of the very few major currencies that the euro is gaining against. When compared to other major currencies, the euro is losing ground. The latest eurozone debt information released by Eurostat indicates that government debt is swelling in the 17-nation currency region. The state debt in the euro region rose to 92.2 … “Euro Gains Against Dollar, Even as Eurozone Debt Swells”
Gold price to turn around?
The price of gold broke through the psychological $1300 an ounce level this morning and silver broke through $20. Both these commodities have been victims of sharp falls in 2013. Gold jumped to its highest level in a month on technical buying, also weakness in the US dollar has encouraged buyers into gold, platinum and … “Gold price to turn around?”