The Malaysian ringgit fell today as positive data from the United States added to speculations that the Federal Reserve will tamper quantitative easing. Such talks deterred traders from buying riskier currencies. US jobless claims fell from 326,000 to 316,000 last week, while analysts have expected an increase. The consumer sentiment index unexpectedly jumped from 73.2 in October to 75.1 in November. The data suggests that the Fed may … “Fed Tampering Talks Hurt Malaysian Ringgit”
Month: November 2013
USD/CAD: Trading the Canadian GDP Nov 2013
Gross Domestic Product (GDP) is a measurement of the production and growth of the economy. Analysts consider GDP one the most important indicators of economic activity. A reading which is better than the market forecast is bullish for the Canadian dollar. Here are all the details, and 5 possible outcomes for USD/CAD. Published on Friday … “USD/CAD: Trading the Canadian GDP Nov 2013”
Canadian Dollar Drops with Crude Oil
The Canadian dollar dropped today, following the decline of crude oil. The currency was down against the US dollar and the euro, but managed to log gains versus the Japanese yen. Futures for crude oil lost as much as 1.47 percent to $92.30 per barrel in New York today. The drop was caused by the increase of US inventories of crude and by the deal between Iran and world powers. Crude is the major export commodity of Canada, making it … “Canadian Dollar Drops with Crude Oil”
Yen Drops to Multi-Year Lows
The Japanese yen sank today, reaching the lowest level since 2009 against the euro and the weakest rate since 2008 versus the Great Britain pound. The market sentiment was mildly positive, making the currency unnecessary in its role of a safe asset. The Bank of Japan monetary policy minutes suggested that inflation will not reach target by the time set by the central bank. At first, the yen was not bothered by the news. But it … “Yen Drops to Multi-Year Lows”
GBP/USD could be over 1.6500 by Christmas
Cable’s on a roll. The UK economy is improving, consumer and business confidence are rising and crucially so is the all important real estate market. That rosy picture is likely to be reinforced going into Christmas – traditionally a good time for GBP. Conditions are now ideal for GBP/USD to clear tough overhead resistance levels … “GBP/USD could be over 1.6500 by Christmas”
Euro Relief Rally Fades
Earlier, the euro rallied in relief as Germany announced an agreement to form a governing coalition. Concerns about Germany had weighed on the 17-nation currency, but a rally took over. Now, though, that rally is fading and the euro is heading down against some of its major counterparts. As the largest economy in the eurozone, Germany is very influential when it comes to the euro, and when it comes to the performance of the eurozone. Therefore, it has … “Euro Relief Rally Fades”
Soft Economic Data Limits US Dollar
The latest economic data out of the United States is somewhat soft, and that is weighing on the greenback today, limiting its progress. The dollar is lower against its European counterparts, and paring some of its gains against other currencies. US economic data released earlier showed disappointing softness. Durable goods orders in the United States dropped by 2 per cent during October. Expectations were for a 1.7 per cent … “Soft Economic Data Limits US Dollar”
Stable UK Economic Growth Helps GBP to Surge
The Great Britain pound jumped to the highest rate since January against the US dollar and surged to the strongest rate since 2008 versus the Japanese yen today as data showed that the United Kingdom was able to maintain stable economic growth. UK gross domestic product expanded 0.8 percent in the third quarter of 2013 from the previous three months, showing the same rate of growth as in the second quarter. GDP growth was 1.5 … “Stable UK Economic Growth Helps GBP to Surge”
NZD Profits from Shrinking Trade Deficit, Unable to Outperform USD
The New Zealand dollar climbed against the Japanese yen, but fell versus the US dollar today. The New Zealand currency was supported by the unexpected decrease of the nation’s trade deficit, but was unable to outperform its US counterpart. The New Zealand trade balance deficit shrank from NZ$216 million in September to NZ$168 million in October. Analysts expected the gap to widen to $345 million. The data benefited the kiwi, but the threat of Dectaper … “NZD Profits from Shrinking Trade Deficit, Unable to Outperform USD”
GBP/USD Stronger After Carney’s Speech
The Great Britain pound rose against the US dollar and the Japanese yen even as the central bank Governor signaled that an interest rate hike will likely not happen very soon. The currency fell versus the euro. Mark Carney, Governor of the Bank of England, explained yesterday that the 7 percent unemployment level is a “threshold” to reach before considering raising interest rates and timing for reaching it is a “subject to uncertainty”. Carney … “GBP/USD Stronger After Carney’s Speech”