USDJPY has dropped spectacularly in recent days. Amazingly on January 1st 2012 USDJPY was trading at 86 and before Abe was elected Prime Minister of Japan it was trading even lower. The first phase of USD/JPY strength was driven by the aggressive $1.4 trillion stimulus program announced by the Bank of Japan on April 4th … “USDJPY: 110 via 100?”
Month: February 2014
UK Data Misses Forecasts, Pound Drops
UK economic data has once again missed forecasts, and that is causing a drop for the pound against nearly all of its major counterparts. Pound is struggling today as traders become concerned that Bank of England policymakers will keep interest rates lower for an extended period of time. The disappointing data overwhelmed the news that home prices rose in January. The latest UK manufacturing data indicates that expansion was … “UK Data Misses Forecasts, Pound Drops”
Euro Moves Higher In Spite of Global Market Volatility
Euro is gaining some ground today, even after the difficulties seen with emerging markets and with risk appetite falling. Risk sentiment is fading, but the euro is managing to pull out some gains anyway. Concerns about emerging markets are once again surfacing as Russian manufacturing shrinks and traders are reminded of the recent data out of China that was so disappointing. Additionally, there is … “Euro Moves Higher In Spite of Global Market Volatility”
Thai Baht Rallies After Elections, Rally Sustainable?
The Thai baht gained today as yesterday’s elections in Thailand ended without any significant violence. The currency is still in danger as political turmoil persisted, endangering the country’s economy and spoiling the investing climate. Prime Minister Yingluck Shinawatra initiated elections in hope to quell unrest in the country. And it looks like she failed in achieving such goal. In fact, protesters prevented voting in some areas, meaning that the elections may be annulled. … “Thai Baht Rallies After Elections, Rally Sustainable?”
Poor Start of Week for South Korean Won
The South Korean won dropped today as poor macroeconomic data from China and quantitative easing tapering from the Federal Reserve resulted in risk aversion that hurt currencies of emerging markets. The week started with poor market sentiment as China’s manufacturing Purchasing Managers’ Index was released over the weekend, showing a drop from 51.0 in December to 50.5 in January. Such reading was expected and it still indicates expansion of the sector, … “Poor Start of Week for South Korean Won”
Forex Crunch Key Metrics January 2014
The new year brought with it a fresh interest in forex trading and the highest page views since September 2013. January 2014 saw a rise of 31% in page views over January 2013. The volatility in the markets with the multi-year breakouts in a few currency pairs certainly helped. Will EUR/USD return to center stage … “Forex Crunch Key Metrics January 2014”
QE Tapering Leads to Good Week for US Dollar
The most important event for the US dollar this week was the monetary policy meeting of the Federal Reserve. At first, it looked like the event is not going to help the greenback much, but in the end the currency shot out to the upside with the help of quantitative easing tapering. The dollar was not particularly strong at the start of the week. Interest rate hikes from the central banks of India and Turkey resulted in risk appetite on the Forex market … “QE Tapering Leads to Good Week for US Dollar”
Yen Ends January on Strong Note
The Japanese yen continued to rise against other most-traded currencies as the market sentiment favored safe assets, making the Japanese currency more attractive for investors. The risk sentiment, which was previously in favor of high-beta currencies, turned sour and made Forex traders flee to the safety of the yen. One of the reasons for concern is possible slowdown of China’s economic growth. Today’s report is expected to show that the manufacturing sector of the Asian country was … “Yen Ends January on Strong Note”