The euro plunged today as economic growth in major European countries (with the notable exception of Germany) and the eurozone as a whole missed estimates, increasing chances for additional monetary stimulus in June. Inflation remained stable, suggesting that there is no threat of deflation for a time being. The currency trimmed its losses against some of its peers by now. Eurozone gross domestic product expanded 0.2 percent in the first quarter of this year from … “Euro Plunges as Economic Growth of Europe Disappoints”
Month: May 2014
Mantega Says No Risk of Depreciation for Real
The Brazilian real gained today as Guido Mantega, Brazil’s Finance Minister, said that the exchange rate normalized, suggesting that there is no more risk for a big slump of the currency. Mantega said regarding the exchange rate that “no one talks about turbulence now”. Previously, policy makers were taking steps to stem appreciation of the real but later dropped such measures and started to support the currency. The real has … “Mantega Says No Risk of Depreciation for Real”
Mexican Peso Gains on Hopes for Improving Economy
The Mexican peso ticked up today as economists speculated that there are signs of positive developments in Mexico’s economy, which was disappointing investors recently. This year’s data on economic growth was worse than traders were counting on, making the peso underperform compared to its peers. Yet the official report earlier this week showed that manufacturing production grew 6.8 percent in March from a year ago, … “Mexican Peso Gains on Hopes for Improving Economy”
Sterling Under Pressure After Employment Data & Inflation Report
The Great Britain pound was under pressure today as employment data was somewhat disappointing. The currency remained weak even as the central bank’s chief was talking about prospects for an interest rate hike. The number of claims for unemployment benefits dropped by 25,100 in April. While the figure was not bad by itself, it was smaller than the projected drop by 30,700. The unemployment rate edged down by 0.1 percentage point to 6.8 percent … “Sterling Under Pressure After Employment Data & Inflation Report”
Economic Outlook Makes NZ Dollar Attractive
The New Zealand dollar rose today as the outlook for the nation’s economy remains optimistic, making the kiwi more attractive. Prospects for additional monetary policy tightening added to the attractiveness of the currency. Traders were waiting for comments from the Reserve Bank of New Zealand and it did not disappoint those who were bullish on the kiwi (as the New Zealand currency is nicknamed). The central bank said in the Financial Stability Report: New Zealandâs financial system … “Economic Outlook Makes NZ Dollar Attractive”
AUDUSD: Bullish, Targets The 0.9460 Level.
AUDUSD: The pair has resumed its short term uptrend breaking the 0.9393 level and paving the way for more upside. Resistance resides at the 0.9460 level. Further out, resistance is located at the 0.9500 level with a cut through here resuming its broader uptrend towards the 0.9550 level. Conversely, support comes in at the 0.9350 … “AUDUSD: Bullish, Targets The 0.9460 Level.”
Euro Gains Strength After Earlier Selloff
Yesterday, the euro was in the midst of a selloff after the news came out that the ECB is considering policy options to boost stimulus (and weaken the 18-nation currency). Today, though, things have leveled out the euro has gained strength on disappointing US data, BOE comments, and the fact that Asian central banks are buying up euro denominated assets. Today, the euro is recovering a bit from its difficulty related … “Euro Gains Strength After Earlier Selloff”
Won Drops, Intervention Suspected
The South Korean won dropped today, leading to speculations among Forex market participants that policy makers had intervened in the currency market to bring the exchange rate down to protect the economy from excessive appreciation of the currency. Yoon Sang Jick, the Minister of Trade, Industry and Energy, said today that the won’s rally was hurting Korean’s smaller exports. The government has already warned traders against speculative bets on the currency. The won … “Won Drops, Intervention Suspected”
Rupiah Rallies as Indonesia Readies for Elections
The Indonesian rupiah rallied on speculations that the presidential candidates are going to announce their vice presidential nominee today. The general market sentiment was also positive for the currency. The candidates for presidency are expected to name their running mates today. This should reduce political uncertainty, improving the investment climate for rupiah. The market sentiment was in a risk-on mode, providing additional support for currencies of emerging markets. USD/IDR declined from 11,540 … “Rupiah Rallies as Indonesia Readies for Elections”
Forex Crunch iPad app released
Forex Crunch is proud to announce the release of an application for iPad. You can download it here. The app features the latest news from Forex Crunch divided into the different sections, and option to easily swipe between articles, to save articles for later and more. The features are similar to the Android and iPhone … “Forex Crunch iPad app released”