The British Services PMI (Purchasing Managers’ Index) is based on a survey of purchasing managers in the services sector. Respondents are surveyed for their view of the economy and business conditions in the UK. A reading which is higher than the market forecast is bullish for the pound. Update: UK services PMI falls to 56.2 – GBP/USD pressured Here are … “GBP/USD: Trading the British Services PMI Nov. 2014”
Month: November 2014
Bearish EUR/USD; Bullish USD/JPY – BofA Merrill
The US dollar has strengthened against the euro and the especially against the yen quite significantly. Is there room for a correction? Perhaps. But in the long term, both currencies have a potential of extending their falls against the might greenback. The team at BofA Merrill explains and provides numbers: Here is their view, courtesy of … “Bearish EUR/USD; Bullish USD/JPY – BofA Merrill”
Aussie Bounces After RBA Meeting
The Australian dollar was falling today due to mixed macroeconomic data but rebounded after the central bank’s policy meeting, even though monetary policy remained unchanged and the statement from the bank was not particularly hawkish. The Reserve Bank of Australia left its main interest rate at 2.5 percent today. The central bank noted in the accompanying statement after the decision that economic data demonstrates “moderate growth in the economy” but … “Aussie Bounces After RBA Meeting”
Crude Oil Prices and Passiveness of Central Bank Hurt CAD
The Canadian dollar bounced against its US peer today following yesterday’s losses but extended decline against the euro and turned down versus the Japanese yen. Falling prices for crude oil and speculations that the Bank of Canada will not hike interest rates anytime soon were among the reasons for the currency’s weakness. Saudi Arabia cut prices of crude oil for US buyers to increase competitiveness of its exports. This led … “Crude Oil Prices and Passiveness of Central Bank Hurt CAD”
Australian dollar and Iron ore falling hand in hand
The price of Iron ore, Australia’s biggest export won’t be rebounding anytime soon and that’s a double edged sword for miners. Firstly, they will receive less income for the commodity and secondly as the declining price drags down the value of the Australian dollar the machinery needed for mining of which most is bought with … “Australian dollar and Iron ore falling hand in hand”
Russian Ruble Plunged on Elections in Ukraine
The Russian ruble plunged today as elections in the eastern parts of Ukraine held by pro-Russian separatists threaten the fragile peace in the region and may lead to a new round of sanctions against Russia. Militants held elections in the Donetsk and Luhansk regions, worsening the already tense relationship between the Ukrainian government and rebels. Russia backed the elections, while Ukraine, the United States and the European Union did not accept them as legitimate. The event was considered to be very … “Russian Ruble Plunged on Elections in Ukraine”
AUD Drops vs. USD, Gains on JPY
The Australian dollar dropped against its US counterpart due to negative economic data from Australia. At the same time, the currency managed to reverse its losses versus the Japanese yen and reached the highest level in a year and a half. Australia’s seasonally adjusted building approvals dropped as much as 11.0 percent in September, more than ten times the predicted decrease by 0.9 percent. Additionally, China’s non-services Purchasing Managers’ Index declined last month, … “AUD Drops vs. USD, Gains on JPY”
Manufacturing Data Boosts UK Pound
UK pound is heading higher today, gaining ground thanks to the latest manufacturing data. Manufacturing data surprised to the upside, and the sterling is getting a boost because of the news. Many analysts expected manufacturing PMI for the United Kingdom to slip a bit, continuing the trend toward slower growth. However, October surprised everyone, with Markit reporting that manufacturing PMI had jumped to 53.2. This level is better than the expected … “Manufacturing Data Boosts UK Pound”
Eurozone Manufacturing PMI Disappoints, Sending Euro Lower
The latest reading for eurozone manufacturing PMI was a bit disappointing, underscoring the difficulties the eurozone continues to face in its economic recovery. On top of that, the news that the United Kingdom might leave the European Union is weighing, even though the United Kingdom isn’t part of the euro area. Manufacturing PMI for the eurozone, reports Markit, came in at 50.6 for October. This is below the initial estimate and the expectation, but still represents an improvement over … “Eurozone Manufacturing PMI Disappoints, Sending Euro Lower”
EUR/USD: Pressure Builds On Key Support
EURUSD: With a follow through higher occurring the past week, further downside pressure is expected in the new week. However, EUR will have to break and hold below the 1.2500 level to extend its weakness. On the other hand, support lies at the 1.2500 level where a break will expose the 1.2450 level. Below here … “EUR/USD: Pressure Builds On Key Support”