The European leaders can deny a multi-billion rescue package for Spain, but the wheels are already in motion – foreign banks refuse lending money to Spanish banks, and the government may be unable to supply the liquidity. EUR/USD is also in a downwards motion, ending the short lived party. Also the ZEW Economic Sentiment was … “Spain’s Credit Freeze Weighs on Euro”
Author: admin_mm
Strong New Zealand Dollar Makes Alan Bollard Unhappy
The New Zealand dollar extended its rally today, making Alan Bollard, the governor of the Reserve Bank of New Zealand, unhappy as he worries that the strong currency impedes the economic recovery. The currency’s appreciation in 2009 already decreased the exports, which make up 30 percent of the nation’s economy. Bollard predicted that the current account deficit would rise from 3.3 percent of gross domestic product as of March 2010 to 7.2 percent … “Strong New Zealand Dollar Makes Alan Bollard Unhappy”
Positive Forecasts for Pound Brought Currency Higher
The Great Pound strengthened today, erasing its losses against the U.S. dollar and the Japanese yen, amid the speculations that the central bank will raise the interest rates after forecasts promised that the economic growth would accelerate and the budget deficit would be decreased. The Bank of England was keeping the key rate at the record low level for 16 months even as the inflation exceeded the governmentâs upper limit. The inflation reached 3.7 percent … “Positive Forecasts for Pound Brought Currency Higher”
Euro Strengthens as Industrial Production Expands
The euro strengthened today against the U.S. dollar and the Japanese yen as the report was released, showing that the industrial production grew in the European Union. Eurostat, the statistical office of the European Union, reported that in April 2010 compared with March 2010, seasonally adjusted industrial production grew by 0.5% in the European Union and by 0.8% in the euro area. The European Central Bank reassured that it would continue purchases of the government bonds until the sovereign-debt … “Euro Strengthens as Industrial Production Expands”
Yen Declines as Demand for Safety Wanes
The Japanese yen fell for the third day against the U.S. dollar and the euro amid the speculation that the global economy recovers with the accelerating pace, reducing the demand for the yen as the safe currency. The report on Friday showed that the University of Michigan consumer sentiment index rose more than expected, adding to the signs of the economic recovery. The demand for the safety of the Japanese currency wanes as the consumers and the traders feel themselves more confident in the state of the economy. USD/JPY traded … “Yen Declines as Demand for Safety Wanes”
Commodity Currency Update
For more information and analysis, visit bforex.com bforex.com USD/CAD The pair which at best is volatile during breakouts has been trading a considerably more volatile pattern over the last 30 days. A break above or below the 200 day moving average typically signals a change in long term outlook. However, we have seen the CAD … “Commodity Currency Update”
Zecco Now Supported On Currensee
Zecco, a large and successful American broker, is finally supported at Currensee – Zecco traders can now share their trades and use Currensee’s social network for free. Hopefully all brokers will join the network and adopt transparency with social sites such as Currensee. Zecco is an American broker that highlights low commissions. They don’t specialize … “Zecco Now Supported On Currensee”
Weekly Movement of Euro
This was not bad week for the euro as the currency rose against some other majors, though the European currency is far from doing well as many other most-traded currencies outperformed it. The euro has begun this week against the U.S. dollar and the Japanese yen from an unfavorable starting position as the possibility of the default in Hungary caused concern that the sovereign-debt crisis is spreading, which caused the drop of the euro. Then … “Weekly Movement of Euro”
Canadian Dollar’s Rally Falters on Low U.S. Retail Sales
The Canadian dollar halted its four-day rally today after the report that the retail sales in the U.S. fell unexpectedly caused concern about the global economy and weakened the currencies tied to growth. The retail sales in the U.S. rose 0.6 percent in April and were expected to increase further by 0.2 percent in May. Therefore, the traders were completely unprepared for the 1.2 percent decline in May. The impact of this data is resounding throughout the markets and affecting … “Canadian Dollar’s Rally Falters on Low U.S. Retail Sales”
Declining U.S. Retail Sales Boosted U.S. Currency
The U.S. dollar rose against other major currencies today after the report showed the decrease of the retail sales, causing the doubt whether the global economic recovery would keep its pace. The U.S. retail sales provided an unpleasant surprise by declining 1.2% in May, while they were expected to increase by 0.2%. While these news might hurt the U.S. currency, the greenback managed to appreciate. The experts say that the currency actually benefited … “Declining U.S. Retail Sales Boosted U.S. Currency”