The euro rebounded today from its lowest level in a year, which it reached yesterday, on the reviving hopes that Greece will receive the joint EU-IMF rescue package soon as Germany may be persuaded to participate in the aid. The representatives of the European Central Bank and the International Monetary Fund will discuss with the Germany’s government the bailout package. Previously the euro declined as Germany, which is required to grant the biggest individual loan to Greece, … “Euro Rebounds on Expectation of Forthcoming Aid for Greece”
Author: admin_mm
Fragile State of U.K. Economy Curbs Pound’s Strength
The Great Britain pound dropped today after Timothy Besley, the former policy maker of the Bank of England, said that the economy of the U.K. remains in the fragile state and because of the increasing doubts that the new government will be able to reduce the budget shortage. The U.K. economy expanded by 0.2 percent in the first quarter, half the pace of the previous three months, while the deficit rose 76 percent to 152.8 billion pounds in the year through March. … “Fragile State of U.K. Economy Curbs Pound’s Strength”
Dollar Bulls Raging – Will the trend continue?
The US dollar is on the move – fresh American data and fresh European worries send EUR/USD to new lows.Also other currencies are surrendering to the dollar – the US dollar index gave us signs of this breakout last week. Now it happens. You can guess which currency stands firm against the dollar. A sustainable … “Dollar Bulls Raging – Will the trend continue?”
Greece’s Fiscal Crisis Wounded Euro Again
The euro toppled against the U.S. dollar and Japanese yen on speculation that Greece will be unable to repay its debt as the decision about the bailout was delayed, giving rise to the concern that the Greeceâs budget crisis will harm the borrowing ability of European indebted nations. The concern for the ability of Greece to deal with its fiscal crisis increased after Germany delayed the decision about providing the aid for Greece, demanding the nation to cut … “Greece’s Fiscal Crisis Wounded Euro Again”
Concern About Greece’s Crisis Pushes Yen Up
The Japanese yen gained today against most other majors as the demand for the safer currencies increased amid rising concerns that the aid, offered by the European Union government, wouldn’t be able to resolve the Greece’s budget deficit crisis. The uncertainty about the Greece’s situation has worsened after Angela Merkel, the Chancellor of Germany, said that Greece will receive the help from Germany only in case it’ll accept the “tough” measures, including … “Concern About Greece’s Crisis Pushes Yen Up”
Pound Weakened by Concern that Election Will Result in Stalemate
The Great Britain pound dropped today amid the concern that the forthcoming Parliamentary election, which will occur next week, will result in the government without the substantial support and strength to deal with the budget deficit. The sterling is now led by the opinion polls and they don’t give many reasons for the optimism. Even after the election the U.K. currency remains in danger in case the politic infightings will prevent the government from resolving the budget … “Pound Weakened by Concern that Election Will Result in Stalemate”
Canadian Dollar Remains Near Parity
The Canadian dollar trades near parity with its U.S. counterpart as the traders await the outcome of the 45 billion euro aid package, provided by the European Union and the International Monetary Fund to Greece. With the clarity about the bailout the global equity markets will be spurred, boosting the commodity currencies. The Loonie, as the Canadian currency commonly nicknamed, can be considered such currency as its performance depends on the moves of the equities and the commodities, like earlier, … “Canadian Dollar Remains Near Parity”
Declining Profits from Carry Trades Strengthen Dollar
The U.S. dollar rose today on the outlook that the greenback may become more attractive as the profits from the carry trades declines because of decreasing differences in the interest rates of various central banks. The profits from the carry trades are waning as the higher-yielding currencies appreciate and the low-yielding ones declines. This situation is just right for the dollar to strengthen, making it more attractive to the traders, who already prefer the U.S. currency because of the record … “Declining Profits from Carry Trades Strengthen Dollar”
Mexican Peso Advances on Higher Risk Appetite
The Mexican peso advanced today on the outlook that the demand for the higher-yielding assets will increase after the talks about the aid package for Greece will be concluded. According to the words of the Greek Finance Minister the talks about the bailout package, provided by the European Union and the International Monetary Fund should be âconcluded rather soon.â This announcement sparked expectations that the Greece’s crisis can be resolved with the satisfactory outcome, boosting the investors’ … “Mexican Peso Advances on Higher Risk Appetite”
Pound Rises with Increasing U.K. House Prices
The Great Britain pound gained today, paring its previous losses, after the report about the rising house prices increased the confidence that the economic recovery in the U.K. is strengthening. These news have brought necessary refreshment to support the sterling’s performance after the concerns about the budget deficit and the uncertainty about the election’s outcome. In fact, the talks began that the Conservatives will win the election and will form the government strong enough to deal … “Pound Rises with Increasing U.K. House Prices”