Analysis Topic: Currency Market Analysis
The analysis published under this topic are as follows.Thursday, April 07, 2011
Government Operations to Sieze Precious Metals, The "Crime" of Private Money / Currencies / Fiat Currency
Bernard von NotHaus was convicted last month in federal court on conspiracy and counterfeiting charges for his development of silver "Liberty Dollars." He faces up to 25 years in prison. Earlier this week the feds moved to seize about $7 million of precious metals from the operation as well.
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Tuesday, April 05, 2011
The Falling US Dollar / Currencies / US Dollar
Below is a monthly chart of the USD index (DXY) since 2000. In that period of time it has died a slow death down 37%. A currency is like a stock in a company and this is one company shareholders continue to sell. Whether it be the shrinking manufacturing base, millions in lost jobs, rising debt, weak leadership, lack of new products in the pipeline to fuel growth, this company (excuse me country) is in trouble right now.
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Friday, April 01, 2011
Bulls in EUR/JPY Remain a Driving Force / Currencies / Euro
Long term support in EUR/JPY remains around a 76.4% pullback level (recently retested), and a better recovery is still a prospect following the recent brief sell-off.
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Friday, April 01, 2011
Sterling Euro Suggests Further Sterling Weakness / Currencies / British Pound
The outlook for Sterling against the other major currencies seems more or less unchanged - except against the Euro.
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Thursday, March 31, 2011
Geithner's Blatant Lies at the G20 Meeting; Four-Pronged Solution / Currencies / Fiat Currency
Proving that he cannot find his ass with two hands and a road map, Treasury secretary Tim Geithner says inflexible currencies are biggest monetary problem.
Read full article... Read full article...Tightly controlled exchange rate regimes are the main flaw in the international monetary system and the solution is simple, U.S. Treasury Secretary Timothy Geithner told a G20 meeting on Thursday.
Wednesday, March 30, 2011
U.S. Dollar Has Cancer and its Metastasising / Currencies / US Dollar
All you can do is play the hand you are dealt.
This is not going to be pretty. When it happens, it is not going to be good for most people. It's only going to be good for a few. Those who hold physical gold and silver.
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Tuesday, March 29, 2011
Japanese Yen Big Surprise / Currencies / Japanese Yen
As a followup to our recent long term report on the Japan Nikkei equity index we present our a long term analysis on the JPYUSD. The Yen is a western economy currency which generally follows the CHFUSD long term currency cycle model, as opposed to commodity sensitive currencies like the AUDUSD, CADUSD and ZARUSD. The CHFUSD model displays Cyclical tops and bottoms every 16-17 years, with the bottoms occurring only 6-7 years after the tops. The long term charts of the JPYUSD display this currency cycle quite well with a slight variation at the lows.
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Tuesday, March 29, 2011
The Death of the "Dollar Carry Trade" / Currencies / US Dollar
Shah Gilani writes: By maintaining a Federal Funds rate below the 0.25% level - and injecting $600 billion into the banking system through a second round of quantitative easing - the U.S. Federal Reserve has orchestrated a bubble-like surge in commodity prices, an uptick in global inflation and a historic resurgence in U.S. stock prices.
The low-interest-rate strategy has enabled the U.S. central bank to achieve another important objective - a massive depreciation in the value of the U.S. dollar.
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Monday, March 28, 2011
US Dollar, Making a Case for the Greenback / Currencies / US Dollar
R.F. Lee writes: The US Dollar has been on a pronounced downtrend since the middle of 2010, and has been threatening its record lows as of this writing at the end of March 2011. In the week of 21 March 2011, the greenback registered new lows against Gold and the Australian Dollar, and also reached a 31-year low against silver.
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Saturday, March 26, 2011
US Dollar Under Acute Pressure As World seeks an Alternative Reserve Currency / Currencies / US Dollar
The days and years of manipulation, fraud and criminal behavior are fast coming to an end. New alliances are evolving, as are outspoken advocates of a new world reserve currency. As a result more and more foreigners are bypassing Treasury and Agency bonds, as well as other US dollar denominated investments. We watch as other major nations accumulate gold and cannot help but think that the new world reserve currency will be gold backed.
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Friday, March 25, 2011
Recent Blow-off Move in USD/JPY? / Currencies / Japanese Yen
After some of the dust has settled since last week’s sharp, brief sell-off some initial ideas have formulated. These might begin to excite the bulls, but it is too early to draw conclusions yet.
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Wednesday, March 23, 2011
U.S. Dollar Collapse Inevitable, Gold Wealth Protection / Currencies / US Dollar
What will happen to the U.S. economy and the dollar in the near term? Will inflation increase dramatically? What is the outlook for gold, and where should you put your money? BIG GOLD asked a world-class panel of economists, authors, and investment advisors what they expect for the future. Caution: strong opinions ahead...
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Wednesday, March 23, 2011
Japanese Currency Intervention, How Does Disaster Promote a Strong Currency? / Currencies / Japanese Yen
After the catastrophic earthquake, the tsunami, and the nuclear-reactor scares, the Japanese currency ironically strengthened quite sharply. In response, the Bank of Japan and other major central banks last week launched a coordinated "intervention" into the currency markets in order to intentionally weaken the yen.
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Monday, March 21, 2011
U.S. Dollar Breakdown or Reversal? / Currencies / US Dollar
The US Dollar has now broken beneath long term rising support, as shown in the first chart below of the US Dollar index. There are other support levels below, around 75 and then 72, but beneath that we would enter unchartered territory, as shown in the second longer term chart, and the weakness of the latest dollar bounce is notable.
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Monday, March 21, 2011
U.S. Dollar End Game / Currencies / US Dollar
For months and months I've been warning investors that the dollar was going to come under extreme pressure sometime this year. I expected it to probably happen in the spring. Many people thought I was nuts. They were sure it was the Euro that would collapse, despite the fact that the EU is doing everything they can to protect their currency while Bernanke is doing everything he can to destroy ours.
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Monday, March 21, 2011
How the Fed Is Wrecking the U.S. Dollar / Currencies / US Dollar
Testimony before the US House of Representatives, Committee on Financial Services, Subcommittee on Monetary Policy, March 17, 2011
The old argument has recently come back into vogue that moderate inflation is desirable to prevent the far greater evil of deflation. What used to be roundly condemned as "creeping inflation" in the 1950s by Fed officials and mainstream economists alike is today given the scientific-sounding name "inflation-targeting" and hailed as the proper goal of monetary policy.1 In the past decade, this view has been promoted by many mainstream economists, most notably former Fed Chairman Greenspan and current Fed chairman Bernanke. But this view is based on a fundamental confusion. It conflates deflation and depression, which are two very different phenomena. Falling prices are, under most circumstances, absolutely benign and the natural outcome of a prosperous and growing economy. The fear of falling prices is thus a phobia – I call it a "deflation-phobia" – which has no rational basis in economic theory or history.
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Sunday, March 20, 2011
Japanese Yen: G7 Intervention vs Laissez-faire / Currencies / Japanese Yen
The world's fifth-largest 9.0 magnitude quake and the resulted tsunami not only devastated Japan, but also wreak havoc in the Japanese stock market. The worst two-day rout in 40 years caused a 6.2% drop in Nikkei share index, wiping £90 billion (roughly $145.45 billion) off stocks and shares traded there, reported The Telegraph.
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Saturday, March 19, 2011
Quake Response Puts Yen on the Line / Currencies / Japanese Yen
One of the immediate financial consequences of the catastrophic Japanese earthquake is that Japan needs to call on its huge cache of foreign exchange reserves to rebuild its shattered infrastructure. To pay for domestic projects, Japan will require yen - not dollars, euros or Swiss francs. As a result of these conversions, the yen rallied considerably after the quake struck.
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Friday, March 18, 2011
Eye on the Yen, Watching ProShares UltraShort Yen (YCS) / Currencies / Japanese Yen
Indeed, as we told subscribers to expect, the G-7 (US, Japan, Germany, France, the UK, Italy and Canada) decided to intervene with the Bank of Japan on Thursday to "stabilize" the Yen.
Now the real battle begins, but as I have mentioned lately, the plight of the Yen since 2008 (its relentless climb, that is) in defiance of otherwise dismal Japan fundamentals, which were negatively exacerbated by the recent earthquake and tsunami damage, desperately calls for a lower currency to enable the Japanese economy, the Japanese Government, and its dynamic people to recover.
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Friday, March 18, 2011
G7 Yen 'No-Buy' Zone, UN Libya No-Fly Zone / Currencies / Japanese Yen
Before we get into today's yen action, our regular readers and followers on Twitter were warned of a potential China tightening action at 7:24 am GMT (over 3 hours before it materialized) when most pundits were mulling the details of the yen intervention. The PBOC raised its reserve requirement ratio by 50-bps to 20% as part of its gradualist approach to reining in lending and combating inflation.
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