Analysis Topic: Currency Market Analysis
The analysis published under this topic are as follows.
Tuesday, February 03, 2009
Euro Doomed to Fail as Governments Pull in Opposite Directions / Currencies / Euro
By: John_Mauldin
Milton Friedman famously predicted that the euro would not last past their first economic crisis. This week we look at commentary by Niels Jensen that explores the news from Euroland. Can the euro survive? He explores a number of options which are most definitely not on the radar screen for most investors. It is good to get a perspective from those outside of our own back yard. Note that when he says "our country" he is referring to Great Britain.Read full article... Read full article...
Saturday, January 31, 2009
British Pound Collapsing Under Weight of Bankrupt Banks Liabilities / Currencies / British Pound
By: Money_and_Markets
Jack Crooks writes: Great Britain's Prime Minister, Gordon Brown, is meddling in the Bank of England and U.K. Treasury, much the same way that our Hank Paulson and Ben Bernanke have done. And now everything that Mr. Brown is struggling with underlines why his home currency has performed so poorly recently … and will continue to disappoint. Read full article... Read full article...
Thursday, January 29, 2009
U.S. Dollar Regroups After Dramatic Overnight Plunge / Currencies / Forex Trading
By: ForexPros
After dropping dramatically overnight and into early New York the USD has reversed to hold gains across the board against the majors. Most traders note that volumes dropped off significantly ahead of the FOMC rate announcement suggesting that most were sidelined ahead of the statement. Analysts are divided as to the exact meaning of the statement; some suggest that the Fed stands ready to do “whatever it takes” to resolve the economic crisis while others say the Fed appears a bit panicky in view of interest rates at near-zero unable to add positive stimulus so far. In my view, the issue still remains short-sighted at best and long-term solutions will be hard to enact with a financial community wanting a quick fix. Read full article... Read full article...
Wednesday, January 28, 2009
U.S. Dollar Marks Time Ahead of FOMC Interest Rate Meeting / Currencies / Forex Trading
By: ForexPros
The USD is continuing in two-way action as the majors continue to consolidate off their weekly lows; traders note conditions remain thin and the lack of US fundamentals are keeping some sidelined ahead of the FOMC rate announcement tomorrow. After early gains in the Greenback overnight better-than-expected overseas data helped to hold the GBPO and the EURO higher although both pairs looked for new lows in early New York but reversed losses to close better on the day as early intraday shorts covered back as the day wore on. Better US equities prices helped to support EURO as well keeping the rate off the lows into the close. Read full article... Read full article...
Tuesday, January 27, 2009
U.S. and China Play Currency Manipulation Chicken Game / Currencies / Market Manipulation
By: Axel_Merk
“China is manipulating its currency,” proclaims incoming Treasury Secretary Geithner. Talking about “manipulation” is helpful only if one's intent is to impress a local and insult a foreign audience. More productive may be plain talk - the U.S. and China could issue a joint statement along the lines of: “China and the U.S. agree that both will act in their respective self-interest in setting exchange rate policy.” Read full article... Read full article...
Tuesday, January 27, 2009
U.S. Dollar Continues to Drift Lower Amidst Two Way Action / Currencies / Forex Trading
By: ForexPros
The USD gave back overnight gains as the Greenback failed to follow through during New York trade; at the close the majors are all better on the day but off their highs suggesting lots of two-way action and a potential short-squeeze underway. US data was better-than-expected this morning as existing home sales showed a gain suggesting that the housing crisis might be ending but savvy traders note that it will take more than one month of gains to suggest the housing problem is mitigating. Read full article... Read full article...
Tuesday, January 27, 2009
How Gold Links U.S. Treasuries and the Dollar / Currencies / US Dollar
By: Ashraf_Laidi
US Dollar & Treasuries. The emergence of last week's unsual direct relation between the dollar and gold provided a valuable signal to the validity of the rally in the precious metal. It could also be explained by the rise in bond yields (fall in prices). Last week witnessed a rise in bond yields that was accompanied by a not-so smooth strengthening in the value of the dollar. Despite the dollar's leap to 23-year highs vs GBP, the currency made more modest gains vs the euro while nearing 14-year lows against the yen. Read full article... Read full article...
Monday, January 26, 2009
U.S. Dollar Under Pressure as Pairs Shorts Squeezed / Currencies / Forex Trading
By: ForexPros
The USD is mixed this morning after starting better in Asia; the Greenback is giving back gains across the board and opens new York better against CHF and JPY—lower against CAD and about flat against GBP and EURO. Overnight comments by BOE MPC member Blanchflower were seen as GBP-negative as he remarked “obviously rates are heading towards zero” and unemployment would rise;GBP low prints in Asia at 1.3547 were inside Fridays’ range and the rate is recovering to make highs in early New York at 1.3878 topping Friday’s highs. Read full article... Read full article...
Monday, January 26, 2009
U.S. Dollar Stalling as Commodities Bull Market Returns / Currencies / US Dollar
By: Donald_W_Dony
Many investors that I have spoken to have moved away from the powerful but volatile commodities market after the cliff-dive drop that occurred in the second half of 2008. Other investors are waiting on the sidelines for the global economic expansion to develop which will bring inventory levels down and prices up. Yet, the underpinnings for the next upward leg of natural resource prices is already in play and leading indicators are starting to break to the upside.Read full article... Read full article...
Monday, January 26, 2009
U.S. Dollar Bull Market Not Over Despite Lousy Fundementals / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: Prices of assets and securities lie very much on expectations for the future. Indeed, when optimism is present, it's only natural to expect:
- Confidence in the market place …
- Long-lasting spending sprees …
- And rising prices for durable goods and services.
Read full article... Read full article...
Friday, January 23, 2009
Sterling's Damage and Geithner's U.S. Dollar Policy / Currencies / British Pound
By: Ashraf_Laidi
Currency market participants are faced with increasingly diverse options amid the deepening erosion of risk appetite, persistent banking losses and deteriorating measures of corporate and household wealth. While yen-supportive strategies remain most prevalent amid the worsening risk-landscape, broad selling of the British pound and bearish stances in the commodity currencies (CAD, AUD and NZD) has also proven rewarding. The US dollar continues to emerge as a reliable companion to the yen in strengthening by default against the European and commodity currencies. Read full article... Read full article...
Friday, January 23, 2009
Euro and Gold on the Rise / Currencies / Forex Trading
By: Mike_Paulenoff
Incredible that the (cash) equity indices closed slightly positive on the
session on Friday after a very ugly overnight session.
Most glaring from my perspective was positive the action in gold and in the
euro.
Read full article... Read full article...
Thursday, January 22, 2009
Sterling Sinks as Britain Teeters on Brink of Bankruptcy / Currencies / British Pound
By: Mike_Shedlock
The British Pound has imploded on fears of bank nationalization and Prime Minister Gordon Brown's plan to give the Bank of England unprecedented powers to buy securities. This chart paints the not so pretty picture. Read full article... Read full article...
Thursday, January 22, 2009
U.S. Dollar Overbought, Expected to Trade Lower with High Volatility / Currencies / Forex Trading
By: ForexPros
The USD suffered massive whipsaw today as stops on the upside got triggered forcing the majors into key support early only to rebound putting the USD mixed on the day holding gains only against the Swissy into the end of New York trade. Earlier reports of solid two-way action into the lows for GBP resulted in new monthly low at 1.3619 only to see a three big-figure rebound making for a near-hook reversal into the end of day as shorts got beaten back hard amid modest flows. Highs in Asia at 1.4025 remain unchallenged as of this writing but with a solid close for equities in positive territory follow-on buying can’t be ruled out. Traders note that most of the action was right around the London fix leaving the late shorts holding the bag. Read full article... Read full article...
Wednesday, January 21, 2009
Currency ETF Trends and a Flawed Monetary System / Currencies / Fiat Currency
By: Tim_Iacono
Surely, at some point in time, some group of wise men somewhere will finally get together and realize that, during an era of excessive speculation, a monetary order where half the world's money floats freely and a good portion of the rest is rigidly fixed to the U.S. dollar is not an optimal system. Read full article... Read full article...
Wednesday, January 21, 2009
US Dollar Continues to Climb Higher on Obama Honeymoon / Currencies / Forex Trading
By: ForexPros
The USD continued its climb against the majors today reaching the best levels of the day late against most pairs after suffering a setback earlier today. Weaker equities offered a bit of pressure as USD/JPY fell back through the 90.00 area late to make lows at 89.73; volumes remain light and traders note that the rate is due for a short-covering rally suggesting that a low-volume dip today may be the lows for the week. High prints overnight at 90.99 went unchallenged in New York trade. Read full article... Read full article...
Wednesday, January 21, 2009
US Dollar Bull Market 2009 Update 4 / Currencies / US Dollar
By: Nadeem_Walayat
Prevailing bearishness continues against the U.S. Dollar amidst a near infinite reasons of why the Dollar is doomed. But as an active experienced trader, one thing you soon painfully learn is that the fundamentals don't count when it comes trend reversals, as by the time the reasons have become apparent the market has already moved by as much as 50% and even then there exists the continuing dilemma of the trend versus the fundamental views based on hard data. However as I have discussed several times with would be traders in that your trading the price not the indicator or data. The bottom line is that what the price says is that which only 'should' count.Read full article... Read full article...
Tuesday, January 20, 2009
U.S. Dollar Attracts New President Obama HoneyMoon Euphoria Buying / Currencies / Forex Trading
By: ForexPros
After a three-day weekend that saw the USD advance against the majors on Monday, the Greenback is extending its rally against most major pairs again this morning; the big mover overnight is the GBP as the rate falls to a new multi-year low. Traders report thin conditions but lot’s of two-way action as Cable falls through the 1.4100 handle for a low print at 1.3912 in early New York. Starting overnight as GBP crosses remained under pressure the drop in Cable was pressured by Russian sales of GBP and EURO as the Russians attempt to support their currency. Traders estimate around 10B the last 24 hours was spent by the Russians most of it in GBP but some in EURO and USD. Read full article... Read full article...
Tuesday, January 20, 2009
More Bank Bailouts to Come, So Keep Selling Sterling / Currencies / British Pound
By: MoneyWeek
Hmm. I'm not sure that Gordon Brown got the result he hoped for yesterday.
After the first Great British banking bail-out, Mr Brown thought he had saved the global banking system – the "world", no less. And plenty of pundits were happy to indulge his fantasies.
Read full article... Read full article...
Sunday, January 18, 2009
U.S. Dollar Bullish Despite Global Recession / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: The U.S. has become the most significant consumer in the world when it comes to demanding finished goods and discretionary items. Now, however, U.S. consumers are holding on to their wallets a whole lot tighter. You can see that clearly in this week's announcement of December retail sales … Read full article... Read full article...