Posted on Tuesday, November 29th, 2011 at 12:14 pm.
We hit EUR/USD lows last week of 1.3210 with the EUR bouncing up on Mondays trading. With the upcoming EcoFin meeting tonight and the rumours that the IMF would fund Italy (since denied) it gave the EUR a bout of strength. However, I think it’s more a case of a corrective movement in the EUR/USD [...] Read More...
Posted on Friday, November 25th, 2011 at 2:24 pm.
There is no real economic data out today so it may be fairly quiet on the currency front. The Dollar is showing no signs of weakening as it continues to strengthen against both Sterling and the Euro. This could cause Sterling to rise against the Euro and we could see levels in the mid 1.16’s. [...] Read More...
Posted on Wednesday, November 23rd, 2011 at 3:44 pm.
Sterling could well be in for a rough ride today when the latest Bank of England minutes are released at 9:30am. The Bank of England have already lowered growth forecasts in the UK in an announcement earlier this month, and that coupled with the re-introduction of quantitative easing could dampen any demand for Sterling. It [...] Read More...
Posted on Tuesday, November 22nd, 2011 at 11:09 am.
And it’s over to the US… Political bickering isn’t merely confined to the Eurozone it seems. Lawmakers in Washington abandoned their deficit cutting effort yesterday with Republicans and Democrats failing to resolve disputes over taxes and spending. The 12 strong congressional “super committee” have now left investors and voters in the dark on how this [...] Read More...
Posted on Monday, November 21st, 2011 at 3:49 pm.
Safe haven currencies look set tobecome the ‘dish of the day’ again as investors become even more nervous over Europe’s debt situation. The US Dollar and Japanese Yen are the markets favoured weapons of choice and have further advanced in the last week. This looks set to continue this week as we could see further negative news [...] Read More...
Posted on Wednesday, November 16th, 2011 at 3:50 pm.
The currency market could see a lot of volatility today as there is a lot of key economic data being released from the UK, Europe and the U.S. The first figure to look for today will be the unemployment rate out of the UK at 9.30, which is expected to be worse with a rise [...] Read More...
Posted on Wednesday, November 9th, 2011 at 2:03 pm.
Italy’s focus now moves to forming a new Government to implement tough austerity measures after Berlusconi’s offer to resign. His offer to resign came after he failed to gain an absolute majority on a routine parliamentary ballot. Markets dictated his resignation to a degree as Italian bond yields came close to the 7% level and [...] Read More...
Posted on Tuesday, November 8th, 2011 at 3:04 pm.
All eyes are on Italy. Will Berlusconi pass a confidence vote today? I can’t see Mr Berlusconi going quietly and the thought that he’d willingly submit his resignation was far fetched. He’ll do anything to hold onto power. However, with Italian Government bond yields at 15 year highs Italy are now the debt crisis’s primary [...] Read More...
Posted on Friday, November 4th, 2011 at 4:15 pm.
Yesterday was a very volatile day with ECB president Mario Draghi surprising the markets by cutting interest rates. EUR plunged 100 pips against the USD in a matter of minutes with Sterling advancing against the single currency up to its highest level in recent weeks. The EUR was volatile for most of the day with [...] Read More...
Posted on Thursday, November 3rd, 2011 at 4:38 pm.
The referendum will revolve around nothing less than the question : does Greece want to stay in the Euro; yes or no”. This is what German Chancellor Angela Merkel said after lengthy discussions before the G20 summit begins in Cannes today. There is still some confusion however on when the referendum will be held. Originally [...] Read More...