User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Thursday July 17, 2008 - 10:58:25 GMT
Trade the News Staff - www.global-view.com/forex-services/TTN/

Share This Story:
| | Email

European Market Update: ECB's Wellink Maintains Hawkish Position

  *** ECONOMIC DATA ***

·SZ July Zew Expectations: -76.9 v -67.0e

·IT May Total Trade Balance: -€59M v -€1.0B prior || Prior revised from -€1.0B to -€1.02B

·IT May Trade Balance EU: €1.71B v €770M prior || Prior revised from €770M to €753M

·EU May Construction Output: M/M 0.2% v -0.8% prior || Prior revised from -0.8% to -0.6% |||| Y/Y -1.1% v -2.4% prior || Prior revised from -2.4% to -1.7%

·*** SPEAKERS/FIXED INCOME/FX/COMMODITIES/ERRATUM ***

·In equity news overnight Novartis [NOVN.SZ] reported Q2 earnings of $0.98, above the $0.93 consensus, net income of $2.25B, above the $2.14B consensus, and revenue of $10.2B in line with estimates. Novartis confirmed that it is on tract to achieve record sales and earnings in 2008. Fresenius [FRE.GE] reported Q2 net income of $209M, just above the $206M consensus, EBIT of $428M, above the $419M consensus, and revenue of $2.66B in line with estimates. Blacks Leisure Group [BSLA.UK] reported July SSS +6.1% y/y, and 19-week SSS -5.4% y/y. The company said that it is currently performing in line with expectations. Electrolux [ELUXB.SW] reported Q2 net income of SEK99M, below the SEK131Me consensus, and revenue of SEK25.6B, above the SEK24.7Be consensus. Electrolux sees significant uncertainty in the global economy.

·In the newspapers overnight the Financial Times wrote that butterfly trades in the money market are implying that traders expect banks to be impacted by the credit crunch until 2010. Butterfly trades allow traders to bet on increased stress at the end of the yr and demand for money at the end of a year. The year-end premium on the cost money has tripled in the past 3 months and the 2010 premium has risen by half. The Wall Street Journal reported overnight that the Fannie Mae (FNM) and Freddie Mac's (FRE) rescue proposal could cost tens of billions of dollars. The CBO assumes both will use the Treasury facilities. According to Goldman, the rescue plan will ultimately cost $53B. Cinco Dias wrote overnight that Santander [SAN.SP] is looking to sell its asset management unit. According to Boerzen-Zeitung India's ICICI Bank [ICICIBC.IN] is looking for acquisitions in Germany. Citing sources, Het Financieele Dagblad reported that ING [INGA.NA] will not pursue an offer for Fortis [FORB.BE] for the time being. According to Expansion Spain's ACS [ACS.SP] may seek to sell its 45.3% stake in Union Fenosa [UNF.SP]. The article notes that ACS is also looking to raise its stake in Iberdrola [IBE.SP] from its current stake of under 13%.

·In the currencies the USD was softer against the European pairs as the dollar failed to hold gains achieved in NY trading on Wednesday. Dealers noted that the USD failed to break some notable technical levels as oil fell towards the $132 area. The EUR/USD was currently around 1.5960 with its 200 hour moving average at 1.5804. The GBP/USD was back above the 2.0 handle after holding its 200-day moving average at 1.9950. The Euro maintained a steady tone as the ECB's Wellink noted that he sees no trade-off between inflation and growth, which implies a 1970s-like stagflation scenario unfolding. Carry-related pairs were higher as the global equity markets staged a 'relief' rally. The EUR/JPY was back above the 167-handle and the EUR/CHF cross was around 1.61. The Financial Times noted overnight that some government funds have cut their USD exposure. The articles notes that 1 large sovereign fund in the Gulf has cut its USD-denominated holdings from more than 80% a year ago to less than 60%. China's SAFE has been looking to enter into deals with European private equity firms as a part of a strategy to reduce its USD holdings. By allocating funds to Europe-based private equity firms, China's SAFE could diversify away from the USD, without spooking the currency markets. The article notes that the Qatar Investment Authority is looking to do more deals in Europe than the US. The article adds that behind the scenes, fund officials are questioning the credibility of the Fed and US Treasury in defending the USD and maintaining financial stability.

·In new supply overnight Spain sold €1.974B in 4.10% 10-year bonds with an average yield of 4.744% and a bid-to-cover of 1. 44x. France sold €1.295B in 4.5% July 2012 BTAN with an average yield of 4. 58% and a bid-to-cover of 2.77x, as well as €4.405B in 4.5% July 2013 BTAN with an average yield of 4.61% and a bid-to-cover of 1.41x. In the UK the DMO sold £3.75B in 5.00% 2012 bonds with an average yield of 4.91% and a bid-to-cover of 1.65x.

·On the speaker front the ECB's Wellink said that it is a mistake to think that an economic slowdown will reduce inflation, adding that short-term inflation expectations are changing. Wellink asserted that that inaction will lead to 1970's style stagflation, noting that he is seeing second round inflation effects in wage negotiations. Wellink reiterated that must prevent long-term inflation expectations from taking hold, and said that he sees no trade-off between inflation and growth.

·*** NOTES ***

·The European indices are trading higher following gains in the US after Wells Fargo reported positive results ahead of yesterday's open, oil prices declined as a result of sharply higher inventories data, and the general feeling that perhaps the recent selling was overdone. For the most part all else was quiet overnight due to a lack of significant data. Comments from the ECB's Wellink were interesting. Wellink asserted that it is a mistake to think that an economic slowdown will reduce inflation. Theoretically raising interest rates will slow economic growth, which should lead to a gradual decline in inflation. With Wellink's statement in mind the question is what other options does a central bank have to tackle elevated levels of inflation? Wellink seems to imply that “Volker style inflation fighting tactics” need to be imposed (ie. push the economy into a recession to stop inflation) in order to avoid a 1970's like period of stagflation. With US CPI data out of the way focus will fall upon a number of key earnings this morning including Dow components JP Morgan Chase (JPM), Coca-Cola Co. (KO), and United Technologies (UTX) amongst other highly anticipated, and notable earnings results.

·“It is not enough that thought should seek to realize itself; reality must also strive towards thought.” - Karl Marx


 

Forex Trading News

Forex Research

Daily Forex Market News
Forex news reports can be found on the forex research headlines page below. Here you will find real-time forex market news reports provided by respected contributors of currency trading information. Daily forex market news, weekly forex research and monthly forex news features can be found here.

Forex News
Real-time forex market news reports and features providing other currency trading information can be accessed by clicking on any of the headlines below. At the top of the forex blog page you will find the latest forex trading information. Scroll down the page if you are looking for less recent currency trading information. Scroll to the bottom of fx blog headlines and click on the link for past reports on forex. Currency world news reports from previous years can be found on the left sidebar under "FX Archives."



Elevate Your Trading With The Amazing Trader!

The Amazing Trader includes:
  • Actionable trading levels delivered to YOUR charts in real-time.
  • Live trading strategy sessions.
  • Market Updates with Trading Tools.

Register To Test Your Amazing Trader


Trading Ideas for 11 December 2017

Register for the Amazing Trader

1.

Amazing Trader EVENT RISK Calendar:

Tue 12 Dec
09:30 GB- CPI
10:00 GB- ZEW Survey
13:30 US- PPI
Wed 13 Dec
00:30 AU- Employment
09:30 GB- Unemployment
13:30 US- CPI
15:30 US- EIA Crude
19:00 US- Fed Decision
Thu 14 Dec
07:30 CH- SNB Decision
All Day- Global- flash PMIs
12:00 GB- Bank of England Decision
12:45 EZ- ECB Decision
13:30 US- Retail Sales
13:30 US- Weekly Jobless
14:45 US- Industrial Production

Forex Trading Outlook


Potential Trading Opportunities

  • POTENTIAL PRICE RISK: Mediun Tue--10:00 GMT-- DE- ZEW. Second Tier Sentiment Survey
  • POTENTIAL PRICE RISK: HIGH-Medium Tue--13:30 GMT-- US- PPI

  • POTENTIAL PRICE RISK: HIGH-Medium Wed--09:30 GMT-- GB- Employment
  • POTENTIAL PRICE RISK: HIGH Wed--13:30 GMT-- US- CPI
  • POTENTIAL PRICE RISK: Medium Wed--15:30 GMT-- US- EIA Crude
  • POTENTIAL PRICE RISK: High Wed--19:00 GMT-- US- Fed Decision


  • POTENTIAL PRICE RISK: HIGH- Thu --00:30 GMT-- AU- Employment
  • POTENTIAL PRICE RISK: Medium- Thu --All day-- global- flash PMIs
  • POTENTIAL PRICE RISK: HIGH-Medium- Thu --07:30-- CH- Swiss National Bank Decision
  • POTENTIAL PRICE RISK: HIGH-Medium- Thu --09:30-- GB- Retail Sales
John M. Bland, MBA
co-founding Partner, Global-View.com EXCLUSIVE: Global-View Daily Trading Chart Points Updated

EXCLUSIVE: Global-View Free Forex Database updated




TRADER ADVOCACY ARTICLES

Trader's Advocate Articles..

pic

Retail Forex Brokerage Changing!

Are you looking for your first broker or do you need of a new one? There are more critical things to consider than you might have thought.

We were trading long before there were online brokers. Global-View has been directly involved with the industry since its infancy. We've seen everything and are up-to-data with recent regulatory changes.

Our Best Brokers listing section includes:Forex Broker Reviews, Forex Broker Directory, Forex Broker Comparisons and advice on How to Choose a Forex Broker

If would like guidance, advice, or have any concerns at all ASK US. We are here to help you.

SEE Our Best Brokers List

Currency Trading Tools

  • Live rates, currency news, fx charts. 

  • Research reports and currency forecasts.

  • Foreign Exchange database and history.

  • Weekly economic calendar.

Directory of  Forex trading tools

 
Terms of Use    Disclaimer    Privacy Policy    Contact    Site Map


Forex Forum
Forex Trading Forum
Forex Forum + forex rates
Forex Forum Archives
Forex Forum RSS
Free Registration

Trading Forums
Currency Forum Guide
Forum Directory
Open Forum
Futures Forum
Political Forum
Forex Brokers
Compare Forex Brokers
Forex Broker News
Forex Broker Hotline

Online Forex Trading
Forex Trading Tools
Currency Trading Tools
Forex Database
FX Chart Points
Risk/Carry Trade Chart Points
Economic Calendar
Quicklinks to Economic Data
Currency Futures Swaps
Fibonacci Calculator
Currency Futures Calculator

Forex Education
Forex Learning Center
FX Trading Basics Course
Forex Trading Course
Forex Trading Handbook

Forex Analysis
Forex Forecasts
Interest Rate Forecasts
Central Bank Forecasts

FX Charts and Quotes
Live FX Rates
Live Global Market Quotes
Live Forex Charts
US Dollar Index Chart
Global Chart Gallery
Daily Market Tracker
Forex News
Forex Blog
Forex News
Forex Blog Archives
Forex News RSS
Forex Services
Forex Products
GVI Forex
Free Trials
FX Bookstore
FX Jobs and Careers
Jobs USA
Jobs UK
Jobs Canada

Forex Forum

The Global-View Forex Forum is the hub for currency trading on the web. Founded in 1996, it was the original forex forum and is still the place where forex traders around the globe come 24/7 looking for currency trading ideas, breaking forex news, fx trading rumors, fx flows and more. This is where you can find a full suite of forex trading tools, including a complete fx database, forex chart points, live currency rates, and live fx charts. In addition, there is a forex brokers directory where you can compare forex brokers. There is also a forex brokers hotline where you can ask for help choosing a forex broker that meets your individual fx trading needs. Interact on the same venue to discuss forex trading.

Forex News

The forex forum is where traders come to discuss the forex market. It is one of the few places where forex traders of all levels of experience, from novice to professionals, interact on the same venue to discuss forex trading. There is also the GVI Forex, which is a private subscription service where professional and experienced currency traders meet in a private forex forum. it is like a virtual forex trading room. This is open to forex traders of all levels of experience to view but only experienced currency tradingprofessionals can post.

Currency Trading

Currency trading charts are updated daily using the forex trading ranges posted in the Global-View forex database. You will also find technical indicators on the fx trading charts, e.g. moving averages for currencies such as the EURUSD. This is another forex trading tool provided by Global-View.com.

Forex Brokers

The forex database can be used to access high, low, close daily forex ranges for key currency pairs, such as the EURUSD, USDJPY, USDCHF, GBPUSD, USDCAD, AUD, NZD and major crosses, including EURJPY, EURGBP, EURCHF, GBPJPY, GBPCHF and CHFJPY. Data for these currency trading pairs dating back to January 1, 1999 can be downloaded to an Excel spreadsheet.

Forex Trading

Forex chart points are in a currency trading table that includes; latest fx tradinghigh-low-close range, Bollinger Bands, Fibonacci retracement levels, daily forex pivot points support and resistance levels, average daily forex range, MACD for the different currency trading pairs. You can look on the forex forum for updates when one of the fx trading tools is updated.

FX Trading

Global-View also offers a full fx trading chart gallery that includes fx pairs, such as the EURUSD, commodities, stocks and bonds. In a fx trading world where markets are integrated, the chart gallery is a valuable trading tool. Look for updates on the Forex Forum when the chart gallery is updated.

Forex Blog

Global-View.com also offers a forex blog, where articles of interest for currency trading are posted throughout the day. The forex blog articles come from outside sources, including forex brokers research as well as from the professionals at Global-View.com. This forex blog includes the Daily Forex View, Market Chatter and technical forex blog updates. In additional to its real time forex forum, there are also Member Forums available for more in depth forex trading discussions.

 

WARNING: FOREIGN EXCHANGE TRADING AND INVESTMENT IN DERIVATIVES CAN BE VERY SPECULATIVE AND MAY RESULT IN LOSSES AS WELL AS PROFITS. FOREIGN EXCHANGE AND DERIVATIVES TRADING IS NOT SUITABLE FOR MANY MEMBERS OF THE PUBLIC AND ONLY RISK CAPITAL SHOULD BE APPLIED. THE WEBSITE DOES NOT TAKE INTO ACCOUNT SPECIAL INVESTMENT GOALS, THE FINANCIAL SITUATION OR SPECIFIC REQUIREMENTS OF INDIVIDUAL USERS. YOU SHOULD CAREFULLY CONSIDER YOUR FINANCIAL SITUATION AND CONSULT YOUR FINANCIAL ADVISORS AS TO THE SUITABILITY TO YOUR SITUATION PRIOR TO MAKING ANY INVESTMENT OR ENTERING INTO ANY TRANSACTIONS.

Copyright ©1996-2014 Global-View. All Rights Reserved.
Hosting and Development by Blue 105