User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Monday October 13, 2008 - 22:54:47 GMT
Reuters -

Share This Story:
| | Email

FOREX NEWS-Dollar, yen fall as credit markets ease; euro rises


Mon Oct 13, 2008 4:33pm EDT

* Dollar, yen decline as risk appetite improves

* Euro, sterling rally on European bailouts

* Money market rates slip, U.S. stocks soar (Recasts, adds comments, updates prices, changes byline)

By Gertrude Chavez-Dreyfuss

NEW YORK, Oct 13 (Reuters) - The U.S. dollar had its worst day against the euro in three weeks on Monday, while the yen weakened broadly, as credit conditions eased after major central banks unleashed a slew of measures to rescue a distressed global financial system.

The euro and sterling were also boosted after governments in Britain, France, and Germany announced plans to recapitalize their banking systems. See story [ID:nKLR379309].

The improvement in risk appetite has been Monday's overriding theme as the Federal Reserve, the European Central Bank, Bank of England, and Swiss National said they would provide commercial banks with as much U.S. dollar liquidity as they needed at fixed rates to unlock clogged money markets.

"The whole idea that the dollar is benefiting from frozen credit markets is now starting to dissipate," said Brian Dolan, chief FX strategist, at in Bedminster, New Jersey.

"The euro has therefore recovered and it's also a function of the fact that Europe's banking plan is out. That explains the euro's move to near $1.37."

Over the last two months, the dollar has benefited from the extraordinary tightness in money markets. With global business transactions still carried out in dollars, higher money market rates have underpinned the greenback as banks and funds jostled to buy dollars in efforts to stay liquid.

Market participants further assumed that the United States is the safest place for investors should a global economic slowdown worsen because the government has initiated bold moves to stem the bleeding in financial markets well ahead of the other monetary authorities.

In late trading, the euro rose to $1.3592, up 1.3 percent<EUR=>, its best day since Sept. 22, according to Reuters data. The single currency was more than a cent off its session peak but well above Friday's low of $1.3257, its weakest level since March 2007.

Tokyo and Canadian bourses including the New York bond market were closed for national holidays, curbing volume.


Against the yen, the euro climbed 2.4 percent to to 138.31<EURJPY=>. The dollar rose 1.1 percent to 101.76 yen <JPY=>.

Aside from the dollar, the yen has been a major beneficiary of increased risk aversion in the last few months amid troubles in the global financial sector. Investors have unwound billions of dollars in risky carry trades financed using the yen's ultra-low rates, bolstering the Japanese currency.

"What we're going to see in the coming days and weeks is a rebound in risk appetite and this is going to lead to a lower yen," said's Dolan.

In line with the decline in risk aversion, the interbank cost of borrowing in dollars, sterling, and euros all fell. Three-month euro Libor posted its biggest fall this year, three-month dollar Libor had its steepest drop since March, and Euribor rates eased across the board.

Global stock markets also rallied, while U.S. equities surged following their worst week on record, posting their best day ever. See [ID:nN13476626].

Sterling rose 1.8 percent to $1.7350 <GBP=> after slumping to a five-year low near $1.68 on Friday. Britain said it would pour $64 billion into three of its biggest banks as part of a plan to restore confidence, helping a recovery in the pound. France and Germany also unveiled plans to recapitalize their banks.

The United States, which adopted a $700 billion rescue plan earlier this month, said it too would take stakes in banks, its first such move since the Great Depression. Australia also said it would guarantee deposits in its banks. [ID:nCRISIS].

Australia's move helped turn sentiment on its currency, which rose 8.3 percent against the U.S. dollar to US$0.6965 <AUD=>. Analysts expect further gains in the Australian dollar given how far it has fallen this year. The Australian currency has lost 20.5 percent so far in 2008 versus the greenback.

"Currently, the dollar seems a bit overextended. Now we don't want to ignore the potential for serious capitulation among dollar bears," said Jack Crooks, president of advisory firm Black Swan Capital in Palm City, Florida.

"But if stocks really find a chance to bounce then the risk-aversion flow that has weakened stocks and strengthened the dollar could quickly reverse course. This could mean sharp inflows to currencies like the Australian dollar."

(Additional reporting by Steven C. Johnson;)

© Thomson Reuters 2008. All rights reserved. Users may download and print extracts of content from this website for their own personal and non-commercial use only. Republication or redistribution of Thomson Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters and its logo are registered trademarks or trademarks of the Thomson Reuters group of companies around the world.


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."

Actionable trading levels delivered to YOUR charts in real-time.

Register To Test Your Amazing Trader

GVI Trading. Potential Price Risk Scale
AA: Major, A: High, B: Medium

Tue 17 July 2018
AA 08:30 GB- Employment
A 13:15 US- Industrial Production
AA 14:00 US-Powell Testimony
Wed 18 July 2018
AA 08:30 GB- CPI
A 12:30 US- Housing Starts/Permits
AA 14:00 US-Powell Testimony
Thu 19 July 2018
AA 1:30 AU- Employment
AA 08:30 GB- Retail Sales
A 14:30 US- EIA Crude
A 12:30 US- Weekly Jobless
Fri 20 Jun 2018
A 12:30 CA- CPI/Retail Sales

John M. Bland, MBA
co-founding Partner,

Global-View Affiliate Program

We are starting an affiliate program to market some of our products.

Send me an email if you would be interested or if you know someone who would like to be an affiliate. Generous commissions payout for those accepted.

Put the word "affiliate" in the email subject line.

Contact us

Start trading with forex broker Markets Cube

Max McKegg's Daily Forex Trading Forecasts

Veteran FX Trader, Max McKegg, forecasts all the Major currencies and the Australasians; providing Daily and Medium Term Trading forecasts to subscribers, who include large Banks the world over, as well as individual traders in more than 30 different countries.

Request a TRIAL of Max's Forex Service.


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

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 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 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.



By using this website, you are agreeing to our Privacy Policy and Terms of Use, and Cookie Policy

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