User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Friday October 24, 2008 - 12:49:20 GMT
Reuters -

Share This Story:
| | Email

FOREX NEWS-Yen rockets as risk aversion hits extremes

Fri Oct 24, 2008 8:41am EDT

* Yen surges broadly, dlr tumbles below 91 yen to 13-yr low

* Euro posts largest drop vs yen <EURJPY=>; 2-yr low vs dlr

* Euro area PMIs grim, UK econ shrinks more than expected

* Nikkei plunges below 8,000, European equities sink

(update prices, adds quotes)

By Tamawa Kadoya and Veronica Brown

LONDON, Oct 24 (Reuters) - The yen shot to multi-year highs versus the dollar and euro on Friday, as tumbling global stock markets intensified risk aversion, crystallising investor fears on the possibility of a prolonged global recession.

Staggering moves seen in the stampede towards the low-yielding Japanese unit, with euro/yen dropping 10 percent at one point, also kindled speculation over how central banks might respond.

This is because the yen's rally gathered speed, outstripping major dollar gains against a basket of currencies, even as Japan's prime minister and vice finance minister warned against the adverse impact of financial market fluctuations.

"We are seeing extreme risk aversion. The thing to note in the FX market is that it's getting a bit disorderly -- this is becoming a rout," said SG currency strategist Phyllis Papadavid in London.

The euro fell more than 10 percent against the yen to hit a low of 113.82 yen <EURJPY=>, on track for its biggest monthly percentage loss on record against the Japanese currency. By 1200 GMT, the dollar was down more than 5 percent against the yen at 92.50 yen <JPY=> after hitting a 13-year low of 90.95, according to Reuters data.

Japanese Prime Minister Taro Aso told reporters ahead of a Asia-Europe summit in Beijing: "As I have been saying, I don't have any intention to fret over rapid fluctuations in stock and the dollar. But what could affect the real economy most are such rapid moves."

Japanese vice finance minister Kazuyuki Sugimoto said separately that rapid and excessive currency movements were undesirable.

Tokyo's Nikkei average .N225 sank 9.6 percent to a 5-1/2 year closing low on Friday at 7,649.08. European stocks followed suit, tumbling some 8 percent .

Data from the euro zone on Friday proved dismal, with German manufacturing sector contracting in October at its fastest rate in over seven years. A flash estimate showed the Markit purchasing managers' index (PMI) for the manufacturing sector fell to 43.3 from 47.4 in September. See [ID:nLAG003090]

Sterling sank to a six-year low against the dollar <GBP=>, while the pound also hit a record low against the euro <EURGBP=> as high-yielders fell victim unwinding of highly leveraged positions.

The pound was also hit after data showed the UK economy shrank by a bigger-than-expected 0.5 percent in the third quarter. The Swiss franc slid to 1.1485 francs per dollar <CHF=>, its lowest since October 2007, but hit a 7-yr high versus euro <EURCHF=>.


The sharp surges in the dollar and yen have raised concerns that financial authorities may act in currency markets to rein in volatile moves.

Reflecting the climate of fear, implied volatility on the dollar/yen currency options for the one-month period spiked above 44 percent on Friday <JPY1MO=>, while those for euro/dollar <EUR1MO=> hit a record high.

"G7 central banks may need to exercise their mandate of ensuring orderly FX markets by intervening in FX markets," ING chief FX strategist Chris Turner said.

"While FX volatility over the last two months to a large extent has been a symptom, not a cause, of the global financial crisis, current FX volatility now seems to be exacerbating global asset market declines," he added.

The dollar index, a gauge of its value against a basket of six major currencies, was up 1.86 percent at 86.344 .DXY after hitting a two-year high.

To combat the currency rout in emerging markets, the International Monetary Fund was hurrying to approve by early November a package that would let some "top-tier" emerging market economies exchange local currencies for dollars to ease strains, officials familiar with the plan said. (Editing by Andy Bruce)

© 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