- The strength seen in equity markets post Fed announcement has dissipated as
companies continue to lower their outlook for profits and production heading
into 2009. Morgan Stanley reported expectedly lousy results while names like
Honda Motors, Xilinx, Newell and Schnitzer Steel are just the latest to cut
guidance. Treasury yields continue to make new historic lows across the curve
as the momentum from yesterday's FOMC statement builds. Along those lines the
greenback continues to take a pounding which has pushed the euro above 1.43 and
the USD/JPY below 88 for fresh 13-year lows. Feb gold traded at two-month highs
above $880 after the spot price broke above its 200-day moving average around
- Oil trade has been front and center this morning, with weekly inventory data
pushing prices to new lows before OPEC confirmed a January cut of more than 2M
barrels a day. The OPEC announcement injected some volatility into the market
as it was announced as a cut of 4.2M bpd from September. Initially prices moved
higher but by the time members confirmed the new cuts amounted to 2.2M bpd
prices were moving lower once again. Jan crude is now making new session lows
approaching $40 after the OPEC president announced non-OPEC nations have not
agreed to any complimentary production cuts.
- Morgan Stanley reported its first loss since last December, at -$2.24 versus
expectations for a $0.34 loss, but the stock has managed to move into the
green. Revenue was less than half the expected figure. Assets under management
fell 28% y/y, while ROE was not disclosed at all in the press release. Morgan
said it has cut leverage from 32.6x to 11.4x and confirmed it is launching a
retail banking group, as expected. Morgan's CFO said that construction of a
retail bank business will be fueled by the brokerage network, confirming it
holds $42B in deposits and seeks to expand deposits to 50% of funding needs
within three years. Multiple analysts cut their earnings estimates on Goldman
Sachs overnight, including Oppenheimer's Meredith Whitney, Morgan Stanley, and
Sanford Bernstein. The Wall Street Journal reported that government regulators
are increasing their oversight of Citi's strategy, including advising executive
against making certain acquisitions. Last night CIT Group launched a sizable
$250M common stock offering, amounting to 18.9% of the firm's market cap, as
the final installment of its efforts to build enough capital to become a bank
- In other equity news, Big Food is doing well despite the slowdown, with both
General Mills and ConAgra Foods beating consensus estimates handily. The CEO of
General Mills did warn that the firm does see slower sales in the second half
of 2009. The ADRs of Satyam Computer have jumped more than a third after the
Indian IT giant canceled its acquisition of Maytas Infra LTD and Maytas Infra,
"in deference to the views expressed by many investors.â€ť Apple is down
around 7% after a pre-market downgrade as well as its announcement that CEO
Steve Jobs would not give the keynote speech at next month's MacWorld
conference. Newell Rubbermaid slashed its guidance by more than two thirds for
all the usual reasons, noting that it is positioning the company for a
prolonged downturn. NWL is down more than 20%
- In currencies, several themes emerged during the session, but year-end
liquidity issues continue to be the overall driver of the price action. Dealers
are noting that thin liquidity are prevailing as the end of the year approaches.
The greenback has sustained its soft tone against most major pairs, with the
dollar taking the brunt of the Fed's policy move yesterday. Dealers are noting
that markets tend to punish the currencies of aggressive proactive central
banks and reward those of the â€śstodgy, disciplinedâ€ť variety (e.g. the ECB). In
this way markets seem to be using the thin trading conditions to test the
resolve of central bankers.
- The German Government advisors (aka the wisemen) called on the ECB to cut
rates "significantly,â€ť insisting that the ECB intervene in currency
markets if EUR/USD hits the $1.50 level again. The wisemen called the euro's
appreciation a problem for the German economy. Nonetheless EUR/USD probed above
its 100-week moving average of 1.4250 during the New York
morning and proceeded to trade above the 1.44 handle, up over 300 pips from its
opening levels in Asia and 1000 pips for the week thus
far. The euro's firm tone was not only limited to the dollar. EUR/GBP again
tested fresh all-time highs near the 0.93 area, while EUR/JPY firmed by more
than 80 pips to probe toward the neighborhood of 126.00.
- In other currency news, the Swiss Franc (CHF) was broadly firmer in the
session, with GBP/CHF testing below the 1.6730 level for multi-decade lows in
this pair, while USD/CHF tested the 1.0750 area before snapping back towards
1.0850 ahead of the European close. USD/JPY hit fresh 13-year lows at 87.10.
The market had been wary of intervention, though with nothing either verbally
or physically has seen from the Japan's
Ministry of Finance. The Russian Ruble exhibited continued weakness, with
dealers suggesting that the current price movements are showing the RUB
undergoing the biggest devaluation of the seven or so seen in the last month
and a half. The usual pattern had been for a 1%, or roughly 30 Kopeck,
depreciation within the basket trading band, but dealers are noting that
today's RUB move appears to be a 40 Kopeck move.
Legal disclaimer and risk disclosure
All information provided by Trade The News (a
product of Trade The News, Inc. "referred to as TTN hereafter") is
for informational purposes only. Information provided is not meant as investment
advice nor is it a recommendation to Buy or Sell securities. Although information is taken from sources deemed
reliable, no guarantees or assurances can be made to the accuracy of any information provided. 1. Information can be inaccurate and/or incomplete
2. Information can be mistakenly re-released or be
delayed, 3. Information may be incorrect, misread,
misinterpreted or misunderstood 4. Human error is a business risk you are
willing to assume 5. Technology can crash or be interrupted without notice 6.
Trading decisions are the responsibility of traders, not those providing
additional information. Trade The News is not liable
(financial and/or non-financial) for any losses that may arise from any information provided by TTN. Trading securities
involves a high degree of risk, and financial losses can and do occur on a
regular basis and are part of the risk of trading and investing.
Forex Trading News
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
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.
Mon 18 Dec
10:00 EZ- final HICP Tue 19 Dec
09:00 DE- IFO Survey
13:30 US- Housing Starts/Permits
13:30 US- Current Account Wed 20 Dec
15:00 US- Existing Homes Sales
15:30 US- EIA Crude Thu 21 Dec
03:00 JP- BOJ Decision
13:30 CA- CPI & Retail Sales
13:30 US Weely Jobless
13:30 US- GDP Fri 22 Dec
09:30 US- GB- GDP
13:30 US- core PCE Deflator & Presonal Income
15:00 US- New Homes Sales
15:00 US- final University of Michigan
17:00 US- early Closes Mon 25 Dec
00:00 Christmas Holidays
Potential Trading Opportunities
POTENTIAL PRICE RISK: Medium Mon--10:00 GMT-- EZ- final November HICP. flash data are rarely changed.
POTENTIAL PRICE RISK: HIGH- Medium Tue --09:00 GMT-- DE- IFO Survey. Key report but usually not a market-mover
POTENTIAL PRICE RISK: HIGH- Medium- Tue --13:30 GMT-- US- Housing Starts and Permits. Leading indicators of activity
POTENTIAL PRICE RISK: HIGH-Medium- Wed --15:00-- US- Existing Homes Sales. Top Housing statistic
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.
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.
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 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.
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 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.
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.
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.