User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Saturday January 17, 2009 - 00:56:57 GMT
Reuters -

Share This Story:
| | Email

FOREX NEWS-Dollar, yen slide as BoA rescue boosts confidence


Fri Jan 16, 2009 4:23pm EST

* Dollar, yen fall as risk aversion eases

* Government aid for banks offsets Citi, BofA results

* Foreigners sell Treasuries for 1st time since Aug 2007 (Updates prices, adds quote; changes byline)

By Steven C. Johnson

NEW YORK, Jan 16 (Reuters) - The dollar and yen weakened on Friday as fresh government aid for U.S. banks eased some investor concerns about stress in the financial sector, reducing safe-haven flows into the U.S. and Japanese currencies.

News that Bank of America (BAC.N: Quote, Profile, Research, Stock Buzz) received $20 billion in new government capital boosted high-yielding currencies, such as the New Zealand dollar, and helped the euro rebound from a fall after Thursday's European Central Bank interest rate cut.

"The Bank of America recapitalization was relatively good news for risk appetite. People were reassured a little by it," said Mark Frey, head of trading at Custom House, a global payments dealer in Victoria, British Columbia.

The euro rose 1 percent to $1.3290 <EUR=>, rebounding from Thursday's five-week low at $1.3025, according to Reuters data, though it ended down about 1.3 percent on the week. Against the yen, the euro soared 1.8 percent to 120.24 <EURJPY=>, while the dollar gained 0.9 percent to 90.58 yen <JPY=>.

The dollar and yen, both saddled with interest rates near zero, tend to weaken as risk appetite rises because investors feel more confident about buying higher-yielding currencies and assets such as stocks and commodities.

The dollar also came under pressure after a government report showed investors sold U.S. Treasury bonds in November for the first time since August 2007, when the credit crunch began. For details, see [ID:nN16274887]

The New Zealand dollar rose 1.7 percent against the dollar to $0.5467 <NZD=> and 2.6 percent against the yen to 49.55 yen <NZDJPY=R>. At 5 percent, New Zealand's interest rate is highest among industrialized economies.

Sterling was last up 0.6 percent at $1.4744 <GBP=>, though it retreated rapidly from a session peak of $1.4980 after shares of Barclays tumbled in late European trade on growing worries about UK banks' capital needs and outlook.

Barclays (BARC.L: Quote, Profile, Research, Stock Buzz) later said its board knew of no justification for the slide in its stock price. [ID:nLG110077]


The aid for Bank of America followed the U.S. Senate's vote to release the second half of a $700 billion bank bailout program, handing an early victory to President-elect Barack Obama, who will be sworn in on Tuesday. [ID:nN15546809]

Democratic leaders in the U.S. House of Representatives unveiled an $825 billion tax cut and spending package they hope will help Obama reverse the economic slump.

But analysts said Friday's more buoyant mood may prove fleeting, "because there are still a lot of downside risks for the economy and financial markets," said Terri Belkas, currency strategist at in New York.

The travails of Bank of America and other large financial institutions suggest there could be more trouble to come, thus deepening an already severe world economic slump and sparking fresh losses in the financial sector.

"The prevailing view still is that we're not out of the woods, and you don't have to look any further than some of the corporate earnings results for confirmation," said Frey.

Bank of America and Citigroup (C.N: Quote, Profile, Research, Stock Buzz) on Friday both reported multibillion dollar losses in the fourth quarter and Citigroup said it would split into two operating units. [ID:nN16293252]

"Fears that we may see another round of risk aversion similar to October and November will put a floor under the U.S. dollar," he said.

The euro may prove a bit more resilient, some analysts said, because ECB President Jean-Claude Trichet this week dismissed the idea of cutting interest rates to zero as the United States and Japan have done.

"Essentially, there's going to be a floor on European rates, perhaps at 1 or 1.25 percent, which will leave the euro with a moderately higher yield than the dollar and yen," said Boris Schlossberg, director of currency research at GFT Forex in New York. (Additional reporting by Wanfeng Zhou; editing by Gary Crosse)

© 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

Mon 9 July 2018
AA 12:00 EZ- Draghi EU Parliament Testimony
Tue 10 July 2018
AA 08:30 GB- Ind/Prod Output, Trade
AA 09:00 DE- ZEW Survey
Wed 11 July 2018
A 12:30 US- PPI
A 14:00 CA- Bank Of Canada Decision
A 14:30 US- EIA Crude
Thu 12 July 2018
AA 12:30 US- CPI
Fri 13 July 2018
A 14:00 US- Prelim University of Michigan
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