central banks weigh on pound sterling and Swedish krona
recession deepens, GDP contracts by 1.5% in Q4
Â·G7 finmins to
discuss crisis measures, financial market regulation, protectionism
Finance ministers in the spotlight
week, the markets have been focused on the two major political events in the US.
First, the US
Senate has approved the economic stimulus package, thus clearing the way for
the joint compromise plan to be approved by both houses of Congress. The
stimulus bill is to be signed into law by President Obama within the next few days.
Second, the new US Treasury Secretary Timothy
Geithner has unveiled his bank rescue plan.
participantsâ€™ hopes were pinned primarily on the bank rescue plan. They had
been expecting it to provide fresh impetus. And they were visibly disappointed
when it became clear that Mr Geithner had no clear-cut solutions to offer. The
new plan is based on much the same lines as before: recapitalisation of
financial institutions with the potential to survive, removing toxic assets
from banksâ€™ balance sheets with combined funds from the public and private
sector (this is new), reviving lending to consumers and SMEs by significantly
expanding funds to buy securitized loans (up to a volume of $1,000bn), and easing
restructuring of existing mortgage loans by offering government aid.
plan leaves a lot of important questions unanswered, however, particularly in
connection with removing toxic assets from banksâ€™ balance sheets. Mr Geithner
only touches briefly on the main
problem â€“ how to obtain a fair valuation of the assets, and how to avoid
favouring banks or private investors to the detriment of taxpayers. Against
this backdrop, gains on equity markets crumbled again, and credit spreads
widened. In the forex market, EUR-USD, which had been around
1.30 at the beginning of the week, retreated below 1.29. Weak economic data
and the eurozone strengthened this tendency. Both the German and the Japanese
trade balance figures show that foreign trade collapsed in December; very bad
euro area production data complete the picture. The GDP figures released on
Thursday and Friday show an unprecedented collapse in economic activity in Q4:
in the eurozone, real GDP fell by 1.5% quarter-on-quarter, and even more
dramatically in Germany
by 2.1%. The negative impact came mainly from the foreign trade side and fixed
pound sterling and the Swedish krona weakened significantly. In the previous
fortnight, the pound had recovered quite well: at the beginning of the week,
GBP-USD had improved from its low of around 1.35 to 1.50; at the same time, EUR-GBP
had lost about 8 pence to around 0.87. In
his statement on the release of the Inflation Report, BoE governor Mervyn King
clearly signaled that the economic situation and the tight financial market
situation might make further monetary policy easing necessary. He also
confirmed that the BoE was considering quantitative easing. A combination of
crumbling equity markets, dismal macroeconomic prospects and BoE interest rate
cut hints weighed on the pound: the euro rose to over 0.89, cable fell back to
Swedish krona suffered a similar fate when on Wednesday the Riksbank
rates by 100 basis points to a mere 1.0%. It referred to the rapid
deterioration in the economic situation: according to the Swedish central Bankâ€™s
revised estimates, real GDP will shrink by 1.6% in 2009, while the unemployment
rate could more than double to 8.0%.
the weekend, the G7 finance ministers and central bank governors are meeting in
to discuss measures to combat the financial and economic crisis. In our view,
they are not likely
come up with a magic solution. We see a slight danger here of the marketsâ€™
hopes of a quick solution being dashed â€“ which would support the dollar. In
addition, currency matters will probably be discussed in the normal manner. The
government has already signalled that it also considers the yuan undervalued.
The G7 statement is therefore likely to contain a reference to China
again. In the markets, there had been some speculation as to whether Japan
could bring up the subject of the appreciation of the yen. But finance minister
Shoichi Nakagawa has since denied this.
Rieke +49 69 718-4114
Grabbe / Klaus NĂ¤fken
report has been prepared by BHF-BANK Aktiengesellschaft on behalf of itself and
its affiliated companies (together "BHF-BANK Group") solely for the
information of its clients. The information and opinions in this document are
based on sources believed to be reliable and acting in good faith, but no
representation or warranty, express or implied, is made by any member of the
BHF-BANK Group as to their accuracy, completeness or correctness. Opinions and
recommendations are given in good faith but without legal responsibility and
are subject to change without notice. The information does not constitute
advice or personal recommendation, for which the duty of suitability would be
owed, but may facilitate your own investment decision. Moreover, you should
seek your own advice as to the suitability of an investment matter mentioned
herein. Investors are reminded that the price of securities and the income from
them can go down as well as up and that the past performance of an investment
or a market is not necessarily indicative for future results. This document is
for information purposes only. Descriptions of any company or companies or
their securities mentioned herein are not intended to be complete, and this
document is not, and should not be construed as, an offer to sell or solicitation
of any offer to buy the securities mentioned in it. BHF-BANK Group and its
officers and employees may have a long or short position or engage in
transactions in any of the securities mentioned in this document, or in any
related securities. This publication must not be distributed in the United
rights reserved. Please mention source when quoting from it.
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."
Actionable trading levels delivered to YOUR charts in real-time.
Mon 10 Sep 2018 AA 08:30 GB- GDP, Trade, Output Tue 11 Sep 2018 AA 08:30 GB- Employment Decision A 09:00 DE- ZEW Survey Wed 12 Sep 2018 A 12:30 US- PPI A 14:30 US- EIA Crude A 18:00 US- Beige Book Thu 13 Sep 2018 A 1:30 AU- Employment AA 11:00 GB- Bank of England Decision AA 11:45 EZ- European Central Bank Decision A 12:30 US- Weekly Jobless AA 12:30 US- CPI Fri 14 Sep 2018 A 08:30 GB- GDP AA 12:30 US- Retail Sales A 13:15 US- Industrial Production AA 14:00 US- prelim University of Michigan
John M. Bland, MBA co-founding Partner, Global-View.com
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.
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.
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.