- In equities: European equity markets opened to the downside following choppy
trading out of Asia. Asian bourses oscillating in and out of negative territory
sent a mixed theme into the European morning. Pre-market trading remained mixed
with futures effectively flat on the open. First crosses on the CAC, DAX and
FTSE were all in negative territory but losses were quickly pared. The DAX
moved off its lows, turned pos and rallied to as high at +0.50% by 3:15EST on
strength out of the Automotive sector [DAI.GE], [BMW.GE] following comments out
of VW [VOW.GE] and Porsche [PAH3.GE] that talks may be back on. The CAC rallied
out of negative territory in line with a recovery of shares of Air France
[AF.FR] which indicated neg in the pre-market before rallying to over +11% by
3:20EST. The FTSE under performed its continental peers holding within negative
territory. Confirmation out of Lloyds [LLOY.UK] that it was placing Â£4B in
shares to pay back Treasury shares drove the stock down over 20p (-20%) in early
trades. Through the 3:00EST hour, equity markets continued their light tone
accelerating post 3:40EST to new trading level highs. Airlines continued to
outperform with BA [BAY.UK], Lufthansa [LHA.GE] and Air France [AF.FR] all
trading above +3%, materials, mining and mixed industrial names also
demonstrated broad strength. Markets trended off their 4:00EST highs for the
remainder of the European morning, better than expected Italian March
industrial orders, Spanish March trade data and a significant recovery in the
Swiss Zew survey maintained the equity rally within continental bourses. The
FTSE returned to the unchanged point by 5:00EST on the back of continued
weakness in Lloyds and broad sector weakness in insurance names with Legal and
General [LGEN.UK] Prudential [PRU.UK] and Aviva [AV.UK] under performing.
In specific stocks: Experian [EXPN.UK] Reported FY09 Net $486M v $550Me, Rev
$3.9B v $3.9Be, Increased interim dividend to $0.1325/shr ||LSE [LSE.UK]
Reported FY09 Adj Op Profit Â£338.6M v Â£307Me. Rev Â£671.4Me v Â£666.5Me, final
dividend 24.4p v 24p y/y. SETS volumes continued to grow, increasing 15% to
740,000 trades per day, SETS average daily value traded declined 24%, in line
with an average 22% fall in the FTSE 100d || Air France [AF.FR] Reports Q4 Net
-â‚¬505M v loss â‚¬619Me, Rev â‚¬5B v â‚¬7.9Be; proposes no dividend for 2009. Plans
3,000 job cuts in 2009 (approx 3% of global workforce). Expect will likely post
a loss this year. || VW [VOW.GE] Reportedly Porsche is reviving merger talks
with VOW after chairmen of the two companies reach a deal. The chairmen of the
two companies have pledged to work together constructively. || Fiat [GM] RHJ
International, Fiat and Magna are all expected to make formal offers for a
stake the company's European operations on Wed - FT. The bidders will be asked
to come up with about $887M || Volvo [VOLVB.SW] Reported April Truck deliveries
9.2K v 11.2K (-18% m/m)
- Speakers: IMF commented on Japan and stated that the country's stimulus
program and monetary policy should assist economic growth. The IMF did note
economic outlook remained uncertain but believes that a sustained recovery
might take hold in 2010. Inflation projected mildly negative until 2011. The
IMF commented that monetary policy needs to remain 'accommodative' but fiscal
policy should remain flexible. Additional stimulus might be provided if
recession continues ||| ) BoE Minutes: MPC voted unanimously to keep rates at
0.50% and raise quantitative easing by Â£50B. Outlook warranted Â£50B extension
in quantitative easing (QE); Failure to extend asset purchases could reduce
public confidence. QE to be reviewed every month and the BOE could seek
permission to increase QE above the current Â£150B level. It did note that the
precise amount of QE needed was uncertain, and that it could be revised either
up or down depending on circumstances. The BOE saw persistent degree of slack
in the economy and that there were less risk from stimulating too much than
stimulating too little ||| German MOF stated that its leading indicators hinted
that growth would remain weak and that Germany
was encountering its worst economy in 60 years. The Q2 contraction would likely
slow compared to Q1 but export sector to remain weak (but declining at a slower
rate). The Ministry noted that Q1 Private consumption did rise and was helped
by car scraping scheme. It noted that the German Cabinet would debate the
second supplementary budget on May 27 ||| Poland Fin Min Rostowski expects
budget deficit to hold around PLN16B until July ||| BoJ's Shirakawa commented
that there were no current plans to revise Japan's growth forecasts or the
BoJ's economic outlook . He noted that exports and output were bottoming out
globally due to inventory adjustments. He expected consumption and investment
to remain weak. Prolonged low interest rates generally leads to lower currency
||| Japan Fin Min Yosano commented that the drop in exports and domestic demand
were the reasons for the GDP decline. He added that the Government stimulus
alone cannot fully offset economic decline ||| World Bank Official commented
that China's economic recovery enthusiasm was "premature" but noted
that the Chinese did not need to introduce new stimulus at this time. It did
suggest that China
raise the ceiling on deposit rates to encourage consumption. ||| U.K.'s
Chancellor Darling stated in a press interview that he maintained his growth
forecasts with U.K.
economy to start expanding by the end of the year and to show a pick-up in 2010
||| Russian Central Bank Dep Chief Ulyukayev commented that it was working on a
scheme to refinance bank by taking gold as collateral. He also noted that the
Central Bank had purchased over $20B in the currency markets since February |||
Australian PM Rudd noted that he expected further job cuts in the domestic
economy || Germany's
Bundesbank commented that the German deficit could rise to 6% of GDP next year.
They are against further credit financed tax cuts and spending increase. The
Buba noted that crude oil futures suggest medium term price pressures could
occur. Euro money market situation noticeably better than last fall and that
covered bond purchases to improve banking sector financial conditions
- In Currencies: Overall dealers noted that it as a fairly muted session but
there were some concerns during Asia over the China
recovery. World Bank labeled any optimism over a potential World Bank: China
recovery as premature. Nonetheless the USD and JPY currencies price movement
continued to sentiment swings between recovery hopes and the reality of still
weak hard data and falling inflation. EUR/USD ending the European morning at
1.3640, little changed from its opening levels in Asia.
GBP maintained a steady tone and managed to back above the 1.55 level against
the USD and closer towards its 200-day moving avg of 1.5545. The 200-day moving
avg was last breeched back in July 2008. GBP/EUR holding around the 0.8800
-In Fixed Income: In a relatively weak auction, the Agence France Tresor sold
just under â‚¬8B in 2011 and 2014 BTAN's. Germany,
however sold â‚¬5.6B in a new Bund with better than expected results. The auction
drew a cover ratio of 1.8, above the average of 1.5 in the preceding 3 Bund
auctions, and the Bundesbank retained 20% of the total offering, slightly below
previous levels. As a consequence, Bund futures have moved back into positive
territory and strength has returned to longer parts of the German yield curve,
which is undergoing some corrective flattening after yesterday's new steepening
highs. One and six month Euribor registered increases for the first time in
over a month, both fixing higher by about 1bps. One week Euribor jumped up
10bps to 0.80% for its biggest daily increase since December 2008. Gilt futures
spiked higher after BoE minustes revealed the Bank could seek permission to
expand its QE program even further, but have surrendered these gains to trade
around 50 ticks lower at the time of writing, at 120.30. There has been modest
selling of Treasuries in European hours, with the yield on the 10y Note higher by
just over 1bps at 3.254%
- I n Energy: NYMEX crude front month contract hits fresh 6-month highs at
$60.70 during its electronic session
*** NOTES ***
- Japan PM: GDP shows severe economic conditions. BOJ rate decision on
- Darling: Sees return to growth end '09, recovery depends on implementation of
G20 stimulus package & bank lending, no hurry to sell govt bank stakes,
inflation in line.
- California voters on Tuesday
rejected a series of special ballot measures aimed at curbing the state's
widening budget deficit
- World Bank: China
recovery optimism premature. Early pipeline sales and power consumption data
looking like last few months was a false start.
- Dealers noting that Credit requirements on what Fed will take on in TALF are
tighter than some originally thought.
- Trading conditions could thin out later this week. Monday U.S. Memorial Day
holiday and U.K.
bank holiday. This has been keeping many on the sidelines this week.
Additionally, sparse data calendar sparse much of the week.
- Looking Ahead: Several key US
earnings this morning. BJs Wholesale [BJ]; Deere
& Co. [DE] and target [TGT]
7:00 (CA) Canadian April CPI M/M: 0.2% expected v 0.2% prior, Y/Y: 0.6%
expected v 1.2% prior
- 7:00 (CA) Bank of Canada CPI Core M/M: 0.1% expected v 0.3% prior, Y/Y: 1.8%
expected v 2.0% prior
- 7:00 (US) MBA Mortgage Applications w/e May 15th: No estimates v -8.6% prior
- 8:30 (CA) Canadian Apr Leading Indicators M/M: -1.0% expected v -1.3% prior
- 9:15 (UK) BoE's Bailey in UK parliament
- 9:30 (US) Treasury's Geithner testifies before Senate on TARP
- (RU) Russian Apr Retail Sales M/M: No expectations v 5.6% prior, Y/Y: -5.2%
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.
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.