Forex Market Commentary and Analysis (17 March 2010)
The euro depreciated vis-Ă -vis the U.S. dollar today as the single currency tested bids around the US$ 1.3725
level and was capped around the $1.3815 level. As expected, the Federal Open Market Committee
yesterday kept its benchmark federal funds target rate unchanged at 0.25% and
global equity markets received the news well under the premise that inflation
will not be a problem for some time.The
markets are largely speculating the Fed will not begin to raise interest rates
until Q4 at the earliest with many economists expecting no change until 2011.Kansas City Fed President Hoenig dissented
again, reporting that continuing to express the expectation of
exceptionally low levels of the federal funds rate for an extended period was
no longer warranted because it could lead to the buildup of financial
imbalances and increase risks to longer-run macroeconomic and financial
stability.â€ť Fed Chairman Bernanke is expected to testify before Congress soon
and tell legislators that the Fed is the ideal oversight regulator for large
and small banks alike.Traders are also
awaiting to see if the Obama health care initiative can be passed by Congress
before the Easter break and how financial regulatory regulation materializes,
possibly encompassing the so-called â€śVolcker Rule.â€ťComptroller of the Currency Dugan said he has
â€śsignificant concernsâ€ť with Senator Doddâ€™s proposed financial regulation
overhaul.Data released in the U.S.
today saw MBA mortgage applications decline 1.5% while headline February
producer price inflation was off 0.6% m/m and up 4.4% y/y.The ex-food and energy core index was up 0.1%
m/m and 1.0% y/y.In eurozone news, EMU-16 construction output fell 2.2% m/m in January,
down from +0.5% growth in December, and was off 12.5% y/y compared with a 3.1%
y/y decline in December.Eurozone
finance ministers this week reiterated their plan to â€śtake coordinated actionâ€ť
but did not provide much additional information other than to suggest any
assistance would take the form of bilateral loans rather than loan guarantees.Euro bids are cited around the US$ 1.3335
The yen depreciated vis-Ă -vis the U.S. dollar today as the
greenback tested offers around the ÂĄ90.70 level and was supported around the ÂĄ90.00
figure. Bank of Japan expanded its quantitative
easing program overnight, as expected. The central bank doubled its three-month
lending facility to ÂĄ20 trillion.The
move is not likely to have a significant impact on the real economy and may
marginally increase liquidity.By and
large, the central bank made the move to satisfy ongoing calls from the
Japanese government to ease policy further.The governmentâ€™s ability to enact more fiscal spending to stimulate
final private demand is limited on account of Japanâ€™s massive
indebtedness.BoJ Governor Shirakawa
said the economy is â€śimproving a bit more than we expectedâ€ť but warned â€śThe
Bank of Japanâ€™s policy alone canâ€™t beat deflation.I wish there was a miracle, but all we can do
is persist with our efforts.â€ťThere were
two dissenters on the BoJ Policy Board.The central bank seems to be suffering from a â€śliquidity trapâ€ť whereby
there is little discernible benefit no matter how much liquidity the central
bank infuses.Data released in Japan
overnight saw the January tertiary industry index improve to +2.9% from
-0.9%.The Nikkei 225 stock index
climbed 1.17% to close at ÂĄ10,846.98. U.S. dollar offers are cited around the
ÂĄ94.75 level.The euro moved higher vis-Ă -vis the yen as the single currency
tested offers around the ÂĄ125.05 level and was supported around the ÂĄ124.05
level.The British pound moved higher vis-Ă -vis the yen as sterling tested
offers around the ÂĄ139.35 level while the
Swiss franc moved higher vis-Ă -vis the yen and tested offers around the ÂĄ86.15
level. In Chinese news, the U.S.
dollar depreciated vis-Ă -vis the Chinese yuan as the greenback closed at CNY
6.8259 in the over-the-counter market, down from CNY 6.8260. Peopleâ€™s Bank of China yesterday reported
inflation expectations are rising in a quarterly survey released today and this
could render it difficult for the government to meet its 3% annual inflation
target.Higher inflation expectations
will likely propel interest rates higher.The World Bank today called on China to reduce its stimuli programs so
that it does cause new asset bubbles.
British pound appreciated vis-Ă -vis the U.S. dollar today as cable tested offers
around the US$ 1.5380 level and was supported around the $1.5205 level. Bank of England reported it is considering an
extension of the eligible collateral at its discount window.BoE MPC Fisher said the move would â€śenhance
facilities.â€ťMinutes from the March MPC
meeting were released today in which policymakers voted unanimously to keep its
asset-purchase program unchanged at â‚¤200 billion. Data released in the U.K.
today saw the February claimant count decrease to 4.9% from 5.0% in January
while the ILO three-month unemployment rate was unchanged at 7.8%.Bank of England Monetary Policy Committee
member Barker this week reported the U.K. economy could recede again, adding
the economic recovery will continue to be â€śbumpy and fragile.â€ťCable bids are cited around the US$ 1.4455
level.The euro moved lower vis-Ă -vis the British pound as the single
currency tested bids around the US$ 0.8950 level and was capped around the $0.9065
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.
Tue 19 June 2018 A 12:30 US- House Permits/Starts Wed 20 June 2018 A 14:00 US- Existing Homes Sales A 14:30 US- EIA Crude Thu 21 June 2018 AA 11:00 GB- Bank of England Decision A 12:30 US- Weekly Jobless Fri 22 June 2018 AFlash PMIs
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.