Forex Market Commentary and Analysis (18 June 2010)
The euro depreciated vis-√†-vis the U.S. dollar today as the single currency tested bids around the US$ 1.2355
level and was capped around the $1.2415 level. The common currency notched a weekly gain for
the second consecutive week after declining from the US$ 1.51 handle late last
year.Traders cautiously added some long
euro exposure as they speculated the worst of the European sovereign debt
crisis may have passed while others believe more pain is ahead for the
eurozone.European banks will likely
face stress tests and those results could be made public and identify banks that
could potentially face larger-than-expected problems.Some technicians are still suggesting the
common currency may fall below parity.The
Federal Reserve released data that confirm foreign central banks have increased
their holdings of U.S. Treasuries, an indication that governments are slowing
the pace of diversification.Global
market turmoil ‚Äď particularly with the euro ‚Äď is the major reason why foreign
investors are holding more U.S. government securities.The Fed‚Äôs custodial holdings of U.S.
Treasuries for foreign accounts including central banks peaked at an all-time
high of US$ 2.28 trillion last month.European
Central Bank member Gonzalez-Paramo reiterated the ECB will not maintain
non-standard measures longer-than-needed.ECB member Tumpel-Gugerell said the improvement in European foreign
trade has been a substantial aid to the eurozone economy.ECB member Bini-Smaghi suggested no country
will be expelled from the eurozone.Group of Twenty officials are likely to discuss a global bank tax when
they convene in Toronto next week.ECB
President Trichet called for greater regulation and said the ECB‚Äôs bond
purchases are ‚Äútime-bound in nature.‚ÄĚData released in Germany today saw May producer prices climb 0.3% m/m
and 0.9% y/y while French Q1 wages were up 0.7% q/q.In
U.S. news, no major economic data were released today.May existing home sales data will be released
on Tuesday.Congress agreed on measures
to increase accountability over transactions at the Fed‚Äôs discount window and
open market operations but Congress will not have review over the Fed‚Äôs monetary
policy decisions.The U.S. Treasury is
also gaining additional powers to counter financial stability.Fed Vice Chairman Kohn noted European
economic problems will remain a risk for the U.S. while former Fed Chairman
Greenspan called for a ‚Äútectonic shift‚ÄĚ in fiscal policy to avert higher
borrowing costs.Euro offers are
cited around the US$ 1.2460 level.
The yen appreciated vis-√†-vis the U.S. dollar today as the
greenback tested bids around the ¬•90.45 level and was capped around
the ¬•91.05 level. Bank of Japan Governor
Shirakawa warned China‚Äôs improving economy could result in an economic
bubble.The yen moved higher across the
board as Japanese officials pledged to reduce national debt and as traders
expressed concern that European austerity measures would reduce global economic
expansion.Prime Minister Kan vowed to
reduce Japan‚Äôs debt and indicated he may consider a proposal to raise the
consumption tax that currently stands at 5%.Minutes from Bank of Japan Policy Board‚Äôs May meeting revealed the
central bank will maintain its easy monetary policy for now and cited a ‚Äúmajor
challenge in dealing with the decline in the potential growth rate‚Ä¶and that the
deflation was also a manifestation of the fundamental problem facing the
economy, namely, the decline in growth expectations.‚ÄĚThe government released its economic report
overnight and upgraded its assessment of capital spending.Some department store sales data will be
released on Monday.The Nikkei 225 stock
index lost 0.04% to close at ¬•9,995.02.The euro moved lower vis-√†-vis the yen
as the single currency tested bids around the ¬•111.90 level and was capped around
the ¬•112.80 level.The British pound moved lower vis-√†-vis the yen as sterling tested bids
around the ¬•134.00 figure while the
Swiss franc moved lower vis-√†-vis the yen and tested bids around the ¬•81.40
level. In Chinese news, the U.S.
dollar depreciated vis-√†-vis the Chinese yuan as the greenback closed at CNY
6.8261 in the over-the-counter market, down from CNY 6.8291. People‚Äôs Bank of China reiterated it will seek
to keep the yuan ‚Äúbasically stable‚ÄĚ at a ‚Äúreasonably balanced level‚ÄĚ and
maintain the ‚Äúcontinuity and stability‚ÄĚ of its monetary policy. Inflation remains
elevated in China and was most recently 3.1% in May.PBoC Governor Zhou said the worst of the
global financial crisis is over while PBoC official Li estimated China may
expand 10% in the next decade.
British pound depreciated vis-√†-vis the U.S. dollar today as cable tested bids
around the US$ 1.4770 level and was capped around the US$ 1.4885 level. Former Bank of England Deputy Governor Gieve
reported the euro is facing its ‚Äúmoment of truth‚ÄĚ and suggested countries like
Germany and France will likely try to improve the framework of the eurozone.Data released in the U.K. today saw May
mortgage approvals climb to 51,000 while the May M4 money supply was up 0.0%
m/m and 2.8% y/y.Also, May public
sector net borrowing increased to ¬£16.0 billion while the May public sector net
cash requirement improved to ¬£12.0 billion.
Chancellor of the Exchequer Osborne spoke this
week and said the U.K. government plans to abolish the Financial Services
Authority and provide most of its power to the Bank of England.Osborne plans to replace the regulator with
three entities over the next two years.Cable
bids are cited around the US$ 1.4620 level.The euro appreciated
vis-√†-vis the British pound as the single currency tested offers around the
¬£0.8370 level and was supported around the ¬£0.8325 level.
franc appreciated vis-√†-vis the U.S. dollar today as the greenback tested
bids around the CHF 1.1080 level and was capped around the CHF 1.1130 level. The
franc established a new record high on the euro/ Swiss franc cross rate as
traders speculate Swiss National Bank is less likely to intervene in the
future.KOF today reported its sees the
2010 Swiss jobless rate declining to 3.8% from its previous 4.1% forecast and
sees the rate falling further to 3.3% next year.On the inflation front, KOF sees the consumer
price inflation rate increasing to 1.0% this year from its previous 0.9%
forecast.As expected, Swiss National
Bank kept its three-month Swiss franc Libor target rate unchanged at 0.25% this
week. Swiss National Bank Chairman Hildebrand effectively eased its stance on
the Swiss franc, saying the risks of deflation have ‚Äúlargely disappeared.‚ÄĚSNB also warned it cannot keep interest rates
at a record low in the medium term without engendering inflation.U.S. dollar offers are cited around the CHF
1.1470 level.The euro came off vis-√†-vis the Swiss franc as the single currency
tested bids around the CHF 1.3720 level while the British pound moved lower vis-√†-vis the Swiss franc and tested
bids around the CHF 1.6395 level
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 19 Mar 2018 Tue 20 Mar 2018 AA 9:30 GB- CPI A 10:00 DE- ZEW Survey Wed 21 Mar 2018 AA 03:00 AU- Employment AA 9:30 GB- Employment A 12:30 US- Current Account AA 14:00 US- Existing Homes Sales A 14:30 US- EIA Crude A A18:00 US- Fed Rate Decision A 21:00 NZ- RBNZ Rate Decision Thu 22 Mar 2018 AA All Day flash PMIs AA 9:30 GB- Retail Sales AA 12:00 GB- Bank Of England Decision A 13:30 US- Weekly Jobless Fri 23 Mar 2018 AA 12:30 CA- CPI/Retail Sales A 12:30 US- Durable Goods A 14:00 US- New Homes Sales
John M. Bland, MBA co-founding Partner, Global-View.com
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.