European Market Update: Session shrugs off numerous risk aversion catalysts (Trade the News)
Tuesday, July 13, 2010
European Market Update: Session shrugs off numerous risk aversion catalysts
***Economic Data*** - (GE) Germany Jun Wholesale Price Index M/M: -0.2% v 0.2%e; Y/Y: 5.1% v 5.5%e - (FR) France Jun Consumer Price Index M/M: 0.0% v 0.0%e; Y/Y: 1.5% v 1.5%e - (FR) France Jun CPI - EU Harmonized M/M: 0.0% v 0.0%e; Y/Y: 1.7% v 1.8%e; CPI Ex Tobacco Index: 120.02v 120.03e - (HU) Hungary Jun Consumer Price Index M/M: 0.2% v 0.2%e; Y/Y: 5.3% v 5.1%e - (SP) Spain Jun Consumer Price Index M/M: 0.2%v 0.2%e; Y/Y: 1.5% v 1.5%e - (SP) Spain Jun CPI Core M/M: 0.2% v -0.1%e; Y/Y: 0.4% v 0.1%e - (SP) Spain Jun CPI EU Harmonized M/M: 0.2% v 0.2%e; Y/Y: 1.5% v 1.5%e - (SZ) Swiss Jun Producer & Import Prices M/M: -0.4% v 0.3% prior; Y/Y: 0.9% v 1.4% prior - (NV) Netherlands May Trade Balance: â‚¬2.8B v â‚¬3.15B prior - (CZ) Czech May Current Account (CZK): -24.0B v -9.6Be - (SW) Sweden Jun AMV Unemployment Rate: 4.8% v 4.8%e - (UK) Jun CPI M/M: 0.1% v 0.0%e; Y/Y: 3.2% v 3.1%e; Core CPI Core Y/Y: 3.1% v 2.8%e - (UK) Jun RPI M/M: 0.2% v 0.1%e; Y/Y: 5.0% v 4.9%e; RPI X Y/Y: 5.0% v 4.9%e; Retail Price Index: 223.9e v 223.6 prior - (UK) May DCLG UK House Prices Y/Y: 11.0% v 10.2%e - (GE) Germany Jul ZEW Economic Sentiment: 21.2 v 25.3e; Current Situation: +14.6 v -1.2e (first positive reading since July 2008) - (EU) Euro Zone Jul ZEW Economic Sentiment: 10.7 v 16.3e
Fixed Income: - Dutch State Treasury Agency (DSTA) sold â‚¬2.2B (lower end of â‚¬2-3B range) in 3.5% July 2020 Dutch State Loans (DSL); avg yield 2.799%; Bid-to-cover: - Greece Debt Agency (PDMA) sold â‚¬1.625B in 26-week T-Bill auction; avg yield 4.65% v 4.55% prior; Bid-to-cover 3.6x v 7.7x prior - (HU) Hungary Debt Agency sold HUF45B in 3-month T-Bills at 5.28% v 5.29% prior - (EU) ECB allotted â‚¬195.7B in main 7-day refi operation at fixed 1.0% and â‚¬49.4B in 28-day tender operation - (UK) BOE allotted Â£5B in 3-month long-term repo operation; bid-to-cover 1.28x
*** SPEAKERS/FIXED INCOME/FX/COMMODITIES/ERRATUM ** Notes/Observations: - China recently invested â‚¬1B in Spain's 10-year debt auction last week - BP installed a new cap on its leaking Gulf of Mexico oil well - China's government quashed speculation it will abandon real-estate curbs
Equities: - As of 6:00am ET Euro Stoxx 50 Index +1.6% at 2,727 ; DAX Index +1.4% at 6,161; CAC-40 Index +1.6% at 3,623 and FTSE 100 Index +1.5% at 5,243
Consumer Discretionary - Burberry [BRBY.UK]: Reports Q1 Rev Â£291M v Â£263Me; Reiterates H1 guidance - L'Oreal OR.FR: Reports Q2 Rev â‚¬4.95B v â‚¬4.8Be; 1H Rev â‚¬9.7B v â‚¬9.6Be - Luminar Group [LMR.UK]: Provides interim management statement: Trading broadly in line with expectations - Northern Foods [NFDS.UK]: Provides interim management statement: Trading as expected in challenging conditions
Financials - SEB Bank [SEBA.SW]: Reports Q2 Net profit SEK2.0B v SEK1.0Be, Op profit SEK2.6B v SEK1.7Be, Rev SEK9.8B v SEK9.7Be; Q2 credit losses SEK619M v SEK1.6Be - Unicredit [UCG.IT]: CEO Profumo is getting a tepid response from Germany's largest banks on his proposal for a privately funded â‚¬20B bank recovery fund
Industrials - BMW [BMW.GE]: Raises 2010 outlook citing improved business conditions on the international market
Energy - British Petroleum [BP.UK]: Confirms talks with various companies about asset sales; talks are proceeding "well' - British Petroleum [BP]: Confirms completion of installation of the new well cap - British Petroleum [BP]: FT sees BP taxes to UK and US to be reduced by about $10B as a result of spill clean-up costs - Phoenix Solar [PS4.GE]: To increase capital by up to 670.2K shares; Offering expected to price at â‚¬32/share
Health Care - Glaxosmithkline [GSK.UK]: According to a former FDA official, the company withheld information from regulators related to AVANDIA - WSJ; It is alleged that the information that was not disclosed indicated that the drug increased the risk of heart problems.
Technology/Telecom - Infineon [IFX.GE]: Goldman raises price target to â‚¬7 from â‚¬6.60; maintained on Conviction Buy List
- Speakers: - Moody's cut Portugal sovereign rating by two notched to "A1"; Outlook Stable - ECB's Trichet: World needs more than three major credit ratings agencies as their actions exacerbate market swings - German Fin Min Schaeuble: Banks failing stress tests might need government assistance in worst case to strengthen their balance sheet - Portugal's Finance Min: Moody's stable outlook shows confidence in current economic policy - Moody's places "AAA" ratings of FROB on review for possible downgrade - Slovakia Fin Min: Hope Cabinet decision on EU stability fund (EFSF) on July 14th - IEA issued its monthly report: Raises 2010 oil demand growth estimate to 1.77M bpd v 1.69M bpd
- Currencies: Risk aversion sentiment had plenty to feed upon in the early part of the session. Asian equities were softer after a Chinese regulator refuted reports that property lending curbs had been relaxed. The. Slovak government was opposed to a rescue package for Greece and Moody's then cut Portugal sovereign rating by two notches to "A1" (the last of the three majors to cut this debt) and placed the outlook on "Stable'. German ZEW data was below expectations. Yet the EUR/USD maintain a foothold above the 1.25 handle and drifted back towards 1.2570 after the Greek 26-week T-Bill auction results was able to maintain an average yield below the pivotal 5.0% level (came in at 4.65%) as the country tested the market's attitude since it received an EU/IMF bailout back in May. There is market talk of large Euro sell-stops building below 1.2490 area but the level was safe despite all the risk aversion catalysts that unfolded in the session.
- Geopolitical: - Union workers at several Australian companies are seeking to increase wages by as much as 7%. Some companies potentially facing strikes include Telstra and Airport Fuel Services. - The British government is considering a permanent tax on the pay and profits of banks with one estimate noting that a balance sheet levy could bring in Â£2.5B each year for 2012 - PIMCO's Fisher commented the he does not expect a default by Greece in the near term, and sees â‚¬500B EU package as a strong support - Columbia University Professor Mundell, also known as the 'Father of the Euro' stated that European sovereign debt may have to be restructured in the next two years.
-In the Papers: - (EU) FT comments on slowing weekly ECB bond purchases as evidence of easing of the EU debt crisis; Says ECB only purchased â‚¬1B in EU bonds last week vs â‚¬4B each in the prior 3 weeks and â‚¬16.5B in the first week of the program in May. - (GE) Lawmakers in Germany's ruling CDU/CSU coalition considering more stringent rules for nation's banks - FT Deutschland - (PO) FT Alphaville notes that so far there has been only a muted market reaction to Moody's 2 notch downgrade of Portugal; Says Moodys had placed Portugal on review for downgrade in May and this could explain today's limited reaction. - (SP) China's State Administration of Foreign Exchange (SAFE) invested about â‚¬1B in Spain's 10-yr debt auction held last Tuesday - FT - (UK) (EU) FT comments on slowing weekly ECB bond purchases as evidence of easing of the EU debt crisis; Says ECB only purchased â‚¬1B in EU bonds last week vs â‚¬4B each in the prior 3 weeks and â‚¬16.5B in the first week of the program in May.
***Looking Ahead *** - 7:00 (GE) Germany Gov't briefing on Chancellor Merkel trip to Russia and China - 7:30 (US) Jun NFIB Small Business Optimism: No est v 92.2 prior - 7:45 (US) ICSC Weekly Retail Sales - 8:00 (PD) Poland Jun CPI M/M: 0.1%e v 0.3% prior; Y/Y: 2.1%e v 2.2% prior - 8:00 (BR) Brazil May Retail Sales M/M: 1.8%e v -3.0% prior; Y/Y: 10.7%e v 9.1% prior - 8:00 (PD) Poland May Current Account: -â‚¬300Me v -â‚¬424M prior; Trade Balance: -â‚¬297Me v -â‚¬368m prior - 8:30 (US) May Trade Balance: -$39.0Be v -$40.3B prior - 8:30 (CA) Canada May Int'l Merchandise Trade: C$0.0 v 0.2B prior - 8:30 (UK) BOE's Sentence speech - 8:55 (US) Weekly Redbook Retail Sales - 10:00 (US) Jul IBD/TIPP Economic Optimism: 45.5e v 46.2 prior - 10:00 (MX) Mexico Apr Gross Fixed Investment: 1.8%e v 2.4% prior - 10:30 (UK) BOE's Bailey speech at BBA conference - 13:00 (US) US Treasury's $21B 10-yr auction - 14:00 (US) Jun Monthly Budget Statement:-$69.4Be v -$94.3B prior - 16:30 (US) API Crude Oil/Gasoline/Distillate Inventories - 17:00 (US) ABC Consumer Confidence w/e Jul 11th: no est v -42 prior
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."
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.