User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Thursday September 2, 2010 - 01:43:49 GMT
Foreign Exchange Analytics - www.fxa.com

Share This Story:
| | Email

Fed Drama Ramps Up (FXA)

Fed Drama Ramps Up

 

A day rarely passes when a Fed official is not out spilling his or her guts on what should be done about the economy and monetary policy in unusually unvarnished language.  Today’s drama queen was none other than Dallas Fed President Fisher who declared the Fed’s job done and called on Congress to get fiscal policy in order so that the economy can grow.  It is especially rare to have a Fed official be so outspoken about fiscal policy.  There is no longer an separation of church and state…criticizing Congress is now even fair game for Fed officials based on what Fisher and others are spouting to any and all that will listen. 

 

Indeed Fisher seems to have lost any semblance of Fed decorum stating “We print money.  They (Congress) figure out who to take it from and where to spend it.  And that’s their job.”    A Fed official bashing Congress?  Unheard of yes and heck Fisher (Richard that is) is about as cheap and vulgar as one making fun of another drama queen named Fisher – Amy Fisher, the Long Island Lolita, who shot Mary Jo Buttafuoco in the face so she could have her husband Joey Buttafuoco all to herself.

 

However, I would normally blow off remarks from a regional Fed President like Fisher if not for the fact that Bernanke at Jackson Hole said much the same think, if in a more dignified fashion. 

 

Despite the Fed departure in protocol there must be a reason for the rise in drama…Washington must be hard at work, behind the scenes pressuring the Fed to do more…sound familiar?  Why this is what drove the BOJ to announce it was enlarging its credit facility in an emergency meeting on Monday.  The US mid-term election is in November and the majority party in power is about to have its butt kicked unless it can change public perceptions about the recovery.  While not even jaded Washington Congressional members facing re-election believe monetary policy, if relaxed enough can create jobs in a matter of months.  No this pressure assuming it is real would be aimed at Fed easing sending asset prices higher (stocks and real estate), the necessary but not sufficient condition for the general public feeling better about the economy (what worked so well in 2H 2009).  Perhaps Summers and Geithner are visiting and calling more to “share” ideas.  Maybe Pelosi and Reid are ringing into Fed officials.  Whomever or whatever it is I sense the Fed is downright defensive.  It looks like the second half of the turf war with the first battle over the Fed maintaining regulatory authority over the banks and now the battle is fighting off coercive politicians.  Okay maybe some of the drama is justified given the stakes involved – an independent Fed. 

 

While we know there is plenty of internal drama within the FOMC as views on policy differ among committee members (or on an even petty scale when Hoenig did not invite NY Fed markets head Brian Sack to Jackson Hole – arguably the third most important Fed official since QE started as he has loads of input into decisions over what and how much assets to buy to enlarge the balance sheet), the growing sign of drama between the Fed and Washington is slightly more alarming.  It is one thing if the economy falls into a Japan decade of stagnation, however it is something all together worse if the Fed becomes an appendage of Congress as arguably the BOJ is (at worst economic times) to the Japanese government.

 

I see two risks present for the Fed…the one risk, albeit smaller, is that Fed drama (internally or with Congress) becomes a source of volatility in asset prices and FX and the other risk, much greater threat, is if Congress finds a way to get the Fed to do more before the Fed is ready to do more.

 

Bernanke may well have signaled Friday that he is not going to make policy on a political time clock or under White House and or Congressional duress all of which tells me that QE2 will be delayed until the economic conditions clearly warrant a bigger response.  Unfortunately, the effort to fight off efforts at political coercion may mean the policy response comes too late to have the desired effect, and then requires a much larger response than would be the case if politicians refrained from attempting to influence the process. 

 

ISM What?

 

You have to be kidding…China ISM (the official one plus the HSBC China ISM) and then US ISM and markets race across the deck of the ship…such a low (data) bar for such a big move.  Why?  Okay positions were extreme and the curve flattening has been significant in the last few weeks.  The market was vulnerable for sure.  But even strong ISM should not see such a major realignment in positions especially ahead of a key jobs report that followed a dreadful number earlier today from ADP on private payrolls.  My default narrative is to blame the algo models…today was a flash crash for Treasuries.  You need to be locked up if you think risk on trade is back for good and furthermore that the lows in Tsy yields are in place.  Even without deflation, a lengthy period of below potential growth is not the backdrop for being long risk like equities…think Nikkei.  Just maybe a very weak jobs report Friday sees the algo models run near infinite bids into Tsys and out of equities reversing today’s move.  At least that one I could live with…jobs vs ISM.  In any case the market vol and lack of liquidity is enough to make a discretionary macro trader sing “Video Killed the Radio Star.”

 

David Gilmore     

 

 

Forex Trading News

Forex Research

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 here.

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.
  • Live trading strategy sessions.
  • Market Updates with Trading Tools.

Register To Test Your Amazing Trader


Trading Ideas for 18 December 2017

Register for the Amazing Trader

1.

Amazing Trader EVENT RISK Calendar:

Mon 18 Dec
10:00 EZ- final HICP
Tue 19 Dec
09:00 DE- IFO Survey
13:30 US- Housing Starts/Permits
13:30 US- Current Account
Wed 20 Dec
15:00 US- Existing Homes Sales
15:30 US- EIA Crude
Thu 21 Dec
03:00 JP- BOJ Decision
13:30 CA- CPI & Retail Sales
13:30 US Weely Jobless
13:30 US- GDP
Fri 22 Dec
09:30 US- GB- GDP
13:30 US- core PCE Deflator & Presonal Income
15:00 US- New Homes Sales
15:00 US- final University of Michigan
17:00 US- early Closes
Mon 25 Dec
00:00 Christmas Holidays

Forex Trading Outlook


Potential Trading Opportunities

  • POTENTIAL PRICE RISK: Medium Mon--10:00 GMT-- EZ- final November HICP. flash data are rarely changed.


  • POTENTIAL PRICE RISK: HIGH- Medium Tue --09:00 GMT-- DE- IFO Survey. Key report but usually not a market-mover
  • POTENTIAL PRICE RISK: HIGH- Medium- Tue --13:30 GMT-- US- Housing Starts and Permits. Leading indicators of activity

  • POTENTIAL PRICE RISK: HIGH-Medium- Wed --15:00-- US- Existing Homes Sales. Top Housing statistic
  • POTENTIAL PRICE RISK: Medium- Wed --15:30-- US- EIA Crude

John M. Bland, MBA
co-founding Partner, Global-View.com EXCLUSIVE: Global-View Daily Trading Chart Points Updated

EXCLUSIVE: Global-View Free Forex Database updated




TRADER ADVOCACY ARTICLES

Trader's Advocate Articles..

pic

Retail Forex Brokerage Changing!

Are you 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.

Our Best Brokers listing section includes:Forex Broker Reviews, Forex Broker Directory, Forex Broker Comparisons and advice on How to Choose a Forex Broker

If would like guidance, advice, or have any concerns at all ASK US. We are here to help you.

SEE Our Best Brokers List

Currency Trading Tools

  • Live rates, currency news, fx charts. 

  • Research reports and currency forecasts.

  • Foreign Exchange database and history.

  • Weekly economic calendar.

Directory of  Forex trading tools

 
Terms of Use    Disclaimer    Privacy Policy    Contact    Site Map


Forex Forum
Forex Trading Forum
Forex Forum + forex rates
Forex Forum Archives
Forex Forum RSS
Free Registration

Trading Forums
Currency Forum Guide
Forum Directory
Open Forum
Futures Forum
Political Forum
Forex Brokers
Compare Forex Brokers
Forex Broker News
Forex Broker Hotline

Online Forex Trading
Forex Trading Tools
Currency Trading Tools
Forex Database
FX Chart Points
Risk/Carry Trade Chart Points
Economic Calendar
Quicklinks to Economic Data
Currency Futures Swaps
Fibonacci Calculator
Currency Futures Calculator

Forex Education
Forex Learning Center
FX Trading Basics Course
Forex Trading Course
Forex Trading Handbook

Forex Analysis
Forex Forecasts
Interest Rate Forecasts
Central Bank Forecasts

FX Charts and Quotes
Live FX Rates
Live Global Market Quotes
Live Forex Charts
US Dollar Index Chart
Global Chart Gallery
Daily Market Tracker
Forex News
Forex Blog
Forex News
Forex Blog Archives
Forex News RSS
Forex Services
Forex Products
GVI Forex
Free Trials
FX Bookstore
FX Jobs and Careers
Jobs USA
Jobs UK
Jobs Canada

Forex Forum

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.

Forex News

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

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.

Forex Brokers

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 Trading

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.

FX Trading

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.

Forex Blog

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.

Copyright ©1996-2014 Global-View. All Rights Reserved.
Hosting and Development by Blue 105