Risk appetite was dented during the European session after China's central bank announced plans to increase banks' reserve ratio requirements by 50bp, the fifth hike during this cycle. Despite that, and perhaps aided by misreporting (it was initially described as an interest rate hike, which is more severe) equity markets did recover in NY, the S&P500 closing up 0.25%. Among supportive factors, Ireland's PM Cowen said talks with the IMF/EU are going well and the Government was seeking the best possible package. The move towards a possible bailout was viewed positively by markets because it limits contagion. Commodities were hurt by the China move as well as margin increases by CME on some futures contracts (CRB index -1.2%), soft commodities (sugar -7.1%, cotton 4.7%) leading the decline. US 10yr treasury yields fell 2bp to 2.87%.
The US dollar was little changed on the day, although it did probe lower around Europe. EUR peaked at 1.3730 before the China news and fell to 1.3630 before recovering to 1.3695. GBP underperformed, falling from 1.6095 to 1.5937 and only recovering to 1.5980. USD/JPY bounced from 83.14 and held the gains around 83.55.
AUD peaked at 0.9903 early Europe and plunged to 0.9813 after the China news, closing in NY at 0.9866.
NZD remained within a range of 0.7747 to 0.7800, closing at 0.7786. AUD/NZD fell a half cent on the China news to 1.2650.
Fed Chair Bernanke justifies securities purchases and puts focus back on emerging markets and global imbalances. In a speech at the ECB conference in Frankfurt, Bernanke sought to provide support for the Fed's recent actions by discussing the two-speed nature of the global recovery. He justified the Fed's actions on the basis that the high level of unemployment that the US currently faces was socially unacceptable, and that the best way to underpin the value of the US dollar and support the global recovery is to support "policies that lead to a resumption of robust growth in a context of price stability in the United States". Bernanke also discussed global imbalances at length, highlighting the currency intervention undertaken by some countries as limiting the ability of the world to rebalance through stronger emerging market currencies and greater domestic demand in emerging markets.
Japan's all industry activity index falls 0.8% in September, slightly weaker than expected; annual growth in the index decelerated to 2.6% in September, from 3.7% in August. In September, activity declined in all of the key sectors of the economy, most notably the construction and manufacturing sectors.
German producer prices accelerate to 4.3% yr in Oct, highest in almost two years, reflecting higher commodity prices and euro depreciation.
AUD/USD and NZD/USD outlook next 24 hours: The AUD's key support and resistance levels are 0.9725 and 0.9910, a break providing multi-day directional clues. NZD is threatening to break above key resistance at 0.7800. NZ migration today will be watched by some.
.Westpac Banking Corporation ABN 33 007 457 141 incorporated in Australia (NZ division). Information current as at 19 November 2010. All customers please note that this information has been prepared without taking account of your objectives, financial situation or needs. Because of this you should, before acting on this information, consider its appropriateness, having regard to your objectives, financial situation or needs. Australian customers can obtain Westpacâ€™s
financial services guide by calling +612 9284 8372, visiting www.westpac.com.au or visiting any Westpac Branch. The information may contain material provided directly by third parties, and while such material is published with permission, Westpac accepts no responsibility for the accuracy or completeness of any such material. Except where contrary to law, Westpac intends by this notice to exclude liability for the information. The information is subject to change without
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.