User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Friday February 15, 2013 - 21:50:15 GMT
Trade the News Staff - www.global-view.com/forex-services/TTN/

Share This Story:
| | Email

G7/20 FX Politics - Wrestlemania - real or make believe? (FXA)

With the week ending and G20 finance ministers gathered in Moscow for a regular meeting on international economic policy coordination (yes that is its purpose), I must say this is one of the more bizarre weeks in the field of G7 FX politics that I can remember. And we still have the weekend to look forward to for more bizarre moments as the main meeting ends Saturday with a statement and press conferences from attendees.

 

I can’t recall a time when G7 rushed out a statement just days ahead of G20 on currencies following (assuming here) a conference call. Why couldn’t ministers and central bankers from G7 wait a few days when they would be face to face in Moscow and do what they normally do – meet Friday evening at dinner ahead of Saturday’s G20 formal meeting?

 

Cleary someone drove this process with a degree of urgency. In light of the WSJ report (deep background – Sudeep Reddy) Sunday, press briefing from Lael Brainard, US Treasury Under Secretary Monday filling in for Treasury Secretary Nominee Lew yet to be confirmed, G7 statement Tuesday and the US Treasury clarification to G7 statement Wednesday (also deep background) I have to think it was US Treasury – Brainard in consultation with incoming Treasury Secretary Lew went into low level crisis mode.

 

Brainard today after a less than discreet tongue lashing from Bank of England Governor King on Thursday, restated her (the US) concern…G7 is opposed to any country using foreign instruments (buying foreign bonds, selling local currency) to support domestic growth and went on to say that G7 is opposed to “loose lips” on FX levels (read government of Japan’s near daily missives mentioning levels and ranges for the yen versus the dollar). King’s point was there was nothing in the G7 statement that referred to any specific nation or currency.

 

However, this only goes part of the way in explaining the policy response from the US Treasury. Admittedly without all the facts one can only speculate what happened. I think there is a key component missing in the story that would explain the unusual effort by Treasury (also an assumption) to get out a G7 statement on currencies ahead of G20 somewhat urgently. I think in private Japan made its intention to buy foreign bonds as a means of supporting growth. Maybe this was buying of US Treasuries, European bonds and regional bonds from the governments of Asia, including South Korea. Abe and his LDP supporters spoke often of just such an approach for the BOJ if elected…and indicated a willingness to change BOJ law to allow this to happen. Since the election the Abe crowd has not said much else about foreign bond buying as an instrument of monetary and fiscal policy. But maybe they have in private – with US officials and not UK officials, not BOE Governor King.

 

Press reports also indicated that the G20 draft communiqué was sent out February 11 and it lacked language that would put Japan at bay on foreign bond buying. So an added reason to get something out from G7 early and hope that G20 had time to look it over and adopt in its statement.

 

Unfortunately for G7 messaging the communications had as many problems as the message itself resembling at times professional wrestling in the USA – lots of histrionics, faux violence and no victims…not unlike the FX war itself. And yet at times, like Thursday with the Bank of England Governor weighing in the faux wrestling took on far more real look and feel – like Andy Kaufman and Jerry Lawler…where does acting end and reality starts Andy Kaufman, Jerry Lawler, Letterman ?

 

Where does that leave the yen? Pretty unimpeded in its downward trajectory. The attempts by US Treasury to instill some two-way risk into a market very short yen has failed under a cacophony of Wrestlemania. Japanese government officials can continue business as usual so long as it does not conduct unilateral intervention – loose lips sink currencies infractions are hardly going to get the goat of more than US Treasury very clearly. Even Draghi belittled the fuss over currencies (weak yen) in remarks from Moscow today. Maybe Brainard will expose Japan’s behind the scenes (presumed) maneuvering Saturday for all to see and win over more of her G7 brethren to what Japan is really up to but that seems wishful as well as unlikely. No the G7 professorial types like King and Draghi won’t really get what Japan is up to until the yen is a lot lower from current levels – north of 100 per dollar and 135 per euro.

 

Stay tuned for G20 final communiqué and G7 attendee government/central bank press conferences Saturday.

 

David Gilmore

FXAR on Bloomberg

www.fxa.com

FXANALYTICS on Reuters

fxa@fxa.com

 

 

 

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 21 November 2017

Register for the Amazing Trader

1.

Amazing Trader EVENT RISK Calendar:


Tue 21 Nov
15:00 US- Existing Homes Sales
23:00 US- Yellen Speech
Wed 22 Nov
13:30 US- Weekly Jobless
13:30 US- Durable Goods
15:00 US- final University of Michigan Survey
15:30 US- EIA Crude
19:00 US- FOMC Minutes
Thu 23 Nov
US/JP- Holiday
All Day flash PMIs
13:30 CA- Retail Sales
Fri 24 Nov
All Day flash PMIs
09:00 DE- IFO Survey
US- Early Closes

Forex Trading Outlook


Potential Trading Opportunities


  • POTENTIAL PRICE RISK: HIGH Mon -- 14:00 GMT EZ- Draghi speaks in Brussels. Looking for any policy hints or bias


  • POTENTIAL PRICE RISK: HIGH Tue -- 13:30 GMT US- Existing Homes Sales. Top Housing Statistic

  • POTENTIAL PRICE RISK: HIGH Tue -- 23:30 GMT US- Yellen Speech. Early evening. Looking for anything on policy


  • POTENTIAL PRICE RISK: Medium Wed -- 13:30 GMT US- Weekly Jobless, Durable Goods
  • POTENTIAL PRICE RISK: Medium Wed -- 15:00 GMT US- final University of Michigan Survey
  • POTENTIAL PRICE RISK: Medium Wed -- 15:30 GMT US- EIA Crude
  • POTENTIAL PRICE RISK: HIGH Wed -- 19:00 GMT US- FOMC Policy Minutes. Key policy release


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