User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Thursday December 8, 2005 - 22:06:09 GMT
FXCM - www.dailyfx.com

Share This Story:
| | Email

Forex: Dollar Slides as Weather Cools

DailyFX Fundamentals 12-08-05

By Kathy Lien, Chief Strategist of www.dailyfx.com

- Dollar Slides as Weather Cools
- Pound Rallies after BoE Leaves Rates Unchanged
- Yen Rebounds on Hawkish Comments from Fukui

US Dollar

Watching the price action in the dollar over the past six days has been very similar to watching a child on a see-saw – two days of losses reversed by one day of gains. There was little to drive the weakness in the dollar today aside from a larger than expected jobless claims report. Initially predicted to dip to 318k from an upwardly revised 321k, claims actually increased to 327k. Although it may be tempting to call the latest move in the EUR/USD a bottom, especially since we reported this morning that our FXCM Speculative Sentiment Index flipped into net short territory, until we get a break of the 11/28 high at 1.1903, it may still be too early to confirm that we are seeing one. With the Northeast expected to be blanketed by yet another snow storm, we are watching the weather channel just as closely that we are watching the quote screen. Oil prices have rallied back above $60 a barrel, which is adding pressure on the dollar at the moment. Gold prices rose for the sixth consecutive day, coming just shy of the $520 mark. Today’s themes are expected to resonate into the next 24 hours, especially since the University of Michigan consumer confidence survey and wholesale inventories are the only pieces of data due out for release from the US tomorrow, neither of which is particularly market moving. Looking ahead to next week however, the story is very different. Not only do we have the Federal Reserve monetary policy meeting, but also retail sales, the trade balance, CPI, industrial production, Philly Fed and the Treasury International Capital flow report. Therefore it would not be particularly surprising to see any breakouts or attempt to create a breakout extend into the following week.

Euro

The Euro is crawling back and we are watching very closely for a turnaround. Conflicting comments from various officials at the European Central Bank suggests to us that even though most members of the ECB may be hawkish, they are choosing their words very carefully in fear of saying anything that could cause their currency to shoot higher. In effect, they are trying to manage both inflation and interest rate expectations at the same time. They know all two clearly that their own recovery has been spurred by weakness in their currency. Therefore they want to tread very carefully to make sure that they do not jeopardize this stimulus. Comments from ECB member Bini Smaghi was the real culprit for the pop higher. Earlier in the day, he hinted that more rate hikes were to come, but later retracted his comment. In contrast, ECB members Weber, Issing and Hurley were in concerted agreement that the ECB will not follow-up their latest rate hike with a series hikes. Even so, it is clear that the central bank is hawkish, but it seems that the next move may not be till the latter part of the first quarter. Meanwhile the only piece of Eurozone economic data released today was German industrial production, which accelerated by 1.1 percent, the second consecutive monthly rise. The rebound was expected for the most part given the strong October PMI report. According to the November PMI report released recently, last month’s performance should have been a touch weaker.

British Pound

To the chagrin of Pound bears, Bank of England officials kept the repurchase rate at 4.5 percent, as inflationary pressures remain persistent and consumer demand lags in the economy. Citing the 37 percent rise in energy prices as the main culprit, policy officials remain wary of a potential surge in wages and consumer prices if a looser policy was applied, justifiably so. A rate cut decision would ultimately bolster consumer demand in the short term as the cost of money has now decreased, prompting further domestic spending. However, with the surge in demand, prices would eventually have to rise. This would occur at the producer level as well as the consumer level, leading to higher wages. All in all, more money floating in the economy would chase smaller supply of goods. With a steady rate at 4.5 percent, policy officials can maintain the current environment, sacrificing the short benefits of a rate reduction while maintaining the longer term perspective. Seeing the inflationary environment as only temporary, Governor Mervyn King stated that consumer spending looks to return stronger in 2006. The comments are inline with the most recent quarterly bulletin by the central bank that predicted inflation to dip below their 2 percent benchmark in the new year.

Japanese Yen

Yen bulls dominated the session as comments made by Bank of Japan Governor Toshihiko Fukui sparked expectations of near term rate hikes for the Japanese economy. Although agreeing with earlier statements made by Prime Minister Junichiro Koizumi of a continuance in looser monetary policy, the central bank governor hinted at heavy consideration next year by policy officials as deflationary conditions may end. Bolstering the notion were economic reports released in the overnight ahead of tonight’s widely anticipated gross domestic product report. Reported earlier, Japanese machine orders rose 4.8 percent. Although regarded as a volatile measure, the figure still suggests that export demand is supported in the world’s second largest economy. The current economic outlook according to the Eco Watchers survey additionally lends to optimism as it posted an actual reading of 52.9, a rise against the previous month’s figure of 50.7. Coupled with recent household spending data and buoyed capital investment, there is no reason to doubt that central bankers will have to consider a tighter policy regime next year as the economy emerges out of a prolonged recessionary period, leaner and more efficient.

 

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 11 December 2017

Register for the Amazing Trader

1.

Amazing Trader EVENT RISK Calendar:

Tue 12 Dec
09:30 GB- CPI
10:00 GB- ZEW Survey
13:30 US- PPI
Wed 13 Dec
00:30 AU- Employment
09:30 GB- Unemployment
13:30 US- CPI
15:30 US- EIA Crude
19:00 US- Fed Decision
Thu 14 Dec
07:30 CH- SNB Decision
All Day- Global- flash PMIs
12:00 GB- Bank of England Decision
12:45 EZ- ECB Decision
13:30 US- Retail Sales
13:30 US- Weekly Jobless
14:45 US- Industrial Production

Forex Trading Outlook


Potential Trading Opportunities

  • POTENTIAL PRICE RISK: Mediun Tue--10:00 GMT-- DE- ZEW. Second Tier Sentiment Survey
  • POTENTIAL PRICE RISK: HIGH-Medium Tue--13:30 GMT-- US- PPI

  • POTENTIAL PRICE RISK: HIGH-Medium Wed--09:30 GMT-- GB- Employment
  • POTENTIAL PRICE RISK: HIGH Wed--13:30 GMT-- US- CPI
  • POTENTIAL PRICE RISK: Medium Wed--15:30 GMT-- US- EIA Crude
  • POTENTIAL PRICE RISK: High Wed--19:00 GMT-- US- Fed Decision


  • POTENTIAL PRICE RISK: HIGH- Thu --00:30 GMT-- AU- Employment
  • POTENTIAL PRICE RISK: Medium- Thu --All day-- global- flash PMIs
  • POTENTIAL PRICE RISK: HIGH-Medium- Thu --07:30-- CH- Swiss National Bank Decision
  • POTENTIAL PRICE RISK: HIGH-Medium- Thu --09:30-- GB- Retail Sales
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