User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Wednesday February 22, 2006 - 22:10:42 GMT
FXCM - www.dailyfx.com

Share This Story:
| | Email

Forex: Dollar Weakens as Market Says Goodbye to Ferguson

DailyFX Fundamentals 02-22-06

• Dollar Weakens as Market Says Goodbye to Ferguson
• British Pound Rebounds on Stronger Data
• Yen Rebounds Thanks to Upgraded Economic Outlook

US Dollar

The US dollar traded higher against most of the majors today but the rally occurred primarily during the European trading session before the US market open. Interestingly enough, even though the consumer price inflation report came in stronger than expected, the dollar actually dropped, which suggests to us that traders may have been looking for a really explosive number. Headline inflation jumped 0.7 percent compared to the market’s forecast of 0.5 percent but the real sucker was the core CPI report. Even though core prices grew by an as expected 0.2 percent last month, it was revised lower by 0.1 percent for the month of December. With big hopes for today’s release, the market could do noting but be disappointed with the downward revision. After the somewhat more neutral Federal Reserve minutes released yesterday, the fact that the end is near has become even more glaring. Five percent rates are still possible, but anything beyond that is extremely unlikely. This means that even though another rate hike could still come after the March meeting, the tone of the FOMC statement in next month’s meeting will probably be notched down significantly. One of the biggest news today was the surprise resignation of Federal Reserve Vice Chairman Roger Ferguson. One of the most respected Federal Reserve Governors; Ferguson was once thought to have what it takes to succeed Greenspan. As the only central banker in Washington during 9/11 while Greenspan was in Europe, Ferguson has often been credited for steering the Fed through the crisis. However, Ferguson has often bumped heads with Bernanke as he opposes inflation targeting, arguing that it limits the Fed’s flexibility. With his departure, Ben Bernanke’s board of governors now consists of all Bush nominees. This shock to the market will once again bring back concerns about how well Ben Bernanke’s team will respond to any crisis that may fall upon the economy.

Euro

As the major currency pairs continue to trade within a tight range, the Euro ended the day virtually unchanged. According to this morning’s GDP release, Germany failed to grow in the fourth quarter and instead underwent a period of stagnation in the last 3 months of 2005. However GDP is a number of the past and Euro bulls have not been stifled given the strength of recent data. Positive confidence and consumption data released in France and Italy also helped the Euro fight back earlier losses. France’s Business Confidence Indicator jumped to 105 as consumer spending expanded by 0.9 percent in January, a reversal of December’s 1.0 percent contraction. Consumer confidence in Italy came in stronger than expected at 110.0 in spite of consumer price inflation of 0.2 percent, indicating that growth on the shoulders of spending may take form in spite of higher prices. The European Central Bank also revealed that the Euro-Zone current account deficit fell to 5.3 billion euros in December, making the total deficit for 2005 29.0 billion euros. Positive data in France and Italy combined with the current account data may be enough to push the EURUSD out of a sideways pattern in coming weeks. This may be the push the Euro needs to initiate momentum toward the upside that could continue with ECB rate hikes later in the year, which have already been priced into the market.

British Pound

Even though the British pound ended the day weaker against the dollar, it staged a nice recovery from earlier weakness during the US trading session. The much awaited minutes from the most recent monetary policy meeting showed no change in the balance of votes. The committee voted 8-1 to leave interest rates unchanged with MPC Nickell once again being the only dissenter who favored a rate cut. If you recall, the forecast ranged the gamut from 9-0 to 7-2, so the fact that no one changed their minds made the release of the minutes essentially a non-event. The BoE was slightly more optimistic however, as they cited stronger GDP and consumption growth. The CBI industrial trends survey also came in stronger than expected, rising to -18 from -28, which has helped pare back expectations for another rate cut in the near future.

Japanese Yen

After three days of solid gains, the Japanese Yen has actually strengthened against the dollar. In fact, the Yen strengthened against all of the major currencies as the Japanese government upgraded its outlook for the economy. With recent economic data showing strength, the government opted to drop the words slowly or gradually from their assessment of economic growth. For the most part, they agree with the Bank of Japan that the recovery should continue but still feel that according to the fourth quarter GDP deflator, deflation is still prevalent. Therefore even though USD/JPY gave back some of its recent gains today, the overall uptrend remains dominant. Meanwhile we are expecting the trade balance and the tertiary activity index later tonight which could grant the Yen a bit more volatility.

 

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 23 October 2017

Register for the Amazing Trader

1.

Amazing Trader EVENT RISK Calendar:

Tue 24 Oct
All Day flash PMIs
Wed 25 Oct
01:30 AU- CPI
08:00 DE- IFO Survey
08:30 GB- GDP
14:00 CA- BOC Decision
14:30 US- EIA Crude
Thu 26 Oct
11:45 EZ- ECB Decision
12:30 US- Weekly Jobless
14:00 US- Pending Homes Sales
Fri 27 Oct
12:30 US- GDP
14:00 US- final Univ of Michigan

Forex Trading Outlook


Potential Trading Opportunities


  • POTENTIAL PRICE RISK: Medium Tue-- All Day Global flash PMIs. First good look at October economic performances.



  • POTENTIAL PRICE RISK: HIGH Wed-- 01:30 GMT AU- CPI. Top Inflation indicator.

  • POTENTIAL PRICE RISK: HIGH Wed-- 08:00 GMT DE- IFO Survey. Top German indicator.


  • POTENTIAL PRICE RISK: HIGH Wed-- 14:00 GMT CA- BOC Decision. No Policy Change Expected.


  • POTENTIAL PRICE RISK: Medium Wed-- 14:30 GMT US- EIA Crude. Top Weekly WTI Statistic.



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