User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Wednesday March 29, 2006 - 14:49:15 GMT
GCI Financial -

Share This Story:
| | Email

Forex and Commodity Market Commentary and Analysis (29 March 2006)

The euro was little-changed vis-à-vis the U.S. dollar today as the single currency tested offers around the US$ 1.2025 level and was supported around the $1.1980 level. Today’s range was tight compared to yesterday’s sell-off of the common currency after the Federal Open Market Committee raised the federal funds target rate by +25bps t0 4.75%, as expected. The Fed’s statement reported “The slowing of the growth of real GDP in the fourth quarter of 2005 seems largely to have reflected temporary or special factors. Economic growth has rebounded strongly in the current quarter but appears likely to moderate to a more sustainable pace. As yet, the run-up in the prices of energy and other commodities appears to have had only a modest effect on core inflation, ongoing productivity gains have helped to hold the growth of unit labor costs in check, and inflation expectations remain contained. Still, possible increases in resource utilization, in combination with the elevated prices of energy and other commodities, have the potential to add to inflation pressures. The Committee judges that some further policy firming may be needed to keep the risks to the attainment of both sustainable economic growth and price stability roughly in balance. In any event, the Committee will respond to changes in economic prospects as needed to foster these objectives.” Notably, this was Bernanke’s first FOMC meeting as the Chairman and the Fed’s statement reinforced the notion the central bank is in a data-dependent mode. Many dealers believe the Fed may lift the federal funds target rate by another +25bps on 10 May to 5.00%. If so, the question becomes whether or not the Fed takes the rate to 5.25% or stands pat at 5.00%. By comparison, most traders believe the European Central Bank will tighten policy in May by lifting the refinancing rate by +25bps to 2.75%. ECB’s Gonzalez-Paramo today reported the central bank began tightening policy at a suitable time, reporting “We have said before that there are risks to price stability and second-round effects. The bank has not responded late, but has reacted appropriately to the trend in price risks as we saw them at the time.” ECB President Trichet yesterday said “The ECB has always recognized that, in response to unforeseen economic disturbances that may threaten price stability, like for instance the one posed by persistently high and volatile oil prices, it is often appropriate to respond in a gradual and measured manner, so as to avoid introducing unnecessary and possibly self-sustaining volatility into short-term interest rates and real activity.” Data released in Germany today saw German February new orders for machinery and plant rise 9.0% y/y. Euro offers are cited around the US$ 1.2075 level.

¥/ CNY

The yen lost marginal ground vis-à-vis the U.S. dollar today as the greenback tested offers around the ¥118.05 level and was supported around the ¥117.60 level. Technically, today’s intraday high was just above the 23.6% retracement of the move from ¥113.40 to ¥119.40. Data released in Japan today saw February retail sales climb 1.0% y/y, the third increase in four months. The pair gained some 70 points after yesterday’s interest rate hike by the Federal Open Market Committee. Traders continue to speculate if and by how much Bank of Japan will tighten monetary policy in 2006. Japan’s current fiscal year concludes on Friday. February industrial production will be released tonight. The Nikkei 225 stock index climbed 1.49% to close at ¥16,938.41. Dollar bids are cited around the ¥117.40 level. The euro gained marginal ground vis-à-vis the yen as the single currency tested offers around the ¥141.75 level and was supported around the ¥141.20 level. The British pound and Swiss franc moved lower vis-à-vis the yen as the crosses tested bids around the ¥204.35 and ¥89.75 levels, respectively. The Chinese yuan depreciated vis-à-vis the U.S. dollar as the greenback closed at CNY 8.0259 on the over-the-counter market, up from CNY 8.0206, and at CNY 8.0250 in the exchange-traded market. Crucially, the U.S. Senate decided to delay a vote on legislation that would have imposed punitive tariffs on imported Chinese goods following a visit to China last week by Senators Graham and Schumer.


The British pound moved sharply lower vis-à-vis the U.S. dollar today as cable tested bids around the US$ 1.7315 level and was capped around the $1.7440 level. Technically, today’s intraday low was right around the 76.4% retracement of the move from $1.7130 to $1.7935. A string of less-than-positive economic data added to sterling’s woes. First, it was reported that the U.K. recorded its worst-ever current account deficit last year. Second, Q4 2005 GDP was unrevised at 0.6% q/q, its long-term average. Third, February Bank of England mortgage lending activity receded to £8.1 billion, the lowest rate since October 2005. Fourth, the CBI retail sales survey painted a downcast picture of the retail sales sector for March. Traders sold cable on these news under the pretense that Bank of England may be more inclined to lower interest rates even though BoE Governor King this week suggested inflation will move above 2.0% in the near-term. Cable offers are cited around the US$ 1.7390 level. The euro moved higher vis-à-vis the British pound as the single currency tested offers around the £0.6930 level and was supported around the £0.6880 level.


The Swiss franc weakened vis-à-vis the U.S. dollar today as the greenback tested offers around the CHF 1.3125 level and was supported around the CHF 1.3070. Technically, today’s intraday low was right around the 23.6% retracement of the move from CHF 1.2555 to CHF 1.3235. The pair gained some 85 pips yesterday after the Fed’s interest rate decision was announced yesterday. Dollar bids are cited around the CHF 1.3040 level. The euro moved higher vis-à-vis the Swiss franc as the single currency tested offers around the CHF 1.5745 level while the British pound moved lower vis-à-vis the Swiss franc and tested bids around the CHF 2.2710 level.


The Australian dollar came off vis-à-vis the U.S. dollar today as the Aussie tested bids around the US$ 0.7015 level and was capped around the $ 0.7065 level. Today’s intraday low represents the pair’s weakest footing since September 2005. The pair lost about 40 pips after yesterday’s FOMC interest rate decision. Australian dollar offers are cited around the US$ 0.7105 level.


The Canadian dollar weakened vis-à-vis the U.S. dollar today as the greenback tested offers around the C$ 1.1745 level and was supported around the C$ 1.1690 level. Today’s intraday high represents the pair’s strongest showing since 19 January of this year. January average weekly earnings will be released in Canada this morning followed by February industrial product prices tomorrow. U.S. dollar offers are cited around the C$ 1.1815 level.


The New Zealand dollar depreciated vis-à-vis the U.S. dollar today as the kiwi tested bids around the US$ 0.5990 level after encountering offers around the $ 0.6050 level. Notably, kiwi has not trade below the psychologically-important $0.6000 figure since May 2004. New Zealand offers are cited around the US$ 0.6105 level.

Gold/ Silver

Gold moved lower vis-à-vis the U.S. dollar today as the yellow metal tested bids around the US$ 560.00 level and was capped around the $569.30 level. The Fed’s decision to lift interest rates yesterday dented gold a little bit and the commodity also fell following a rough session for gold futures on the Tokyo Commodity Exchange overnight. Silver moved lower vis-à-vis the U.S. dollar today and tested bids around the $10.73 level after running out of steam around the $10.92 level.

Crude oil

Crude oil gained ground vis-à-vis the U.S. dollar today as light, sweet crude NYMEX futures for May delivery tested offers around the US$ 66.14 level and was supported around the $65.58 level. Notably, the contract closed yesterday at its highest level since 6 February as traders weighted supply risks in Iran and Nigeria. Weekly inventory data are expected in the U.S. this morning.


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."

Actionable trading levels delivered to YOUR charts in real-time.

Register To Test Your Amazing Trader

GVI Trading. Potential Price Risk Scale
AA: Major, A: High, B: Medium

Tue 17 July 2018
AA 08:30 GB- Employment
A 13:15 US- Industrial Production
AA 14:00 US-Powell Testimony
Wed 18 July 2018
AA 08:30 GB- CPI
A 12:30 US- Housing Starts/Permits
AA 14:00 US-Powell Testimony
Thu 19 July 2018
AA 1:30 AU- Employment
AA 08:30 GB- Retail Sales
A 14:30 US- EIA Crude
A 12:30 US- Weekly Jobless
Fri 20 Jun 2018
A 12:30 CA- CPI/Retail Sales

John M. Bland, MBA
co-founding Partner,

Global-View Affiliate Program

We are starting an affiliate program to market some of our products.

Send me an email if you would be interested or if you know someone who would like to be an affiliate. Generous commissions payout for those accepted.

Put the word "affiliate" in the email subject line.

Contact us

Start trading with forex broker Markets Cube

Max McKegg's Daily Forex Trading Forecasts

Veteran FX Trader, Max McKegg, forecasts all the Major currencies and the Australasians; providing Daily and Medium Term Trading forecasts to subscribers, who include large Banks the world over, as well as individual traders in more than 30 different countries.

Request a TRIAL of Max's Forex Service.


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

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 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 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.



By using this website, you are agreeing to our Privacy Policy and Terms of Use, and Cookie Policy

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