User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Thursday April 19, 2007 - 09:37:01 GMT
Reuters - www.reuters.com

Share This Story:
| | Email

FOREX NEWS-Yen rises, investors lighten carry amid China jitters

FOREX-Yen rises, investors lighten carry amid China jitters
Thu Apr 19, 2007 4:45am ET137

(Recasts, Changes dateline, byline)

By Veronica Brown

LONDON, April 19 (Reuters) - The yen rose sharply against the euro and dollar on Thursday as worries about a near-term Chinese rate hike to cool rampant growth, falling stocks and strong Japanese data led investors to unload some carry trade positions.

Chinese first-quarter growth and March inflation data came in above forecast, reflecting continued red-hot growth. China's economy grew 11.1 percent in the first quarter.

However, comments from China's national statistics bureau that excess liquidity was still a problem and that the economy risked overheating kept investors on alert for a rise in Chinese borrowing costs, supporting the yen which is often seen as a proxy for China's yuan currency.

The yen's fightback against high-yielding currencies, pulled the euro and sterling off recent highs against the dollar, but the greenback was still weighed broadly by expectations for U.S. interest rate cuts.

"Carry trades are premised on benign financial market positions, when you get a 4.5 percent fall in Shanghai equity markets and S&P futures are off, people are fearful of a volatile day for equity markets," ING head of FX strategy Chris Turner said.

"There's been a pretty strong correlation between dollar/yen and the S&P recently. People are using this as an excuse to de-leverage, or reduce the scale of their carry trades."

On stocks, Tokyo's Nikkei <.N225> dropped 1.67 percent, while the pan-European FTSEurofirst 300 index <.FTEU3> fell more than 1 percent.

Turner said market conditions were reminiscent of those in February when investors heavily reversed carry trades, where low-yielding currencies like the yen are borrowed to fund higher return assets.

By 0840 GMT, the euro was down 0.7 percent on the day at 160.14 yen -- having dropped more than one percent before the Chinese data was released -- and moving away from this week's record high of 162.42.

Japan's tertiary sector index of service industry activity rose 1.0 percent in February from January, against a forecast for a 0.4 percent fall.

The Reuters Tankan, a monthly survey of leading Japanese companies, showed that non-manufacturers' business sentiment in April improved to a nearly three-year high.

The yen briefly fell after Japanese vice finance minister for international affairs Hiroshi Watanabe said the Japanese currency was not too weak just now.

DOLLAR WEIGHED DOWN

The dollar dropped 0.7 percent to 117.76 yen . Sterling kept the upper hand against the greenback despite carry trade selling, staying up 0.25 percent on the day and near 26-year peaks hit on Wednesday above $2.01.

The euro hit a two-year high of $1.3619 before retreating slightly to $1.3575.

The Australian dollar slid more than 1 percent to 98.14 yen , down sharply from a decade-high above 100 yen hit earlier this week, as investors locked in profits.

Data showing rising U.S. home foreclosures and falling mortgage applications raised concerns that housing sector woes could hurt the economy, reinforcing views that the Federal Reserve would cut interest rates later this year.

Housing figures followed tame consumer prices data earlier in the week which helped ease inflation concerns.

In contrast to sluggish U.S. data, growth prospects are solid and inflationary pressure remains high in other countries, with major central banks such as the Bank of England and the European Central Bank seen boosting interest rates in coming months.

"The market is solely focused on interest rates and this trend will not change any time soon," said a senior trader at a Tokyo-based European bank.

© Reuters 2007. All Rights Reserved.

 

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 19 June 2018
A 12:30 US- House Permits/Starts
Wed 20 June 2018
A 14:00 US- Existing Homes Sales
A 14:30 US- EIA Crude
Thu 21 June 2018
AA 11:00 GB- Bank of England Decision
A 12:30 US- Weekly Jobless
Fri 22 June 2018
AFlash PMIs


John M. Bland, MBA
co-founding Partner, Global-View.com


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.


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