User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Tuesday October 23, 2007 - 22:50:06 GMT

Share This Story:
| | Email

Forex Research - US Dollar Resumes Its Descent Ahead Of NAR Existing Home Sales


Tuesday, 23 October 2007 22:16:51 GMT

• Euro: Ready To Retake Record Highs Once Again?
• British Pound Rockets Higher on Demand for Yield

US Dollar Resumes Its Descent Ahead Of NAR Existing Home Sales
The US dollar steadily lost ground today against nearly all of the majors – with the exception of the Japanese yen – as the forex markets remain overwhelmingly bearish on the beleaguered currency. The release of the Richmond Fed manufacturing index did little to help the greenback, as the gauge of overall business activity for factories unexpectedly declined to a five month low of -5 from 14. The drop was led by weakness in shipments and new orders, as domestic demand appears to be waning. Meanwhile, the inventories component fell back as well, suggesting that manufacturers don't expect orders to rebound in the near-term. The release of the National Association of Realtor’s existing home sales index on Wednesday could be particularly perilous for the US dollar, as the figure is anticipated to have fallen back 4.5 percent to a nearly six-year low of 5.25M. While such a weak figure will not come as much of a shock to investors, the NAR release will serve as a broad barometer for the entire housing market, as existing homes make up approximately 87 percent of the sector. With sales plummeting, the numbers of homeowners that are forced to default have gradually increased. Furthermore, the American Bankruptcy Institute, a nonprofit research group, reported on Tuesday that consumer bankruptcy filings have increased almost 23 percent from a year earlier. Clearly, homeowners are becoming increasingly distressed when it comes to repaying their debts, suggesting that withering disposable income will leave consumption likely to take a hit next. While this is certainly bearish for the US dollar, US equities may take the news to heart as well as a reminder that the woes of the credit markets are not quite over yet, and as Federal Reserve Governor Randall Kroszner said recently, "The recovery may be a relatively gradual process and these (credit) markets may not look the same when they re-emerge."

Euro: Ready To Retake Record Highs Once Again?
The Euro resumed its uptrend, despite the fact that industrial new orders from the Euro-zone were released slightly below estimates at 5.1 percent. While the sector continues to perform well, output has started to slump to a slower pace of growth.  The high value of the national currency is just starting to crimp investment demand in the region, but the real effects of the Euro’s strength may not been reflected in trade data for several months, as many producers may be hesitant to pass through the actual exchange rate in fear of weighing down demand. Nevertheless, profit margins can only thrive for so long under those conditions, and the practice is unlikely to continue for much longer. Looking ahead, manufacturing PMI is anticipated to fall back slightly – in line with the industrial new orders release – while services PMI is forecasted to be a bit more resilient as domestic demand remains buoyed amidst tight labor market conditions. Furthermore, the ECB's José Manuel González-Páramo will speak in the morning, and any hawkish commentary will help maintain the Euro’s bid tone.

British Pound Rockets Higher on Demand for Yield
While we typically reserve the term “high-yielder” for currencies like the Aussie and Kiwi, the British pound – whose overnight lending rate sits at 5.75 percent – has seen some of the same demand. In fact, Cable has recouped almost all of Monday’s losses, though the 2.0500 level has provided some resistance for the pair. Despite the softer-than-expected inflation figures we saw last week, traders are increasingly feeling assured that the Bank of England has no intention of cutting rates in the near-term, especially as Q3 expansion was much better than expected at an annual rate of 3.3 percent. However, past performance is rarely indicative of future results, and GDP figures are no different. The CBI industrial trends survey unexpectedly dropped to an index reading of -6 led by weaker exports, suggesting that the strong British pound is weighing on foreign demand. With domestic demand likely to wane in the face of higher interest rates and exporters impacted by the appreciation of Cable, Q4 GDP may not be as resilient as in previous quarters.

Japanese Yen: Still Ruled By Risk Aversion Trends
The Japanese yen weakened throughout the day as US equities regained traction. As we’ve mentioned previously, the status quo commentary in the G7 communiqué effectively gave carry trades the green light to continue higher. With investors feeling more comfortable in riskier assets, currencies like the Japanese yen are very likely to suffer as economic data plays almost no role in directionality. Furthermore, the sole factor that could fuel sustained gains would be if the Bank of Japan were to become staunchly hawkish. True, they have made no secret their desire to continue on with rate normalization, but with prices remaining in deflation and consumption still very weak, higher interest rates would only be detrimental to the health of the Japanese economy. As a result, pairs like EURJPY and USDJPY are likely to remain closely correlated to global equity flows. 

Commodity Dollars: Canadian Retail Sales Surge, Will Aussie CPI Follow Suit?
The commodity dollars gained against the greenback with the help of Canadian retail sales, which were surprisingly strong as healthy labor market conditions helps fuel domestic demand. Tonight the focus will turn to Australia, as Q3 inflation is anticipated to remain fairly strong at 0.9 percent from the quarter prior and 2.1 percent from the year prior. With the RBA still considered hawkish – but unlikely to raise rates before year-end – hotter than expected CPI data could keep the bullish tone in the Australian dollar alive and well. On the other hand, a decision by the RBNZ to leave rates steady - as expected - could lead the New Zealand dollar to sell off slightly.



Written by Terri Belkas, Currency Analyst for




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

Mon 10 Sep 2018
AA 08:30 GB- GDP, Trade, Output
Tue 11 Sep 2018
AA 08:30 GB- Employment Decision
A 09:00 DE- ZEW Survey
Wed 12 Sep 2018
A 12:30 US- PPI
A 14:30 US- EIA Crude
A 18:00 US- Beige Book
Thu 13 Sep 2018
A 1:30 AU- Employment
AA 11:00 GB- Bank of England Decision
AA 11:45 EZ- European Central Bank Decision
A 12:30 US- Weekly Jobless
AA 12:30 US- CPI
Fri 14 Sep 2018
A 08:30 GB- GDP
AA 12:30 US- Retail Sales
A 13:15 US- Industrial Production
AA 14:00 US- prelim University of Michigan

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