User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Thursday October 25, 2007 - 22:25:47 GMT

Share This Story:
| | Email

Forex Research - US Dollar Nears Record Lows As Durable Goods Orders Plummet


Thursday, 25 October 2007 22:16:10 GMT

Written by Kathy Lien, Chief Currency Strategist

• Commodity Dollars Push To Multi-Year Highs As Oil Hits New Record Above $90/bbl
• Euro: Will Rising Import Prices Lead The ECB To Hike?

US Dollar Nears Record Lows As Durable Goods Orders Plummet

The US dollar barely missed hitting record lows against the Euro today and traded down across the majors as Durable Goods Orders were released at a much weaker-than-expected -1.7 percent. In fact, estimates had been for a 1.5 percent rise on the back of transportation gains as Boeing reported stronger orders during September. Looking at the less volatile component that excludes transportation was a bit more optimistic, as orders for durable goods rose a mild 0.3 percent while nondefense capital good excluding aircraft – a leading indicator for business investment – rose 1.0 percent. Later in the morning, New Home Sales for the month of September looked, on the surface, like a surprisingly strong figure. Indeed, the index rose 4.8 percent in September from the month prior to 770K while supply levels fell back to 8.3 month and median prices jumped to $238,000 from $232,100. Sound great, right? Wrong. A deeper look into the data shows that these “improvements” came simply because the revisions were so much lower for prior months – specifically August – that it made the September data look positively radiant. The August reading was amended to reflect that new home sales dropped to a nearly 11 year low of 735K while supply levels were revised all the way up to 9 months. Why all of these revisions? The new home sales report is based off of contract signings, but revisions come into play when cancellations occur before the actual closing if, for example, the homebuyer can’t get approved for the financing. As a result, it’s pretty clear that this report is unreliable as a gauge for the status of the housing sector given the amount of adjustments made to the index. Fed fund futures continue to price in an 86 percent chance of a 25bp cut on October 31st, and with the housing sector still deteriorating and US equities teetering at current levels (the DJIA and S&P both closed little changed for the past two days), the FOMC is likely to follow the market’s lead and take the benchmark lending rate down to 4.50 percent next week.

Commodity Dollars Push To Multi-Year Highs As Oil Hits New Record Above $90/bbl

The commodity dollar gained steam yet again on Thursday as crude oil prices rocketed 3.9 percent higher to close at a record of $90.46/bbl amidst news of new US sanctions against Iran and warnings of an attack on Kurdish militants by Turkey. In fact, USDCAD stretched lower to hit a fresh 31-year low of 0.9612 while AUDUSD jumped to 13 year highs of 0.9090. Not to be forgotten, NZDUSD edged above the 0.7600 level as the RBNZ policy statement indicated a somewhat hawkish bias. Nevertheless, with interest rates at a record high of 8.25 percent, the probabilities of another rate increase are negligible in the near term. The RBA, on the other hand, does have the potential to hike in the near-term, and speculation is mounting that they will tighten policy at their November meeting before the Federal Elections on November 24th.

Euro: Will Rising Import Prices Lead The ECB To Hike?

Import price growth in Germany accelerated more than expected during the month of September at a rate of 0.6 percent led by petroleum product prices as oil rocketed higher. The news heightens the prospects that the European Central Bank will keep rates steady and maintain their hawkish bias. While inflation seems to be largely isolated to energy related products (suggesting core pressures are relatively stable), the possibility that these costs will leak into other product groups is considerable. However, we’ve started to see investor sentiment suffer, as the German IFO survey of business confidence dropped to a 20-month low of 103.9, while the outlook figure slumped to a nearly two year low of 98.6. The rapid appreciation of the Euro, speculation that the ECB may hike, rocky financial market conditions, and oil at record highs has undoubtedly taken a toll on optimism. The question is: will it impact business and consumer spending? We have yet to see this occur, but with Europeans feeling leery of current and future conditions in the economy, the ECB will not want to exacerbate the mentality and trigger a more substantial slowdown.

Japanese Yen: CPI, Industrial Production Unlikely To Raise BOJ Hike Prospects

The Japanese yen has been the main beneficiary of the build up of risk-averse sentiment throughout the financial markets, which has also pushed equity indices like the DJIA and Nikkei 225 lower. However, with trendline support for USDJPY looming near the 113.00 level, a plunge in the equity markets may be the only trigger for the pair to take on the August lows once again. Fundamental data out of Japan has not been able to drive price action across the yen pairs for quite some time, and upcoming news is unlikely to be any different. Tokyo consumer price measures are anticipated to show that deflation still reigns for the ninth consecutive month, leaving the Bank of Japan no room to implement further rate normalization. Despite the tightness of the Japanese labor markets, wages have failed to rise and as a result, consumption growth has been extremely anemic. As a result, businesses simply do not have the ability to pass through any price increases to the consumer if they plan on actually selling anything.

British Pound Continues To Consolidate Amidst Light Data Flow

Economic data out of the UK has been extremely thin this week, leaving Cable to consolidate near the 2.0500 level. The sole piece of data today showed that mortgage approvals dropped during the month of August, suggesting that the Bank of England’s tightening cycle earlier in the year has finally started to take a toll on the housing market. Nevertheless, BOE Governor Mervyn King shows few signs of letting up on his hawkish bias despite softer inflation pressures, leaving the central bank unlikely to cut rates until at least Q1 2008.



Written by Terri Belkas, Currency Analyst for

[ Back ]


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