Foreign Exchange

Daily FX Foreign Exchange News Friday 18th May, 2012

admin — Fri, 18 May 2012 09:00:03 +0000

This morning as we write the gbp is trading in red figures for the third consecutive week, falling from levels above 1.6300 to today’s lows around the 1.5730 region.

The Increasing uncertainty regarding the euro zone political and economic crisis plus a more dovish stance in the recent statements of the BoE have been heavily weighting on the pound, dragging the cross to the present levels.

Jobless claims in the U.S. didn’t live up to the expectations that it will decrease by 5K and remained unchanged, at 370K level, in the week from 6th to 12th of May. The amount of people now on rolling unemployment claims increased by around 18K while the number of people on prolonged payments decreased by around 45K. 31 out of 52 states have reported increases in claims. Following this plunge in the American session due to weak US jobless and manufacturing data, the USD/JPY found support at 79.20.

In the U.K. Prime Minister David Cameron has said the he remains determined to continue implementing his austerity plan to protect the British economy from the Eurozone debt crisis contagion.

This morning we see that the GBP/USD experienced a massive sell-off yesterday, which does not seem to have ended yet. A key support at 1.5781 has already been violated, the Cable is currently headed towards 1.5616 and 1.5557, below which lie 1.5427 and a long term target 1.5260.

The USD/CHF has reached 0.9500 psychological level during the European opening and a slight retreat is being seen for now. The G8 will be meeting today

We report on the current global currency exchange movements and offer our clients the very best currency exchange rates available. Our specialty is the ability to offer competitive time option forward currency contract rates. If this is not the most recent daily currency exchange news report, view the most recent news here Buy and sell currency at the best global currency exchange rates available today through FX-ForeignExchange,0044 (01480) 458400 or 07525 984456. This daily global currency exchange report is for information purposes only. It is not intended as a recommendation to trade or a solicitation for funds. FX-currency exchange cannot be held responsible for any loss or damages arising from any action taken following consideration of this information.

Greece and the Euro dominating FX Foreign Exchange News Wednesday 16th May, 2012

admin — Wed, 16 May 2012 09:00:02 +0000

As we write this morning we now know that Greece will hold new elections in 3-5 weeks after Greek parties have aborted any attempt of forming a coalition government. What we all thought would never happen; it is now battering the global markets.

Greece it seems is now moving closer to the abyss, immediate consequence for the country will be new elections within the next three to five weeks, a time-horizon wide enough to deepen the political and economic crisis and maybe to start planning a new life in drachmas.

The Bank of England Governor Mervyn King is now looking set to leave the door open to more support for the struggling economy. The Bank of England’s new economic outlook is being presented today, which is likely to show a tricky mix of lower growth and higher inflation ahead.

Over night we saw the EUR/GBP rise to 0.8012 due to better than expected German GDP data. However, it was not long before they were giving up those gains later in the day on news that another Greek election is in the pipeline, falling to a fresh multi-year low of 0.7951 as GBP is a relative safe-haven amid the EUR storm.

Germany seems to be holding up the Euro zone at the moment as it helped the Euro zone avoid its second recession in three years. Overall gross domestic product stagnated in the first three months of 2012, compared to the previous quarter, Eurostat data showed on Tuesday.

FX-Foreign Exchange News Monday 14th May, 2012

admin — Mon, 14 May 2012 09:00:02 +0000

All of the Greek political leaders, which include New Democracy, the Coalition of the Radical Left (SYRIZA) and PASOK, concluded a final plea without being able to reach common ground on forming a coalition government. President Karolos Papoulias encouraged them as much as possible to unite positions, the pro and anti-bailout view still remains the sticking issue.

All of the Party leaders made no statement to journalists apart from ND chief Antonis Samaras who said “discussions will continue”. The next round of talks is scheduled to resume today at 16:30 GMT.

The EUR/USD is this morning at 1.2890 after a quiet session in Asia. There have been fresh 14 week lows at 1.2878 and after the retail opening and during the Tokyo session there were highs of 1.2878.

With the London session about to open the agenda will be busy in sovereign debt auctions. Firstly we will see the German WPI for the month of April at 06:00 GMT followed by UE industrial production at 09:00 GMT. There will also be long term Italian debt auctions at 09:00 GMT, as well as short term ones from Spain, France and Germany, along with meetings among the Greek political leaders in order to find a solution to the lack of agreement to form a coalition and govern the country.

On a positive note U.S. consumer confidence rose by more than expected in May as consumers became more optimistic on the outlook of the country’s economy after a report showed that highest level in four years in May. This in turn saw the European stocks climb on Friday.

As we write this morning the USD/JPY is continuing to trade at a limited range around 80.00 and is waiting for Bank of Japan intervention /measures or fresh US data to pick a new direction. The pair has touched a 6-day high of 80.11 during the Asian Session but has pulled back to levels back below the handle, last at 79.95.

Daily Foreign Exchange News Friday 11th May, 2012

admin — Fri, 11 May 2012 09:00:03 +0000

The EUR/USD bloc currency is trading at levels last seen in January as the Asian trade is closing. It seems that the recovery yesterday was just to be enjoyed for a few moments after weaker than expected date from China and a $2 billion trading loss that JP Morgan have reported after the close in the US markets yesterday. The markets seemed to have hit reality again.

The German Chancellor Angela Merkel spoke before the Bundestag on Thursday and has reiterated that the implementation of austerity measures combined with stimulation of growth is the only way to combat the EU debt crisis.

Japanese shares fell for a second day with the Nikkei 225 Stock Average sliding to a three month low; as concerns grow Greece may exit the euro and are slowing China trade sapped demand for riskier assets.

The GBP/USD is currently entering Europe at session lows and has been trading between 1.6115 and 1.6150 this Friday in Asia. News of JP Morgan’s $2 billion trading loss weighed on sentiment, along with uncertainty surrounding the Greek political situation.

The Bank of England have continued to keep the rates on hold and have refrained from additional stimulus on Thursday. The Monetary Policy Committee boosted asset purchase facility to 325 billion pounds in February.

The EUD/JPY currency couple is likely to remain bearish due to its inability to surge above a tough resistance at 80.55.

Daily FX News Wednesday 9th May, 2012

admin — Wed, 09 May 2012 09:00:03 +0000

As we write this morning the EUR/GBP cross is approaching 0.8000 and is printing lows that have not been seen since November 2008. Currently the single currency has an accumulated daily loss of 0.05% and is holding firm after the release of the trade balance figures from the Eurozone’s biggest economy, Germany. The Pair is currently trading at 0.8044 facing resistance at 0.8067, ahead of 0.8086 and 0.8097.
Germany’s industrial production unexpectedly soared in March which has added to the sign that Germany is weathering the debt crisis. Production has jumped from 2.8 %.
In the US the stocks fell on Tuesday as Greece’s bailout pledge has started to come into question.
The AUD/USD is currently bouncing from 1.0052 low and rises towards the 1.1000 area. The pair is currently weak since the RBA’s interest rate cut by 50 bps coming from a 1.043 high and plunged almost 400 pips for now to get to 1.0052 a low which is very close to parity.
The USD/JPY has recently traded flat and may still reach lower levels at 79.15/78.90 given that the resistance line situated at 80.64 is a tough level.
The election results that took place in Greece over the weekend continue to weight down the euro.
The EUR/USD cross has remained nearly indifferent after the German trade surplus came in unchanged at €13.7 billion during March which was a touch above the €13.5 billion estimated.
We report on the current global currency exchange movements and offer our clients the very best currency exchange rates available. Our specialty is the ability to offer competitive time option forward currency contract rates. If this is not the most recent daily currency exchange news report, view the most recent news here Buy and sell currency at the best global currency exchange rates available today through FX-ForeignExchange,0044 (01480) 458400 or 07525 984456. This daily global currency exchange report is for information purposes only. It is not intended as a recommendation to trade or a solicitation for funds. FX-currency exchange cannot be held responsible for any loss or damages arising from any action taken following consideration of this information.

Foreign Exchange News Friday 4th May, 2012

admin — Fri, 04 May 2012 09:00:03 +0000

EUR/GBP The single currency seems to be holding firm against the sterling, losing 0.2%, ahead of the release of important economic indicators from the UK and the eurozone. As we write the pair is currently trading at 0.8124 below 0.8494 facing resistance at 0.8148 ahead of 0.8167 and 0.8190.

The USD/CHF cross is continuing in a tight range ahead of the Retail Sales in Switzerland due later on today. It is expected that it will rise 1.1% in March, up from 0.8% and confirming the latest recovery of the alpine recovery.

The European Central Bank has held key rates at 1% and stated that it expects gradual economic recovery this year.

In the US the number of Americans claiming unemployment benefit tumbled down to 365,000 from 392,000 in the week ending April 28th.

The EUR/JPY failed to commence a bullish rally yesterday as it remains squeezed to the lower Bollinger Band at 104.62.

The average house prices in the UK declined last month by 0.2% after falling by 0.1% in March, in the fourth consecutive month the house prices have declined which concludes that the recent stamp duty holiday appeared to create a short lived stimulus. For the real estate sector

FX Foreign Exchange News Wednesday May 2nd, 2012

admin — Wed, 02 May 2012 09:00:03 +0000

As we write this morning the GBP/USD is still trading above the 1.6200 level which is the highest level since 2008. It did decline yesterday after the US ISM Manufacturing PMI data was released. The data showed that Manufacturing in the US has expanded at the fastest pace in 10 months.

The USD/CHF is currently touching the 0.9100 mark ahead of the Swiss SVME – PMI and the real retail sales. Surveys that have been carried out expect both of theses headlines to improve to 53.6 and 1.1% respectively which confirms the recent good pace of the recovery of the Helvetic Economy.

The manufacturing sector in the UK performed worse than expected in April. The UK’s manufacturing PMI declined to 50.5 last month on a seasonally adjusted basis as compared to March reading of 52.1.

The EUR/USD is recovering after bottoming at 1.3210 during Asian trading and head of the German manufacturing and unemployment rate figures.

It was reported that inflation in the Eurozone rose by more than expected in April, which in turn has mounted pressure on the European Central Bank to take action against price pressures.

Japanese stocks ended Tuesday’s session in red as the yen strengthened after date has shown that Spain has fallen into recession.

Foreign Exchange Daily News Monday 30th April, 2012

admin — Mon, 30 Apr 2012 09:00:02 +0000

As we write this morning the EUR/USD has started the week trading higher as we head to the end of the Asian Session. Spain continues to be the centre of attention as the flash GDP figures from the first quarter will be published later on in the European morning.

Standard and Poor has downgraded Spain’s credit rating by two notches to BBB-plus with a negative outlook from A and has cited expectations that the government finance will deteriorate.

On Friday the Bank of Japan boosted monetary stimulus though increasing its asset buying fund from JPY 30 trillion to JPY 40 trillion in order to support economic growth. The Bank of Japan also kept its benchmark rate unchanged between zero and 0.1%.

The British Pound has continued to move higher thru the Asian trade as upward pressure has built up another 20+ pips to recent GBP/USD gains.

The UK consumer confidence has remained in the negative area in April as consumers were mainly pessimistic on the outlook of the country’s economy.

The EUR/JPY slumped last week as it seems the market aims to stick in the near term support level at 106.49. It is thought that is may approach the 55 day MA located and higher band around 107.80/99 and a breach here would reiterate a bullish momentum for the pair.

Daily FX News Friday 27th April, 2012

admin — Fri, 27 Apr 2012 09:00:02 +0000

As New York closed last night Standard and Poor’s rating agency downgraded Spain to BBB+ with outlook negative. The cut was caused by bleak growth prospects and the country is now just two notches away from entering junk territory.

USD/CHF. This morning we see the USD continuing to advance against the CHF and was up by 0.29% yesterday gaining 0.37%. It is expected that it will reach 0.26 up from the previous 0.8.

Deutsche Bank which is Germany’s biggest lender has posted a 33% drop in its first quarter profit and has cited debt crisis as a negative forced that has curbed trading. The net income declined to EUR 1.38 million compared to EUR 2.06 billion in the same period last year.

UK consumer sentiment rallied in March reaching a 9 month high record even though the British economy declined during the first three months of 2012. British consumers spend more money on large scale items such as cars and homes.

It was also reported that the number of Americans who have applied for jobless benefits remained elevated for the third straight week which suggests that there is some weakening in the US labor market.

FX-Daily Market News Wednesday 25th April, 2012

admin — Wed, 25 Apr 2012 09:00:03 +0000

Yesterday saw the market downturn that was seen on Monday reversed and European stocks showed gains and the Euro rose above 1.3150.

Spanish borrowing costs almost doubled at the short term debt auction held by the Country’s treasury, which managed to sell 1.93 billion euros worth of bonds, meeting the target.

In the Netherlands, whose government collapsed on Monday also held quite a successful debt auction on Tuesday. The demand was stong and solid and yields on long term debt remained almost unchanged, while yields on short term debt decreased.

This morning as we write the Pound Sterling is grinding lower on Wednesday, ahead of the UK’s GDP during the first quarter. It is highly expected the headline to be a tiny bit lower in the annualized reading and up to +0.1%.

In the US consumer confidence has declined in April as consumers become less optimistic on the outlook of the Country’s economy.

The USD/JPY currency couple is still contained by a resistance downtrend which looks like it is about to be eroded.

The EUR/JPY is consolidating near 106.33/105.95, before it undertakes an additional attempt to break above 107.48