Posted by: Forex Weekly Reports (ActionForex.com)
The German ZEW economic sentiment could have continued deteriorating in March, as the correlated indicators sent rather negative signals. The ifo business expectations have improved, but the US ISM manufacturing index has declined. The euro has depreciated, but crude oil prices have gone up. German yield spreads have fluctuated, just…
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Posted by: Forex Weekly Reports (ActionForex.com)
February’s retail sales report was easily the best economic news released this week. Overall sales rose 0.3 percent during February, with strong gains reported across nearly every major category. Sales excluding gasoline, building material and automotive dealers, which is a category that tends to track the personal consumption data, rose…
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Posted by: Forex Weekly Reports (ActionForex.com)
It looks good so far, but mostly just on paper. As of yet, the recovery from the Great Recession has largely been a balance sheet affair. This week marked the one year anniversary (March 9th) of the stock market lows. Equities have rebounded by a stunning 60% since then. As…
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Posted by: Forex Weekly Reports (ActionForex.com)
As we suggested last week, risk appetites improved a bit further this past week and most risky assets advanced, with the notable exception of precious metals and commodities. In FX, the clear standouts were the JPY crosses, like EUR/JPY, CAD/JPY and AUD/JPY, which all moved above recent highs. Solid data…
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Posted by: Forex Weekly Reports (ActionForex.com)
This was basically a week of continuing consolidation, except for the USD/CAD which is looking seriously at the parity scenario. The coming weeks may be crucial as the markets test important powerlines. We have short-term consolidations/corrections in pairs such as EUR/USD, GBP/USD, EUR/GBP, and GBP/JPY. But we are also testing…
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Posted by: Forex Weekly Reports (ActionForex.com)
Rising inflation expectations in the UK and confirmation that the Budget will be held on March 24 means GBP shorts may be forced to cover positions as government leaks emerge over the next two weeks of UK deficit reduction plans. Ultra-loose monetary policy in the G7 and positive economic data…
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Posted by: Forex Long Term Forecasts (ActionForex.com)
Timed from the trough in equity markets, we are now one year out from the start of the recovery. The context of the story has gyrated from bailouts of banks to governments, but the overall story remains the ebb and flow of risk appetite. There is a feeling from the…
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Posted by: Forex Long Term Forecasts (ActionForex.com)
Euroland growth was surprisingly weak in Q4 2009 with GDP growing a mere 0.1% q/q. France saw highest growth (0.6% q/q) among the larger euro area members, while Germany saw a flat GDP. Spain remained in recession (-0.1% q/q), while Italy slipped back into recession (-0.2% q/q) after a more…
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Posted by: Forex Weekly Reports (ActionForex.com)
Although there is still strong domestic resistance to the austerity measures in Greece, financial markets are starting to view the situation in a more relaxed light. This is probably partly thanks to prime minister George Papandreou’s goodwill tour to the US, and partly as a result of the proposal to…
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Posted by: Forex Weekly Reports (ActionForex.com)
Treasury yields should hold at current levels while money market futures should start recouping the little ground lost over the past fortnight. The US dollar is expected to weaken and though ‘commodity’ currencies led over the last five or so weeks it might be time for the laggards, sterling and…
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