One of the major themes this year has been that loose and loosening G4 central bank policy has helped to remove tail risk, crushed volatility and supported risk assets and currencies. Slowly this theme appears to be shifting. The BoC has turned more hawkish, the BoE has shifted to a less dovish stance and the […]
Central Banks And Bond Auctions Add Importance Read More »
On Tuesday, the EUR/GBP drifted up and down in a tight sideways trading range in the 0.82 big boy ranges. The pair held within striking distance of the key 0.8222/10 support area but a real test didn’t occur. That said, it remains significant that also EUR/GBP failed to record any gains on yesterday’s risk rally.
The EUR/GBP Adds Some Spice Read More »
European equities moved slightly into the red following disappointing auction results out of Italy that further fanned concerns about the eurozone’s fiscal health. Currency markets are not reflecting the mild pessimism that is being factored into European equities, as the USD is selling off against a fairly broad variety of crosses including a small rise
What’s Up And What’s Not Read More »
The yields on Spanish bonds fell today but markets were cautious as the cost of the country’s borrowings hit four-month highs earlier this week. The interest rate a country pays to borrow on international debt markets, which is also an indicator of risk, for the country’s 10-year-bonds dropped to 5.87pc in the secondary market from
Spain Weighs On Investors Nerves Read More »
Stock exchanges dropped at the start of trading on Monday, as traders finally had a chance to react to Friday’s disappointing and confusing jobs report. The major indices showed substantial moves to the downside, pulling back further off their recent highs. The Dow is down 140.39 points or 1.1 percent at 12,919.75, the Nasdaq is
Monday Blues For The US Read More »
There probably would have been no sovereign debt crisis if all EU countries consolidated their finances during the “good times”. Unfortunately hindsight is 20/20. Danish ambassador Pultz said his government believed the fiscal treaty was a necessary instrument in the EU’s “common toolbox” and “should be seen as an important part of the EU’s wider
The Upcoming EU Fiscal Pact Summit Read More »
As the Easter Holiday comes closer, volumes will start to quiet down. This year the Easter Good Friday Holiday coincides with a major Jewish holiday, which means volume will be at an all time low. On Friday the US will release the Non Farms Payroll Report, although most markets will be closed. Mainland Chinese bourses,
Markets Get Weird As The Holidays Approach Read More »
On the last business day of March, the EU Finance Ministers announced their latest attempts to stave off the eurozone debt crisis by boosting the eurozone’s firewall to €800 billion ($US1.07 billion) on the same day as the new Spanish government Mariano Rajoy unveiled a massive cut in its budget deficit together the news failed
The EU Firewall – A Lifeline For Spain Read More »
The Japanese currency rose, not just as a traditional destination for safe-haven seekers but potentially as Japanese companies and investors may be selling foreign investments and repatriating profits as the end of the nation’s fiscal year is at hand. The dollar pared losses to ¥82.45 compared with ¥82.78 late Wednesday. The euro followed suit, dropping to ¥109.36
A Quick Look At The Yen, The Aussie And The Kiwi As The Month Closes Read More »
Over the past few weeks, oil prices have continued to soar as speculators use the geopolitical stress from the Islamic Nations to drive prices up. Recently, the Saudi nation has been publicly making statements that they and OPEC have increased production and that there would be no supply disruption. There words did not quell the
