It was not the language of diplomacy and disguised meaning. Chinese President Wen Jiabao’s admonition to the American Government: I want to ask the US to protect its credit rating, honor its words and ensure the safety of China’s assets, was not a request it was a lecture and it…
As the various level of incentives are just getting into the economic system, financial markets might start to discount current recession and target the next scenario, which could be characterized by a weaker dollar and higher inflation numbers.
Technical analysis shows us the Euro may continue its uptrend. We can see the demand in the market by using some indicators like MACD which giving us a buying signal by crossing the MACD line to the signal line. RSI shows us the strength in the market. Bollinger gives us…
The Bank of England was the first among the world’s leading central banks officially to start the purchase of longerterm government debt or gilts. The US Fed signalled at the January FOMC meeting that it was ‘prepared’ to start buying government bonds as well. One question this week is whether…
As the Bank of England embarks on a £150bn programme of buying securities from the private sector that will not be financed by an equivalent issue of government paper - so called quantitative easing bond yields are falling around the world. This is perhaps partly because of a perception…
It might just be possible that we have formed an interim high at 99.69, but until we start holding consistently below the 97.00 area this has yet to be confirmed. Therefore the outlook for this week and possibly for the rest of this month is unclear. As we predict a…
The FOMC will probably still anticipate that economic conditions are likely to warrant exceptionally low levels of the federal funds rate for some time, and will thus leave the target range for the fed funds rate at 0-0.25%. The statement is unlikely to differ much from the previous one: central…
Following a low in EUR/USD at 1.2457 on 3 March the pair has climbed higher towards the upper end of its recent approximate 1.25-1.30 interval. This also translated into a reduction of implied short EUR/USD positions, as speculative investors scaled back net short EUR positions in particular.
The average regional business cycle from peak to trough and back again historically has been 10-15 years with the U.S. cycles traveling the same distance in half that time, which has currently created an imbalance in the economic/currency valuation links. In most moves from peak to trough, the regional currencies…
Continued failure ahead of the 1.2514 level, its swing low established on Feb 18′09 and the 1.2456 level, its Mar 04′09 high generated a sharp rally the past week pushing the pair to as high as 1.2957 before closing the week at 1.2929.EUR formed an evening star candle pattern(a bottom…