Overall, the currency market woke up with another wave of Sunday gaps at the beginning of the new week. This happened more and more often in the last period, as the market is eager for any information about the credit crisis. This time it was the G7 and the Euro-area… Read More …
| Tagged Fundamental Outlook |
U.S. Dollar Trading (USD) in a fitting finish to a historic week a Friday frenzy saw the Dow Jones range over 1000 points. Taking the lead from a 10% loss on the Nikkei and Crashing European stocks, initially the Dow also crashed lower bouncing off 7800 over 1000 points higher… Read More …
| Tagged Fundamental Outlook |
The first will be the producer price index from the U.K. at 04:30. The producer price index measures the rate of inflation seen by manufacturers when purchasing goods and services. Analysts are expecting a reading of negative 1.5 percent. Read More …
| Tagged Fundamental Outlook |
The center stage now belongs to the Eurozones proposed bailout plans. Leaders of the 15 nations that use the Euro as their currency gathered on Sunday to finalize a drafted plan which is designed to stabilize their financial markets. This plan calls for the governments of the euro zone to… Read More …
| Tagged Fundamental Outlook |
While the G7 did not provide a unified plan to deal with the credit crisis (because no one plan can be made applicable to all countries at the same time), it is clear that U.S. and European Union, in part as a response to the U.K. plan, are shifting their… Read More …
| Tagged Fundamental Outlook |
Since the publication of our September forecast, the financial crisis has hit the Euroland economy. The impact on economic activity is proving dire. Based on historical experience we expect the economy to stall over the coming quarters. We now forecast Euroland GDP to stagnate in 2009 (0.0% GDP growth). Thus… Read More …
| Tagged Forecast |
European and US interest rate forecasts took a clear turn for the worse in recent months, but the difference between said rate forecasts continues to favor the US dollar. In fact, Credit Suisse Overnight Index Swaps show that interest rate traders expect the yield spread between the Euro and US… Read More …
| Tagged Forecast |
Japanese Yen interest rate expectations have remained relatively unchanged through the past several months of trading, and clear deterioration in US Federal Reserve rate forecasts means that markets predict that the USD-JPY yield differential will shrink by 4 basis points in the year ahead. Yet the Japanese Yen is far… Read More …
| Tagged Forecast |
Deterioration in UK economic conditions and a dovish central bank have forced continued declines in Bank of England rate expectations and likewise led to British Pound declines. Interest rate markets forecast that the British Pound – US Dollar interest rate differential will shrink by a substantial 128 basis points (1.28… Read More …
| Tagged Forecast |
Dimmed outlook for Swiss economic growth has led interest rate traders to forecast a cumulative 10 basis points in SNB rate cuts through the year ahead-a clear shift from previous forecasts for rate hikes. A similarly forceful correction in US interest rate outlook leaves markets expecting almost-unchanged rates for the… Read More …
| Tagged Forecast |
