Forexpros - The euro was steady against the yen on Thursday, trading close to a three-month high after U.S. jobless claims remained broadly unchanged while concerns over the economic outlook in the euro zone continued to weigh. EUR/JPY hit 106.87 during European afternoon trade, the pair’s highest since November 9; the pair subsequently consolidated at 106.72, adding 0.32%.The pair was likely to find support at 105.42, Wednesday’s low and resistance at 107.58, the high of November 9.Official data showed earlier that the number of people who filed for unemployment assistance in the U.S. last week remained at 351,000, holding steady near the lowest level since March 2008, confounding expectations for an increase to 354,000.Jobless claims have remained below 400,000, a level historically associated with an improving labor market, in 15 of the past 17 weeks.Meanwhile, the euro’s gains were limited after the European Commission’s forecast for economic growth showed that the euro zone’s economy would contract by 0.3% in the first quarter after dropping by the same amount in the last quarter of 2011. Two consecutive quarters of contraction signal a recession.Sentiment strengthened earlier after German research institute Ifo said its Business Climate Index rose to a seasonally adjusted 109.6 in February from a reading of 108.3 the previous month, surpassing expectations for an increase to 108.8.
Thursday, 23 February 2012
Tuesday, 21 February 2012
EUR/USD higher on muted Greek bailout bullishness ..
Forexpros - The euro traded higher against the U.S. dollar Tuesday, but the reaction to the Greek bailout package was muted as investors remain uncertain if it will be sufficient to avoid default. EUR/USD traded at 1.3258 during mid session U.S. trade after hitting a high of 1.3293 and a low of 1.3187. The pair was likely to find support at 1.3114, last Friday’s low and technical resistance exists at 1.3293, the session high. The single currency struck the high against the greenback earlier after euro zone finance ministers settled on the details of a new financial package for Greece, which aims to lower the country’s debt to 120.5% of gross domestic product by 2020. Private-sector creditors also agreed to take a write-down on their bonds of more than 53%, which is expected to cut Greece's debt by EUR107 billion.
Thursday, 16 February 2012
Natural gas rallies on inventory decline ..
Forexpros - Natural gas futures rallied Thursday, gaining more than 5% after a report from the U.S. Energy Information Administration indicated natural gas inventories fell last week. On the New York Mercantile Exchange, natural gas futures for delivery in March traded at USD2.57 per million British thermal units during U.S. morning trade, soaring 5.96%. It is presently trading at the sessions high and price hit a low of USD2.42 earlier prior to the release of U.S. Energy Information Administration inventory report.
Wednesday, 15 February 2012
U.S. stocks sharply lower on Greek default fears, Fed minutes; Dow down 0.76% ..
\\Forexpros - U.S. stocks traded sharply lower Wednesday on renewed Greek default fears and
mixed message from the Federal Reserve meeting minutes. Near the close of U.S. trade, the Dow gave back 0.76%, the S&P 500 dropped 0.49% and the Nasdaq Composite fell 0.55%. Risk appetite weakened after a report surfaced that EU officials are trying to delay Greece’s second bailout amid concerns that Greek leaders are not fully committed to implementing the required austerity measures. Without a bailout, Greece faces a default when a EUR14.5 billion bond comes due on March 20.
mixed message from the Federal Reserve meeting minutes. Near the close of U.S. trade, the Dow gave back 0.76%, the S&P 500 dropped 0.49% and the Nasdaq Composite fell 0.55%. Risk appetite weakened after a report surfaced that EU officials are trying to delay Greece’s second bailout amid concerns that Greek leaders are not fully committed to implementing the required austerity measures. Without a bailout, Greece faces a default when a EUR14.5 billion bond comes due on March 20.
Forex - USD/CHF slides as market sentiment firms ..
Forex - USD/CHF slides as market sentiment firms
Forexpros - The U.S. dollar slipped lower against the Swiss franc on Wednesday, as a pledge by the head of China’s central bank to support the euro zone boosted market sentiment but concerns over Greece continued to linger. USD/CHF hit 0.9156 during European morning trade, the session low; the pair subsequently consolidated at 0.9170, shedding 0.25%.Forex - Euro softens after euro zone GDP contracts ..
Forexpros - The euro trimmed early gains against the U.S. dollar and fell to a fresh record low against the New Zealand dollar earlier after official data showed that the euro zone’s economy contracted in the last three months of 2011.During European late morning trade, the euro was slightly higher against the U.S. dollar, with EUR/USD adding 0.13% to hit 1.3150.
Friday, 10 February 2012
Forex - AUD/USD down in European trading hours ..
AUD/USD was trading at 1.0679, down 0.99% at time of writing. The pair was likely to find support at 1.0674, today’s low, and resistance at 1.0844, Wednesday’s high. Meanwhile, the Australian Dollar was down against the Euro and the Japanese Yen, with EUR/AUD gaining 0.65% to hit 1.2401 and AUD/JPY falling 0.89% to hit 83.02.
Wednesday, 8 February 2012
U.S. stocks higher on Greek deal hope; Dow up 0.04% ..
U.S. stocks traded higher Wednesday, as Greece moved closer to clinching a European Union bailout package for the second time.
Near the close of U.S. trade, the Dow gained 0.04%, the S&P 500 advanced 0.22% and the Nasdaq Composite surged 0.41%.
Earlier, stocks rallied on reports that Greek officials were working on the final draft of a bailout agreement in front of a meeting between Greek Prime Minister Lucas Papademos and coalition leaders yesterday.
However, this meeting was postponed as the Prime Minister decided to meet with the troika of the European Commission, the European Central Bank and the International Monetary Fund to negotiate the terms needed to obtain a second bailout package
Greek policy makers have already agreed on cuts equal to 1.5% of the island nation’s gross domestic product. However, they are yet to agree on how to recapitalize banks, reduce wages and ensure the survival of pension funds.
These delays have reignited fears of a Greek default and euro zone collapse leading to the bearish equity environment.
It is critical that the agreement be approved by February 15 for Greece to avoid default on March 20 by obtaining its next tranche of bailout funds.
Eurogroup President Jean Claude Juncker stated earlier that he is confident Greece will remain in the euro zone, provided the island nation fulfills its obligations to other euro zone nations.
Earnings season is in full swing with 68% of the 280 companies in the S&P 500 reporting since January 9 beating estimates.
Ralph Lauren soared 8.7% after stating that revenues may increase more than originally forecasted.
Computer Sciences surged 18% after naming a new CEO and renegotiates its contract with the U.K.’s National Health Services.
Rating agency, Moody’s dropped 2.3% after announcing a 30% decline in fourth quarter profits due to the euro zone crisis reducing demand for its services.
After the close of European trade, the EURO STOXX 50 gave back 0.05%, France's CAC 40 fell 0.05%, while Germany's DAX slipped 0.08%. Meanwhile, in the U.K. the FTSE 100 dropped 0.24%.
Investors are awaiting the European Central Bank’s interest rate announcement and press conference, in addition to U.S. unemployment claims and the Bank of England’s interest rate decision on Thursday.
Near the close of U.S. trade, the Dow gained 0.04%, the S&P 500 advanced 0.22% and the Nasdaq Composite surged 0.41%.
Earlier, stocks rallied on reports that Greek officials were working on the final draft of a bailout agreement in front of a meeting between Greek Prime Minister Lucas Papademos and coalition leaders yesterday.
However, this meeting was postponed as the Prime Minister decided to meet with the troika of the European Commission, the European Central Bank and the International Monetary Fund to negotiate the terms needed to obtain a second bailout package
Greek policy makers have already agreed on cuts equal to 1.5% of the island nation’s gross domestic product. However, they are yet to agree on how to recapitalize banks, reduce wages and ensure the survival of pension funds.
These delays have reignited fears of a Greek default and euro zone collapse leading to the bearish equity environment.
It is critical that the agreement be approved by February 15 for Greece to avoid default on March 20 by obtaining its next tranche of bailout funds.
Eurogroup President Jean Claude Juncker stated earlier that he is confident Greece will remain in the euro zone, provided the island nation fulfills its obligations to other euro zone nations.
Earnings season is in full swing with 68% of the 280 companies in the S&P 500 reporting since January 9 beating estimates.
Ralph Lauren soared 8.7% after stating that revenues may increase more than originally forecasted.
Computer Sciences surged 18% after naming a new CEO and renegotiates its contract with the U.K.’s National Health Services.
Rating agency, Moody’s dropped 2.3% after announcing a 30% decline in fourth quarter profits due to the euro zone crisis reducing demand for its services.
After the close of European trade, the EURO STOXX 50 gave back 0.05%, France's CAC 40 fell 0.05%, while Germany's DAX slipped 0.08%. Meanwhile, in the U.K. the FTSE 100 dropped 0.24%.
Investors are awaiting the European Central Bank’s interest rate announcement and press conference, in addition to U.S. unemployment claims and the Bank of England’s interest rate decision on Thursday.
Monday, 6 February 2012
EUR/JPY sharply lower amid Greek bailout deadlock ..
The euro was sharply lower against the yen on Monday, as the lack of progress in talks between Greece and its international creditors on the terms of a second bailout weighed on the single currency.
EUR/JPY hit 99.86 on Monday, the pair’s lowest since February 2; the pair subsequently consolidated at 99.99, declining 0.79%.
The pair was likely to find support at 99.40, the low of January 20 and resistance at 100.69, the high of February 1.
Greek officials indicated earlier that a meeting between Greek Prime Minister Lucas Papademos and coalition party leaders was likely to take place later in the day, amid hopes that an agreement on a EUR130 billion bailout package would be finalized.
Meanwhile, a spokesman for the European Commission said that Greece has gone beyond the deadline for finalizing talks on a second bailout and warned that Athens urgently needs to take a decision.
The euro found brief support earlier after official data showed that German factory orders rose more-than-expected in December, on the back of increased demand from outside the euro zone, easing concerns over a slowdown in the region’s largest economy.
The single currency was also down against the U.S. dollar with EUR/USD retreating 0.86%, to hit 1.3044.
Also Monday, Sentix said its investor confidence index for the euro zone improved more-than-expected in February, advancing to minus 11.1 from minus 21.1 the previous month.
Analysts had expected a reading of minus 14.8 in February.
EUR/JPY hit 99.86 on Monday, the pair’s lowest since February 2; the pair subsequently consolidated at 99.99, declining 0.79%.
The pair was likely to find support at 99.40, the low of January 20 and resistance at 100.69, the high of February 1.
Greek officials indicated earlier that a meeting between Greek Prime Minister Lucas Papademos and coalition party leaders was likely to take place later in the day, amid hopes that an agreement on a EUR130 billion bailout package would be finalized.
Meanwhile, a spokesman for the European Commission said that Greece has gone beyond the deadline for finalizing talks on a second bailout and warned that Athens urgently needs to take a decision.
The euro found brief support earlier after official data showed that German factory orders rose more-than-expected in December, on the back of increased demand from outside the euro zone, easing concerns over a slowdown in the region’s largest economy.
The single currency was also down against the U.S. dollar with EUR/USD retreating 0.86%, to hit 1.3044.
Also Monday, Sentix said its investor confidence index for the euro zone improved more-than-expected in February, advancing to minus 11.1 from minus 21.1 the previous month.
Analysts had expected a reading of minus 14.8 in February.
Sunday, 5 February 2012
EUR/USD weekly outlook: February 6 - 10 ..
The euro was moderately higher against the U.S. dollar on Friday, paring some of the week’s losses as sentiment improved after positive U.S. employment data, but gains were limited by uncertainty over Greek debt talks.
EUR/USD hit 1.3025 on Wednesday, the pair’s lowest since January 25; the pair subsequently consolidated at 1.3155 by close of trade on Friday, falling 0.83% over the week.
The pair is likely to find support at 1.3041, the low of January 31 and resistance at 1.3232, the high of January 27.
The U.S. Department of Labor said nonfarm payrolls rose by 243,000 last month, the fastest increase in nine months, after a revised 203,000 gain in December. Economists had expected the U.S. economy to add 150,000 jobs in January. The unemployment rate unexpectedly declined to a three-year low of 8.3%.
A separate report showing a greater-than-expected expansion in the U.S. service sector in January also boosted the greenback.
The upbeat data dampened expectations for a new round of quantitative easing by the Federal Reserve.
In testimony to the House Budget Committee in Washington on Thursday Fed Chairman Ben Bernanke said the economy has shown “signs of improvement” but warned that the outlook remained “uncertain”.
Meanwhile, the single currency remained under pressure amid concerns over delays in negotiations on a debt restructuring deal for Greece persisted, despite assurances from European officials that a deal is close to being finalized.
Greece needs to secure an agreement with its private creditors on a debt swap deal in order to receive its next tranche of bailout funds in order to avoid a default when a EUR14.5 billion bond repayment comes due on March 20.
In the euro zone, official data showed on Friday that retail sales declined unexpectedly in December, falling 0.4% after a 0.4% decline the previous month. Analysts had expected retail sales to rise 0.4% in December.
Earlier in the week, a report showed that the euro zone’s unemployment rate remained unchanged at 10.4% in December, in line with expectations.
In the week ahead, investors will be watching developments in the euro zone, with European leaders holding a string of meetings to discuss Greece’s bailout and the financial guarantees for the European Financial Stability Facility, the euro zone’s new bailout fund.
Meanwhile, the European Central Bank is to hold its policy setting meeting, but the bank is widely expected to keep rates on hold at 1%.
In the U.S., Fed Chairman Ben Bernanke is to testify before the Senate budget committee in Washington.
Ahead of the coming week, Forexpros has compiled a list of these and other significant events likely to affect the markets.
Monday, February 6
In the euro zone, a report is to be published by Sentix on its investor confidence index, a key gauge of economic health. In addition, Germany is to publish official data on factory orders.
Tuesday, February 7
The euro zone is to publish official data on German industrial production, an important gauge of economic health.
In the U.S., Fed Chairman Ben Bernanke is due to testify on the economic outlook and federal budget situation before the Senate Budget Committee in Washington.
Wednesday, February 8
The U.S. is to publish a government report on crude oil inventories.
Thursday, February 9
The ECB is to announce its benchmark interest rate, followed by a press conference. The conference will be closely watched for signs of new measures to counter the region’s sovereign debt crisis.
Later in the day, the U.S. is to publish government data on unemployment claims, an important signal of overall economic health.
Friday, February 10
In the euro zone, a report is to be published on French industrial production.
The U.S. is to round up the week with official data on the country’s trade balance, as well as preliminary data from the University of Michigan on consumer sentiment and inflation expectations.
Later in the day, Fed Chair Ben Bernanke is due to speak about the housing market at the 2012 National Association of Homebuilders International Builders show.
EUR/USD hit 1.3025 on Wednesday, the pair’s lowest since January 25; the pair subsequently consolidated at 1.3155 by close of trade on Friday, falling 0.83% over the week.
The pair is likely to find support at 1.3041, the low of January 31 and resistance at 1.3232, the high of January 27.
The U.S. Department of Labor said nonfarm payrolls rose by 243,000 last month, the fastest increase in nine months, after a revised 203,000 gain in December. Economists had expected the U.S. economy to add 150,000 jobs in January. The unemployment rate unexpectedly declined to a three-year low of 8.3%.
A separate report showing a greater-than-expected expansion in the U.S. service sector in January also boosted the greenback.
The upbeat data dampened expectations for a new round of quantitative easing by the Federal Reserve.
In testimony to the House Budget Committee in Washington on Thursday Fed Chairman Ben Bernanke said the economy has shown “signs of improvement” but warned that the outlook remained “uncertain”.
Meanwhile, the single currency remained under pressure amid concerns over delays in negotiations on a debt restructuring deal for Greece persisted, despite assurances from European officials that a deal is close to being finalized.
Greece needs to secure an agreement with its private creditors on a debt swap deal in order to receive its next tranche of bailout funds in order to avoid a default when a EUR14.5 billion bond repayment comes due on March 20.
In the euro zone, official data showed on Friday that retail sales declined unexpectedly in December, falling 0.4% after a 0.4% decline the previous month. Analysts had expected retail sales to rise 0.4% in December.
Earlier in the week, a report showed that the euro zone’s unemployment rate remained unchanged at 10.4% in December, in line with expectations.
In the week ahead, investors will be watching developments in the euro zone, with European leaders holding a string of meetings to discuss Greece’s bailout and the financial guarantees for the European Financial Stability Facility, the euro zone’s new bailout fund.
Meanwhile, the European Central Bank is to hold its policy setting meeting, but the bank is widely expected to keep rates on hold at 1%.
In the U.S., Fed Chairman Ben Bernanke is to testify before the Senate budget committee in Washington.
Ahead of the coming week, Forexpros has compiled a list of these and other significant events likely to affect the markets.
Monday, February 6
In the euro zone, a report is to be published by Sentix on its investor confidence index, a key gauge of economic health. In addition, Germany is to publish official data on factory orders.
Tuesday, February 7
The euro zone is to publish official data on German industrial production, an important gauge of economic health.
In the U.S., Fed Chairman Ben Bernanke is due to testify on the economic outlook and federal budget situation before the Senate Budget Committee in Washington.
Wednesday, February 8
The U.S. is to publish a government report on crude oil inventories.
Thursday, February 9
The ECB is to announce its benchmark interest rate, followed by a press conference. The conference will be closely watched for signs of new measures to counter the region’s sovereign debt crisis.
Later in the day, the U.S. is to publish government data on unemployment claims, an important signal of overall economic health.
Friday, February 10
In the euro zone, a report is to be published on French industrial production.
The U.S. is to round up the week with official data on the country’s trade balance, as well as preliminary data from the University of Michigan on consumer sentiment and inflation expectations.
Later in the day, Fed Chair Ben Bernanke is due to speak about the housing market at the 2012 National Association of Homebuilders International Builders show.
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