A weaker than expected US non-farm payroll report gave more fuel to expectations that the Fed will begin some form of quantitative easing soon. That pressured the US Dollar against its major rivals. The USD/JPY sliced through the 82 level, pushing to fresh 15-year lows. Other higher yielders cut their earlier overnight losses to the Dollar.
Become a better Forex trader, learn from our daily All Things Forex broadcast. Oct. 1, 2010 (Allthingsforex.com) – As the market continues to price-in the expectations for additional monetary stimulus by the Fed, next week’s U.S. Non-Farm Payrolls and Employment Situation report will provide an important clue which should help traders in their efforts to solve the quantitative easing riddle. In preparation for the new trading week, here is a list of the Top 10 spotlight economic events that will move the markets around the globe. 1. AUD- Reserve Bank of Australia Interest Rate Announcement, Mon., Oct. 4, 11:30 pm, ET. Followi Read more…
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In the broadcast today: What does a “Currency War” Mean for the USD? With the topic of “currency wars” heavy on investors’ minds, we examine the currency market environment and explore the potential impact of a “currency war” for the USD, the EUR and other currency majors, we continue to monitor the bullish trend in the EUR/USD currency pair, we analyze the weakness of the GBP vs.
Sept. 24 () – Olam International Ltd., the owner of 67% of NZ Farming Systems Uruguay, surged on the Singapore stock exchange after confirming it is in talks with rival Louis Dreyfus Commodities.
Olam “has engaged in preliminary confidential discussions with Louis Dreyfus in relation to a possible business collaboration which may take the form of, among others, a merger,” the global supplier of food and agricultural commodities said in a statement. The talks are “preliminary” and there’s no certainty a deal will be done, it said.
Shares of Olam jumped 8.5% to S$3.20 on the Singapore stock exchange and have climbed 22% in the past 12 months. The shares
The Business Cycle Dating Committee of the National Bureau of Economic Research (they really to work on an acronym) announced yesterday that the US recession ended in June 2010 and was the longest and deepest since World War II. Someone needs to tell US employers though because whilst the decline in economic activity may be over, the growth in employment has yet to start and home builders reported last night that their confidence remains at an 18 month low, so they are not feeling it either. The US Dollar had a mixed day yesterday after these reports and ahead of today’s crucial interest rate announcement by the Federal Open Market Committee (FOMC).
The decision is undoubtedly going to be an ‘On Hold’ one where US interest rates remain at a base of 0-0.25% but the announcement is more interesting than that. Will
More Analysis and Technicals on Crude Oil, Natural Gas, Gold & Silver
Crude oil failed to follow strength in Wall Street and declined. News that the Enbridge 6A pipeline will resume operations soon disappointment oil traders and the front-month contract initially slumped to as low as 74.66. It was the stronger-than-expected inventory report that arrested the fall and narrowed the loss. Price ended the day at 76.02, down -1.02%. Oil product prices, however, performed better with gasoline slipping -0.33% and heating oil climbing +0.18%. Today in Asia, price extended the fall for the third consecutive day.
Gold pulled back after the rally on Tuesday broke a record high.
Ten-year treasury yields increased to the highest in five weeks as the view that the North American economy – the world’s largest – is likely to face a second round of weakness took a further step back. Risk appetite seems once again to be back on the table after a round of Chinese data suggested that the domestic economy is recovering from a slowdown engineered by its own authorities to prevent a stimulus-induced recovery snowball out of control.
Eurodollar futures – U.S. 10-year yields reached 2.845% this morning as S&P equity index futures jumped in response to strong industrial output growth and healthy retail sales data in China. The spread