Updated May 30, 2012 1:56:11 AM By Chris Tedder
It was AUD’s turn to sink today, with the commodity currency getting hammered on the back of weak retail sales data from Australia. AUDUSD was sent plummeting through 0.9800 immediately after the Australian data was released. The pair managed to regain some ground following the sell-off, but gains for commodity currencies and risk assets were limited by negative sentiment stemming from Europe, in particular the Spanish banking sector. Australian retail sales contracted for the [...] Continue Reading
Updated May 29, 2012 8:54:56 PM By Chris Tedder
There was a divergence overnight between the performance of stocks and beta currencies. Most stock markets in the US and Europe closed higher, whereas the dollar was the biggest winner in the FX market. EURUSD smashed through 1.2500 quite easily on the ratings downgrade of Spain by Egan-Jones from BB- to B. In fact, given the weak economic data from the US overnight and the negative headlines out of Europe it is surprising equity markets [...] Continue Reading
Updated May 29, 2012 4:05:00 PM By Eric Viloria, CMT
The U.S. dollar was broadly higher amid rising EU debt concerns with Spain in focus. Spain’s credit rating was cut to B from Bb- by Egan-Jones, officials debated ways to fund bank recapitalizations, and sovereign yields remained elevated as uncertainty lingers (Greek elections in June also present a high degree of uncertainty in the Euro zone). The euro came under pressure and the dollar was the main beneficiary with EUR/USD falling to new year-to-date lows. [...] Continue Reading
Updated May 29, 2012 12:45:00 PM By Daniel Hwang
USD strength across the board post-fix & following reports of an EU cross-border bank rescue draft. According to news reports, the bank rescue draft would give local regulators the ability to take control of troubled banks, break them up, and impose losses on bondholders. Technically, EUR/USD broke below the key 1.2500 figure but so far managing to hold above 1.2470. There seems to be room for further downside as suggested by the weekly close [...] Continue Reading
Updated May 29, 2012 11:30:00 AM By Kathleen Brooks
Spanish bond yields have backed away from yesterday’s highs around 6.5% to 6.43% at the time of writing. EURUSD has been trading in a fairly tight range between 1.2510 to 1.2575, while stocks are higher. However, the fundamental picture in Europe is as dire as ever. Retail sales in Spain had their largest ever fall in April, declining 9.8% on the month. Added to this EU officials said that Spain had not informed them of [...] Continue Reading
Updated May 29, 2012 9:40:00 AM By Eric Viloria, CMT
• USD is trading firmly against the majors as sentiment remains weak. News of government stimulus in China was reported to be much lower than previously anticipated, and continued deterioration in fiscal conditions in Europe weighed on sentiment and kept the dollar trading near recent highs. Global equities are mixed to slightly higher and UST yields are lower at time of writing. The dollar index remains above the 82.00 figure which appears to be a [...] Continue Reading
Updated May 29, 2012 4:00:00 AM By Kathleen Brooks
Since the end of last week commodities have broken away from the euro and European stock markets. As you can see in the chart below, Brent crude has started to move higher, while the euro has flat-lined after a sharp fall at the end of last week and Spain’s Ibex 35 is still moving lower. Brent, EURUSD and Ibex 35 Source: Bloomberg and FOREX.com This chart has been normalised to show how these asset [...] Continue Reading
Updated May 29, 2012 1:49:03 AM By Chris Tedder
It was a choppy session for investors in Asia, with high beta assets initially being dragged down by concerns about the Spanish banking sector and then rising on the back of speculation China will ease policy further. EUR and AUD were two of the hardest hit by the initial risk sell-off as both currencies plunged against the dollar. EURUSD looked ready to push back below 1.2500, whilst AUDUSD just managed to hold above 0.9800. [...] Continue Reading
Updated May 28, 2012 8:57:54 PM By Chris Tedder
A combination of risk-negative factors, low levels of market liquidity and position unwinding are driving risk assets lower early in the session. The Spanish PM Rajoy stated that international help is not needed to save Spain’s banks, but the market clearly disagrees as bank stocks tumbled in the country. Also, Japan’s jobless rate printed higher than expected as the country struggles to gain economic momentum in the face of weak level s of demand, and [...] Continue Reading
Updated May 28, 2012 8:00:00 AM By Kathleen Brooks
Referendums in Ireland, NFP’s in the US and the last week of pre-election polls in Greece suggests that it could be a fairly volatile few days. A couple of developments have helped boost sentiment since the Asia open this morning, including 1, signs that the “pro bailout”- lite New Democracy Party in Greece is ahead of the radical left Syrizia party in pre-election polls and 2, the news that Spain is planning to re-capitalise its [...] Continue Reading
<< Previous 1 2 3 4 5 Next >>
