Posts Tagged ‘only’
According to conventional market wisdom, there are three safe haven currencies: the Swiss Franc, Japanese Yen, and US Dollar. It is to these currencies that investors flock whenever there is a crisis, or merely an outbreak of uncertainty, and for much of the period following the collapse of Lehman Brothers, the three were closely correlated. [...]
Source: ForexYard
Today’s speech delivered by the European Central Bank (ECB) President Jean-Claude Trichet was a reminder to many that Europe still faces hardship, regardless of the progress which has already been made. The speech was part of a full-day conference in Madrid, Spain, titled Reform of the Financial System.
Trichet’s remarks served primarily as a warning [...]
Must be designed to avoid moral hazard
must be designed to reinforce sound fiscal policy
May give temporary aid under strict conditions
Should use appropriate range of instruments (Like buying our portfolio of crappy pig bonds)
In a newspaper interview, the SNB president says that is inflation risks to resurface “we would take action:. We are not there, he continued.
Not good news for those looking for the SNB to bail them out of EUR/CHF longs…EUR/CHF trades close to record lows at 1.2980 at the moment.
One of the more fun things about doing macro in emerging markets is that, historically at least, the crises and manias come hard and fast, and the monetary cycles have about as much subtlety as Wagner coming out of a helicopter – at least you know when to run.
Certain members of TMM have recently been [...]
Luxembourg’s Mersch says he questions whether stress testing the largest banks is sufficient.
He’s not alone.
EUR/USD has dipped toward the base of the recent ranges, now at 1.2365. US equities are easing as well, now up 0.4% after opening up more than 1%. Small stops are seen below 1.2350 but central bank buying was rumored on [...]
Something incredible has happened: The Euro has reversed is 16.5% decline (from peak to trough), and since bottoming on June 7 at $1.1876, it has risen by an impressive 4%. I guess that means the Euro has been rescued from parity (which I characterized as “inevitable” on June 5)?
Not exactly. While financial journalists have interpreted [...]
AUDUSD’s bounce from 0.9134 extended to 0.9325 only and the subsequent fall suggests lengthier consolidation of uptrend from 0.8577 (Feb 5 low) is underway. Sideways movement in a range between 0.9134 and 0.9381 would more likely to continue in a couple of days. Key resistance is now at 0.9337, a break above this level will [...]
Key News
Singapore revalued its currency on Wednesday, a move that propelled its dollar to a 20-month high and lifted Asian currencies by reinforcing market expectations China could soon unshackle its yuan. (Reuters)
China alone will decide the fate of its currency, its president said today as he warned America not to expect any solutions from the [...]
