Dissolving of the government shakes trust in USD

By GG Analyst in Reviews 0 Comment

EUR/USD

If in the first hours and days after the deadline the US dollar didn’t suffer much pressure, now it is obviously getting in the downtrend. It is especially clear against appreciation of the single currency. The thing is that the euro is supported by the fact that the political crisis of the Italian government has been resolved. Berlusconi’s party supported Premier Letta in the vote of confidence, which occurred under pressure of the party and its leader. Besides, Obama himself makes the situation tenser. In the political game against the republicans he reminds that further delay in the budget adoption decreases more…

Draghi isn’t anything like he used to be

By GG Analyst in Reviews 0 Comment

EUR/USD

Having stopped consolidating, EURUSD has moved upwards. The pair is testing 1.3600 now, which hasn’t been seen since February. Honestly speaking, it is somewhat against our expectations as lately we’ve observed mainly worsening of the released statistics. This has allowed us to suppose that the growth impulse is dying. Anyway, yesterday traders’ attention was all focused on Draghi’s speech, in which the ECB’s governor didn’t say a word about the need for measures to improve lending in the region. The euro grew on such claims as before that the CB’s members had expressed their readiness to take such a step. Yet, more…

Politicians won’t come to an agreement soon, employment is in the limelight

By GG Analyst in Reviews 0 Comment

EUR/USD

And though closing of several ministries in the USA didn’t provoke any sharp movement, it still put some psychological impact on the dollar. It had sagged by the beginning of the EU session yesterday, which for a while brought EURUSD closer to 1.3600. It is amazing that for all that stock markets should feel quite good. For the most part of the day they were in the uptrend. As a result, S&P 500 closed the gap, with which it had started the week, and for a while even returned to the levels of the second half of the previous week. It more…

Passive waiting

By GG Analyst in Reviews 0 Comment

EUR/USD

It seems that in contrast with the preceding two times the American legislators won’t come to an agreement in the last minute. This is sad. The farce is getting to a new level. But now it appears that Americans will be participants rather than spectators as all this will entail unpaid holidays for about a million of civil servants, closing of national parks and some agencies, and also automatic spending cuts in some spheres. When  the markets realized that, traders tried to put the dollar under pressure and, as a result, EURUSD again made an attempt to rise above 1.3550. Just more…

Politics force to avoid risky assets

By GG Analyst in Reviews 0 Comment

EUR/USD

And again politics are weighing upon Forex. This time the world’s major currency has troubles on both sides straight away. The USA is now one more step closer to the government shutdown (for the first time since 1996) and in Europe Berlusconi is about to hold another election. Both in the former and in the latter case the story isn’t new and has always turned out well, as politicians eventually  has found a compromise, very often being the delay in taking of “the most important decision”. A few more details on this. The US House of Representatives, which is made up more…