Markets paint the countries black and white, without any shades of grey

By GG Analyst in Reviews 0 Comment

EUR/USD

Obama decided to seize the chance and surf the wave of people’s wrath with large banks. The US President pointed out that the JPMorgan loss would lead to tougher regulation of financial institutions. This is just what we feared when spoke about the $2bln loss of businesses (further it may even amount to 3bln). Such perspectives are favoured neither by investors nor by companies. As a rule, at these important points, when the fate of such bills hangs in the balance, the markets go down. Since the USA is heading for presidential elections, Obama will try to play his card as more…

EUR plunged below 1.29. Politicians consider the losses the Greek secession may inflict

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency opened the day with a drop below 1.29, caused by the persisting political uncertainty in Greece. Apart from the Bloomberg’s survey which forecasts the more than 50 % probability that “at least one country will leave EU by the end of the year”, some European officials already say that the consequences of this step are discussed at the summit level. As many times before, the deadline for the political decisions on Greece has been passed with no certain decision taken. The country still doesn’t have the government. The ECB’s Honohan said that “technically” Greece can disintegrate the euro, more…

Greece again provokes risk aversion

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday we mentioned that the best variant for Europe is the absence of news. However, that situation couldn’t last for long. The political uncertainty in Greece again revived market agitation. The Greek Left Coalition leader declared that the bailout terms set by the EU and IMF should be nullified. For now these statements haven’t taken the form of laws yet and probably will never take it. But the European leaders will now think twice before issuing of another aid tranche to Greece. The country quite easily managed to disclaim the private debt obligations. That happened with the help of the EU more…

ISM Manufacturing PMI rekindles hope for further recovery in the USA

By GG Analyst in Reviews 0 Comment

EUR/USD

How good should be the news to send Dow Jones to its 4-year maximums? Practically, it shouldn’t be very bad after a chain of poor figures. Standing in contrast with a whole series of disappointing news, yesterday’s Manufacturing PMI from ISM managed to set the markets going. In April the index totaled 54.8 against 53.4 a month earlier. Among the components of the index, those, reflecting dynamics of exports and new orders, showed the strongest growth. It is really impressive. The high levels of the commodity price and manufacture sub-indexes are also worth mentioning (61.0 for both). This speaks about the more…

Is it the weather which stands behind the good start of the year in the States? If true, the affairs are in a bad shape.

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency is still in the upward trend despite a certain decline to its lower boundary during slack trading on Monday. Today the most part of the day promises to be even more sluggish due to holidays in Europe, however it doesn’t deprive us of the opportunity to see the volatile end of trading today. Among yesterday’s statistics we should single out data on the consumer spending of Americans in March, which came in rather bearish despite the better-than-expected personal income growth. In March Americans spent by 0.3% more than in February while earned by 0.4% more. Thus, the conspicuously more…