Getting off the bottom?

By GG Analyst in Reviews 0 Comment

EUR/USD

Stock exchanges are not willing to retreat. Inspired by the Fed’s comments that the stimulus rollback in the near future is not a settled question, traders and investors have shifted their attention to the corporate reports. The recent statistics have been rather good since the expectations were not very high. The messages about good incomes from big corporations liven up the rally, which has already brought several closes at the record levels. Now we only have to wait for the renewal of the high hit on May 22 in S&P 500. Against such a background EURUSD feels better than a couple more…

The dollar’s decline slows down

By GG Analyst in Reviews 0 Comment

EUR/USD

Though Wall Street is close to record levels, Forex has been rather quiet over the last 24 hours. While S&P 500 yesterday closed at the highest level in history, EURUSD failed to break even through the highs of Thursday night. The only achievement of bulls yesterday was that they managed to stop the correction at 1.30, taking the pair to 1.31. Well,  it’s not bad, taking into account that just a couple of days ago the pair was at the three-month low of 1.2750. Anyway, the market hasn’t yet built the present-day tempered attitude to the stimulus rollback in the rates. more…

USD again gives up key levels to its rivals

By GG Analyst in Reviews 0 Comment

EUR/USD

As befits a central banker, Bernanke made it clear that his previous remarks were understood wrongly , which immediately put USD under pressure. What started as small profit taking after hitting three-year highs by the dollar index took a turn for full-fledged selling of the US currency. Yesterday the Fed’s head noted that the US economy needed the soft and stimulating policy to be preserved in the foreseeable future. These words gave rise to a rally. Soon it got additional support on triggering of short positions. The move was so violent that EURUSD hit 1.32 after the daily low of 1.2762 more…

The US labour market extends the dollar rally

By GG Analyst in Reviews 0 Comment

EUR/USD

Employment growth in the USA went beyond expectations in June and, as a result, caused a new tide of USD purchases. According to the released data, it grew by 195K, moreover, the growth rate in the previous month was revised up to the same figure (from 175K). April’s rate was raised even higher – to 199K. Thus, the report and accompanying revision painted a picture of a bit more vigorous growth in the labour market. It was enough for the attack on the dollar to continue and bring EURUSD to 1.28, where the trade stabilized. Now the trading range is still more…

The ECB and BOE emphasize differences of their and the Fed’s policies

By GG Analyst in Reviews 0 Comment

EUR/USD

The European CB and a bit earlier the Bank of England contributed to decline of their domestic currencies by 0.9 and 1.3%, respectively. The differences in the economic situations of these countries made the heads of these CBs accentuate the differences of their policy and that of the USA, which is about to negotiate the stimulus rollback. Thus, at yesterday’s press-conference Draghi put a special stress on the phrase that “the key ECB interest rates would remain at present or lower levels for an extended period of time”. Just two press-conferences ago he said that the Bank “never pre-commited”. It was more…