Hawkish central bankers?

By GG Analyst in Reviews 0 Comment

EUR/USD

Two-three months ago we took the absence of news as good news. At that time the incoming statistics often proved to be either worse than expected (on US, Australian and Chinese economies) or utterly poor (on the sovereign crisis of the euro-zone). Then in the periods of lull there still were some buyers of cheapened assets, and the situation was gradually changing from ‘positive’ into ‘moderately positive’ and eventually slipped into what we see now. The recent employment data turned out to be so poor that immediately awakened anticipations of further QE across the market. The confidence in this run of more…

North America doesn’t hurry to help Europe

By GG Analyst in Reviews 0 Comment

EUR/USD

This morning the Asian markets are under a slightly descending pressure, but the pressure is moderate and therefore doesn’t tell on the currency quotes. Yesterday the euro went through a few disturbing hours, but then investors resumed buying the currency. The disappointment in the high yield, which investors demanded of the Spanish long-term bonds, caused the decline of the euro/dollar from 1.3150 to 1.3070.  The sales were also boosted by the rumours that Hollande, who is known to be against the earlier EU arrangements and agreements, is taking the lead in the French presidential race. The leaders of the largest economies more…

G20 promises to secure $2 trln in firepower

By GG Analyst in Reviews 0 Comment

EUR/USD

On Friday the single currency continued to rally and reached 1.3485. The growth was supported by positive expectations in regard to Europe, as well as by the trigger of stop orders in the euro short positions. The impulsive rise in the single currency may hold for some more time, but it is unlikely to last for long. Now Spain steps onto that very spiral Greece has been lately moving along. The Spanish government more and more realizes its inability to fulfill the budget plans. Haircuts have just begun. Nevertheless, the markets mostly ignore this fact, being happy with the G20’s promise more…