Inflation slowdown vs bubble risk

By GG Analyst in Reviews 0 Comment

EUR/USD

The dollar keeps retreating, and stock exchanges across the globe are hitting record levels.  Thus, S&P once again set a new historic record, MSCI is finishing April with a 4.4% growth, which is the best rate since June 2012. And TOPIX is heading for April’s end with the best results for the month since 1999. This optimism is wholly rooted in unevenness of the US economic growth. While consumption and the housing market  are doing well, inflation remains low. Besides, this problem is acute both for Europe and United States. The Preliminary CPI for Germany, which was released yesterday, showed that more…

British GDP surprised, will it be the same with the US one?

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday traders took advantage of the dollar’s weakness to sell the euro at a higher price. As we said, optimism in connection with higher certainty about the political situation in Italy proved to be short-lived. The rate cut expected next week is of much greater importance for the markets. But we shouldn’t also forget the factors which may force politicians to take this measure. They are contraction of business and consumer activity and decline of inflation. These factors combined made yesterday’s growth of EURUSD very unsteady. On the way to 1.31 sellers came into play and for a couple of hours more…

Premier being introduced, EUR breathed a sigh of relief

By GG Analyst in Reviews 0 Comment

EUR/USD

The European currencies are not going to yield without a struggle. Last night both the euro and the pound were doing well against the dollar, but for different reasons. Let’s have a closer look at them. At first sight it looks really surprising that amid the growing fuss about the possible rate cut by the ECB next week and also almost right after the release of disappointing statistics on the business activity (PMI, ZEW, Ifo) the euro is able to demonstrate growth. However, it should be taken into account that the rate cut by another quarter of a percent will hardly more…

Bears gradually gain the upper hand

By GG Analyst in Reviews 0 Comment

EUR/USD

The euro-bears got the upper hand. The risk-aversion in the markets didn’t pass by EURUSD, which sank to 1.3015 yesterday closer to the end of the active New-York session. The explosions at the Boston Marathon also had their share here. For now three people are reported dead and about a hundred injured, actually this is the first terror attack since September 2001. Now there are certain concerns that the blasts will be followed by a continuous reaction of the USA, of course at a smaller scale than the intrusion into Iraq, but anyway it is certain to arouse stronger militaristic sentiments more…

Bearish Gold market

By GG Analyst in Reviews 0 Comment

EUR/USD

Friday’s correction in the markets must have made many feel nervous: at some moment EURUSD sank down by a figure from the highs of the Asian session – to 1.3030. Anyway, by the end of the trading day the single currency had managed not only to recoup its losses, but also hit a new intraday high. The bulls managed to close the week above 1.31. Yet the bears got somewhat stronger already during today’s session in Asia. Almost the whole package of China’s statistics proved to have fallen short of expectations, which forced the markets  to hastily liquidate risky positions and more…