Keeping our fingers crossed for Greece

By GG Analyst in Reviews 0 Comment

EUR/USD

‘Hedging failed’ – that’s the way Jamie Dimon, JPMorgan CEO, has described the trading loss of $2bln. In fact, the losses will hardly end there and in this quarter there will be further losses resulting from market volatility. Some especially meticulous analysts suppose that the company will possibly lose another $3bln. It’s a hard blow for the reputation of the company and its managers. Such unexpectedly bad news not only put pressure on the stocks at the end of the American session, but also can become an eventful moment in the fight of investors against Walker’s rule. All this may or 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…

Bad news from Europe can be trumped only by bad news from the USA

By GG Analyst in Reviews 0 Comment

EUR/USD

Not otherwise than to emphasize the advantageous position of the USA over Europe data on the European manufacturing activity proved to be poor. What is especially unpleasant is that these were final data which generally do not differ much from the preliminary estimate, but this is not the case now. The Italian PMI came in at the lowest level in the history, having lost at once 4.1 points from March to April. The April PMI figure for France was revised from 47.3 down to 46.9. The estimate for Germany was cut down to 46.2, the lowest level since July 2009. Such more…

Ranks of fiscal compact advocates get thinner

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency was suffering the pressure of negative news for most part of the day yesterday. The morning sentiment dominated the markets all day long: the exchanges reduced their stakes in the risky assets on the concerns that France would change the leader, the Netherlands wouldn’t ratify the fiscal compact treaty and the situation in Australia would change for the worse. All that created a rather unfavourable picture where only safe assets were in demand. As for the fiscal compact, here the things are even in a sadder state. The problem is not only with the Netherlands; France, if ruled more…

Maybe another QE? Pretty please…

By GG Analyst in Reviews 0 Comment

EUR/USD

At first sight the current picture is not that bad. The markets have been growing for two consecutive days. Moreover, yesterday’s after-sale moderate purchases at the bottom have been followed by quite a confident leap in stock prices. Partly the demand for risky assets can be explained by the recent commentaries of Fed’s officials. Thus, if last week and the first half of this week abounded in hawks’ speeches, the last two days have been rich in the statements from more moderate representatives of the FOMC. Yesterday the markets breathed a sigh of relief when Sarah Raskin spoke about the Fed’s more…