USD’s across-the-board rally

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency keeps falling against the dollar. The governors of the world’s global CBs in their speeches only emphasized the divergence between the US and EU policies, whereas Madame Yellen was less mild about the monetary policy prospects mainly due to the rather favourable employment statistics in the recent months. Of course, here we should take into account that the strongest data were on the employment/unemployment rate, while the earnings growth and participation rate were obviously far from perfect. But this way or another the EU affairs are much worse. If the US unemployment shrank by 3.8%, the EU one more…

Speculators seek to sell USD prior to Yellen’s speech

By GG Analyst in Reviews 0 Comment

EUR/USD

Speeches of Janet Yellen, Federal Reserve Chairwoman, are often full of cautious comments and are generally treated by the markets as rather dovish. Being just a certified candidate for chair of the Fed, she already maintained a softer stance than Ben Bernanke, so the markets even staked that her advent would help to stop QE reduction. This year she has aroused a fresh tide of anxiety regarding the policy toughening when pointing out that unemployment below 6.5% wouldn’t be a reason to consider raising the rates. Instead the Fed  began to focus on a wide range of employment indicators. Thus, Janet more…

Caution before payrolls

By GG Analyst in Reviews 0 Comment

EUR/USD

It’s an important day for the markets today as they are expecting a release of the US employment statistics for July. Some commentators have even called this report to be the most important in the year. It’s too much, of course, but eloquently speaks about what agitation today’s data are arousing. In the second quarter they were very reassuring, surpassing the expectations, but that was preceded by the horrible statistics at the beginning of the year. The economy generally repeated that trend, as is obvious from the GDP rates, which proved to be the worst among the non-recession periods. Anyway, Wednesday’s more…

USD has been bought beforehand

By GG Analyst in Reviews 0 Comment

EUR/USD

This week we expect a whole series of important macroeconomic news from the USA. It will all start with the release of the GDP data for the second quarter on Wednesday. Further the baton will be picked up by the FOMC’s decision on QE and interest rates and by employment stats on Friday. The GDP is expected to show impressive growth against the recovery after the disastrous first quarter in the background. The Fed will hardly suggest anything new except for the 10-billion tapering of the asset purchasing programme, but traders and investors will still look for hints at the earlier more…

USD’s attack on EUR

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency was depreciating all day long yesterday. The pair managed to stop its decline only close to 1.3520. Now trading is held about 10 pips above this local low. Despite the fact that the considerable part of the decline occurred after Yellen’s speech before the Congress on Tuesday, it is hard to find connection between these events as other currencies don’t show such dynamics. The cable, the Aussie and the yen suffered some losses yesterday and the Loonie didn’t manage to grow. The reason for the pressure put on the euro is seen in the policy easing in the more…