Sterling
US dollar
The US dollar has had a turbulent few days as confidence and the lack there off resides around the potential resolution to the so-called fiscal cliff situation. Congress returns to Washington today and the markets hope that a deal will be struck between the Democrats and Republicans to put off the potential economy crushing tax reforms that are due to be automatically implemented in the New Year. Data released yesterday showed that US house prices had increased by more than expected indicating that the housing market is starting to recover. However, leading US retailers suggested that revenues in the holiday season have fallen short of what had been initially anticipated. It is a fairly busy day on the data front in the US today with figures released showing the number of new people claiming unemployment related benefits, the number of new homes that have been sold as well as consumer confidence data. Call your trader now to see how the US dollar will react today with a lot of data released and trading volumes remaining low.
Worldwide
Elsewhere, the Japanese yen has continued to dominate the foreign exchange headlines over the past few days, continuing to weaken against the majority of its major peers and dropping to a 2 year low against the US dollar. Inflation data released in Japan late on Monday night showed that the price of services purchased by corporations had deflated by 0.4%. Furthermore, minutes from the latest Bank of Japan Monetary policy meeting revealed that the central bank will look to continue to loosen monetary policy with no specific end date in mind. Commodity backed currencies tended to struggle yesterday with the increase in risk aversion due to the delays surrounding the US fiscal cliff situation. This evening will see more data out of Japan which includes the influential Tokyo Core CPI inflation data. Call in now to see how the Japanese yen and other currencies across the globe are fairing today.
Sterling struggled on Monday and Wednesday with trading volumes particularly thin across the global markets. Sterling continued its downward trend against the euro dropping to an 8 month low of 1.2185, whilst falling to 1.6108 against the US dollar. Mortgage approvals statistics released today will be the only data of note in what is expected to be another quiet day in the UK for financial news. With trading volumes particularly thin in-between Christmas and New Years, the markets will remain extremely volatile and any movements that may occur could only be short lived; so, call in now to speak to a trader.
Euro
The euro peaked at 1.3250 against the US dollar and reached an 8 month high of 1.2185 against sterling over the last few days, with trading volumes significantly lower than normal due to European market closures and Germany enjoying three day's of bank holidays. There is very little data out of Europe today; but, the markets will focus closely on the US and its attempt to resolve the fiscal cliff situation that has the attention of the global markets. Call in now for the latest rates and a live update.Euro
US dollar
The US dollar has had a turbulent few days as confidence and the lack there off resides around the potential resolution to the so-called fiscal cliff situation. Congress returns to Washington today and the markets hope that a deal will be struck between the Democrats and Republicans to put off the potential economy crushing tax reforms that are due to be automatically implemented in the New Year. Data released yesterday showed that US house prices had increased by more than expected indicating that the housing market is starting to recover. However, leading US retailers suggested that revenues in the holiday season have fallen short of what had been initially anticipated. It is a fairly busy day on the data front in the US today with figures released showing the number of new people claiming unemployment related benefits, the number of new homes that have been sold as well as consumer confidence data. Call your trader now to see how the US dollar will react today with a lot of data released and trading volumes remaining low.
Elsewhere, the Japanese yen has continued to dominate the foreign exchange headlines over the past few days, continuing to weaken against the majority of its major peers and dropping to a 2 year low against the US dollar. Inflation data released in Japan late on Monday night showed that the price of services purchased by corporations had deflated by 0.4%. Furthermore, minutes from the latest Bank of Japan Monetary policy meeting revealed that the central bank will look to continue to loosen monetary policy with no specific end date in mind. Commodity backed currencies tended to struggle yesterday with the increase in risk aversion due to the delays surrounding the US fiscal cliff situation. This evening will see more data out of Japan which includes the influential Tokyo Core CPI inflation data. Call in now to see how the Japanese yen and other currencies across the globe are fairing today.
Posts
No comments:
Post a Comment