Forex Daily Outlook Archive

  • ECB To Extend Full Allotment Of Refinancing Operations Towards Year-End

    ECB To Extend Full Allotment Of Refinancing Operations Towards Year-End

    At Thursday’s ECB, president Trichet is expected to leave the main-refinancing rate unchanged at 1% and reiterate the view that current interest rates are ‘appropriate’ while ‘the risks to the economic outlook are broadly balanced in an environment of uncertainty’. Market’s focus will be on...

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  • Daily Report: Sterling Lower ahead of BoE Minutes, Yen Steady

    Daily Report: Sterling Lower ahead of BoE Minutes, Yen Steady

    Sterling was the only major currency that failed to participate in this week’s risk rally so far. And indeed, the pound has weakened quite noticeably against dollar, euro and swissy. Euro’s rebound on bond auctions was one of the major factors. But sterling’s weakness could...

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  • Daily Report: Dollar in Range ahead of Non-Farm Payroll

    Daily Report: Dollar in Range ahead of Non-Farm Payroll

    Dollar is staying in tight range as traders await July’s Non-Farm Payroll report today. The headline number is expected to show -75k contraction in the job market while private jobs are expected to grow by 80k. Nevertheless, the range of expectation is wide from 20k...

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  • Stress Test Result Appeared to be Stronger than Expected. Stringency in Question

    Stress Test Result Appeared to be Stronger than Expected. Stringency in Question

    The CEBS’s stress test result was out yesterday. 7 out of 91 European banks failed the test failed to exceed the 6% Tier 1 capital ratio under the most severe scenario. These banks are Diada (Spain), Espiga (Spain), Unnim (Spain), Banca Civica (Spain), Cajasur (Spain),...

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  • Daily Report: Dollar Building Strength to Extend Rebound

    Daily Report: Dollar Building Strength to Extend Rebound

    Dollar is gathering some strength in early European session and is set to extend this week’s recovery against major currencies. Yen is also following after China stocks slumped -1.5% on comments from China Banking Regulatory Commission that banks should "strictly implement" curbs on loans to...

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  • Mid-Day Report: Dollar Extends Recovery While Yen Rebounds

    Mid-Day Report: Dollar Extends Recovery While Yen Rebounds

    Dollar’s recovery extends further in early US session trading above 84 level. As we’ve pointed before, the greenback has just got some support from an important medium term trend line. Current development indicates that dollar is gathering some momentum for a sizeable rebound at least...

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  • IMF Data Shows Reserve Diversifications To Currencies Other Than USD, EUR…

    IMF Data Shows Reserve Diversifications To Currencies Other Than USD, EUR…

    According to IMF’s COFER data, total foreign exchange holdings increased $129.5B to $829.5B in 1Q10. The increase was significantly lower than an average of $333.9B over the past 3 quarters, suggesting slowdown in accumulation in FX reserves, especially in emerging and developing economies. View full post...

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  • Weekly Review and Outlook: Defining Week for Dollar ahead, Would Trend Line Support Hold?

    Weekly Review and Outlook: Defining Week for Dollar ahead, Would Trend Line Support Hold?

    Dollar and yen were broadly lower last week as stocks rebounded strongly on hope for solid earning reports. S&P 500 posted the biggest weekly gain in a year and rose 5.4% over the week. DOW also jumped 5.2% to close above 10,000 again at 10198....

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  • Mid-Day Report: Canadian Dollar Soars on Stellar Job Report

    Mid-Day Report: Canadian Dollar Soars on Stellar Job Report

    Canadian dollar soars in early US session after release of much stronger than expected employment data. The job market in Canada added 93.2k jobs in June, more than four times expectation of 20k. Unemployment rate dropped from 8.1% to 7.9%, lowest level since January 2009....

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