Mar 8, 2010

Your forexlive.com ENewsletter

Your forexlive.com ENewsletter

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Euro zone March sentix index stronger than expected

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Has come in at -7.5 from -8.2 in February, better than median forecast of -8.0.

EUROZONE: March Sentix index -7.5 vs Feb -8.2……..

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EUROZONE: March Sentix index -7.5 vs Feb -8.2

Cable firm in early trade, but…

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So far sell orders at 1.5190/00 have capped rally.  Stops tipped above 1.5200.  Exact level/s little hard to ascertain.  Possibly through 1.5205 or 1.5210. Elsewhere EUR/USD peeked over 1.3700 (blink and you missed it) and we've fallen back to 1.3670 at writing.  Earlier we had sell orders tipped up at 1.3730/50. You can ...

BOE: The Bank of England has opened books for its US.

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BOE: The Bank of England has opened books for its 3-year US dollar-denominated bond at mid-swaps +2 basis points area, according to a source close to the deal. The source told MNI that the deal is likely to be priced later Monday. Barclays Capital, BNP Paribas SA, Goldman Sachs ...

Greek/German 10-year government bond yield spread narrows to 283 bps from 290 at Friday’s settlement

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Greek 5-year CDS narrows to 282.8 bps from 296.2 bps at Friday's New York close.

ECB: ECB says that banks deposited E259.759bln with..

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ECB: ECB says that banks deposited E259.759bln with it Friday -- highest deposit since July 2009 and banks also borrowed E59.0mln at the marginal rate. ECB added that Eurosystem has now purchased E39.6bln worth of covered bonds as of Mar 7.

Swiss January retail sales +4.4% y/y

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Demonstrably stronger than median forecast calling for +2.3% December's rise of 4.7% was downwardly revised to 4.4%. EUR/CHF continues to trade in very steady fashion around 1.4630.

China yuan is not necessarily undervalued if resource and labour costs raised to international level – CBanker Wu

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Comment won't inspire too much hope in those looking for early, meaningful, revaluation of the yuan. Recent loan curbs aimed to ensure even loans throughout the year, not serious tightening Can contain inflation and asset bubbles if M2 and yuan lending targets are achieved this year

Bank of France industry business sentiment index falls to 102 in February

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From 104 in January. Services business sentiment index rises to 90 in February from 89 in January. Bank of France cuts Q1 GDP forecast to 0.4% from previous forecast of +0.5%.

Alistair Darling clashes with City over “leisurely approach” to Budget

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The Chancellor has been accused of failing to provide detail about a credible repayment schedule of the £178 bln deficit. Cable is starting the new week on a marginally firmer footing, presently at 1.5160 from a North American close Friday around 1.5130.  Sell orders tipped at 1.5190/00 so far capping ...

Why the sun looks poised to set on Japan’s era of cheap government debt

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With a deficit rising yearly, many Japanese believe that the heralded budget apocalypse has arrived.  Edmund Conway in The Telegraph.

EUR/USD firms during Asian trade

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EUR/USD has made ground in Asia, presently up at 1.3670 from a North American close Friday down around 1.3620. French President Sarkozy said at the weekend that the eurozone stands ready to come to Greece's aid, if needed. He also threatened measures against speculation in credit default swaps. General risk sentiment is ...

UK PRESS: One of the world’s largest sovereign funds.

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UK PRESS: One of the world's largest sovereign wealth funds has given Britain its vote of confidence by pledging to buy Government debt this year, the Telegraph reported at the weekend. Yngve Slyngstad, who runs the stg240bn Norwegian Government Pension Fund (NGPF) through Norges Bank, said: "We have strong confidence ...

JAPAN DATA: The Feb economy watcher’s index came in..

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JAPAN DATA: The Feb economy watcher's index came in at 42.1 vs 38.8 in January, rising for a third month in a row. The forward-looking index was at 44.8 after 41.9 in January, also rising for a third month.

US DATA: NABE Policy Survey taken Feb 4-22 finds 2/3.

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US DATA: NABE Policy Survey taken Feb 4-22 finds 2/3 saying Fed policy is appropriate currently, and a hike in rates is needed in the next few mos. 80% do not recommend more fiscal stimulus. More on the MNI Main wire.

Asian FX market wrap: EUR continues it’s recovery

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Greek PM and central bank chief insist no aid will be needed Measures to be announced later today to curb CDS speculation Japan's January account balance much better than expected at JPY 900 billion JPY continues to weaken despite more good economic data, but this might be explained by the latest FX speculative ...

UK PRESS: The Glazer family could nearly triple only.

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UK PRESS: The Glazer family could nearly triple their money only five years after buying Manchester United if the Red Knights consortium of City financiers pulls off a stg1.25 billion takeover of the world-famous football club, the Sunday Times reported.

Sterling might get a further breather to start the week

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The UK press look like they have had a holiday from their favourite sport, bashing the pound and the UK economy. No major stories of doom and gloom in the Monday headlines which means that the cable might have a bit more upside in it when the Londoners sit down ...

UK PRESS: Two articles in the Times talk about the…

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UK PRESS: Two articles in the Times talk about the potential for relative strength in sterling. The first, by Anatole Kaletsky, draws comparisons between the fiscal positions in Japan and the UK, noting Japanese yen strength since the 2002 ratings downgrade, and says sterling strength may pose a problem for ...

EUROPE: The FT writes Monday that Germany and France.

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EUROPE: The FT writes Monday that Germany and France are planning to launch a sweeping new initiative to reinforce economic co-operation and surveillance within the eurozone, including the establishment of a European Monetary Fund, citing senior government officials. Their intention, the report says, is to set up the rules and ...

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