May 3, 2010

Your forexlive.com ENewsletter

Your forexlive.com ENewsletter

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ECB’s Orphanides: Greek fiscal consolidation plan is enough to stabilise fiscal situation in Greece

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Optimistic that Greek problem will be solved EUR/USD sits at 1.3245.

EU’s Rehn: No doubt Greece will implement savings programme

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Elsewhere the Austrian FinMin says euro finance ministers have agreed informally to ask banks to keep Greek exposure at current levels.

Half Of Riksbank’s Six Board Members Favour July Rate Hike

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--Two Favour Later Hikes, One Remains Neutral, Minutes Show BRUSSELS (MNI) - Three of the Riksbank's six board members are leaning towards hiking Sweden's repo rate in July, while two others favour a later hike and one remains neutral, according to the minutes of the central ...

Euro zone April manufacturing PMI (final) 57.6

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Revised marginally higher from flash 57.5, up from 56.6 in March.  A 46 month high. EUR/USD touch firmer at 1.3240, but still narrow rangebound so far this morning.

Italy April manufacturing PMI 54.3

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Up from 53.7 in March, but slightly below median forecast of 54.5.  Highest read since May 2007.

Swiss April PMI better than expected

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Has come in at 65.9, better than median forecast of 64.00. EUR/CHF very steady, presently at 1.4325.

ECB: E50.243 Bln Covered Bond Purchases Settled May 2

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FRANKFURT (MNI) - The European Central Bank said Monday that a total of E50.243 billion Eurosystem covered bond purchases had settled as of May 2. As of April 29, settled acquisitions had totaled E50.043 billion, the ECB said Friday. The ...

Markit Spain April manufacturing PMI 53.3

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Versus 51.8 in March, highest since June 2007. Elsewhere,  10 year Spanish/German government bond yield spread narrows to 104 bps from 109 bps at Fridays settlement. Meanwhile, 10 year Greek/German government bond yield spread narrows to 616 bps from 662 bps at Friday's settlement. EUR/USD sits at 1.3220, banging around between buy orders at 1.3200/10 ...

Greek crisis exposes default lines running through the eurozone

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Roger Bootle in The Telegraph.

German FinMin: Doesn’t expect Greece will need any further help beyond aid agreed at weekend – paper

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Wolfgang Schauble in an interview with daily Bild says "I am confident the German taxpayer will not face any loss if  the programme is implemented systematically" adding "it is to be expected that Greece will not need any further help."

Germany Merkel:EU Deficit Violators Should Lose Right To Vote

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BERLIN (MNI) - German Chancellor Angela Merkel said in a newspaper interview published Sunday that the European Union should be able to revoke the voting rights of member states that violate the deficit limits set under the EU Growth and Stability Pact. ...

Text: ECB Suspends Collateral Rating Minimum for Greek Debt

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FRANKFURT (MNI) - The European Central Bank has suspended its minimum collateral eligibility threshold for debt issued or guaranteed by the Greek government, the central bank announced on Monday. The Greek austerity program, which the ECB considers "appropriate", along with ...

ECB suspends application of minimum credit rating threshold in collateral eligibility requirements

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Suspension will be maintained until further notice. ECB has suspended the application of a minimum credit rating threshold on Greek sovereign debt. The suspension will be maintained until furthe notice. Applies to all outstanding and new marketable debt instruments issued or guaranteed by the Greek government. Means Greek debt will remain eligible ...

Tories rule out Lib Dem alliance

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David Cameron is prepared to rule out any coalition deal with the Liberal Democrats and will try to lead a minority government if the Tories narrowly fail to win an outright majority in the General Election on Thursday. Major UK bookmakers Ladbrokes have changed their odds since yesterday, Today they narrowly ...

India April PMI 57.2, down from 57.8 in March

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The HSBC/Markit PMI index, based on a survey of 500 companies, fell to 57.2 in Apri  from 57.8 in March.  This is the second consecutive monthly fall coming off a 20-month high in February. Survey compiler Markit was quick to point out "Although this slip indicates that operating conditions improved at a ...

China to “fine-tune” monetary policies – China Vice Finance Minister

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China's Vice Finance Minister Li Yong says China's latest hike in the proportion of deposits that banks must keep in reserve is intended to manage liquidity and inflation expectations.  China will stick to "approxiametely easy" monetary policy, but the minister warned that overly strong bank lending would lead to upward ...

Repeat: Text: ECB Assesses Greek Econ & Fin Adjustment Prog

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--Originally Transmitted Sunday at 10:30 EST FRANKFURT (MNI) - Following is the full text of the statement released Sunday by the European Central Bank in response to the economic and financial adjustment programme approved earlier in the day by the Greek government: ...

EUR/USD struggles during Asian session

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EUR/USD sits at 1.3230, down from a North American close Friday up around 1.3310.  The Greek aid package was duly announced and offered no real surprises, coming in pretty much as expected.  Hedge funds have been notable sellers in this latest leg lower. Stops were tripped through 1.3250 accelerating the sell-off with ...

Regarding market information

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I feel it necessary to once again repeat that we at ForexLive are providing filtered market information from reliable sources. This information can be used as part of a trading decision but never as the only reason for placing a trade. Our sources are trustworthy but we can never know the ...

ForexLive Asian market wrap: Greek aid package fails to lift EUR

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Greece agrees rescue plan with EU and IMF which involves serious austerity measures.  EUR rallies in early trade but falls back heavily as short-term stops triggered Tokyo holiday exacerbates moves in thin markets China's renewed raising of the Reserve Requirement Ratio encouraged an early sell-off in pairs like the AUD/JPY The AUD was also ...

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