Dec 9, 2011

Forex Crunch The UK’s place on the outside is a comfortable one (Video)

Forex Crunch The UK’s place on the outside is a comfortable one (Video)


The UK’s place on the outside is a comfortable one (Video)

Posted: 09 Dec 2011 02:50 AM PST

Much is being made of the UK's refusal to be taken along with a new treaty change, meaning that the 17 eurozone members must go it alone (although some other euro ‘outs’ may be included), but this should be welcomed from all sides.

Given the extensive provisions on monitoring, sanctions and (hopefully) a path towards fiscal union, it was fanciful to think that the non-euro EU members should be included in such a treaty, unless it contained numerous exclusions and provisos. Video:

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British Trade Balance Deficit Drops – GBP/USD Ticks Up

Posted: 09 Dec 2011 02:09 AM PST

Britain’s trade balance significantly squeezed and fell to 7.6 billion pounds in October. This was better than a deficit of 9.5 billion that was expected. 

The drop came after Britain’s deficit reached double digits in September and hit 10.2 billion. 9.8 was the original figure, now revised to the downside. The current improvement could help GDP for the fourth quarter.

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3 French Banks Downgraded by Moody’s on Risk of Systemic Support

Posted: 09 Dec 2011 01:22 AM PST

France’s big banks have received credit downgrades from rating agency Moody’s that noted the high probability of system support for all three banks. Is the French government about to take over these banks?

This joins the warnings that came from S&P and while European leaders are still convened in Brussels after a long night of fruitful discussion.

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EUR/USD Dec. 9 – Leaning Lower As Summit Failure Digested

Posted: 09 Dec 2011 12:57 AM PST

Euro dollar is leaning lower once again as details emerge from the EU Summit. Apart of having Britain left out of treaty changes, the small size of the permanent bailout mechanism and the lack of addressing the current situation weighs on the markets: This joins Draghi’s drag. Italian yields are up. We have a few important US figures to wrap up the week.

Here's a quick update on technicals, fundamentals and what's going on in the markets.

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Forex Daily Outlook November 9 2011

Posted: 08 Dec 2011 02:00 PM PST

We summarize this week with Trade Balance reports on the US, UK and Canada as the major events of this day. Here is an outlook on the market-movers awaiting us.

In the US, Trade Balance, value the difference between exported and imported goods and services on the past month, expected to further reduce from -43.1B on November down to -43.5B now.

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Hope Seems Lost for the EU Summit – Is this Intended to “Convince” EZ Governments to a Fiscal Union?

Posted: 08 Dec 2011 08:39 AM PST

As leaders begin pre-summit meetings towards tomorrow’s big summit, the situation looks bad. The refusal of the ECB to accept more bond buying or support a circular move through the IMF is the main drag, but not the only one. 

Are expectations lowered in order to create more pressure and eventually come out with a positive result? Germany wants strict budget rules to be adopted. In the meantime, the euro continues falling. Updates.

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No Euro QE Now – Draghi Drags EUR/USD Down – ECB Wrap Up

Posted: 08 Dec 2011 06:46 AM PST

Mario Draghi made quite a few statements in the press conference, but he certainly made it clear that he opposes big bond buys.

Here is a wrap up of the hectic presser, covered in full in the live blog, that left the euro weaker.

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USD/JPY: Trading the University of Michigan Consumer Sentiment

Posted: 08 Dec 2011 06:00 AM PST

The University of Michigan Consumer Sentiment Index surveys consumer attitudes and expectations about the US economy. A reading that is higher than anticipated by the markets is bullish for the US dollar.

Here are all the details, and 5 possible outcomes for USD/JPY.

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