A good portion of the latest forex trading news has focused on the continued decline of the yen in comparison to its other major counterparts.
This benchmark currency took a battering when it emerged that investment policies in relation to the Government Pension Investment Fund (GPIF) will focus on more risky assets.
In turn, this has led some online Forex trading analysts to conclude that China feels as if the yen will continue its descent. Of course, a risk-averse strategy that reflected a bullish yen market would hardly employ such modifications.
Read the rest of Yen continue to decline, you should understand why »
In the recent commodity trading news, is seems as if those allured by the profit of gold may be in for a disappointing return; at least for the short term.
As this benchmark indicator hints at other financial trends, recent developments in regards to housing sector data in the United States alongside a bullish dollar have caused the yellow metal to take a slightly bearish outlook.
Figures have shown that investor appetite is on the upswing; thus fueling their ability to enter into open trading positions.
As always, the inverse relationship to the dollar is another reason for slight concern. However, the potential damage in international trade due to increasing concerns over the Ebola outbreak may serve to mute the overall negative outlook for gold in the coming weeks.
Read the rest of Ebola outbreak hits currency exchange rates? »
The two days gains shown by the Pound have been halted, as figures show that mortgage approval rates dipped to their lowest rate in nine months during April.
The approval rate dropped as a result of the tightening of lending rules used by the banks.
Banks have been tightening the rules that they apply to mortgage lenders for several months.
In April, new rules demand that borrowers show they will be able to afford repayments even if the interest rate rises.
While the decline in mortgages has hit the Pound’s ascent, it may have helped to quell fears surrounding the property market.
Officials were set to meet to discuss what actions, if any, needed to be taken to prevent the property growth from becoming more of a problem.
Read the rest of UK Mortgage approval rates halt Pound’s advance »
The world’s top most expensive cities to live in, calculated by the respected company Mercur continues to bring some unexpected and expected results.
Whilst those cities you would expect to rank in the top five, or maybe top ten positions are actually quite far down the list.
The world’s most expensive city to live continues to be Luanda, in Angola, Africa. It is the capital city of Angola, an important administrative region of South Africa, as well as being an important sea port.
Read the rest of The costliest cities in the world »
One of the most wonderful things about the inexorable rise of the internet is the way it has given almost anybody with some money to invest and a willing mind the opportunity the experiment with, and hopefully profit from, many financial instruments which only a few years ago were the sole domain of elite City traders.
Over that same time period, many online trading companies have come into existence to fulfill demand from the general public for the opportunity to trade with these instruments.
Plus500 is one of these companies, so let’s take a look at it in closer detail.
Read the rest of Learn more about Plus500 and how they got to be publicly listed »
The US Labor Department today announced that nonfarm payroll jobs increased by 192.000 last month. However, in spite of this seemingly positive news, the dollar index slipped back 0.07%.
The index is made up of the six major currencies against which the dollar is traded.
The fall can perhaps be partially attributed to the fact that although the numbers were positive, investors were hoping for even stronger job figures; the buzz in advance of the announcement was that 200,000 jobs would have been added in the last month.
Notwithstanding today’s fall, the index has still shown an overall rise over the course of this past week, in keeping with the upward trend for the dollar since the middle of March.
Read the rest of US jobs boost cannot stop FOREX-Dollar Slip »
Two of the biggest pieces of online forex trading news that emerged this week and caught the attention of traders from all around the world had their origins in Europe and China.
As all good forex traders know, the key to making profits in the currencies markets is accurately predicting movements in price in advance.
These two pieces of important news strongly suggest that there will be movements in price within some of the major global currencies (such as the Euro and Renminbi).
Read the rest of Positive Signs for Europe, less so for China »
All eyes are on the continuing developments in the Balkan region of the world.
As was expected, the so-called referendum in Crimea is said to have reported that ninety-seven per cent of ethnic Russians wish to secede from Ukraine and join the Russian Federation.
This has caused a massive ripple effect in the currency markets as of late. With both the European Union and the United States threatening very real sanctions, currency traders are already closely watching the value of the ruble in relation to its other major currency counterparts.
Read the rest of How does the Crimea situation impact on currencies? »
A consensus of almost fifty economic experts predicts that Britain will show a growth rate that exceeds the rest of the G7 nations in the coming quarters, but the Bank of England is in no rush to increase interest rates, which might slow the rate of recovery.
The poll agrees with online Forex trading positions that the Bank of England will hold interest rates until the second quarter of 2015, raising them then by 25 base points, with a further increase of the same magnitude in the third quarter.
Read the rest of UK growth – how are the interest rates? »
All eyes seem to be focused on the recent strengthening of the euro in relation to the majority of other traded currencies.
Indeed, this eighteen-nation benchmark was seen to be trading at the highest levels so far this year; rising 0.6 per cent in early trading while even briefly touching upon $1.3813 dollars. This value has not been seen since late December of 2013.
Read the rest of European inflation figures has impact on the Euro »
One of the major headlines in this week’s latest roundup of online Forex trading news revolves around a significant drop in the volatility index.
This is in stark contrast to recent weeks when this very same index hinted at a rather volatile Forex market.
Thus, many online trading analysts believe that there is little reason to expect major currency movements from a short-term perspective.
Read the rest of A significant drop in the volatility index »
In this week’s recent Forex trading developments, it seems that risk aversion is on the minds of most investors.
There are several factors to consider when examining how online Forex markets may respond in the weeks ahead.
First and foremost, the next few days will be rather quiet in the United States. However, the presidents of the Chicago and Richmond subsidiaries of the Federal Reserve are said to be speaking soon. Many online Forex traders feel that they may hint that the latest round of QE asset purchases will be slowing.
Read the rest of Will risk aversion be the trend of 2014? »
One of the primary Forex concerns that has emerged during the past week is the sentiment that the dollar may possibly be losing its benchmark status as a safe haven currency.
Indeed, this is echoed by certain online Forex trading analysts that are viewing risk aversion from a bearish stance. However, this is a view not espoused by most traders.
On the contrary, it is thought that the dollar will regain much of the footing that was seen to waiver in relation to other currencies.
Read the rest of Dollar losing status as safe haven currency? »
In the latest round of online Forex trading news, most eyes are now focused on the federal government of the United States and the quantitative easing that the policymakers will take during the first months of 2014.
This is a direct result of the fact that Europe will remain comparatively quiet this month. So, traders will be looking to see if they can take advantage of what many feel will be a strengthening of the dollar in the weeks ahead.
Read the rest of Will the dollar strengthen over the next weeks? »
A recent US Senate committee hearing declared that virtual currencies are, “a legitimate financial service” and has given it the stamp of respectability. Since then the value of the bitcoin has soared to over $1,000.
Enthusiasts of the currency say it is a very efficient way to handle global money transfers, and are astounded to see its value rise so much within five years of trading. It was only January, when it was less well known, that its value was just $20, to say it has fluctuated wildly is putting it mildly, $230 during April, below $70 during July, then over £600 in November. The Bitcoin is sometimes described as a new type of currency, but as for all currencies, its value is determined by how much people are prepared to exchange it for.
In order to process a transaction a computer must solve a mathematical problem which has a 64 digit answer, this is called mining bitcoins. The miners now use bespoke flexible chips, application-specific integrated circuits, known as ASIC, when a problem is solved, the processing of a block of Bitcoins is completed, and the miner receiving a reward of new Bitcoins.
Read the rest of Crash course to Bitcoins and Bitcoin mining with ASICs »
An optimistic quarterly inflation report from the Bank of England on Wednesday saw Sterling surge on the Forex markets, with well-placed online traders taking good advantage of the announcement.
The Bank’s Governor, Mark Carney, commented that economic recovery was taking hold in the UK and the Bank’s projections for growth were moving forward, with next year’s annual growth expected to reach 2.8%, up 0.3% from the projection made in August.
Read the rest of The UK economy and unemployment figures »
This weekend, Labour Leader Ed Milliband has promised to close the gap between employee wages and the cost of living, with tax breaks for employers that are prepared to pay a living wage.
However, with no hard and fast policy in place to actively coerce employers to pay more, such as an increase in the minimum wage, it remains to be seen whether this will have a positive impact on the economy.
Read the rest of Will Labour’s tax breaks for employers see an increase in UK wages? »
The Chancellor’s recent encouraging news on growth in the British economy has strengthened sterling against most other currencies. Online forex traders should be careful, however, as the effect is unlikely to be permanent.
The UK growth figure for the quarter June – September 2013 was 0.8 per cent, which was an increase on the two previous quarters, and also higher than the expectations of the International Monetary Fund, whose chief economist had described George Osborne’s fiscal policies as ‘playing with fire’. It was better also than the predictions of the Chancellor’s own fiscal watch dog, the Office for Budget Responsibility, which in March predicted an annual growth rate of 0.6 per cent.
Read the rest of Why has the British economy strengthened? Or has it? »
One of the aspects that has recently dominated the Forex markets is the continued slide of the United States dollar in relation to currencies such as the Euro and the Pound. While much of this bearish momentum has been triggered by the brinksmanship recently played out regarding the debt ceiling, recent data has been just as damaging.
The primary reason for a negative short-term outlook was prompted by the recent non-farm payroll report submitted that displayed dismal job growth figures within the United States. In turn, this has caused online Forex investors to take a rather cautious approach to the outlook for the greenback.
Read the rest of What is happening with the US Dollar? »
The Confederation of British Industry’s most recent quarterly survey, covering the three months to the start of September, puts British business confidence at its highest for nearly seventeen years.
The consequences for forex trading are likely to be an increase in confidence in the pound and a strengthening of its value against the US dollar, which has already been weakened by the US government shutdown.
Read the rest of UK businesses are getting more confidence »