Archive for the ‘Dollar’ Category

Sterling Pound against US Dollar is now in an up-trend after bottoming at 1.4425. How long will it continue? Let us look at the latest currency graph for GBP/USD.

Current intraday support levels are at 1.5589 and 1.5710, while weekly resistance levels are at 1.6460 and 1.70. It’s no secret that many analysts expect Sterling to rise against the dollar. If the US economy continue to show poor statistics, we believe GBP will rise sooner rather then later.

What do you think about the latest strength for GBP? Will it continue or break down?

The Canadian Dollar is advancing against it’s major trading partners, in particular USD.

For the first time since April (2010), CAD is heading towards 1.0 in exchange rate with the USD. Rising commodity prices and any unexpected rise in unemployment or inflation can easily make the Canadian Dollar stronger then the American dollar.

So, when Do you think the Canadian dollar will be stronger then the American counterpart, if ever?

A stronger demand then previous t-bill auctions, made the euro gain slightly against the main trading partners on Tuesday.

Government t-bill auction received $780 million euros

Today’s auction was attracting double as much capital as the last time. The treasure bills sold had a lenght of 26 weeks at a yield of 4.55 %. Greece also offered t-bills with a lenght of 52 weeks, with a yield of 4.85 %.

Euro rise against Dollar & Sterling Pound

It seems like euro forex traders were happy about the successful t-bill auction. During the afternoon, the Euro have risen considerable against several other currencies.
Against the Dollar (EUR/USD) from 1.3626 to 1.3573, and against the Pound Sterling (EUR/GBP) from 0.8808 to 0.8839.

euro - us dollar, 13th of April

Intraday graph, Euro against US Dollar above. (See more dollar graphs here)

euro - sterling, 13th of April

Intraday graph, Euro against Pound Sterling above. (See more Euro graphs here)

Finally, the Euro against the Swiss Franc (EUR/CHF) went from 1.4390 to 1.4334.

euro - franc, 13th of April

Intraday graph, Euro against Swiss Franc above.

Or why not check our some more Euro graphs.

Where do you think the Euro is heading in the coming weeks?

Many European Investors believe the Euro crisis are about to spread to Spain and Portugal, after Greece took a hard hit in the beginning of the month. The Euro have taken a hard hit and lost over 6 % against the Euro the last weeks. Are Europe just in the beginning of the crisis, while US are on their way out?

Spain deny lost budget control

“We have control of the ship, we have a plan,” said María Teresa Fernández de la Vega, Spain’s deputy premier. Earlier the same day, the prime minister José Luis Rodríguez Zapatero, visited Washington
where he was confident about his home country: “Spain has a strong and solid financial system.”

Well, all are not as confident. Both Madrid and Lisbon ran up their budget deficits to dampen the effects of the economic crisis and partly because of (more…)

The Dollar ended the week with monthly records against its major six rivals, indicating a broad strenght of the US currency.

Major investors and forex analysts expect that recent stronger economic data will prompt FED to higher interest rates sooner the earlier expected.

Stronger data supports the US dollar

The recent series of stronger data are shifting to support the dollar. “At least from an interest-rates perspective,” said Mike Moran, senior forex strategist at Standard Chartered Bank in New York. (more…)

Forex Traders are worried Fridays release of the US unemployment rate was way worse then expected and now the US Dollar might face further decrease.

American Labor Department reported that the much higher unemployment rate could be due to lagging data. The non-farm payroll employment fell by 216 000 jobs in August, followed by a revised decrease of 276 000 jobs in July. The new numbers are indication that America is now facing a 9.7 % unemployment rate, the highest in 26 years. Financial analysts and currency traders did expect a 9.4 % unemployment rate in July.

Further pressure on US Dollar

However, it seems like the decrease have moderated the last months, even if some sectors still face continued job losses. Still, consumer confident might be lagging in the coming months. As a result of the unexpected numbers from USA, many online forex traders assume that the US Dollar will continue to suffer against the Euro and Yen.

The latest days of increased stock market indecies have weakened the US Dollar (USD) and strenghtened many of the smaller currencies, such as the Swedish Krona (SEK), British Pound (GBP) and the Franc (CHF). We do expect a falling stockmarket within short (1-2 weeks) and a falling risk aptite, (more…)