News, News, News is what moves the markets and we have a basket of economic data that will be giving traders an opportunity to capture the volatility that economic news makes. Last month the NFP (Non Farm Payrolls) report rocked the FX Markets because there was a great surprise in the numbers. The forecast was for -119k but the actual number was reported at -11k so that was a shocker by over 100k difference. Read more »
Gold and The US Dollar
Although long term I am very bullish on Gold I am not in the habit of buying things while they are trading at their all time highs. For as long as the Federal Reserve continues to print easy money the current rally will continue with equities and commodities (gold) rising and the $USD continuing to be devalued. Read more »
Snap Shot of U.S. Recovery
Everywhere I look I read about the U.S. recovery that is causing the stock market to reach for the sky. I don't see this recovery that is taking place. Not that I think I am the one who is the judge at whether or not we are in recovery mode. Read more »
FOMC Statement Has Strong Impact On The Dollar
The FOMC announced today that the Economy is leveling off and that economic conditions have improved. This news impacted the currency market and the Dollar rallied as soon as the announcement was made. The Federal Reserve is doing everything possible to promote economic recovery. Read more »
Forex Trading: Factors That Influence Trading
If the current government's deficit increases, its currency's value will fall. As the government decreases its deficit, the currency can begin to recover value and the exchange rate will become more favorable. The same relationship holds true with a country's trade deficit. If the country imports more goods and services than it exports it will have a negative influence on the currency. Read more »
Financial Markets Giving Key Clues On Currencies
The financial markets have been highly inter-related since the current crisis unleashed fear and uncertainty starting in late 2007. And investors around the world went running for the doors ... out of risky assets and into safety. Read more »
Unemployment, Not the Stock Market, Distinguishes a Recession From a Depression
What are the most important and enduring characteristics of the Great Depression? And what should we monitor to determine how severe today's situation really is? The stock market will give important clues. Read more »
Iran Activism and Protesting Is Creating Risk Aversion
Range trading conditions are occurring because traders world wide are waiting to see which way the global news is heading as far as global economy recovery and so far the signs have been pointing to continued global. Read more »
Why “BRIC” Posturing Against the Dollar Just Doesn’t Add Up
The dollar has been publicly attacked on many fronts over the past three months. And endless accusations have been made that the U.S. is purposely trying to devalue the dollar to lessen its growing debt burden. Read more »
Fed Moves Spark Refi Madness!
The Federal Reserve has done it now. In poker terms, it’s gone “all in.” Specifically, the Fed said this week that it will ramp up its purchases of Fannie Mae and Freddie Mac Mortgage Backed Securities (MBS) from $500 billion to a whopping $1.25 TRILLION in the coming months. Read more »