The New Zealand Dollar contracted against the Greenback, after government changed output growth forecast. The revised forecast predicts output growth rate at 3.8%, instead of 4% as estimated before. The Kiwi is experiencing continuous decline after it's peak in July, led by a drop in producer prices and uncertainty over dairy export demand. Nevertheless, New Zealand grow rate is still
The Australian Dollar surged against the US Dollar as it continued rising for the sixth straight day. With the Reserve Bank of Australia Minutes not surprising the Aussie gained 0.19% and was trading at 0.9338 against the USD. There still remains concern that the Australian Dollar exchange rate is too high given the fallen commodity prices.
The Greenback stabilized after the increase on Monday, which was due to positive US housing market sentiment. After the gain of 0.2% the DXY index remained still at 81.612, thus being unable to reach the 11-month high it already tested this month. The further movement of the index most likely will be decided by the Fed Minutes release this Wednesday.
The Pound Sterling opened this week at a higher level against the US Dollar as Mark Carney revealed that wages are not a pre condition for a rate increase. With Carney expressing that he also has confidence in a sustainable real wage growth the Cable added 0.24% and was trading at 1.6727. This rebound has come after it reached its lowest in four months on Thursday.
London asking prices were cut the largest amount in six years by the home sellers for August. With prices falling 5.9% in London, the largest fall since 2007, nationwide the prices fell 2.9%, which was an August record. Even though demand for homes usually weakens in the summer, this huge fall was mainly influenced by the new mortgage rules and expected higher interest rates.
Chinese prices for new homes were lower in 64 out of 70 cities in July as stricter lending had a negative effect on demand. The property market is now a serious risk to the world's second largest economy as there is no sign of improvement. Furthermore, home sales have fallen 28% this month with it being the biggest fall for a month this year.
Gold spot price declined for the second day as the demand for the safe haven due to geopolitical risks was lower. At the same time Palladium withdrew from a 13-year high. Gold fell 0.6% and reached $1,297.46 an ounce but ended up trading at $1,301.78 in Singapore. In addition the Palladium spot rate was at its highest since 2001 by trading at $895.55 an ounce during
The Sterling fell to a one-and-a-half-month low versus the common currency, driven by yesterday's disappointing BoE's inflation report. As Britain's the release of the second estimate for economic growth approaches, scheduled for Friday, traders remain cautious. The forecast expects the GDP to remain unchanged at 0.8% quarterly and 3.1% yearly. The Pound dropped by 0.19% to trade at 0.8019 versus
Demand for gold keeps getting stronger as geopolitical tensions continue. Traders are focused especially on the impact of sanctions to Russia, executed by the US and the European Union. The impact of such sanctions is prejudicing both sides. Additionally, yesterday's US retail sales were substandard. Altogether, this caused gold futures for delivery in December to rise by 0.21%, trading at
Data revealed that German GDP contracted during the second quarter and also that French GDP stagnated. This triggered worries over the possibility of a decrease in crude oil demand. Last year, the Euro zone was responsible for close to 16% of global consumption. The Brent for October dropped by 0.33%, trading at 104.71. Meanwhile on the NYME, crude for September
The Yen was lower for the fourth straight day as geopolitical tensions eased and haven demand fell. As Ukraine has compromised and allowed Russian aid to the war-torn regions the Japanese currency fell 0.1% against both the Dollar and the Euro and was trading at 102.56 and 136.97, respectively. Meanwhile, the Won has Jumped 0.8% against the Dollar after its central bank lowered the interest rate.
During the Asian session the Greenback climbed against the Yen due to higher risk sentiment, contradicting expectations for a peaceful Japanese holiday. The Dollar was trading at 102.58 against the Yen from the previous day's 102.45. Although reasons for the move are unclear, some traders suspect that it is due to the better performance of the US economy when compared
After the German and French economy reports came out worse than forecast Europe's stock-index futures lost 0.3%. As these Euro Stoxx 50 futures for September reached 3,049 the FTSE 100 also lost 0.1%. The German economy contracted 0.2% compared to the 0.7% rise in the first quarter with the French GDP failing to grow. Now the focus shifts to the overall Euro zone's GDP.
Although the common currency was steady against the US Dollar, it managed to slightly correct its price before Euro zone's GDP and CPI were revealed. Inflation in the Euro zone is forecast at 0.4% while the GDP is expected to inch up by 0.1%. The Euro was steady at 1.3364 against the Greenback, experiencing a small correction from yesterday, when
The Australian Dollar remained stable against the Greenback after data concerning Australia's inflation expectations dropped over the last month. Additionally, traders are still attentive to the US unemployment claims data due to be released today. The pair hit 0.9288 while on the Asian session and proceeded to consolidate at 0.9230.
The Pound hit a four-month low after BoE stated that it is not in a rush to raise interest rates. Mark Carney also added that future wages are most likely to influence the exact time of the interest hike. These comments made the GBP/USD pair fall to 1.6668 - a level not seen since mid-April. The Cable has already dropped 3% from the six year
The Sterling dropped to its lowest level in two months against the US Dollar driven by the BoE's inflation report. According to the BoE, a rise in interest rates rests on wage growth, which forecast was reviewed from 2.5% to 1.25% in 2014. The Pound fell 0.54% versus the Greenback trading at 1.6720, its lowest price since June 4
The Bank of England governor Mark Carney claimed that the geopolitical risks and Euro zone's frailty could hinder the UK economic recovery. As the labour market report today showed mixed signals with the unemployment numbers dropping and wages falling he also added that interest rates should only be raised gradually and by a limited amount. In addition after Carney's speech the Pound reached its lowest
With emerging market currencies depreciating against the Franc and growing production costs in Switzerland exporters are starting to worry. As the SNB is still holding onto the 1.20 cap against the Euro this year the currency has jumped 14.2% against the Rupiah and 13% against the Lira. These rises have already contributed to large losses in sales such as the $1 billion for the cement company
The change in the number of unemployment claims fell by 33,600 in the UK, surpassing its 29,700 forecast. Additionally, the unemployment rate unsurprisingly dropped to 6.4% from the previous month's 6.5%. However, the average earnings index revealed a downfall of 0.2%. Subsequent to the data release, the Sterling dropped against the Greenback by 0.06%, trading at 1.6802.
In spite of geopolitical tensions in both Ukraine and the Middle East, global oil supplies revealed to be more abundant than expected, causing Brent oil futures to drop to its lowest level in thirteen months. Brent for September sank by 0.36%, trading at 102.65 dollars a barrel. Meanwhile on the NYME, crude for September inched up by 0.05%, trading at
While on the Asian session, gold prices marginally dropped as traders wait for developments regarding European data and geopolitical worries. Yesterday, Germany suggested that the conflict in Eastern Europe could be preventing global economic recovery, increasing demand for safe-haven assets as a result. Gold futures for delivery in December fell 0.05% to trade at 1,310.00.
The US Dollar remained steady against the Japanese Yen after the release of Japan's GDP data. During the second quarter the real GDP decreased by 6.8%, revealing to be less than the 7.1% forecast. Earlier this day, the Greenback rose from 102.25 to 102.28 against the Yen.
The common currency remained steady versus the US Dollar just above its lowest level in nine months. Traders are still cautious while they focus on Euro zone's data regarding inflation and economic growth, due to be released on Thursday. The Euro traded at 1.3371 against the US Dollar, close to its lowest level in nine months at 1.3332.