Simultaneous Release at
Good day forex traders!
It is mid week and i hope everyone is green so far.
Yesterday we saw the German ZEW Economic Sentiment and the US trade balance both posting results disappointing to all. While Greece had a mini party due to the apparent ability to sustain it’s short term financial needs, over all both the US and Euro Zone remains fragile and investors will be quick to punish whichever economy that is worst off.
Looking at the EUR/USD chart above, the currency pair remained above 1.26 and is edging towards 1.28.
The S&P 500 is around 1090 for now.
Similarly, oil and gold is hovering around the same prices.
The US posted worst than expected retail sales today. This is not looking good for the ” Oh the US is having a great recovery” fans as this suggest that the consumer economy is facing a strain. Of course this is no surprise for TheGeekKnows.com readers as i always warn that the weak employment market will hurt the consumer front.
With the massive deficit of the US threatening to explode and the fragile state of the economy, i will definitely not bet all my eggs in this basket.
An interesting report to note is on the topic of how the Euro is beneficial to Germany by providing an environment for trade and growth. Together with Germany’s discipline on budget, this is moving the German economy from strength to strength. Having said so, polls suggest that the German people are increasingly opposed towards the Euro bail outs as they do not want to be punished for the loose spending policies of other countries. This is an important development to note. Should trouble brew from here, we may see more market volatility.
Tomorrow brings many important data releases including the US unemployment claims. In fact, there is a FOMC Meeting Minutes release later. Watch out for spikes.
The market is rather ranging today and hence either ways seem possible. Remember, sitting out the market can be a wise decision at times.
Why is the human body so weak? I have seen animals climb and fall and suffer no “damage” but me? I slipped and fell today. Not a very tough fall abut nonetheless my left arm is in pain now. ( I fell in a crowed place and i had to pretend to be macho when in fact it is painful muahahaha ) Just the other day, i saw this big bear in a park jump from some height and it easily pulled it off.
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