- Juncker's Comments End Euro Rally
January 16 2013 9:22 AM
The euro fell under pressure on Wednesday after Jean-Claude Juncker commented that the exchange rate for the euro was dangerously high. The common currency traded at 1.3307 on Wednesday morning.
- Peter Schiff - The Trillion Dollar Trick
January 16 2013 5:03 AM
The birth, and the apparent death, of the trillion dollar platinum coin idea may one day be recalled as a mere footnote in the current debt crisis drama. The ultimate rejection of the idea (which was to use a loophole in commemorative coinage law to mint a platinum coin of any denomination) by both the the President and the Federal Reserve seems to offer some relief that our economic policy is not being run by out-of-touch academics and irresponsible congressmen. In reality, our government has been creating more than one trillion dollars out of thin air every year for the past five. The only difference is that the blatant dishonesty of a trillion-dollar platinum coin is so easy to understand that the public simply couldn't be expected to swallow it. The American people are more than willing to be fooled, but they won't tolerate so simple a ruse.
- Euro gains strength despite low industrial numbers
January 15 2013 6:18 AM
Disappointing industrial production figures released yesterday seemed to slow the momentum of the euro against the US dollar. Factory output was reported to have reduced by 0.3% over the previous month. The euro has rallied against the US dollar last week, as good news continues to filter through for the single currency zone.
- Bernanke Says “Significant Inflation” Will Not Result from QE
January 14 2013 7:35 PM
Ben Bernanke attempted to reassure investors and economists this afternoon that the Federal Reserve’s money-printing programs will not lead to higher inflation. In a speech at the University of Michigan, the Fed Chairman stated that “I don’t believe significant inflation is going to be the result” of the central bank’s quantitative easing measures.
- Euro leaps to 11-month high vs dollar, yen sinks
January 14 2013 10:30 AM
The euro rose against the dollar for a third straight session on Monday, hitting an 11-month high, as investors continued to embrace the currency on faded expectations of a rate cut from the European Central Bank. The single currency shared by 17 countries also extended gains versus the yen, hitting its highest level since May 2011, as Japan put more pressure on its central bank to ease monetary policy.
- An Upbeat Mario Draghi Propels the Euro
January 11 2013 8:40 AM
Heading into the weekend, the euro touched just below $1.33 on Friday morning after a positive press conference following the European Central Bank's monthly meeting. The euro traded at 1.3266 on Friday, as confidence returned to the eurozone.
- 11/1/2013 - The Current Market Sentiment
January 11 2013 5:42 AM
The Asian session has started today on new gains while the Japanese USDJPY is trading around 89 level after it has reached 89.33 which has not been seen since the end June 2010 before it. Nikkei 225 is trading now at 10780 supported by this current Japanese yen weakness which adds competitiveness to its exporters companies and also by the bullish closing of the US session yesterday which brought back Dow Jones to be traded over last week closing getting over this week loses to close it at 13471 gaining 80 points.
- Peter Schiff - Inflation Propaganda Exposed
January 10 2013 8:38 AM
Economists who hold the popular view that expanding the money supply will provide the best medicine for our ailing economy dismiss the inflationary concerns of monetary hawks, like me, by pointing to the supposedly low inflation that has occurred during the current period of rampant Fed activism. In a recent blog post aimed specifically at me, Paul Krugman noted that the sub 2.5% increases in the Consumer Price Index (CPI) over the past few years are all that is needed to prove me wrong. In fact, Krugman and others have even suggested that the CPI itself overstates inflation and that the Fed would be better able to help the economy if less strict methodologies were used. However, there is plenty of evidence to suggest that the CPI is essentially meaningless as it woefully under reports rising prices.
- Recent Strength of Aussie And Its Outlook
January 10 2013 4:55 AM
It is not an exaggeration that to predict movement of Australian Dollar we need to keep an ear on the door of Chinese room, and not the Australian, to catch any whispers coming out. Some simple facts about Australian economy: Mining sector is almost 19% of Australian GDP.
- Kamikaze BOJ Prepares to Launch More Zeros
January 09 2013 9:46 AM
It is an unfortunate truth that Keynesian counterfeiters with their Kamikaze monetary and fiscal policies have taken over the developed world. Politicians and central banks in the United States and Europe have decided to cement firmly in place their addictions to debt, inflation and artificially produced low interest rates. But Japan has now leapfrogged into the lead of those nations that believe prosperity can be brought about by loading up on government debt and increasing the number of zeros being printed by their central bank.
- 2013 With Swiss Franc
January 09 2013 8:35 AM
Swiss Franc tends to gain during the economic turmoil as people tend to go for safer investments. During 2009 to 2012, the Swiss currency has seen some major moves. Here we shall see what factors have caused the heavy moves and what we can expect during 2013. During the last three quarters of 2009, EUR/CHF had always been averaging over 1.5000 mark. From middle of December 2009 the Swiss Franc had started appreciating against the Euro and during August 2011 it had reached the low of 1.0070 i.e. an appreciation of approximately 35% from the level of 2009.
- Barroso Claims Euro is on the Upswing
January 08 2013 9:03 AM
The euro gained momentum on Tuesday morning after beginning to rise on Monday afternoon. On Monday, the common currency was trading at 1.3127. Ahead of the European Central Bank meeting, many investors are speculating that the current interest rate will remain unchanged. Although the 17 country bloc is still struggling to find its footing after years of financial crisis, most believe the rates will go unchanged, at least in December. Most investors believe eventually, the rate will be cut again sometime in 2013.
- In 2013, Resolve to Follow the Money
January 07 2013 4:07 PM
During these first days of January, many adopt an “out with the old, in with the new,” approach to shed bad habits or extra pounds. Washington opted for its same ol’ strategy when averting the “fiscal cliff,” as the addictive nature of “can-kicking is a transatlantic sport,” according to The Economist. The magazine suggests that the deal made in the 11th hour is “disturbingly similar to the eurozone’s.” The short-term fix did “nothing to control the unsustainable path of ‘entitlement’ spending on pensions and health care … nothing to rationalize America’s hideously complex and distorted tax code... and virtually nothing to close America’s big structural budget deficit.”
- Euro Holding Near $1.30 Ahead of ECB Meeting
January 07 2013 8:37 AM
The euro dropped closer to $1.30 on Monday morning, reflecting predictions that 2013 was going to be a difficult year. The European Central Bank is set to meet on January 10th to discuss, among other things, the bloc's interest rate. The current rate is already at a record low of 0.75, but some are speculating the rate will be cut even lower at the January meeting. Businessweek reported that most analysts are betting the other way, saying that the ECB won't cut rates because it would do more harm than good.
- Here’s the Most Ridiculous Approach to the Debt Ceiling
January 04 2013 3:57 PM
Did you hear the one about Zimbabwe and the United States? Zimbabwe called, it wants its trillion-dollar currency ideas back. The fiscal cliff soap opera may be on break for a couple months, but there are plenty of other drama shows set to play out in Congress over the coming weeks.
- Non-Farm Payrolls Rise Slightly In December, Unemployment Rate Flat
January 04 2013 12:45 PM
Non-Farm Payrolls were reported at 155,000 jobs added in December as job growth continued to improve at a lackluster rate. Economists had been expecting a gain of 150,000 jobs in the month, more than the 146,000 jobs added in November. Also, the unemployment rate was flat in December at 7.8 percent from an upwardly revised 7.8 percent in November. Economists had been expecting a flat reading from the initial November reading of 7.7 percent for the unemployment rate.
- Dollar at 29-month high versus yen; may rise on U.S. payrolls
January 04 2013 9:35 AM
The dollar extended gains to hit its highest level in nearly 2-1/2 year against the yen and rose versus the euro on Friday after U.S. Federal Reserve minutes indicated growing unease about the impact of further stimulus.
- Euro Slips Further on Bleak Future
January 04 2013 8:59 AM
The euro slid on Friday morning as investors worried about the U.S. upcoming budget battle and approaching debt-ceiling. The common currency traded at 1.3013 on Friday. After a huge jump following the U.S. fiscal cliff deal, the markets calmed and the euro began to sink. It's no secret that the region is in for a difficult year, and although recent progress gave the currency a lift, the bloc still has quite a bit of work to do.
- 4/1/2013 - The Current Market Sentiment
January 04 2013 5:12 AM
The gold has come under pressure following the minutes of the Fed’s last 12 December meeting which has ended to new timely unlimited buying of US treasuries by $45b monthly as the minutes have shown that there is tendency of cutting the QE stance by 2013.
- Peter Schiff - Congress Avoids the Cliff by Selling Us Down the River
January 03 2013 1:09 PM
With the possible exception of the New York Times' editorial board (and the cast of The Jersey Shore), everyone on the planet understood that the United States Government needs to cut spending, increase taxes, or both. Instead, after months of political posturing and hand wringing, the Federal Government has just delivered the exact opposite, a deal that increases spending and decreases taxes. The move lays bare the emptiness of budget legislation, which can be dismantled far easier than it can be constructed.