Archive for August 3rd, 2012

Foreign Exchange Insights and Next Week

Traders Beware, It’s August

August 3, 2012

Strange and unexpected things just seem to happen in August.  Maybe it’s the heat.  Maybe it’s because so many market players are on holiday and away from the office.  Maybe it’s because the dog days of late summer lull people into thinking that nothing much is going to happen.  Dollar/gold convertibility ended 41 years ago […] More

Deeper Analysis

July Service Sector Purchasing Manager Survey Results in the U.S. and Ezone

August 3, 2012

In July, the sum of the U.S.-minus-Euroland manufacturing and non-manufacturing PMI spreads surpassed 10.0 for the ninth time in ten months.  This summary statistic is shown in the right-most column below.  Service sector conditions expanded more rapidly in the United States and contracted more slowly in the euro area than had been the case in […] More

New Overnight Developments Abroad - Daily Update

A Different Spin on the ECB Turns Markets Around Ahead of U.S. Jobs Data

August 3, 2012

European stocks have rallied and the dollar is weaker.  These developments are somewhat surprising considering the release of more sobering purchasing managers data and in light of no immediate and unconditional action from the Fed or ECB.  Upbeat press reports created this turnaround. Share prices have recovered 3.1% in Spain, 2.2% in France, 1.9% in […] More