Uncategorized
Risk Aversion Driven by North American Data
August 22, 2010
Over the final three days of last week, the dollar rose by 1.4% against the Australian dollar, 1.3% relative to the euro,l and 0.8% versus the Canadian and New Zealand dollars. 0.8% The greenback fell 0.8% against the Swiss franc but was hardly changed against the yen (+0.1%) and sterling (+0.3%). The Dow Jones Industrial [...] More
Evidence of Stronger-Than-Assumed European Growth as Investors Await Bank Stress Test Results
July 23, 2010
Germany and Britain reported data with huge upside surprises. Stress tests performed on 91 European banks will begin to get reported today at 16:00 GMT (noon on the U.S. East Coast. Some Spanish banks are expected to fail. Investors are already complaining that the test assumptions were not sufficiently rigorous. Moody’s placed Hungary’s credit rating [...] More
Dollar Stronger
July 12, 2010
The dollar has risen 0.7% against the Swiss franc, 0.6% against the euro, 0.5% against the Aussie dollar, 0.3% against sterling, and 0.2% versus the kiwi. It is unchanged against the yen and 0.1% softer against the Canadian dollar. The yuan firmed 0.1% after showing no change for several days. The Japanese Nikkei fell 0.4% [...] More
GDP and Unemployment in the U.S., Euro Area, Japan, and Britain
November 17, 2009
The recession bottomed in the second quarter in the United States and Euroland, the first quarter in Japan, and was still going last quarter in the United Kingdom. At those respective lows, real GDP had declined from peak by 8.4% in Japan, 6.0% in Britain, 5.1% in the euro area, and 3.8% in the United [...] More
Buttressing the Dollar
November 12, 2009
Lip services goes only so far. Secretary Geithner’s words yesterday in Asia were a variation on a 14-year-old theme but nevertheless as supportive rhetorically as I ever remember. I believe deeply that it’s very important to the United States, to the economic health of the U.S., that we maintain a strong dollar. And this too: [...] More
October in Figures
November 1, 2009
The DOW was unchanged on balance in October, but other stock markets fell. Bond yields climbed, and the dollar ended mixed despite considerable bearish chatter. Oil and gold extended their uptrends during the month. 10-Yr Yield 09/30/09 10/30/09 Chg vs End-Aug U.S. 3.31% 3.39% +8 Basis Points Germany 3.22% 3.23% +1 Japan 1.30% 1.42% +12 [...] More
No Posts Friday
August 28, 2009
New Overnight Developments and other posts will not appear later today. Sorry for the inconvenience. More
Tuesday's Developments
May 19, 2009
The dollar is weaker, depressed by weaker-than-forecast U.S. housing starts and permits and by a further drop in general risk aversion. From late Monday, the U.S. currency is down 1.1% against the pound, 1.0% versus the Australian dollar, 0.4% against the euro and Canadian dollar, 0.2% relative to the yen and 0.1% against the Swiss [...] More
Monday Developments
May 18, 2009
Markets exhibited a better tone on Monday. Stocks had experienced their worst weekly performance since early March, as risk aversion was buoyed by several worse-than-forecast economic indicators culminating Friday in Euroland first-quarter growth figures. Real GDP fell last quarter at a seasonally adjusted annual rate of 14.4% in Germany, 9.4% in Italy, and 9.8% in [...] More
Next Week
May 15, 2009
The central bank and economic data calendars are comparatively light next week. The Bank of Japan will of course retain its overnight target rate at 0.1%, where such has stood since December, while street analysts look for the Bank of Thailand to cut its key rate by a further 25 basis points. The Bank of [...] More
