Foreign Exchange Insights and Next Week
Next Week
January 8, 2010
A moderately busy week of central bank meetings and data releases awaits currency market participants. Japan and the U.S. have shortened weeks, as Japanese markets are shut on Monday for Coming of Age Day and the U.S. observes an early closure Friday ahead of the 3-day MLK birthday weekend. Monetary policymakers hold meetings in Euroland, […] More
Foreign Exchange Insights and Next Week
Groping for a Compelling View on the Dollar
January 8, 2010
September and January are two times when investors take a fresh look at currency market prospects. It often takes a while in January for solid convictions to emerge, partly because December trading can give a distorted picture and partly due to weather-related noise in data that are released in the winter. 2010 seems to be […] More
Deeper Analysis
U.S., Canadian and Euro Area Labor Statistics
January 8, 2010
The United States may have left behind its GDP recession but remains in a growth recession, the term used by economists when economic expansion is too weak to cut unemployment. Employment fell in every month of 2008 and eleven of twelve months last year, the exception being a revised and tiny increase of 4K in […] More
Central Bank Watch
Bank of Korea Policy Unchanged
January 8, 2010
As expected, the Bank of Korea retained a record low 2.0% base rate today. This decision ensures that Korea’s key interest rate will have been at 2.0% for at least a full year, and the interval will no doubt extend beyond February. A statement released by monetary policymakers reiterated the intent to “maintain an accommodative […] More
New Overnight Developments Abroad - Daily Update
Narrowly Mixed Dollar Ahead of U.S. Jobs Report
January 8, 2010
The dollar has dropped 0.5% against sterling, 0.4% against the Canadian dollar and 0.1% to the yen but shows gains of 0.2% against the Swiss franc, Aussie dollar and kiwi and of 0.1% relative to the euro. Stocks mostly rose, with advances of 1.1% in Japan, 0.7% in South Korea, 0.6% in Thailand and France, […] More
