Aussie dollar

Heavier Flow of Data Releases

November 13, 2014

The dollar is narrowly mixed.  Equities fell 1.4% in Australia, 0.6% in China, 0.5% in New Zealand and 0.3% in South Korea but climbed 1.1% in Japan and 0.7% in Singapore and Taiwan.  In Europe, stocks are down 0.6% in Italy and 0.4% in Spain but up 0.5% in Germany and Switzerland and 0.1% in […] More

Expected Growth and Currency Movement

March 10, 2014

Early each March, the Economist’s monthly survey of forecasters introduces a new out-year.  Growth projections for 2014 first appeared in the March 9-15th, 2013 issue, and the first forecasts for 2015 are in the current March 8-14, 2014 issue.  The table below shows the growth rates survey participants were predicting for 2014 a year ago […] More

Weaker Aussie Dollar and a Bunch of Items of Interest

January 16, 2014

The Aussie dollar fell 1.2% against its U.S. counterpart.  The U.S. dollar otherwise slipped 0.3% against the loonie and Swiss franc, 0.2% relative to the yen and 0.1% against the euro.  The dollar also firmed 0.2% against the kiwi, yuan and sterling. Brazil’s Selic interest rate has been raised by a further 50 basis points […] More

In Search of New Foreign Exchange Equilibriums

March 23, 2012

Whether the euro looks resilient or weak depends on what comparisons to historical levels are chosen.  Intuitively one expects this besieged money to be on the defensive.  The Euroland economy is experiencing a recession.  The debt crisis is at best in remission as attested by painfully high bond yield spreads with Germany.  The Greek problem […] More

Euro’s Fate Next Week Hinging on PSI Deal

January 20, 2012

At this moment, reports leaking out of the PSI talks between Greece and its private sector creditors suggest that prospects have improved for a deal before the end of this weekend.  PSI is the acronym for "private sector involvement," which in turn euphemistically refers to a voluntary exchange of existing Greek debt for new instruments […] More

The First Six Weeks of 2011 in Forex

February 13, 2011

Major dollar relationships have traded in generally narrow ranges for the most part so far this year.  A number of themes have emerged, which in the aggregate have not imparted any cumulating movement to currency markets.  Investors are watching The U.S. labor market.  While the growth of jobs has remained slow, the unemployment rate and […] More

Important Week Ahead for Major Currencies

October 29, 2010

Currency market players long ago marked down the first week of November down on their calendars as one not to be missed.  Main events include 1) Tuesday’s mid-term U.S. election, 2) Wednesday’s meeting of the FOMC, 3) central bank meetings scheduled in several other countries, 4) the release of purchasing manager surveys and the monthly […] More

Chaotic Currency Conditions Likely to Continue

May 21, 2010

The European debt crisis rolls onward.  No enduring solution to the problem exists.  Investors for starters want to see Greece, Portugal, and Spain implement very sharp, multiyear programs of deficit reduction and debt containment but would fear the impact on regional growth and would remain dissatisfied if they got their wish.  Currencies are only one […] More

Easter Holiday 2010 Finds Key Currencies Marching to Different Beats

April 1, 2010

The euro’s first-quarter range of $1.4882 – $1.3268 lay entirely within calendar 2009’s high-low boundaries of $1.5144 and $1.2458.  Until a week ago, euro momentum had been adverse.  It subsequently rallied 2.4% to $1.359 but remains 3.5% below the mid-point of this year’s trading range.  At times, perceptions that the euro area’s growth prospects are […] More