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China Dismissive Of Their Role In Yuan Valuation
The consolidation of the USD and moderation in risk appetite continues today as a barren data schedule provides little impetus for a break out in major currency pair ranges. Today’s docket is solely occupied with policy maker speeches, but even yesterday’s offerings from Geithner, Fisher and Trichet were muted in impact on FX markets.   The most newsworthy element from...
Currencies Waiting For A Breakout From Recent Ranges
It seems that neither economic releases nor unexpected Fed remarks about interest rate policy has been able to coerce major currency pairs out of their entrenched ranges this week. Despite comments from Bernanke on Monday, San Francisco Fed President Yellen on Tuesday, and St Louis Fed President Bullard yesterday, the USD seems unable to force a break out from the well-trodden consolidation...
Policy Makers Rhetoric Still Moving Markets & BoE MPC Minutes
The currency rhetoric continues to come out hard and fast from policy makers. Yesterday, we heard for the European side of the equation, as Trichet stated that Bernanke’s recent “strong USD“ comments were correct and that he was \'fully aligned with Bernanke\'s analysis.\' Euro group Chairman Junker was kind enough to agree and stated that the EUR had not reached worrying levels. While the verbal...
Risk Assets Rally Back Despite Bernanke Comments
Yesterday’s speech from Fed Chairman Ben Bernanke provided a quick shake up of risky asset longs for indolent markets that have grown accustomed to easy profits from improving global confidence and the assurance of low rates. Immediate attention was drawn to the statement that the Fed’s policy and underlying strength of the US economy “will help ensure that the dollar is strong” – a remark that...
APEC Fails to Mention FX & USD Weakness Continues
Last week ended on an interesting note, as the University of Michigan Consumer survey dropped for the second straight month (66.0 vs. 71.0 exp, 70.6 prior), however, the market reacted in selling USD. The move that was also interesting, considering the risk APEC\'s weekend meeting posed to short USD positions. The markets reaction of selling the greenback, anecdotally suggests that the...
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