Philip Chua Business Blog

Posts Tagged ‘currencies’

Concerns over fiscal sustainability continue to be a key driver of financial markets and have seen the flight from the euro, and pro-cyclical currencies in general, continue. European debt woes continue to attract the market’s attention and speculative investors have added to the record EUR shorts seen last week. As…

The dollar has surged to an 8-month high against the euro, and is also rising against other currencies. Its strength could start damaging the fragile U.S. recovery.

United States – European Union – Gross domestic product – Greece – Government

A broad-based flight from the riskier currencies coupled with Euro-zone sovereign debt fears have seen non-commercial investors add to their net long USD positions, which have now reached the highest levels since March last year.

Retreating from ‘channel’ resistance, as expected, closing on Friday just under the first Fibonacci retracement support. Prices are holding between the 9-week and 26-week moving averages and might do so again this week as other currencies get to grips with changes in the first three weeks of this year. All…

Sterling ended among the best performers of G10 currencies this week, logging gains of 1.6% vs the Swiss franc, the Norwegian Krone and the euro. €/£ tumbled to a 4-month low of 0.8810 (£/€ 1.1350) after concerns flared up over the deterioration of public finances in Greece, and BoE MPC…

The first week of the year saw the greenback giving back its gains back, more so to commodity currencies such as the Loonie, Aussie, and Kiwi. Against the Euro and Sterling, it was pretty much sideways. Surging oil prices can be attributed to the strength in the commodity currencies, even…

Sterling got the New Year off to a poor start, underperforming the other G-10 currencies over concerns of the fiscal situation. On the political side, a potential leadership challenge to Prime Minister Brown added to the downward pressure. The boost to sterling into the close of the week from a…

The USD is trading mixed gaining versus the JPY and Europe and weakening versus the commodity currencies, the Euro was pressured by a statement from the ECB’s Stark that the EU may not bail Greece out of its deficit problems and GBP pressured by report of unexpected decline in UK…

In currencies, trading saw more turbulence in the Euro Zone thanks to Greece’s second credit downgrade and a negative call out of Moody’s on the Irish banking system. Safe-haven flows out of peripheral debt weighed on the euro throughout the week, while year-end repatriation flows further aided dollar sentiment. Stresses…

Over the last two weeks the Euro’s drop has been bigger than most this year, admittedly against a background of fairly contained FX moves. It is undoubtedly corrective, here and in a whole raft of other major currencies. Therefore we shall be looking for the daily Ichimoku ‘cloud’, combined with…