Forex Market Updates & Commentary

---

• Details of the better Existing Home Sales
• ECB says it bought no bonds last week
• NY Morning Commentary:Dollar maintains bearish bias in NY trade
• EURUSD weakens toward 1.4000 support level
• BOE Tucker on wires
• Chicago Fed National Activity Index Falls
• Bernanke comments do not address the economy or monetary policy
• FOMC Bernanke speaking at 8:30 AM NYT
• US Chicago Fed National Activity Index Data at 8:30AM
• NY Opening Forex Commentary: G20 out of the way, dollar sells off
• Eurozone Industrial New Orders
• Bristish Bankers Association Mortgage Approvals
• Lagarde; G-20 decided to avoid currency war
• Blanchflower on the wires
• Eur/Usd runs into hourly resistance

Details of the better Existing Home Sales Posted: 25 Oct 2010 07:04 AM PDT Annualized sales pace rose to 4.53 M vs 4.3M expectations This is the highest level since June 2010 The month supply fell to 10.7 months from 12.0 months. The Median Sale price fell sharply to $171,700 from $177,500, this is down 2.4% YoY and suggests the increased sales are coming at the expense of lower prices The Average Sale Price also declined to $218,200 from $226,00i and is now down -1.7% for the year. So although the sales pace is better, the details are not so great

ECB says it bought no bonds last week Posted: 25 Oct 2010 06:35 AM PDT The bond purchases totaled EU 63.5 billion as of October 22nd. Thiis is in sharp contrast to the US bond purchases and one of the main contributors to the dollar weakness against the EURO

NY Morning Commentary:Dollar maintains bearish bias in NY trade Posted: 25 Oct 2010 06:10 AM PDT

EURUSD weakens toward 1.4000 support level Posted: 25 Oct 2010 05:56 AM PDT

BOE Tucker on wires Posted: 25 Oct 2010 05:34 AM PDT Says BOE mandate is to ensure UK avoids recession and that the headwinds remain reasonably strong.  He notes that the rebalancing of the UK economy is happening but notes that credit conditions are still too tight for comfort.

Chicago Fed National Activity Index Falls Posted: 25 Oct 2010 05:34 AM PDT Chicago Fed National Activity-   Survey:  -0.30   Actual: -0.58      Prior:-0.53     Revised:

Bernanke comments do not address the economy or monetary policy Posted: 25 Oct 2010 05:32 AM PDT Fed concerned about foreclosure Evaluating foreclosure impact on housing and the banks He does not discuss the outlook for the economy or monetary policy

FOMC Bernanke speaking at 8:30 AM NYT Posted: 25 Oct 2010 05:02 AM PDT He is on tap to give the opening remarks at FDIC forum. Any comments that the Fed Chairman makes up until the FOMC rate decision will be scrutinized by the market. The thought is the Fed will engage in a minimum of 500 billion to start. Goldman Sachs this weekend expects upwards of 2 trillion will be ultimately needed to stimulate the US economy, decrease employment and keep inflation on a upward track. Later at 10:00 US Existing Home Sales will be released. The expectation is for a rise to an annualized pace of  4.3M.   The months supply of homes will be eyed as well. Last month the supply dipped back down to 11.6 months from a record 12.5 months in July when the sales pace fell to an anemic 3.84M annualized.  The median sale price came in at $178,600 ino August (+0.8% YoY) while the average price was $228,700 (+2.9% YoY).

US Chicago Fed National Activity Index Data at 8:30AM Posted: 25 Oct 2010 05:01 AM PDT The Chicago Fed National Activity Index is very useful information of the most recent state of the economic activity and inflationary pressures in the United States. Chicago Fed National Activity-   Survey:  -0.30   Actual:       Prior:-0.53     Revised:

NY Opening Forex Commentary: G20 out of the way, dollar sells off Posted: 25 Oct 2010 04:53 AM PDT

Eurozone Industrial New Orders Posted: 25 Oct 2010 02:02 AM PDT Eurozone Industrial New Orders m/m came in at 5.3%, stronger than the 2.1% expected and prior reading of -2.1%. Eur/Usd rose 10 pips on news thus far , trading at 1.4042.

Bristish Bankers Association Mortgage Approvals Posted: 25 Oct 2010 01:36 AM PDT BBA Mortgage Approvals came in at 31,100, weaker than the 31,600 expected and prior reading of 31,800. Gbp/Usd currently trades at 1.5737.

Lagarde; G-20 decided to avoid currency war Posted: 24 Oct 2010 11:46 PM PDT Eur/Usd made new high of 1.4070.

Blanchflower on the wires Posted: 24 Oct 2010 11:43 PM PDT Former BoE policy maker David Blanchflower comments on G-20 meeting. * doesn’t expect China to let Yuan appreciate * sees U.K. GDP at 0.4% in 3rd Q and 2nd Q to be lowered

Eur/Usd runs into hourly resistance Posted: 24 Oct 2010 10:43 PM PDT Eur/Usd is trading just beneath the 1.4045-50 level which has acted as good hourly resistance in recent tradding. If the pair breaks through a run to 1.4100 is likely. If Eur/Usd holds a pullback to 1.3980-85 (61.8% Fibo) is possible.

You are subscribed to email updates from Forex News and Commentary by FXDD To stop receiving these emails, you may unsubscribe now.	Email delivery powered by Google
Google Inc., 20 West Kinzie, Chicago IL USA 60610