Tuesday, July 31, 2012

Forex Market Updates & Commentary

Forex Market Updates & Commentary

Link to Forex News and Commentary by FXDD

Bobbys Corner-Open Market-July.31.2012

Posted: 31 Jul 2012 05:14 AM PDT

Good Morning:

The last trading day of the month greets us with a very lackluster day of trading movement and volatility.

News in Europe continues to be disappointing:
Spanish retail sales dropped 5.2% y/y (June) versus down 4.9% y/y in May.  This is the 24th month of falling retail sales.
Greek retail sales dropped 10.3% in May versus dropping 13.3% in April.
Italian unemployment rose to 10.8% from 10.6% in May(revised from 10.1% in May) expected 10.2%.
Euro Zone unemployment rose to 11.2% in June.  May 11.1%.
Poor earnings from 3 of Europe’s largest banks: Deutsche, UBS and BBVA all missed their targets.

Even Germany is not completely immune to the bad news in the Euro Zone:
Retail sales dropped .1% in June-dropped .3% in May.   +.5% was expected
German unemployment is at 6.8%-this is the 4th month that the number has stayed stable.

Oil is higher-over $90/bbl.
Gold and Silver are also higher.
Asian equity markets were higher-Europe is mixed-US Futures are higher.

HAVE A GREAT DAY & GOOD LUCK
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Monday, July 30, 2012

Forex Market Updates & Commentary

Forex Market Updates & Commentary

Link to Forex News and Commentary by FXDD

Bobbys Corner-Open Market-July.30.2012

Posted: 30 Jul 2012 05:30 AM PDT

Good Morning:

A quiet start to a very busy week of data  greets us this fine summer Monday.

We have the FOMC meeting this week.
Bank of England rate decision on Thursday.
ECB rate decision of Thursday.
US payroll and jobs data on Friday.

In other news:
S&P reaffirms US AAA status-with a stable outlook.
Spanish Q2 GDP fell to -.4% from -.3% in Q1- Down 1% y/y.
Italian bond auction of 2,5 and 10 year maturities-saw demand fall-but better yields.
Spanish 10 year bonds continue their rally.

Asian equity markets were higher-Europe is higher.  US Futures are lower.
Gold, Silver are higher.  Oil lower.

HAVE A GREAT DAY & GOOD LUCK

  

 

 
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Friday, July 27, 2012

Forex Market Updates & Commentary

Forex Market Updates & Commentary

Link to Forex News and Commentary by FXDD

Bobbys Corner-Open Market-July.27.2012

Posted: 27 Jul 2012 05:10 AM PDT

Good Morning:

The Draghi rally did spill over to the Asian session-Europe is also higher-as are US Futures.

The Euro picked up also=-even though the overall news in Europe is not positive.
Spain’s Q2 unemployment rate rose to 24.63% from 24.44 in Q1.  This is the highest level since 1976.
French Consumer Confidence drops to 87- expected-90
Italian Business Confidence falls to 87.1 in July- from 88.7 in June.

Periphery Euro Zone bond yields dip:
Italian 10 year-under 6%
Spanish 10 year at 6.78%

Let’s hope that next Thursday when ECB President Draghi speaks-he will “walk the walk”-after yesterday’s “talk the talk”.

Oil, Silver and Gold are all higher.

HAVE A GREAT DAY-WEEKEND & GOOD LUCK
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Thursday, July 26, 2012

Forex Market Updates & Commentary

Forex Market Updates & Commentary

Link to Forex News and Commentary by FXDD

Bobbys Corner-Open Market-July.26.2012

Posted: 26 Jul 2012 05:29 AM PDT

Good Morning:

We had 2 markets this morning:

1) Pre ECB President Mario Draghi comments:
Markets were choppy-with no real direction-investors were starting to look at next week’s slew of economic data:
Tues/Wed- FOMC
Thursday- ECB and BOE meetings and rate decisions
Friday- US payroll and employment data

2) Post ECB President Mario Draghi comments:
Draghi says he will do whatever it takes to preserve the Euro (within ECB mandate).
He gives euro bears a bloody nose-as the EUR/USD jumps over 100 bps-after his comments.
He also stated that the ECB could restart it’s bond buying program to support “monetary policy transmission”-which had been disrupted by the sovereign debt crisis.
Bond yields have declined in Italy and Spain.

The sharp reaction to Draghi’s comments was due to the fact that the ECB is the only European institution with any credibility left-so instead of the market listening to politicians spewing political rhetoric all day-they are actually looking to the ECB for direction.

Equity markets in Asia were higher-As is Europe and US Futures.

Oil, Gold and Silver are all higher.

HAVE A GREAT DAY & GOOD LUCK
|

 
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Wednesday, July 25, 2012

Forex Market Updates & Commentary

Forex Market Updates & Commentary

Link to Forex News and Commentary by FXDD

Bobbys Corner-Open Market-July.25.2012

Posted: 25 Jul 2012 05:31 AM PDT

Good Morning:

Lots of action overnight-not much is very positive though.

Apple missed estimates for only the 2nd time in 10 years.  Shares are down 6% in Germany this morning.

UK Q2 GDP -.7% Q/Q  expected -.2%
UK Q2 GDP -.8% Y/Y  expected -.3%
UK blames extra public holiday for the Queens Jubilee, and bad weather for the weak Q2 results.
Either way you look at it-the UK economy is in the tank-and the additional QE program has not done much.

German IFO 103.3  worse than expected at 104.5
Dutch July business confidence -5.2 pts versus -4.8 pts in June.

European bonds yields are moving higher with Spain over the magic 7& level-and Italy just behind them.

Asian equity markets were lower-Europe and US Futures are higher.

Oil, Gold and Silver are all higher.

HAVE A GREAT DAY & GOOD LUCK
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Thursday, July 19, 2012

Forex Market Updates & Commentary

Forex Market Updates & Commentary

Link to Forex News and Commentary by FXDD

Bobbys Corner-Open Market-July.19.2012

Posted: 19 Jul 2012 05:25 AM PDT

Good Morning:

Spain had a tough time as they went to the markets to sell more debt to the world.
Spain raised 2.981 bln in this morning's auctions vs target 3 bln.
2 year average yield 5.204% vs previous 4.335%
5 year average yield 6.459% vs previous 6.072%
7 year average yield 6.701% vs previous 4.832%
The 10 year govt bond yield has moved through the psychological 7% -presently at 7.02% :(

10 year Italian bonds are above 6% again.

Asian/European and US Futures are all higher on the day.

Gold & Silver are higher also.
Oil is higher-over $91/bbl.

HAVE A GREAT DAY & GOOD LUCK- I will be away doing “family things” the next few days.
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Wednesday, July 18, 2012

Forex Market Updates & Commentary

Forex Market Updates & Commentary

Link to Forex News and Commentary by FXDD

Bobbys Corner-Open Market-July.18.2012

Posted: 18 Jul 2012 05:38 AM PDT

Good Morning:

We have another day of Dr. Bernanke speaking to Congress- so we will see what that brings.

BOE minutes showed that MPC voted 7-2 to raise QE by 50 bln GBP.  Also they voted 9-0 to keep interest rates steady.

Bank of Spain reports that Spanish bad  bank loans rise to 8.95% from 8.72% in April.

The LIBOR scandal continues-with the spotlight on the Bank of England.

US June housing starts rise to 760K from 745K

  • Highest since Oct 2008
  • May reading was 708K (revised to 711K)
  • Building permits 755K vs 765K exp
  • Prior permits reading was 784K

    Oil is slightly softer.
    Gold and silver are lower.
    Asian equity markets were mostly lower-Europe \higher-US Futures lower.

    HAVE A GREAT DAY & GOOD LUCK
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