Archive for October, 2009
Next Entries »Vexed by the Vix!
Wednesday, October 14th, 2009Market Shows Little Fear. Time to Be Worried? The CBOE Volatility Index, otherwise known as “the Vix”, is commonly referred to as the fear index as it measures the market’s expectation of volatility using S&P 500 index options. Generally speaking, the value of the Vix at any given moment is the amount that the market [...]
Euro Green, But For How Much Longer?
Tuesday, October 13th, 2009The morning’s trading started out with Euro (EUR) strength but it has been pulling back. While still positive against other currencies, it looks like it could go negative as its barely holding on to gains. The initial strength this morning was based on reports that global reserves were moving from US dollars to Euros. The [...]
Loonie Tunes!
Monday, October 12th, 2009In a continuation of the move that started last week in the Canadian dollar (CAD), this morning it’s the top performer (USD/CAD -.81%), (CAD/JPY +1.24%). A report out of RBC Capital markets advised clients to sell the US dollar and buy the Loonie as the analyst is forecasting that the Canadian government will raise rates [...]
O, Canada!
Friday, October 9th, 2009Good news this morning out of Canada regarding their unemployment figures has propelled the Canadian dollar (CAD) to a one year high. The unemployment rate dropped from 8.7% to 8.4% as the Canadian economy unexpectedly added some 30,000 workers. CAD is up across the board, most notably against the Japanese yen (+2.16%), the Kiwi (+1.93%) [...]
BOE Holds Steady, Pound Rises!
Thursday, October 8th, 2009The Bank of England held both interest rates and its bond purchase (quantitative easing) program steady yesterday, prompting the pound (GBP) to its highest level against the US dollar (USD) in the last month, showing signs that their recovery may be underway. There was some fear that the BOE would have to take further action, [...]
Nothing Big Today– Thankfully!
Wednesday, October 7th, 2009As of 11AM EST, there are no major currency moves to speak of. Thankfully. Volatility has picked up and US dollar weakness has been a major theme. With gold rising to 1050/oz, the doomsday crew and conspiracy theorists are out in full force, suggesting that this could be the end for the US dollar. It [...]
Secret Meetings Tanking the Dollar?
Tuesday, October 6th, 2009There was an article published in the UK Independent by a fairly credible journalist claiming that there were “secret meetings” taking place between Arab Nations and the BRIC countries to end the US dollar’s reign as the world’s reserve currency by agreeing to trade oil in anything but the dollar. As a result of this [...]
Australia Raises Rates!
Tuesday, October 6th, 2009I wrote back on Sept. 28th that there was some speculation of an Aussie Rate Hike, and yesterday it happened. Reserve Bank Governor Glenn Stevens increased the overnight cash rate target to 3.25 percent from 3 percent, the lowest it had been in 49 years. What surprised me most about this news was not that [...]
Goldman Talks, You Should Listen!
Monday, October 5th, 2009Goldman Sachs is the modern day E.F. Hutton: When they talk, people listen! This means money managers, large traders, and even government officials– not surprising considering half of the government is run by ex-Goldman employees! Just kidding, but there is no doubt who the number one market mover on The Street is. Goldman issued a [...]
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