ECB Leaves Rates Unchanged!
By Mike Conlon | January 14, 2010
In what can only be described as “not surprising”, the ECB left their benchmark interest rate unchanged at 1%. As a result, the Euro (EUR) is down across the board today. Also weighing heavily on the Euro is German Chancellor Merkel’s remarks about the debt issue in Greece hurting the strength of the Euro.
As it turns out, Greek debt is more than 4 times the EU’s limit as a percentage of GDP. ECB President Trichet has repeatedly stated that the EU will not bail out individual countries that have been fiscally irresponsible. So all eyes are on the PIIGS countries (Portugal, Italy, Ireland, Greece, Spain) to see if any further problems may arise. While its no secret that these countries are not in good shape, it will be interesting to see who can turn it around and how it impacts the Euro going forward.
The basic “tug-of war” on the Euro is between the structural problems of the Euro Zone countries, and the Euro’s status as the “anti-dollar”. If global stock and commodities markets continue to rise, then the Euro may benefit if the “normal” risk-taking plays continue despite their fiscal problems.
In the meantime, news out of Australia is that their employment figures were much better than expected, putting the possibility of a future rate-hike back on the table, contrary to earlier statements from the RBA. The Aussie (AUD) is showing strength this morning as a result.
Do you want to learn how you can profit from simple news events such as these? Check out our currency trading courses!
Want to see how easy forex can be? Watch these events unfold in a free, real-time practice account!
Tags: account, AUD, Aussie, Australia, commodities, course, currenc, currency, currency trading, dollar, dow, easy, ECB, EUR, Euro, forex, free, fx, fxedu, Il, interest, interest rate, market, Mike Conlon, news, piigs, practice, practice account, simple, ssi, stock, time, Trichet
Topics: What To Look At In The Market | No Comments »
ECB Comments and Risk Taking!
By Mike Conlon | September 8, 2009
In a continuation of Friday’s move out of the US dollar as signs of improved economic conditions are improving, EUR/USD is experiencing a nice move to the upside. Positive comments from ECB President Trichet and the notes out of the G-20 meeting are giving investors confidence that recovery is underway and therefore investors are selling dollars.
The top gainers on the morning are the Swiss franc (+1.14%) and the Euro (+1.01%). Look for this uptrend to continue as risk takers seek higher-yielding currencies.
Ready to trade the forex markets? Get a free, live practice account here
Tags: comments, currenc, currencies, dollar, ECB, economic, EUR, Euro, franc, invest, investor, meeting, Swiss, trend, Trichet, uptrend, USD
Topics: What To Look At In The Market | No Comments »
ECB keeps rates at 1% (as expected). NFP & ECB Press Conference @ 8:30 am EST
By Sean Hyman | July 2, 2009
The ECB kept interest rates unchanged at 1% as expected. Now let’s see if Trichet provides anything revolutionary in his press conference at 8:30am EST. Also, the U.S. Non-Farm Payrolls will be coming out at the same time and the U.S. Unemployment rate. So lots to keep track of around 8:30 am EST today!
Tags: ECB, Hyman, interest, interest rate, interest rates, lot, NFP, payrolls, Sean, Sean Hyman, time, Trichet, U.S., unemployment
Topics: What To Look At In The Market | No Comments »