The global unwind continues this morning with US equities, commodities and currencies taking another beating. The US dollar and Japanese Yen continue to outperform with the British pound hitting a fresh 5 year low.
The story is still the same, which is sell first and ask questions later. It is earnings season and [...]

Posted in Bank of Canada, Bank of England, Bank of Japan, BoE rate cut, British Pound, Canadian Dollar, Carry Trades, ECB, Fed Rate Cut, Federal Reserve, Forex News, Forex Podcast, ecb rate cut, eur/usd, forex blog, retail sales 3 Comments »

The G7 released a statement on the Japanese Yen this morning, but unfortunately it is all talk and no action which suggests that the Japanese may have had a hard time convincing their US and European counterparts to join in on any physical intervention to sell Yen.
In this type of market environment, open threats [...]

Posted in Australian Dollar, Bank of Japan, Fed Rate Cut, Forex News, G7 meeting, US Dollar, US Economy, euro, forex blog No Comments »

The type of moves that we have seen in the currency market during the Asian and European trading sessions are typically what we see in a quarter or a half year. USD/JPY has fallen 5 percent, AUD/USD is down more than 8.5 percent while the NZD/USD is down 7 percent. The sell-off in [...]

Posted in Bank of Japan, British Pound, Canadian Dollar, Carry Trades, Dow Futures Carry Trades, ECB, FX Radio, Fed Rate Cut, Federal Reserve, Forex News, Forex Podcast, Japanese Yen, Oil, US Dollar, US Economy, dollar intervention, dow 1907, eur/usd, euro, forex blog, oil dollar 2 Comments »

The Congressional agreement of the $700 Billion bailout plan has proved to be anti-climatic for the stock and currency markets. There was a relief rally in the US dollar Sunday evening, but it lasted for no more than a blink of an eye as more problems came knocking on the door for financial institutions. [...]

Posted in Bank of England, Bank of Japan, Bernanke, Bloomberg, British Pound, Canadian Dollar, Carry Trades, Fed Rate Cut Expectations, Federal Reserve, Forex News, Forex Podcast, Intervention, US Dollar, bank holding companies, bank safe, consumer confidence, consumer spending, dollar earnings, dollar intervention, dollar rally, euro, fed liquidity dollar, forex blog No Comments »

The troubles in the US financial sector continue to be the biggest stories of the day, driving the US dollar to a 6 month high against the Euro. The parallel moves in both the greenback and the Japanese Yen indicate that we are seeing another bout of risk aversion. Yesterday, the story was [...]

Posted in Bank of England, Bank of Japan, US Dollar, forex blog 1 Comment »