The following are the most recent pieces of Forex fundamental analysis from around the world. The Forex fundamental analysis below covers the various currencies on the market and the most recent events, announcements, and global developments that affect the Forex market.
Forex Fundamental Analysis
Forex Fundamental Analysis
At some time in childhood, most of us looked at a copying machine and asked our parents why, if we were short of cash (and most people were) we couldn’t just print some more money.
The US Dollar closed at 1.4473 to the Euro; its lowest level this year. Crude oil is priced in US Dollars, so there is an air of inevitability about it that the price of crude would be heading in the opposite direction.
It is easy to lose sight of the human cost of the economic recession; down-turn – call it what you will. America is the world’s most affluent country and nowhere is much more glamorous or glitzy than the play-ground city of Las Vegas that springs up like a magic castle in the Nevada desert.
Over the course of last week, all of the world’s major stock markets lost ground. In Europe, the FTSE shed 1.17% of its value, closing at 4851.7; the Dax was down by 2.41%, closing at 5384.43; the CAC lost 2.56%, closing at 3598.76. In Japan, the Nikkei finished the trading week down by 3.29%, closing at 10187.1.
Meeting in Frankfurt, Germany yesterday, the European Central Bank (ECB) decided to hold interest rates at their current level (1%).
In most developed economies, an unemployment rate of 5.7% would be a source of pride. In Japan, the figure represents a record high and points to the depth of the recession affecting the country. The unemployment figures are the worst on record since World War II.
In early trading yesterday, the world’s major stock indices put on a little value, but by the close, all except for the Nikkei 225 were in negative territory. The Japanese index managed to hold onto its gains, closing up by 0.36% at 10530.
You don't have to be a master at forex analysis to realize that the strongest of the major currencies this year has been the Australian Dollar. The bullish ways of the Aussie Dollar aren't all that surprising, at least from a fundamental standpoint.
History was made in Japan at the weekend with the election of the Democratic Party of Japan (DPJ). The electoral success brought to an end a period of fifty-four years of rule by the Liberal Party of Japan (LPJ).
The US dollar concluded last week on a lower note, with the released data pretty much in line with expectations, while Wall St closed its fifth straight close only slightly different than its open.
U.S. Dollar Trading (USD) had yet another day of varied trading with a positive trend in Asia balanced by a negative one in Europe then followed by strength in New York. Chinese stocks plummeted over 5% at one point in Asia before paring losses going into Europe.
Both the USD and the EUR increased in value vs. the yen in Monday’s Asian market as Asian shares peaked the risk appetite of investors' and caused increased purchasing of risk-sensitive units.
The Dollar has continued its march to the downside in recent trading, with only Monday’s sharp move higher against the backdrop of a global equities selloff the exception to the trend.
The Euro has benefited in recent weeks from signs of a gradual recovery in major Eurozone economies, most notably Germany, where Tuesday’s ZEW economic sentiment survey was dramatically better than analysts had expected.
Trading in the British Pound is sure to be volatile on Wednesday, when minutes of the most recent Bank of England MPC are released.