Market news by Solforex

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Edition 18|August 24, 2015
The U.S. dollar showed weakness after the release of dovish FOMC minutes and intensified market volatility after devaluation of the yuan that pushed back the expectations for the rate hike next month. Despite the improved U.S. housing data and consumer inflation, the New York state manufacturing shrank and Kazakhstan and Vietnam exchange rates showed steep change followed by the yuan. Most importantly, the dovish statements in FOMC meeting added force to the dollar weakening.

Chinese manufacturing activity have shrunk with the fastest pace in six and a half years which have added concerns to global financial market. China has the second largest economy in the world that such contraction could give strong negative impacts to markets around the world. Thus, the grown fears after the contracted manufacturing reading have brought great fluctuation in the forex market.

On the other side, the euro showed strength after German parliament has passed the Greece bailout programme with overwhelming votes in favor. It jumped more than 1% against the dollar on Friday. EUR/USD gained 1.28% to 1.1383, the pair ended the week with gains of 2.55% which is the strongest growth since April.

The raw material prices have dropped that have brought great drops to the related currencies. Russian Ruble fell steep by 6.45% and Australian dollar was weakened by 0.68%.

New Zealand dollar also fell, traded with U.S. counterpart at 0.6682. RBNZ is to release quarterly inflation expectation and the Deputy Governor is to speak on property market today.

Japanese yen ticked in early Asia today while waiting for the final June Japanese Leading Index. JPY/USD changed hands, gained 0.14%.

The British pound kept its bullish state, ended the week with almost seven week highs against the dollar with GBP/USD at 1.5722.

Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.

Monday, August 24
Fed President of Atlanta state Dennis Lockhart is to speak. Market investors will closely watch his comments as he stated in his last speech that the rate hike will be executed unless the economic data show great depreciation.
Japan is to release Leading Index.
In New Zealand, the Reserve Bank deputy governor Grant Spencer is to speak on central bank view of the property market at a private event.

Tuesday, August 25
Housing indexes are to be released in the U.S. Data include FHFA housing price, S&P Case-Shiller index and new home sales. Also, consumer confidence data is to be released. These data are expected to be improved which might prompt the rate hike issues.
New Zealand is to release the quarterly data on inflation expectations
In Germany, GDP growth is to be released followed by IFO Institutes’ report on its business climate.
Switzerland is to release employment level data.

Wednesday, August 26
The U.S. is to release data on durable goods order. Consensus expects the new orders are to be shrunk at -0.4% from its previous month’s reading at +3.4%. However, industrial production and manufacturing activity showed improvements recently that durable goods order is also expected to be improved.
New Zealand is to release its trade balance.
Reserve Bank of Australia Governor Glenn Stevens is to speak.

Thursday, August 27
The U.S. is to release the preliminary data of second quarter GDP growth, as well as the initial jobless claims and pending home sales data.
Jackson Hole conference starts in the U.S. with central banks governors attending from different countries.
Australia is to release data on private capital expenditure.

Friday, August 28
The U.S. is to release PCE price index; consensus shows decreased expectation at +0.1% due to recent drop of oil and raw material prices.
Also, personal income/expenditure and consumer sentiments are to be released in the U.S.
Japan is to publish bundle of data including retail sales, inflation rate, personal spendings and consumer inflation.
U.K is to publish revised data on second quarter GDP growth.
Germany is to release data on consumer inflation.

(Mia Chung)
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Thursday August 27, 2015

The U.S. dollar held stronger with confidence toward economic data improvements. It was a bit shortened after New York Fed President Dudley’s statement that September rate hike is not going to be easy, however the strong figure on durable goods order that has increased 2.0% compared to expected decline of -0.4%, has reassured of market growth and turn the dollar back to bullish. Moreover, the stock market growth based on the economic confidence increased the range of dollar strengthening.

China has lowered the export and import tax charge followed by lowering interest rates and cash reserve ratio. It indicates that the possibility or exportation growth is to be increased in China and it may lead to stabilizing the emerging market currencies.

In the Eurozone, the ECB member Peter Praet stated that lower commodity prices and signs of economic weakness mean the risk that Eurozone might miss the short-term inflation targets. He indicated that ECB is prepared to proceed quantitative easing if necessary. The euro was weakened more than 1%, EUR/USD lost 1.16% to 1.1386.

The Japanese yen was weakened after the Bank of Japan Governor Kuroda remarks that he is counting on a tight labor supply to raise consumer inflation to reach its target of 2%, as well as Chinese policy actions to support Japan’s sluggish exports. His statement were seen as to continuing easy policy that has brought down the yen, USD/JPY changed hands at 120.11, 0.16% today.
The Aussie gained on Thursday with investors focused on China’s stimulus, trade AUD/USD at 0.7132, up 0.20%.

Overall, the dollar gained 0.86%, the euro fell 1.72%, the yen fell 0.87%, and the pound also was weakened by 1.45%. The emerging currencies showed bullish movements, Russian ruble gained 0.66%, South African Rand was up 0.87%, Brazilian Real gained 0.48%, and Turkish Rira was up by 0.23%. However, other commodity exchange rates were weakened, with Norway Krone falling 1.94%, NZD down 0.67% and the Aussies slid 0.2%.

(Mia Chung)
COMPANY PROMOTION
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limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Edition 19|August 31, 2015


Last week, the forex market had increased volatility due to slowdown of growth in China brought recent turmoil in the global market. The U.S. dollar was weak as slowed economy in China affected equities and commodities and brought concerns on rate hike to delay. However, market sentiment improved after China released monetary policy to shore up growth and the U.S. economic data released later the week had fast pace of growth in second quarter.

On Friday, Fed Vice Chairman Fisher announced at the Jackson Hole meeting that the initial rates determination is to be based on upcoming economic data, spurring the rate hike expectations, turned the dollar bullish.

The euro and yen were bullish, with the outflows from great investment to emerging countries through quantitative easing. However, the euro fell against the dollar on Friday after the Federal Reserve Vice indicated that the interest rates could still rise next month. The EUR/USD fell 0.51% at 1.1187 in late trade.

The pound was low against the U.S. counterpart, after falling to seven weeks lows in previous session due to the spur of rate hike after Fed official showed positive indication toward the rate hike next month. GBP/USD traded 1.5400 late Friday, a little recovered from 1.5334 earlier in the day.

New Zealand is to release private sector data on business confidence today, while Australia is to report on company operating profits.

Overall, the dollar was bullish by 1.16%, the euro fell 1.83% and the yen gained 0.25%. Elsewhere, the rebound of the oil price led the Russian ruble bullish by 5.57%. The commodities rate also showed variations, brought bearish to according currencies, The Australian dollar fell 2.02%, Brazilian real fell 2.33%, South African rand fell 2.50%, Swedish Crone by 1.24% and the Turkish lira fell 0.17%.

Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.

Monday, August 31
The U.S. is to release Chicago and Dallas fed manufacturing index.
Australia is to report on the company sentiments.
New Zealand is to release private sector data on business confidence.
Germany is to publish data on retail sales.
The Eurozone is to release preliminary data on consumer price inflation.

Tuesday, September 1
China is to release PMI reports on manufacturing and service activity and is expected to slightly shrink at 49.8 from previous month’s figure of 50.0. If the figure is improved, it could bring variation to the market.
The U.S. is to release ISM report on manufacturing activity; consensus expects it to be improved at 52.8 from 52.7 in July.
Japan is to release PMI report on manufacturing activity.
In Australia, the Reserve bank is going to hold a monetary policy meeting and is to announce its benchmark interest rate and rate statements.
Germany is to report on change in unemployment.
The Eurozone is to publish unemployment rate.
The U.K. is to publish data on manufacturing activity and net lending.
Canada is to release data on second quarter GDP.

Wednesday, September 2
The U.S. is to release ADP nonfarm payrolls report and factory orders. Also, the Fed report beige book is to be released which outlines economic performances and trends that could influence rate hike determinations.
Australia is to release data on GDP in second quarter.
Eurozone is to publish producer price inflation.
U.K is to publish data on construction sector.

Thursday, September 3
Australia is to report on retail sales and trade balance.
The U.S. is to release trade balance. The import and export trend will indicate the variation to the emerging countries’ currencies.
The Eurozone is data on retail sales and ECB is to hold monetary policy meeting.
The Eurozone including U.K. and Germany is to release PMI reports on service sector.
Canada is to release trade balance.
The U.S. is to publish weekly figures on jobless claims.

Friday, September 4
Japan is to produce figures on average cash earnings.
The U.S. is to release nonfarm payrolls report and wage growth data. Market participants will closely watch these reports as improvements could spur rate hike issues.
The Eurozone is to publish revised data on second quarter GDP growth.
Germany is to release data on factory orders.
Canada is to release employment report.
In the late U.S., Richmond Fed President Jeffery Lacker is going to speak.

(Mia Chung)
COMPANY PROMOTION
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limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Thursday September 3, 2015​


Dollar gains despite ongoing China concerns

The U.S. dollar held stronger with spurred rate hike in September. Despite lower than expected figures in the ADP employment report, the initial rate rise seems to remain unaffected as the non-farm payrolls adjusted up in July.

The dollar gains were expected to be limited as the concerns on influences from China economy to global market persists. Economic reports showed that the manufacturing sector in China contracted in fastest pace in three years, also manufacturing in Europe and U.S. was slower than expected. The Chinese shares were lower, adding fears over the global economic outlook. The concerns on outlook began to ease on Wednesday which pushed the dollar slightly higher.

Aussie weakened with weak retail sales

The Australian dollar was slightly stronger in early trading on Thursday ahead of trade balance and retail sales data release. AUD/USD was up 0.12% at 0.7046. However, later the retail sales data fell 0.1%, not meeting the expectation of 0.4% gain and the trade balance for July came in at A$2.460 billion, improved from A$2.93 billion in June. The AI group services index showed at 55.6 increased from last month’s figure at 54.1. AUD/USD changed hands at 0.7014, down 0.33% after the data release.

Elsewhere

Japanese yen weakened after Bank of Japan member Kiuchi stated as reaching 2% inflation would be hard by monetary easing itself and the government bond buying is distorting prices. The Nikkei rose in early trade shortened demand for the yen, but the Nikkei ended slightly lower. USD/JPY changed hands, up 0.12% traded at 120.48 on Thursday.

The pound was steady with almost three months lows against the dollar after the U.K construction data was at slower pace than expected, dampening the outlook for the third quarter growth. Also, the outlook that BoE would not execute rate hike ahead of monetary policy meeting next week slightly weakened the pound. GBP/USD fell to 1.5291, remained steady with the euro with EUR/GBP down to 0.7372. The euro was broadly weakened ahead of ECB monetary policy meeting.

New Zealand dollar rose against the U.S. dollar on Wednesday but the gains have been capped by the concerns on China volatility. NZD/USD hit 0.6369 on Wednesday, gaining 0.47%. The kiwi went higher against the aussie with AUD/NZD slid to 1.1064, down 0.18%.

Overall, the dollar gained 0.49%, the euro fell 0.82%, the yen fell 0.80%, and the pound slightly weakened by 0.04%. Once the oil price dropped to $43 range, the Russian ruble fell 1.17% and Brazilian real fell 1.47%. Emerging currencies were generally weak, with Turkish Lira weakened by 0.39% and Indonesian rupiah down 0.21%.

(Mia Chung)
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Edition 20|September 7, 2015
The U.S. dollar turned lower on Friday after the slowed employment report aggravating clarity toward rate hike decision this month. In the earlier week, the ISM manufacturing activities were also lower than expected as well as Chinese PMI manufacturing showing disappointing figures, adding concerns to economy slowdown.
The U.S. non-farm employment sector was slowed with the smallest increase in five months showing much lower than expected figure. The average wages were raised with decreased unemployment however it gave uncertainty to the execution of initial rate rise this month.
The safe asset yen showed bullish movements together with the euro after the reports adding concerns to delay in rate hike and economy downturn. However, the euro fell after the ECB meeting with the announcements that rates will be unchanged however the QE programme period will be extended and the asset buying limit will be expanded to 33% from current limit of 25%.
The Australian dollar jumped in early trading in Asia today after the AIG construction index showing greatly improved figure at 53.8 in August from its previous reading of 47.1 in contraction. ANZ jobs lifting sentiment also jumped up 1% from a 0.4% decline in July. AUD/USD traded at 0.6942, up 0.48%.
The British pound fell to four month lows against the U.S. counterpart; GBP/USD traded at 1.5170, down 0.57% the weakest since May. The pound remained defensive after U.K. business activity was slowed in August, giving concerns to the outlook for third quarter growth. It was also lower against the euro with EUR/GBP trading at 0.7346, up 0.8%.
Ahead of the week, investors will be looking ahead to U.K industrial production data and Thursday’s BoE monetary policy statements. There will also be monetary policy meetings in Canada and New Zealand.
Overall, the dollar shortened its strengthening, up 0.13%, the euro fell 0.30% and the yen greatly gained by 2.23%. The emerging currencies were generally low, the Indonesian rupiah fell 1.29%, Turkish lira fell 2.86%, South African rand fell 4.14% and the Australian dollar fell 3.71 in late trading. The oil price variations were enlarged, brought bearish to according currencies, the Russian ruble fell 5.00% and Brazilian real fell 7.35%.

Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.

Monday, September 7
The U.S. and Canada markets are closed for Labor Day holiday.
Germany is to release data on industrial production
In the Eurozone, Sentix report on investment sentiments is to be released.
The Swiss National bank is to publish foreign currency reserves.

Tuesday, September 8
China is to release trade balance. Consensus shows expectations of improved figure at $4.86 billion from previous month’s figure of $4.3 billion. The improvement in Chinese trade balance could ease the concerns on global economy and could spur emerging currencies to rise.
The U.S. is to release data on labor market conditions index.
Japan is to release data on GDP growth, current account and bank loans.
Australia is to release private sector data on business confidence.
The OECD composite leading indicator is to be published.

Wednesday, September 9
The U.S. is to release job openings and labor turnover survey.
The U.K. is to release data on industrial production and manufacturing production. Also, the trade balance is to be published.
Japan is to release data on consumer sentiments.
Australia is to release data on home loans and consumer sentiment.
Canada is to release data on building permits followed by the BoE announcement of benchmark interest rate and rate statement.

Thursday, September 10
China is to release consumer and producer price inflation. The consensus shows consumer price to be improved to +1.9% from +1.6% in previous reading but decreased in producer figures at -5.6% from -5.4%.
The Bank of England is to hold monetary policy meeting.
In Australia, data on unemployment rate and employment movements will be released.
Japan is to publish data on machinery orders.

Friday, September 11
Germany is to release consumer and wholesale price inflation.
Japan is to release data on BSI manufacturing index.
The U.S. is to produce data on producer prices and consumer sentiment.

(Mia Chung)
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Thursday September 10, 2015

Aussie down despite solid employment
The Australian dollar fell on Thursday in Asia early trading despite improved jobs figures as investors weighed more to Chinese slowed data. The Australian unemployment rate went down to 6.2% with 11,500 jobs added but Chinese producer prices fell 5.9%, worse than expected drop of 5.5% and the consumer prices rose slightly by 0.5% near the expectation. AUD traded with its U.S. counterpart at 0.6975, down 0.61%.

Kiwi weakened sharply with rate cut
The New Zealand dollar went down sharply in Asia today after the Reserve Bank of New Zealand lowered its overnight cash rate down to 2.75% from 3.00% as expected. Kiwi traded with the greenback at 0.6260%, sharp decrease by 2.11%.

Yen fell with stock market increase
Japanese yen went lower with reinforced global risky asset preferences. In Asia, Japanese market index was largely increased by +7.71%, alsoEurope and U.S. markets increased in the morning session, brought bearish to yen. More, the Chinese active monetary policy showed pump-priming volition with amicable gestures to emerging markets, further weakened yen. The U.S. market turned down in the afternoon session however, with sharp oil price drop after EIA reported short term outlook, shortened weakening of the yen.

Euro turned bullish after oil price drop
The euro was bearish in early trading in response tovariation in carry trades with the expectation toward emerging markets improvement. In the afternoon session, the oil price dropped sharply followed by the stock market drop switched the euro strengthening and the dollar shortened its bullish gap.

Bank of Canada kept the rates unchanged
The Canadian dollar went higher after Bank of Canada decided to hold its overnight cash rate at 0.5% as expected. The BoC had already cut the rates twice in this year due to low oil prices that impacted its economy slowdown. The bank said movements in Canadian dollar were helping to absorb lower commodity prices impacts. It also added, while the outlook for export is still unclear, the latest data shows that rate-sensitive exports are regaining its momentum. CAD/USD gained 0.33%, it was also higher against the euro, with EUR/CAD traded at 1.4695, slid 0.69%.

Market movements
Overall, the U.S. dollar slid 0.01%, euro gained 0.04%, the yen fell 0.59% and the pound fell 0.17%. Emerging currencies were generally low, South African rand fell 0.55%, Russian ruble fell 0.83%, Indian rupeewent down 0.45%, Turkish lira lowered 0.95%, Chinese yuan fell 0.17%, AUD and NZD fell further this morning after the rate cut.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Edition 21|September 14, 2015

The U.S. dollar turned broadly lower with attenuated expectations toward rate hike possibilities. The U.S. economic data also contracted from its previous month’s figures. The import prices shrank and the consumer sentiments dropped far below the expectation. Thus, the concerns are increased toward outlook for consumptions and manufacturing slowdown and there are grown expectations that Federal Reserve will delay the rate hike execution on Thursday. USD/EUR fell 0.51%, USD/GBP fell 1.51% and USD/AUD fell 2.22% at late session on Friday.

The Chinese trade balance showed reasonably satisfactory level in consideration of Tianjin explosion. Fixed asset investment rose 1.09% in China very near to 11% expectation, also industrial production gained 6.1%, little below 6.4% expected and retail sales rose 10.8% above the expectation of 10.5% gain. Thus, the concerns on impact to global financial market are slightly eased after the data release.

The Australian dollar turned slightly low on Monday as mixed data of Chinese retails and industrial outputs could spur this week’s interest rates consideration by Federal Reserve. AUD/USD traded at 0.7085, down 0.08%.

Investors will be closely watching this week’s Federal Reserve policy announcement. Fed Chair Janet Yellen has previously announced that the decision for interest rate increase is highly dependent to economic outputs but has also implied that the rate hike will be likely to be executed before the end of this year.

Also, Switzerland central bank and Bank of Japan are to hold monetary policy meetings.
Overall, the dollar was bearish, down 1.08%, Japanese yen also fell by 1.31%. The euro turned bullish, up 1.73% and the Australian dollar went up 2.64% with satisfying Chinese data.

Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.

Monday, September 14
The Eurozone is to release data on industrial production.
Switzerland is to release producer price inflation and retail sales data.
Japan is to release revised data on industrial production.

Tuesday, September 15
The U.S. is to release data on retail sales, industrial production and New York state manufacturing. The consensus shows expectations of retail sales at +0.3% and industrial production at -0.2%.
The U.K. is to produce data on consumer and producer price inflation.
The Reserve Bank of Australia is to release the minutes on its recent monetary policy meeting.
Bank of Japan is to hold monetary policy meeting and announce its benchmark interest rate with rate statements.
The Eurozone is to release employment movements and trade balance. Also, ZEW Institute is to release report on Eurozone and German economic sentiments.

Wednesday, September 16
New Zealand is to publish data on the current account.
The U.K. is to release change in unemployment claims and rates. Also, data on average income is to be published.
The Eurozone is to release consumer price inflation.
In the U.S., the consumer price inflation data is to be released and also the FOMC meeting will begin. The consensus shows consumer prices to stay at 0.0%, below previous month’s figure of +0.1%

Thursday, September 17
Japan is to publish trade balance.
New Zealand is to publish data on second quarter GDP growth.
The U.K. is to release data on retail sales.
In the U.S., FOMC meeting results will be announced. Investors will focus to the statements as the dollar might fluctuate depending on its decision.
There will be also data released on housing starts, building permits, jobless claims and Philadelphia state manufacturing in the U.S.

Friday, September 18
Japan is to publish its central bank meeting minutes on monetary policy decisions.
Eurozone is to release balance on current account.
U.S. is to publish composite leading index.
Canada is to release consumer price inflation.
On Sunday, Greece is to hold early general election.

(Mia Chung)
COMPANY PROMOTION
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limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
SOLFOREX WEEKLY HOT ISSUES
Thursday September 17, 2015​

Dollar slides lower after consumer price data
The U.S. dollar trimmed its gains after declined data of consumer price inflation. Consumer price went lower at -0.1%, below the previous month’s figure +0.1% and not meeting the expectation of 0.0%. The slowed data supported growing expectations of the rate hike delay ahead of its Fed announcement on Thursday. But the result that consumer price decrease is caused from the oil price drop and other factors and it can be less likely to influence FOMC meeting and hence limited dollar’s loss.
Investors are attentive to the FOMC result on Thursday with increased uncertainty for Fed to raise rates. Increase in rates would boost the dollar by yield seeking investors.

Japanese yen slightly weakened with ongoing trade deficit
The yen slid on Thursday as the trade data for August showed ¥57 billion deficit. The deficit expanded from fifth straight monthly deficit of ¥54.1 expected. Imports fell 3.1%, further than the expectation of 2.2% drop and exports rose 3.1%, less than 4.0% expected.

NZ dollar slid with expectation of further rate easement
New Zealand dollar went lower after the release of second quarter GDP data with 0.4% increase, a little below the 0.5% expected. The GDP has grown year on year as expected and recent rebound in dairy prices may support further growth but could be limited by drought risks. The expectation has been grown for the Reserve bank of New Zealand to take further easement of the official cash rate. NZD fell 0.29% to its U.S counterpart, traded at 0.6347.

Euro and sterling gains while Eurozone consumer price index stays flat
The Eurozone consumer price was unchanged in August, compared to -0.6% decrease expected. The euro rose 0.28% against greenback, traded at 1.1302. In the U.K, the unemployment rate ticked down to 5.6% better than expected, also the average earnings rose 2.9% after 2.6% increase in July, above +2.5% forecast. The pound gained 1.07% against greenback, traded at 1.5507.

Overall market movements
Overall, the dollar fell 0.26%, the euro gained 0.20%, yen fell 0.11% and the pound rose 0.98%. Emerging currencies and commodity currencies were generally higher ahead of FOMC meeting. Russian ruble gained 2.36%, South African rand by 1.25%, Mexican peso rose 0.68%, Brazilian real up 0.64%, and Turkish lira gained 1.03%. The Australian dollar gained 0.64% and Canadian dollar rose 0.57%.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
The U.S. dollar shortened its losses after the Federal Reserve Chair Janet Yellen implied that interest rates may still rise later this year and the central bank remains on track to hike rate. The hawkish statements reassured investors that the monetary policy has not significantly altered for the rate hike decisions after the delay. Also, the U.S. second quarter GDP was revised higher in later data, kept the dollar bullish. The dollar rose 0.27% and 0.33% against the euro.

The euro went bullish after ECB’s targeted longer-term refinancing operations had lowered bid at €15.5billion euro which is far below the previous €73.8billion and €50.3billion expected. It may imply that the economy is improving as banks are not really active to the debt program (TLTROs) thus pushed the euro higher. However, after the Fed Chair Yellen’s statements the euro went lower to its U.S. counterparts. EUR/USD traded at 1.1194 in late trade, falling 0.33% for the day. Investors will be attentive to Eurozone inflation report on Wednesday that could impact ECB’s decision for monetary stimulus program.

Japanese yen was slightly weak in early Asia on Monday ahead of central banks remarks in Japan and the U.S. Bank of Japan Governor Haruhiko Kuroda is to speak at a business leaders event in Osaka today. USD/JPY pair rose 0.07%, traded at 120.58.

Emerging and commodity currencies rose generally however some fell due to the rate cuts. The Rand, NZD, AUD, the ruble generally went higher but Australian dollar fell to its U.S. counterpart traded at 0.7014, down 0.17% on Monday. The British pound was also low, with GBP/USD falling 0.4% to 1.5178 in late trade.

Brazilian real fell steep after Brazil central bank governor stated that he will use all possible policies to reduce the foreign exchange market fluctuation, fell 4.93%. Norway Crone also fell after the rate cut.

Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.


Monday, September 28

Bank of Japan Governor Kuroda is to give a speech in Osaka.

The U.S. is to release data on personal income and spendings.

Also, New York Fed president William Dudley is to speak followed by Chicago Fed president Charles Evans, at separate events.

The pending home sales report is to be published in the U.S.


Tuesday, September 29

Japan is to release data on home spending.

Germany is to release consumer price inflation.

The U.K. is to release report on net private lending.

Canada is to release data on raw material price index.

The U.S. is to report on the trade balance and consumer sentiments.

The S&P’s Case-Shiller Home price indices is to be released in the U.S.


Wednesday, September 30

Japan is to release data on retail sales.

New Zealand is to report on business confidence.

Australia is to release figures on building approvals.

In the Eurozone, consumer price inflation is to be released and investors will be attentive to this as to forecast the ECB’s further decision on monetary stimulus program.

Germany is to release data on movements in employment.

In the U.S., Chicago state producer manufacturing inflation is to be released followed by ADP employment reports.

Fed Chair Yellen is to speak at an event later the day.


Thursday, October 1

Japan is to publish Tanken index reading.

China market is closed due to its national holiday but there will be released reports on manufacturing and service sector activity from China.

Data from China are Federation of Logistics and Purchasing and the Caixin services index as well as the Caixin manufacturing revised data.

The U.K is to release manufacturing index.

In the U.S., initial jobless claims and manufacturing activity report is to be released from the ISM.


Friday, October 2

China market is remained closed due to its national holiday.

Australia is to release data on retail sales.

The U.K is to publish data on construction index.

In the U.S, the weekly nonfarm payrolls and data on factory orders will be released.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
SOLFOREX WEEKLY HOT ISSUES

Thursday October 1, 2015


U.S. dollar stays bullish with firm employment data

The U.S. dollar stayed broadly higher to other major currencies after strong U.S. employment data. The ADP nonfarm private employment increased to 200,000, above 194,000 rise expected. The dollar was pushed further against the euro after the slowed data of consumer price inflation this month in the Eurozone. However, it was limited increase against Japanese yen after IMF Chair Lagarde showed concerns toward global economy slowdown, turn the dollar low with safe asset preference inflow. But the turned higher again after eased preference toward safe asset in afternoon trade with increased U.S. stock market, but the strengthening gap was limited. USD/JPY traded at 119.94 in latest trade, up 0.05%

Euro falls sharply after disappointing consumer price index

The euro fell sharply against the dollar after the consumer price inflation showed disappointing figure at -0.1%, below the 0.0% expected and 0.1% previous month. It increased the possibility of extending comprehensive asset purchasing program. The ECB President Draghi said the consumer price index is problematic and additional quantitative easing may be necessary at the conference after the policy meeting. Moreover, Goldman Sachs expressed the necessity of QE extension by ECB with increasing concerns on deflation. The euro fell further against the dollar with U.S. strong labor data later the day. EUR/USD traded at 1.1177, down 0.64%

Aussie rebounds with hope of manufacturing fortunes in China

The Australian dollar rebounded in Asia on Thursday after bunch of data confirming slowdown in China but with some potential for rebounding in manufacturing. The CFLP manufacturing PMI in China improved slightly to 49.8 in September, above 49.6 expected. Also the Caixin manufacturing PMI came in as 47.2 as expected, Services index was at 50.5 below 51.5 in August. The figures show further slowdown and unstable markets making many manufactures cautious with harder capture of outlook. In Australia however, the AI group manufacturing index rose to 52.1 the third straight monthly gain. AUD/USD traded at 0.7042, up 0.31%.

Market Movements

Overall, the U.S. dollar rose 0.42%, the euro fell 0.61%, the yen fell 0.11% and the pound fell 0.15%. The emerging currencies showed bullish movements despite the IMF Chair’s statement with concerns toward economy slowdown. South African rand gained 0.86%, Russian ruble 0.42%, Mexican peso 0.68%, Brazilian real 2.48%, Chinese yuan 0.10% and Turkish Lira gained 0.37%. The commodity related currencies were generally high too, New Zealand dollar rose by 0.76%, Canadian dollar rose 0.54% and Australian dollar gained 0.49%.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
The U.S. dollar turned broadly lower after weak the labor reports on Friday. The Labor Department reported there were 142,000 jobs added below the 203,000 expected. Also the participation rate fell to 62.4% from 62.26% in August. The U.S. ISM manufacturing data was also weak at 50.2 brought concern to economy slowdown. However, the state Fed presidents implied the rate hike is likely to be executed within this year, limited the dollar’s loss.

Beginning of last week, the euro and yen were bullish after slowed Chinese manufacturing data which increased concerns toward emerging countries’ economy. Also, the German Minister of Economy has stated that German economy can bear the Volkswagen crisis, let the euro bullish. But the consumer price index was lowered at- 0.1% during the week brought concerns toward deflation, shortened its gain.

Japanese yen was slightly weaker in early trade on Monday with weaker than expected wages data. Average cash earnings for August rose 0.5% which is a second straight rise, but it was lower than the expected gain of 0.7%. JPY/USD fell 0.07%, traded at 119.98.

The TD-MI September inflation gauge in Australia rose 0.3%. TD Securities Asia-Pacific macro strategist Beacher said the tradable and domestic inflation gauges are converging toward an annual rate of 2% phenomena. RBA has already anticipated whereby the weaker Australian dollar may be boosting imported priced but benign domestic inflation provides an offset. AUD/USD traded at 0.7071 on Monday, up 0.33%.

Overall, the dollar fell 0.46%, the euro gained 0.13% and the yen gained 0.55%. GBP/USD gained 0.35% to 1.5185 and USD/CHF lost 0.59% at 97.15. In the week ahead, investors will be attentive to Fed’s September minutes on Wednesday for the rate hike decision statements. There will be central bank meetings in Japan, Australia and the U.K which will be also closely watched.


Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.


Monday, October 5

Markets in China is remained closed for national holiday.

Australia markets are closed.

The U.K. is to publish data on service sector activity.

In the Eurozone, PMI report on service sectors are to be released followed by retail sales data.

In the U.S., the ISM is to report on non-manufacturing sector and LMCI labor market report is to be released.


Tuesday, October 6

Markets in China are remained closed for national holiday.

New Zealand is to release private sector data on its business confidence.

Australia is to release data on trade balance and the Reserve Bank of Australia is to hold monetary policy meeting and announce its benchmark rate and rate statement.

Germany is to release data on factory orders.

In the Eurozone, there will be Eurogroup finance meeting and the retail PMI is to be released.

Canada and U.S. is to release trade balance.

ECB minister Mario Draghi is to speak later the day.


Wednesday, October 7

Markets in China are remained closed for national holiday.

Bank of Japan is to hold monetary policy meeting and is to announce its benchmark rate and publish rate statements.

The U.K. is to release data on industrial and manufacturing production.

Canada is to release figures on building permits.

The U.S. is to release data on consumer sentiments.


Thursday, October 8

Japan is to release data on core machinery orders and current account.

Bank of Japan is to publish the monthly report.

Germany is to release trade balance.

In the U.K, the Bank of England is to hold monetary policy meeting and announce its benchmark rate and publish its rate statement.

In the U.S., the initial jobless claims and Fed meeting minutes are to be released.

Later the day, BOE governor Mark Carney is to speak and San Francisco fed President John Williams to make some statements.

OECD composite leading indicator is to be published.


Friday, October 9

Australia is to release data on new home loans.

U.K. is to publish trade balance.

Canada is to release data on employment movement and unemployment rate.

The U.S. is to report on import prices.

IMF meeting is to start this day until the 11th.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Last week, the U.S. dollar was weakened against other major currencies with increased possibility of delay in rate hike by Federal Reserve. Beginning of the week, the dollar was high with expectations for easement in the economy by Trans-Pacific Partnership (TPP) negotiation. Also, the oil price rebounded and has mitigated the concerns for emerging countries’ economy slowdown, strengthened emerging market currencies despite the dollar being bullish.

Later the week, the U.S. trade balance was worsened and state fed presidents gave dovish statements that increased the possibility for the Federal Reserve to delay hiking rate, turned the dollar bearish. The FOMC meeting minutes also reconfirmed that rate hike is not going to be easy in consideration of emerging market slowdown.

Commodity related currencies were generally high, the Australian dollar railed to its seven-week highs, jumping 1.18% to its U.S. counterpart traded at 0.7343 but it fell lower in early trading today with no major data due. AUD/USD traded at 0.7319, down 0.32%. New Zealand dollar rose to 10-week peaks against the U.S. dollar, with NZD/USD gaining 0.4% to 0.6693. Canadian dollar also went higher to its 10 week highs, with USD/CAD falling 0.52% to 1.2947.

Japanese yen was slightly higher after the monetary policy meeting last week with lowered expectation for the additional asset buying program. However, it turned bearish after rebound of oil and non-ferrous metal prices, lowering preferences toward safe asset. The pair changed hands with USD/YEN gaining 0.30%. Yen slightly fell further today while the Japan market is shut for the national holiday. USD/JPY pair traded at 120.25, up 0.03%.

In the week ahead, market participants will be looking ahead to the U.S. data on retail sales and consumer prices for fresh for determination of market improvement which will influence rate hike decision by Federal Reserve. Also, jobs report in the U.K. and Australia will be closely watched.


Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.


Monday, October 12

Markets in Japan, Canada and The U.S. are closed for national holiday.

In the U.S., Chicago state Fed president Charles Evans is to speak. Investors will be attentive to his speech as he is preparing to speak about monetary policy. Many investors expect that he will give dovish statements.

OPEC monthly report is to be released.


Tuesday, October 13

In Australia, RBA vice governor Lowe is to speak.

New Zealand is to release food prices index.

Japan is to publish minutes on recent monetary policy meeting and release data on consumer sentiment and core machinery orders.

In the Eurozone, Germany is to release data on consumer and wholesale prices followed by Zew institute’s report on the business climate.

The U.K. is to release data on consumer, producer and retail prices inflation.


Wednesday, October 14

In Australia, Westpac bank is to publish data on consumer sentiments.

Japan is to release data on producer prices inflation.

China is to release consumer and producer prices index.

In the U.K., employment data is to be released including average wages, movements in employment and unemployment rate.

In the Eurozone, data on industrial production is to be published.

The U.S. is to release data on producer prices, retail sales. Also, the beige book is to be published later of the day.


Thursday, October 15

Australia is to release data on employment including movements in labor and unemployment rate.

Japan is to produce data on industrial production.

IN the U.S., data on consumer price inflation and initial jobless claims are to be released. Later the day, New York state Fed president William Dudley is to speak.


Friday, October 16

In New Zealand, data on consumer price inflation is to be released.

In the Eurozone, data on consumer price inflation and trade balance are to be released.

Canada is to publish data on manufacturing sales.

The U.S. is to round up the week with data on industrial production, JOLTs and consumer expectation index.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
There will be 4 major data out tonight at 8:30 p.m (GMT +8).

1. Monthly Core Retail Sales
Last month: +0.1%
Expected: -0.1%
This month: ?
Direction: Sell EUR/USD if Actual > Expected, Buy otherwise.

2. Monthly PPI
Last month: 0.0%
Expected: -0.2%
This month: ?
Direction: Sell EUR/USD if Actual > Expected, Buy otherwise.

3. Monthly Retail Sales
Last month: +0.2%
Expected: +0.2%
This month: ?
Direction: Sell EUR/USD if Actual > Expected, Buy otherwise.

4. Monthly Core PPI
Last month: +0.3%
Expected: +0.1%
This month: ?
Direction: Sell EUR/USD if Actual > Expected, Buy otherwise.

Please trade carefully and use small leverage. Solforex only provide suggestion on trading strategy but do not hold responsibility if trader suffered loss.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Thursday October 15 2015


The U.S. dollar stays broadly lower
The dollar dropped against other major currencies after slowed data with increased possibility of rate hike delay. In early trading, the producer price inflation was reduced to -0.3%, lower than +0.1% expected and +0.3% in previous month. The shrinkage in producer prices in the U.S. and the recent Chinese producer prices fall at -5.9% brought up concerns toward global deflation. The beige book also mentioned that the manufacturing sector is slowing down despite steady improvement of other sectors in the economy. Thus, interest rate hike became more likely to be delayed and further lowered the dollar.

EUR/USD surges amid slowed retail sales data
In the Eurozone, the industrial production was decreased to -0.5%, below previous month’s data at +0.8% and -0.4% expected. It shortened the euro gaining at some stage but downbeat prices index in the U.S. and China spurred the concerns toward global deflation which increased the possibility for Federal Reserve to delay rate hike decision. Thus, it brought more gains to the euro and later shortened its gains by Richmond Fed president’s statement with optimistic view toward rate hike. The euro gained against greenback 0.83% in late session traded at 1.1469 and overall gained about 1.20% over the last month of trading.

British pound goes higher against greenback amid vague employment data
GBP/USD gained after slightly improved labor data and the dollar index falling. The unemployment rate in the U.K. was lowered from 5.5% to 5.4%. However, the initial jobless claims were increased that it could not be interpreted as it was well improved. GBP/USD pair gained 1.5% in the late session.

Aussie gains despite weaker than expected jobs data
The Australian dollar gained on Thursday despite weaker jobs data. The investors seemed to focus more on drop rate in unemployment. The data showed that job slots fell by 5,100 in September, worse than expected gains of 5,000. But the unemployment rate was improved at 6.2%, better than 6.3% expected. AUD/USD traded at 0.7324, gained 0.34% on Thursday early trading.

Market movements
The emerging market and commodity market currencies generally gained amid increased possibility of rate hike delay by Federal Reserve. South African rand gained 2.46%, New Zealand dollar gained 2.13%, Brazilian real was up 1.96%, Turkish lira went up 1.52% and the Australian dollar gained 0.84%. Overall the dollar was broadly lower, EUR/USD pair gained 0.83%, USD/YEN fell 0.77% and GBP/USD gained 1.50%.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
SOLFOREX WEEKLY NEWS

Edition 26|October 19, 2015

Last week, the U.S. dollar had continued fluctuation amid concerns toward rate hike delay and closed the week with shortened loss. Beginning of the week, dovish statements by state Fed presidents increased the possibility to postpone raising initial interest rate. Federal Reserve vice Chair Stanley also mentioned that rate increase is not more than expectation without a promise, which further weakened the dollar. Later the week, the dollar gained broadly on Friday with bounced expectation that Federal Reserve may still raise rates this year after solid inflation data on Thursday. The dollar rose 0.33% for the day but still closed the week with 0.31% of weekly fall.

Japanese yen showed bullish movements amid the dollar continued up and downs leading preferences toward safe assets due to rising concerns toward rate hike delay. The dollar was higher on Friday with USD/JPY rising 0.46% to 119.43 rebounding from Thursday’s fall but still ended the week down 0.69%.

The euro was broadly higher with expectations that European Central Bank could expand its quantitative easing program. Trade balance in China showed sharp fall in import together with decline in producer price by -5.9%, brought up concerns toward emerging market slowdown and further increased the euro. Data on Friday confirmed that the inflation rate in the Eurozone turned negative in September for the first time since ECB started asset purchasing program in March. EUR/USD traded at 1.1347 in late trade, retreated 0.35% and shortened its loss by closing the week down 0.18%.

The Australian dollar was flat on Monday in early Asia trading amid investors awaiting the latest China’s economic growth data. The industrial output is expected to show 6.0% gain year-on-year in September, while retail sales are expected to gain 10.8%. The data will be closely watched as fears for China-led global economy slowdown is increasing and it could impact on rate hike determination to take longer. AUD/USD traded at 0.7265, slightly down by 0.01% today.


Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.


Monday, October 19

China is to release data on its GDP growth, industrial production, fixed asset investment and retail sales.

In the U.S., housing market index is to be released followed by statements from FOMC Governor Lael Brainard.

Richmond Fed president Jeffrey Lacker is to speak later the day.

Canada is having national election today.


Tuesday, October 20

In Australia, Reserve Bank of Australia is to publish its recent monetary policy meeting minutes.

Germany is to release data on producer price inflation.

In the Eurozone, data on current account will be published.

In The U.K., Bank of England governor Mark Canery is to speak before the Treasury Committee in London.

Canada is to produce wholesale sales data.

The U.S. is to release data on housing starts and building permits.

Later the day, NY state Fed President William Dudley, FOMC Governor Jerome Powell and FOMC Chair Janet Yellen are to speak at an even in New York.


Wednesday, October 21

Australia is to release CB composite leading index.

Japan is to release data on its trade balance

Canada is to release its recent monetary policy meeting minutes and announce its benchmark rate.


Thursday, October 22

In Australia, RBA Governor Edey is to speak.

The U.K. is to publish data on retail sales.

In the Eurozone, ECB is to take monetary policy meeting. Investors will be looking into whether ECB is to scale up its QE program.

Canada is to release data on retail sales.

In the U.S., data on initial jobless claims, housing price index, existing home sales and current account are to be published.


Friday, October 23

China is to publish data on housing price and composite leading indicator.

In the Eurozone, data on PMI manufacturing and service are to be published.

Canada is to release data on consumer price inflation.

The U.S. is to release data on PMI manufacturing sector.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Thursday October 22 2015


Dollar rises slightly after china markets fell
The U.S. dollar turned slightly higher against other major currencies after the China stock prices showed a steep decline. Steep depreciation of Chinese stocks increased concerns toward China-led emerging market slowdown. The steady data on U.S. housing sector supported the dollar’s gains. Especially, it gained more to the emerging markets and commodity related currencies. Greenback and the euro showed consistent up and downs, being almost flat with a slight upward tendency ahead of ECB monetary policy meeting. EUR/USD fell -0.07% in the late trade, settled trading at 1.1345.

Pound falls after BoE governor’s statements
The British pound fell after the Bank of England governor Mark Carney gave speech at a university event about The European Union, monetary and financial stability, and the Bank of England. He specified the role of the central bank, adding that a large adjustment of the UK’s real exchange rate could impact on reflection of the severe headwinds to domestic growth from deleveraging by UK households. Carney’s speech was construed as burdens for rate hike in near future, lowered the pound. GBP/USD fell 0.16%, traded at 1.5444.

The Aussie rebounds on Thursday after NAB survey
The Australian and New Zealand dollars were weaker on Wednesday declining from China-led concerns for shortening in commodity prices and flow. AUD/USD traded at 0.7209, declining 0.69% and NZD/USD fell 0.41% to 0.6723. But the Aussie rebounded in Asia early Thursday, despite NAB’s business confidence survey showing downslope. The quarterly survey fell to flat from +4 in the previous quarter. AUD/USD traded at 0.7218 on Thursday, up 0.12%.

Upcoming events: ECB press conference, FOMC October meeting
Investors will be looking ahead to ECB press conference in Malta today. The ECB’s governing council will conclude its meeting in Malta. The Eurozone inflation fell by 0.1% from its August level, showing its first deceleration of all year. ECB president Draghi said in last month’s meeting that “ECB will use all the instruments within its mandate” to stimulate growth, adding bond buying initiative provides it with sufficient flexibility to adjust the size, composition and duration of the program.
Investors will also be awaiting next week’s FOMC monetary policy meeting for more hints on short-term interest rates lifting decision within the year.

Market movements
Overall, the dollar rose 0.13%, EUR/USD fell 0.07%, USD/JPY gained 0.09% and GBP/USD fell 0.16%. Emerging market currencies and commodity currencies were lower with pressure from China stocks fall and commodity prices drop. South African rand fell 1.70%, Russian ruble fell 1.60%, Mexican peso fell 0.46% and New Zealand dollar fell 0.49%. Australian dollar fell 0.68% on Wednesday late trading, however rebounded slightly on Thursday in Asia.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
SOLFOREX WEEKLY NEWS

Edition 27|October 27, 2015

The U.S. dollar turned lower against other major currencies after slowed U.S. housing data on Monday. New home sales dropped to 468,000 units, far below the expected 549,000 and falling 11.5% from its previous month’s sales at 529,000. The decline seems transitional from deteriorating weather condition in North West region, which limited the dollar’s downward movement. Also, high expectations of hawkish statements in the FOMC meeting this week gave limitation to its further decline.

The euro rebounded against the dollar after falling steeply to 1.0995 on Friday by reaching its lowest level since August. The German IFO reported the business climate index for Germany at 108.2 which was lower than previous month’s figure but it was better than expected index at 107.8. EUR/USD rose 0.38% traded at 1.1033, gaining from its recent weakest level. The gain was only slight due to high expectation of FOMC meeting statements with positive outlook of rate hike in the U.S.

British pound rose against the dollar after greenback index falling by slowed housing data. UK’s CBI industrial order expectation index fell to -17, far below its expected -8 and -7 in previous month. But, the export part rose to -17 from -24 in September, trimmed pound’s loss. The slowed data in U.S. housing sector led the pair changing hands by adding 0.24% but showing limited gains ahead of FOMC meeting.

Japanese yen rose against the greenback with increased arbitrage trades. Recently USD/YEN was high by reaching over 121.5 from increased possibility of quantitative easing program by European Central Bank and the rate cut from central bank in China. But the expectation for Bank of Japan’s improved monetary policy meeting on Friday and the slowed U.S. housing data shortened its gain by falling down to 120.70. The dollar trimmed its loss ahead of FOMC meeting on Thursday.

Elsewhere, the emerging market currencies and commodity related currencies were generally strong despite the oil price drop. South African Rand gained 0.03%, NZ dollar gained 0.54% Australian dollar rose 0.43% and Turkish Lira gained 0.60%. But the oil price drop impacted to Russia and Brazil’s rates, Russian ruble fell 0.98% and Brazilian real lowered by 0.76%.


Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.


Tuesday, October 27

New Zealand is to release data on its trade balance.

The U.K. is to publish preliminary data on its third quarter GDP growth.

U.S. is to release bundle of data on durable goods order, housing prices, PMI service sector and consumer sentiments.


Wednesday, October 28

Japan is to release data on retail sales.

Australia is to publish index on consumer price inflation.

Germany is to release data on import prices.

In the U.S., The Federal Reserve is to announce its benchmark rate and publish rate statements. It will outline economic conditions and rate decision factors for investors.


Thursday, October 29

In New Zealand, The Reserve Bank of New Zealand is to announce its rate decision and give monetary policy meeting statements.

Japan is to produce data on industrial production.

Australia is to release data on import prices.

Germany is to publish data on consumer price inflation and number movements in employment.

U.S. is to release data on third quarter GDP growth and initial jobless claims followed by Atlanta Fed president Lockhart’s statements at an event.

Later the day, figures on pending home sales will be released.


Friday, October 30

Japan is to release data on household spending, inflation and unemployment rate.

New Zealand is to publish a report on its business confidence.

Australia is to release data on producer prices.

In Germany, data on retail sales will be released and GfK is to report on consumer sentiments.

Bank of Japan is to take monetary policy meeting and give press conference on its benchmark rate and economic statements.

Eurozone is to release preliminary data on consumer price inflation and data on unemployment rate.

U.S. is to release data on personal income and spending, Chicago PMI manufacturing data and index on consumer sentiments.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Aussie weakens with slow domestic data

The Australian dollar fell in Asia on Thursday after bundle of data released were in slow pace. HIA new home sales fell -4.0% in September from 2.3% gain in previous month. The export price for the third quarter was flat, under expected gain of 0.5%, also the import price only rose 1.4%, below the 1.6% gain expected. AUD/USD changed hands, traded at 0.7106, falling 0.17%.

Japanese yen gains with strong industrial data

The yen was higher in Asia on Thursday after better than expected industrial output data. The figure rose 1.0% in September, far above the expected fall of -0.5% month on month. USD/JPY traded at 120.74, falling 0.29%.

New Zealand remains at its official cash rate

The kiwi fell against U.S. counterpart on late Wednesday ahead of The Reserve Bank of New Zealand’s decision for its official cash rate. It was expected to be unchanged and the pair fell 0.54%, traded at 0.6727. It was yet higher against the Aussie with AUD/NZD falling 0.35% to 1.0593. The RBNZ did not change the overnight official cash rate at 2.75% as expected. They stated that lower interest rates would be required if the exchange rate remains high.

EUR/USD falls sharply to two-month low

The euro fell sharply against greenback on Wednesday slumping to a new 2-month low after the FOMC meeting decided to hold short-term interest rates in October. However, there were hawkish statements from Federal Reserve members giving strong indication that rate hike cards are still in hand for mid-December’s decision. The hawkish stance led the euro slump to lower against the dollar in five of the last seven sessions. EUR/USD traded at 1.0924, falling 1.09%.
 

limyeeshin

Master Trader
Aug 12, 2015
151
0
57
Singapore
www.solforex.com
Edition 28|November 2, 2015


The euro was weak against the dollar on Friday after Federal Reserve indicated possibility for interest rate hike in December at the FOMC meeting. Data in Eurozone showed slight improvements, consumer price index ticked up to zero after falling 0.1% in September and unemployment rates ticked down to 10.8% in September from 10.9% in previous month. However, the energy costs were still low and the improved data eased pressure on ECB to expand its QE program. The euro was also weak against the yen with EUR/JPY touching lows of 132.26 before settling at 132.69.

The U.S. dollar also fell against other major currencies by investors trying to take profit advances in the wake of a rally. Also later the week, data in U.S. was slowed with disappointing GDP growth rate in the third quarter and shrinkages in prices that shortened the euro’s downward gap against greenback. The prices for consumer spending dropped 0.1%, the first drop since January.

BhbNUFv.jpg


The dollar fell 0.38% in the late trade with 0.23% fall of the week. USD/JPY fell to lows of 120.29 on Friday and GBP/USD gained 0.76% trading at 1.5426. AUD/USD traded at 0.7135, up 0.87% and NZD/USD gained 1.3% to 0.6780.

Bank of Japan lowered its growth and inflation outlook at its monetary policy meeting. It fueled expectations that it might increase monetary stimulus program next month, led the yen bullish. The yen further gained in early Asia on Monday, USD/JPY traded at 120.51, down 0.10%.

Commodity linked Australian and New Zealand dollar were boosted by higher oil prices. New Zealand dollar was higher after data on NZ business confidence showing improvements for second straight month in October. But the Australian dollar fell on Monday early trading ahead of survey release as investors found downtrend data in China that Australia trades are highly related to. The official manufacturing PMI for October in China released on Sunday, showing flat at 49.8, below the 50 level. AUD/USD changed hands at 0.7123, falling 0.19%. In Australia, surveys on manufacturing, inflation and building approval data are to be released on Monday.
In the week ahead, investors will be looking ahead to Central bank announcements in Australia and U.K. Also Friday’s U.S. employment can indicate the strength of the economy for the rate decisions.

Weekly Events and Forecasts
Ahead of the coming week, Solforex has compiled a list of these and other significant events likely to affect the markets.

Monday, November 2
In Australia, figures on building approvals and surveys on manufacturing and inflation are to be released.
Japan is to release index for PMI manufacturing.
Caixin PMI manufacturing data is to be released in China.
In the Eurozone, PMI manufacturing index are to be published.
The UK is to publish manufacturing data.
In the US, the ISM is to report on manufacturing activity.

Tuesday, November 3
Markets in Japan are shut for its national holiday.
In Australia, Bank of Australia is to hold monetary policy meeting and announce its benchmark rate with monetary statements.
Spain is to release data on movements in employment.
The UK is to publish PMI index for construction.
The US is to release data on factory orders and auto sales.
The ECB governor Mario Draghi is to speak later of the day.

Wednesday, November 4
New Zealand is to release quarterly employment report.
Australia is to release data on retail sales and its trade balance.
In China, Caixin data on service sector is to be published.
Eurozone is to release data on service sector and producer prices.
The UK is to also report on service activity.
The US is to publish ADP report on its employment and its trade balance. Fed Chair Janet Yellen is to testify on bank regulation at the House Financial Services Committee in Washington later the day.

Thursday, November 5
Reserve Bank of Australia governor Glenn Stevens is to speak at an event in Melbourne.
Japan is to release minutes on its recent monetary policy meeting.
Bank of England is to hold monetary policy meeting and announce its benchmark rate with statements. The bank is also to report on its quarterly inflation.
In the US, data on initial jobless claims and preliminary figure on labor costs are to be released.

Friday, November 6
Reserve Bank of Australia is to release minutes on its monetary policy meeting.
Germany is to release data on industrial production.
France is to report on its trade balance.
The UK is to release bundle of data on manufacturing activity, trade balance and industrial production.
Canada is to publish data on movements in employment, unemployment rate and building approvals.
The US is to report on employment and consumer sentiments.