Post Tagged with: "Inflation"
More Strong Vigilance? ECB Preview
The ECB is expected to leave the interest rate unchanged after the hike last month. The big question is which code words will Jean-Claude Trichet use at the press conference. Here are three factor pushing for a hawkish stance, and three factors pushing for a dovish one. ECB Preview. After two years, the European Central
FOMC Statement Fails To Lift Dollar
The FOMC Statement contains no surprises. There’s no mention of what will happen after QE2 ends. Without a clear commitment to stop printing dollars, the greenback slides against other currencies, but ranges aren’t broken, as the market awaits the press conference. EUR/USD is at 1.47, USD/JPY stops the rally it had earlier in the day,
AUD/USD: Trading the CPI Release
The quarterly release of Australia’s CPI will be a major market mover for AUD/USD on any result. Here are the details about this highly anticipated release and 5 possible scenarios for the outcome and the expected reaction in AUD/USD. Indicator Background Australian Consumer Price Index will be released on Wednesday, April 27th, at 1:30 GMT.
Bernanke to Weigh on Dollar? FOMC Preview
The upcoming FOMC meeting holds high expectations towards the end of the QE2 program. Bernanke, who will meet the press, is likely to supply more reasons to sell the dollar. FOMC Preview with 3 scenarios for the first ever press conference that will accompany it. This meeting of the FOMC on April 27th, will be
AUD/USD: Trading the PPI Release
Australia’s quarterly release of its Producer Price Index is due on April 21st, at 1:30 GMT. The frequency of this release in a world of rising inflation makes it of high importance, no matter the outcome. Here are the details and 5 scenarios for the outcome and AUD/USD reaction. Indicator Background Contrary to most countries,
Obama bites the fiscal bullet
In arguably his strongest endorsement yet of the crying need to address America’s fiscal obesity, President Obama last night outlined his plan to reduce the cumulative fiscal deficit by $4trln over the next 12 years. In order to achieve this deficit reduction, the President envisages spending cuts outweighing tax increases by a ratio of 3:1.
British Inflation Takes a Breather – GBP/USD Drops Under Support
The British Consumer Price Index eased to an annual pace of 4%, significantly weaker than expected . Early expectations stood on an unchanged pace of 4.4%. GBP/USD is losing ground as the rate hike could be pushed back. Also other related figures fell below expectations: Core CPI fell from 3.4% to 3.2%. The Retail Price
Markets calmer but doubts abound
It felt that markets were desperately trying to put the past couple of weeks behind them during Tuesday, with some proving to be more successful than others. The biggest snap-back has been in underlying volatility, with the VIX equity volatility index pushing back towards to within a whisker of the 20 level, above which it
British Inflation Rages – Pound Leaps
Britain’s inflation accelerated significantly and leaves less room for wait regarding the rate hike. The 4.4% annual price rise sends GBP/USD higher. The consumer price index (CPI) in the UK was expected to rise from an annual rate of 4% reported last month to 4.2%. CPI, already above the government’s 1-3% range in the past
G7 has all to play for
Last night’s decision by the G7 to intervene to prevent the Japanese yen from strengthening is both intelligent and necessary. At a time when the major advanced economies are still concerned about the sustainability and durability of their recoveries (with the exception of Germany), Japan’s tragic misfortunes will undoubtedly hobble the economy for some time