USDJPY stays in a trading range between 91.60 and 94.68

USDJPY stays in a trading range between 91.60 and 94.68. Lengthier consolidation in the range is still possible in a couple of weeks. As long as 91.60 support holds, we’d expect uptrend from 88.14 to resume and another rise towards 100.00 could be seen after breaking above 94.68 resistance. However, a breakdown below 91.68 will indicate that the rise from 88.14 has completed at 94.68 already, then deeper decline could be seen to 89.00-90.00 area.

For long term analysis, USDJPY is in bullish movement from 84.82, further rise towards 100.00 could be seen in next several weeks.

usdjpy

Weekly Forex Analysis

Forex Daily Market Commentary

By GCI Forex Research

Fundamental Outlook at 1400 GMT (EDT + 0400)

The euro appreciated sharply vis-à-vis the U.S. dollar today as the single currency tested offers around the US$ 1.3340 level and was supported around the $1.3225 level. Risk appetite returned today with traders speculating German politicians will approve a financial rescue package for Greece, a country that will need an estimated €120 billion over the next three years.  Dealers also moved into higher-yielding assets following strong quarterly corporate earnings reports.  Many data were released in the U.S. today.  First, Q1 gross domestic product growth came in at an annualized +3.2%, down from the prior reading of +5.6%.  Second, the April Chicago purchasing manager index improved to 63.8 from the prior reading of 58.8.  Third, final April University of Michigan consumer sentiment printed at 72.2, up from the prior reading of 69.5.  Notably, personal consumption expanded 3.6%, up from the prior reading of 1.6%.  Economists are still talking about the Obama administration’s decision to nominate three apparent monetary doves to the Federal Reserve Board and its impact on policy and the U.S. dollar.  In eurozone news, EMU-16 April consumer price inflation printed at 1.5% y/y while the March EMU-16 unemployment rate printed at 10.0%.  Also, French March consumer prices were up 0.6% m/m and 2.0% y/y.  Eurozone finance ministers are likely to convene on Sunday to discuss Greece’s situation.  Euro bids are cited around the US$ 1.3175 level.

¥/ CNY

The yen depreciated vis-à-vis the U.S. dollar today as the greenback tested offers around the ¥94.60 level and was supported around the ¥93.90 level.  Bank of Japan kept monetary policy unchanged overnight and reported it will help lenders provide credit, possibly using methods from 1998-1999 when lenders gave cash to lenders to address the credit squeeze.  The headline overnight unsecured call rate target remains at 0.1%. BoJ Governor Shirakawa directed the central bank to stimulate lending “with a view to strengthening the foundations for economic growth.” He added “The government is also trying to map out an economic growth strategy, and the Bank of Japan hopes to give a boost to such efforts with new policy measures.” Many data were released in Japan overnight.  First, April manufacturing PMI improved to 53.5 from 52.4.  Second, March overall household spending grew 4.4% y/y, up from the prior reading of 0.5% y/y.  Third, the March jobless rate ticked higher to 5.0% from the prior reading of 4.9%.  Fourth, April Tokyo-area consumer price inflation was off 1.5% y/y at the headline level, up from the revised prior reading of -1.7%.  The April ex-food and energy component was off 1.4%, lower than the prior reading of -1.2%.  Fifth, March national consumer price inflation was off 1.1% y/y at the headline and ex-food and energy levels.  Sixth, March industrial production was up 0.3% m/m and 30.7% y/y.  Seventh, March labour cash earnings were up 0.8% y/y, up from the prior reading of -0.7% y/y. Eighth, March housing starts improved to -2.4% y/y with annualized housing starts printing at 854,000.  Ninth, March construction orders were up 42.3% y/y.  Collectively, today’s data evidence an improving economy that is mired in a deflationary spiral and the central bank’s enhanced rhetoric today reflects that dichotomy.  The new forecast for inflation suggests deflation will end during the next fiscal year with CPI at +0.1%.  The Nikkei 225 stock index climbed 1.21% to close at ¥11,057.40.  U.S. dollar offers are cited around the ¥96.85 level.  The euro moved higher vis-à-vis the yen as the single currency tested offers around the ¥125.95 level and was supported around the ¥124.30 level.  The British pound moved higher vis-à-vis the yen as sterling tested offers around the ¥145.20 level while the Swiss franc moved higher vis-à-vis the yen and tested offers around the ¥87.85 level. In Chinese news, the U.S. dollar depreciated vis-à-vis the Chinese yuan as the greenback closed at CNY 6.8253 in the over-the-counter market, down from CNY 6.8260.  China yesterday reduced its quota for short-term overseas borrowing this year to US$ 32.4 billion, 1.5% less than last year’s pace on account of yuan appreciation.  People’s Bank of China is expected to revalue its yuan currency at any time.  Data to be released in China tonight include April PMI manufacturing.

£

The British pound depreciated vis-à-vis the U.S. dollar today as cable tested bids around the US$ 1.5280 level and was capped around the $1.5390 level.  Data released in the U.K. today saw April GfK consumer confidence worsen to -16 from the prior reading of -15.  The Tories’ candidate, David Cameron, won yesterday’s final debate against Liberal Democratic candidate Clegg and Labour’s Prime Minister Brown.  The General Election will take place on 6 May and Cameron is expected to win but Parliament may be hung.  Cable bids are cited around the US$ 1.5030 level.  The euro depreciated vis-à-vis the British pound as the single currency tested bids around the £0.8625 level and was capped around the £0.8725 level.

CHF

The Swiss franc appreciated vis-à-vis the U.S. dollar today as the greenback tested bids around the CHF 1.0745 level and was capped around the CHF 1.0845 level.   Data released in Switzerland today saw the April KOF Swiss leading indicator improve to 1.99 from the prior revised reading of 1.96.  Swiss National Bank President Hildebrand said the SNB will continue to counter any “excessive” gains of the franc, noting there would be a “negative impact” if the franc appreciates “sharply due to its role as a safe haven currency.”  Hildebrand noted the SNB “will not allow such a development to turn into a new deflation hazard” and is “acting decisively to prevent an excessive appreciation.”  Hildebrand also called on European leaders to conclude negotiations over Greece’s aid package “rapidly.” U.S. dollar offers are cited around the CHF 1.0930 level.  The euro moved lower vis-à-vis the Swiss franc as the single currency tested bids around the CHF 1.4335 level while the British pound depreciated vis-à-vis the Swiss franc and tested bids around the CHF 1.6435 level.

Forex Daily Market Commentary provided by GCI Financial Ltd.

GCI Financial Ltd (”GCI”) is a regulated securities and commodities trading firm, specializing in online Foreign Exchange (”Forex”) brokerage. GCI executes billions of dollars per month in foreign exchange transactions alone. In addition to Forex, GCI is a primary market maker in Contracts for Difference (”CFDs”) on shares, indices and futures, and offers one of the fastest growing online CFD trading services. GCI has over 10,000 clients worldwide, including individual traders, institutions, and money managers. GCI provides an advanced, secure, and comprehensive online trading system. Client funds are insured and held in a separate customer account. In addition, GCI Financial Ltd maintains Net Capital in excess of minimum regulatory requirements.

DISCLAIMER: GCI’s Daily Market Commentary is provided for informational purposes only. The information contained in these reports is gathered from reputable news sources and is not intended to be U.S.ed as investment advice. GCI assumes no responsibility or liability from gains or losses incurred by the information herein contained.

US GDP increases by 3.2 percent in First Quarter

By CountingPips.com

The U.S. economy expanded in the first quarter of 2010 as consumer spending rose by the most since 2007, according to a release by the U.S. Commerce Department. The first “advance” government estimate showed that the U.S. Gross Domestic Product grew on an annualized basis by 3.2 percent in the January to March quarter following a real 5.6 percent growth rate in the fourth quarter of 2009.

This marked the third straight quarter of U.S. economic growth after the GDP had fallen for four straight quarters over the second half of 2008 and the first half of 2009.

Market forecasts were expecting GDP growth to expand by 3.3 percent for the quarter.

Consumer spending was the key driver of growth in the quarter and rose by 3.6 percent following an increase of 1.6 percent in the fourth quarter. Consumer spending makes up roughly two-thirds of U.S. economic activity and the first quarter increase was the largest advance since the first quarter of 2007.

Exports of goods and services grew by 5.8 percent in the first quarter following a gain of 22.8 percent in the fourth quarter of 2009. Imports rose by 8.9 percent after a fourth quarter rise of 15.8 percent.

Also contributing to the economic expansion was an increase in spending on durable goods. Durable goods purchases increased by 11.3 percent in the quarter following a 0.4 percent increase in the fourth quarter. Business investment in equipment and software also rose by 13.4 percent for the quarter as business inventories showed an increase for the quarter.

The second release for the U.S. GDP is scheduled for May 27, 2010 at 8:30 A.M. EDT.

S&P Futures Fight to Hold 1200

By Fast Brokers – The S&P futures are off intraday lows and are fighting to stay above their highly psychological 1200 level as equities battle disappointing GDP data and more negative news concerning Goldman.  Advance GDP printed a couple basis points below analyst expectations, adding onto yesterday’s discouraging unemployment claims release.  However, the Chicago PMI and UoM Consumer Sentiment releases both topped estimates, smoothing out negativity stemming from other economic data.  Hence, we can deduct that a predominant amount of the S&P’s weakness this morning stems from the Goldman news.  The SEC announced it is investigating Goldman’s trading arm, the second investigation announced this month as America’s iconic financial firm comes under the crosshairs of regulators.  Goldman shares are feeling the heat and are in the red by over -8% right now.  However, the Goldman news may just have a temporary impact on the equity markets and attention should turn right back to the EU soon.  Although an EU resolution for Greece is still up on the air, we can assume some form of action is pending.  Investors are taking a wait and see approach to determine whether the announced austerity/financial aid processes will be deemed sufficient to help Greece avoid a fiscal collapse.  Meanwhile, investors should keep an eye out for China.  The SCI continues to drift below its 3000 mark the China will slip in manufacturing PMI data during tomorrow’s May holiday.  Therefore, China could return to the news wires soon and we wouldn’t be surprised to hear Yuan chatter pick up again.  The U.S. will release its manufacturing PMI figure on Monday as well, meaning U.S. equities may be rather active as the trading week kicks off.  In the meantime, the highly psychological 1200 area could prove to be a highly contested battle ground.

Price: 1204.09
Resistances: 1204.36, 1206.97, 1209.81, 1212.87, 1215.49
Supports: 1201.30, 1199.12, 1197.37, 1194.97, 1192.13, 1190.61
Psychological: 2010 highs, 1200

(click chart to enlarge)

Market Commentary provided by Fast Brokers.

Disclaimer: FastBrokers’ market commentary is provided for information purposes only and under no circumstances should be regarded neither as an investment advice nor as a solicitation or an offer to sell/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.

Risk Disclosure: There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.

AUD/USD Battles with April Highs

By Fast Brokers – The AUD/USD is continuing its wild, volatile consolidation pattern while exhibiting a slight downward bias.  The SEC’s announcement that it is investigating Goldman’s trading operations has resulted in a broad based pullback in the risk trade, and the Aussie is no exception.  The AUD/USD has now set consecutive lower highs (4/12, 4/14, 4/21. 4/30).  Hence, the AUD/USD doesn’t seem to have the strength to break out into a new uptrend due to fiscal problems in the EU.  However, the AUD/USD continues to rally strong and stay within striking distance of previous April highs since the RBA still has the most aggressive monetary policy stance around the globe.  On the other hand, should fiscal problems in the EU continue and destabilize further then the RBA may be inclined to keep its monetary policy unchanged come May’s meeting.  After all, Stevens recently hinted that the benchmark rate has almost reached a fair value, signaling that the rate hike campaign could have an end in sight.  Australia will reenter the data wire tomorrow by releasing new home sales and private sector credit figures.  Should new home sales cool and private sector credit tighten, this could show that the RBA’s hawkish monetary policy is having its desired impact, an Aussie negative.  On the other hand, of the data points print strong then the Aussie should remain locked into its uptrend.  Attention will then shift to the U.S. with a key data set on the way, highlighted by advance GDP.  That being said, the trading week could end on an active note.

Technically speaking, the Aussie faces technical barriers in the form of intraday, 4/26, 4/21, 4/15 and 4/12 highs.  Additionally, the psychological .93 and .94 levels could serve technical obstacles over the near-term.  As for the downside, the Aussie has multiple uptrend lines serving as technical cushions along with intraday and 3/22 lows.

Price: .9303
Resistances: .9311, .9319, .9331, .9340, .9351, .9359
Supports: .9300, .9291, .9283, .9273, .9259, .9251
Psychological: .93, .94, .92, April highs and lows

(click chart to enlarge)

Market Commentary provided by Fast Brokers.

Disclaimer: FastBrokers’ market commentary is provided for information purposes only and under no circumstances should be regarded neither as an investment advice nor as a solicitation or an offer to sell/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.

Risk Disclosure: There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.

Forex Trading – Is it all over for the Euro? EUR/USD Analysis

By Adam Hewison – Things have been bad in Europe recently. Between the travel restrictions due to the volcano and ash, as well as Greece not wanting to conform to strict fiscal policies, problems are adding up and adding weight onto the euro.

It is interesting to note that in the beginning of 2010, everyone was bearish on the dollar. Looking at the market action alone we could see that the dollar has done very well vis-à-vis the euro. This is where technical analysis shines as it is an unbiased viewpoint of the collective wisdom of all market participants.

In this new video I show you how you can trade the euro/USD cross using our “Trade Triangle” technology and come out of winner no matter what happens to Greece, Portugal, or Spain.

Watch the New Video Now…

As always you can watch our videos without registration and there are no fees involved.

Enjoy the video.

All the best,
Adam Hewison
President, INO.com
Co-creator, MarketClub

Forex Traders Reduce Pressure on the Euro

Source: Forex Yard

The euro continued to climb higher during the European trading session after Greece agreed to new austerity measures ahead of a bailout package. This helped to raise investor confidence and spurred buying of the euro and selling of the dollar.

The EUR/USD rose to a high of 1.3327 after an opening price of 1.3252. The euro was also higher against the yen as the EUR/JPY rose to 125.79 after opening the day at 1.2453.

Greece agreed to budget cuts that would amount to $30 billion following a wage freeze of public workers along with cuts to public pensions. More austerity measures should be expected should Greece accept funds from the IMF.

As a bailout package is hashed out between Greece, the EU and the IMF, the euro could continue to appreciate. Positive comments came from both the EU and the IMF addressing the necessary size of the bailout package to soothe market worries. However, should German opposition parties succeed in delaying an approval of a bailout, the euro may fall towards its low for the week. The next major support for the EUR/USD rests at the 1.3080.

Forex Market Analysis provided by Forex Yard.

© 2006 by FxYard Ltd

Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.

Forex Market Review 30/04/2010

By Finexo.com

Past Events:
• EUR German Unemployment Change out at -68, versus expected -11K, prior -42K(revised up)
• EUR M3 Money Supply y/y out at -0.1%, versus expected -0.1%, versus -0.3%
• USD Unemployment Claims out at 448K, versus expected 442K, prior 459K
• GBP Consumer Confidence out at -16 versus expected -14, prior -15
• JPY Overnight Call Rate out at 0.10%, versus expected 0.10%, prior 0.10%
• JPY Household Spending y/y out at 4.4%, versus expected 0.7%, prior -0.5%
• JPY Tokyo Core CPI y/y out at -1.9%, versus expected -1.2%, prior -1.2%
• JPY Average Cash Earnings y/y out at 0.8%, versus expected -0.2%, prior -0.6%
• JPY Prelim Industrial Production m/m out at 0.3%, versus expected 0.9%, prior -0.6%
• JPY Unemployment Rate out at 5.0%, versus expected 4.9%, prior 4.9%
• AUD HIA New Home Sales m/m out at 0.9%, versus prior -5.2%
• AUD Private Sector Credit m/m out at 0.5%, versus expected 0.4%, prior 0.4%

Upcoming Events:
• EUR CPI Flash Estimate y/y (1000GMT)
• EUR Unemployment rate (1000GMT)
• CHF KOF Economic Barometer (1030GMT)
• CAD GDP m/m (1330GMT)
• CAD RMPI m/m (1330GMT)
• USD Advance GDP q/q (1330GMT)
• USD GDP Price Index q/q (1330GMT)
• USD Unemployment Cost Index q/q (1330GMT)
• USD Chicago PMI (14455GMT)
• USD Revised UoM Consumer Sentiment (1455GMT)

Market Commentary:
The euro rose on Thursday, rebounding from a one-year low the previous day on hopes a bail-out plan for debt-stricken Greece would be finalized soon. Gains were limited, however, as details of the Greece package were thin, leaving uncertainties about the timing and implementation of any deal.

Germany’s largest opposition party said it would move quickly to approve German participation, while European Union Economic and Monetary Affairs Commissioner Olli Rehn said the European Union should complete talks “within days”. However, Rehn said he still could not provide details of the deal, which he said were “conditional on fiscal consolidation.”

Mr. Rehns speech he emphasis on “a multi annual program” has helped provide comfort to markets amid fears that the initial plan for a 45 billion euro package would only help meet Greece’s borrowing needs through the current year. IMF officials have reportedly indicated the package could total between €100 billion to €120 billion.
Greek and other peripheral Euro-Zone bond markets rebounded amid the comments and also took relief from a well-received auction of Italian government debt, the first test of the credit markets by a southern euro-zone country since this week’s downgrades of credit ratings for Greece, Portugal and Spain.

The International Monetary Fund and European Union are pressing Greece to take extra austerity measures that could yield more than €20 billion a year as a precondition for financial assistance. These new austerity terms, which could range from pension overhauls to wage cuts, come at the end of two weeks of talks between the visiting IMF negotiator, the European Central Bank and the European Commission. The IMF and the EU have said that they hope to reach an agreement with Greece on its budget deficit by the weekend, in order to pave the way for financial assistance for the debt-stricken nation.

During the European trading session, the EUR rose 0.4% against the USD to hit a high of $1.327771. It was comfortably above a one-year low of $1.311231 it hit on Wednesday after Standard & Poor’s cut Spain’s credit rating by one notch, a day after downgrades to both Greece and Portugal. The Euro closed at $1.32632, up 0.40% from its opening price of $1.32105.

Yesterday report showing that European confidence in the economic outlook improved to its highest level in two years as well as German unemployment fell signaling that the euro-area recovery is strengthening even as Greece’s fiscal crisis spreads across the region.

An index of executive and consumer sentiment in the 16 euro nations rose to 100.6 in April from a revised 97.9 in March, the European Commission in Brussels said yesterday; while in Germany, Germany’s unemployment rate fell to 7.8% in April from 8.0% in March, exceeding market expectations that it would not be able to repeat last month’s move. The net change in unemployment for Germany was -68,000 in April, versus an expected -11,000 – marking the largest drop since February 2008. Germany’s unemployment levels are now at their lowest levels since January 2009.
Yesterday, the Euro rose during the Asian session to 0.87319 against the British Pound reaching the highest price in a week. The EUR/GBP retreated later losing today’s gains and fell to 0.86631 (session low). During the European session regained the upside but failed to hold above 0.8700. The pair closed at 0.86271, down 0.71% from its opening price.

This morning, Eurostat will simultaneously release the unemployment rate and Flash CPI for the entire continent. Unemployment levels for the EU have been hovering around 10.0% for the past few months, and the market expects a repeat of the same this time. On the other hand, inflation has been picking up slowly, and the flash CPI is expected to show an annual rise of 1.4%, exactly like last month and the highest level since end of 2008. In inflation levels continue to rise, the ECB may be forced to alter their firm stance on holding interest rates for “an extended period”.

The number of U.S. workers filing new applications for unemployment insurance fell slightly less than expected last week, government data showed on Thursday, implying only a gradual labor market improvement. In a report, the U.S. Labor Department said there were a seasonally adjusted 448,000 initial claims for unemployment benefits in the week ended April 24, down from 459,000 such claims during the preceding week, whose figure was revised up from 456,000. Economists had expected last week’s figure to come in at 440,000. Following the release of the data, the U.S. dollar was down against the euro, with EUR/USD gaining 0.34% to reach 1.3266.

Later today, the Bureau of Economic Analysis will release the advanced quarter GDP for the first quarter of this year. After a very strong fourth quarter last year (5.6% growth), which was not accompanied by the same recovery in jobs, economists expect the Q1 the show slower growth. An annual rate of 3.4% is predicted – expect substantial boost in the value of the U.S Dollar if the number comes in better than forecasted.

The Bank of Japan pledged to help lenders provide credit after reports showed the economic recovery isn’t yet strong enough to overcome deflation.  The policy board held the benchmark interest rate at 0.1% and left unchanged a credit program for lenders, which it doubled to ¥20 trillion ($213 billion) last month. “Members shared the view that it was necessary for the bank to make new efforts” to spur the economy, the statement said.

Governor Masaaki Shirakawa instructed staff to examine “ways to support private financial institutions in terms of fund provisioning with a view to strengthening the foundations for economic growth,” the bank said in a statement today. Today’s decision came hours after government figures showed consumer prices slid for a 13th month in March, even as household spending, wages and factory output all gained.

Also out last night, the Japanese Bureau of Statistics reported that Consumer prices excluding fresh food fell 1.2% in March from a year earlier, the 13th straight decline. Other reports showed the export-led recovery is beginning to spread to the domestic economy. Household spending rose 4.4%, the biggest gain since May 2004, and wages advanced for the first time in 22 months. Industrial production climbed 0.3% in March from February, when output declined for the first time in a year.

“The economy’s recovery is steadily continuing,” said Hiroshi Miyazaki, chief economist at Shinkin Asset Management Co. in Tokyo. Even so, “deflationary pressures are still deep- seated in the economy,” he said.
While job prospects improved in March, as the unemployment rate unexpectedly rose to 5% as college graduates entered the labor market- the market had expected it to hold steady at lasts months 4.9% rate.
There was little fluctuation in the price of the Yen following these announcements. The USD/JPY, which opened at 93.999, struck of 94.167, to then fall to 93.882.

Forex Market Review & Analysis by Finexo.com

Disclaimer: Trading the foreign exchange (Forex) carries a high level of risk, and may not be suitable for all investors. All information and opinions contained on this website are to be used for general informational purposes only and do not consitute investment advice.

NASDAQ 100 Has Potential to Reach 2,060 Points

By Yan Petters – After going through a technical correction, the Nasdaq 100 looks to resume the bullish trend. The index dropped to 1,990 points recently, yet promptly bounced back up to 2,040 points where it’s currently standing. As the trend continues, the index seems to have potential to reach 2,060 points.

• The chart below is the NASDAQ 100 4-hour chart by ForexYard.
• The technical indicators used are the Bollinger Bands, the Slow Stochastic, the MACD and the Relative Strength Index (RSI).
• There is a very clear bullish trend which was initiated at the 1,960 points.
• A bullish cross of the MACD suggests that the bullish trend has more steam in it.
• The Slow Stochastic continues to float above the 80 line, further indicating that the bullish trend has more room to go.
• The next significant resistant level is placed at the 2,060 points, which means that the Nasdaq 100 has potential to reach this level soon.
• If the index will fail to breach through the 2,060 level, it is likely to drop back down towards the 2,040 level.

Forex Market Analysis provided by Forex Yard.

© 2006 by FxYard Ltd

Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.

U.S. Advanced GDP in Focus for Today’s Forex Trading

By Ashley Smith – The most interesting news releases today will be coming from the U.S. However, developments regarding the Greek bailout plan remain the most important driving force behind market trends. Without significant development, the EUR will not be able to sustain its recent rally and may again fall towards the 1.3100 level

Advance GDP – 12:30 – USD

The earliest release of the GDP data and thus tends to be the most important. As inventors eagerly await the Federal Reserve to start tightening monetary policy and start raising interest rates, a strong growth number will likely boost the expectation of that happening sooner than later and will prove supporting for the Dollar.

Chicago PMI – 13:45, Revised UoM Consumer Sentiment – 13:55

These are indicators of consumer as well as producer sentiment and outlook which is important in order to gauge the economic recovery progress. Better than expected result will intensify investor’s expectations of an impending interest rate hike, thus boosting the USD.

Forex Market Analysis provided by Forex Yard.

© 2006 by FxYard Ltd

Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.