USD/JPY – Yen Edges Lower, Fed Rate Statement Looms

The Japanese yen has edged lower, as the yen continues to show limited movement. USD/JPY is slightly below the 106 line. On the release front, Japanese Revised Industrial Production slipped to 0.5%, within expectations. In the US, today’s highlights are Core Retail Sales and Retail Sales. The estimate for both reports stands at 0.4%.
USD/JPY continues to show little movement, but the yen has recorded strong gains against the euro and the British pound. EUR/JPY and GBP/JPY are at 3-year lows, in response to continuing uncertainty over the Brexit referendum, as the “Leave” camp has gained strength in recent polls.

Aussie Edges Lower as Australian Business Confidence Softens

The Australian dollar has posted small losses on Tuesday, continuing the lack of activity which marked the Monday session. The pair is trading at 0.7360 in the North American session. On the release front, Australian NAB Business Confidence dipped to 3 points. Later in the day, Australia releases Westpac Consumer Sentiment. In the US, Core Retail Sales matched the forecast with a gain of 0.4%, while Retail Sales edged above the forecast, climbing 0.5%. On Wednesday, the Federal Reserve will release its rate statement, with the markets expecting no change to interest rate levels.

Pound Sterling US Dollar Exchange Rate Forecast GBP USD to Drop on Strong US Jobs Data

Euro Rallied Yesterday following Shock ECB Decision

The euro (currency : EUR) stole the limelight in the global currency markets yesterday afternoon, as the latest European Central Bank policy announcement saw President Mario Draghi announce a distinctly underwhelming set of monetary policy alterations. 

Hawkish Yellen Improves Fed December Rate Hike Predictions

However, thing are different, very different, on the other side of the Atlantic. Draghi’s US counterpart, Federal Reserve Chair Janet Yellen, made some eyebrow-raising comments to Congress shortly after the Italian moneyman had left the stage. 

Euro continues along the same trajectory

The euro managed to hold its own on Wednesday, with most of the news in the arena coming from elsewhere. Against its two major currency pairs, the single currency remained around the same level as Tuesday. Against sterling it strengthened due to poor manufacturing data from the UK but these gains were eradicated in the afternoon; compared to the US dollar it weakened slightly in the morning, amid fresh hopes for easing measures by the Bank of China were looking more likely.

With the week remaining muted for the euro, this morning we had very weak industrial production from France – showing a 0.8% drop, when 0.3% growth had been anticipated.

US DOLLAR RISES AS GERMAN AUCTION CONFİRMED PROBLEMS OF EU

The US dollar rose today as the German bond auction could be considered a disaster, fueling fears of the European debt contagion, while the US economy showed the signs of recovery.

Germany auctioned its debt today and missed its maximum target by 35 percent, sending yield higher and reinforcing the negative outlook for the future of the European economy. Economists explained that the bad outcome of the auction doesn’t mean that the German economy is bad, but rather shows that investors are reluctant to deal with any European economy, even such powerful as Germany. The fundamental data from Europe was mixed today, making it hard to asses the state of Europe’s economic health.

POUND REMAİNS WEEK AS CONFİDENCE REACHES RECORD LOW

The Great Britain strengthened a little yesterday as the retail sales rose last month, but the currency hasn't been able to retain its upward momentum and currently moves without a clear direction.

The volume of the UK retail sales increased 0.6 percent in October from September, following the 0.5 percent increase in the preceding month. That’s much better than market expectations of a 0.2 percent drop. The value of the sales rose 0.7 percent. The report noted that small stores performed better than larger ones.

RİNGGİT REMAİNS LOWER EVEN AS RİSK AVERSİON EASES

The Malaysian ringgit remains down on today’s trading session even as good news from Europe eased risk aversion sentiment among Forex traders.

Pessimism ruled the Forex market at the start of the session as Spain’s borrowing costs surged.

EURO: THE ENDLESS PIT IN 2010

The euro has just touched a new record low for 2010 versus the greenback and the yen on speculations that Greece will suffer its first credit downgrade this year, which would follow the two previously suffered last year as the southern European nation started to agonize with its growing budget deficits.

CANADIAN DOLLAR RALLIES AS ECONOMIC SYSTEM EXPANDS, RETREATS

The Canadian dollar rose yesterday as economy expanded, following a period of contraction. Yet the currency retreated today amid fears concerning a potential US government shutdown.

Canadian gross domestic product grew 0.6 percent in July, matching traders’ expectations. The economy shrank 0.5 percent in June. The report was definitely positive for the loonie, so it is not a surprise that the currency has rallied.

DOLLAR ENDS RALLY ON INTEREST RATES COMMENTS

After gaining since the beginning of this trading session on speculations that a robust U.S. economy would provide grounds for borrowing costs to rise in the following months, the dollar slid as government officials stated otherwise.

EURO RECEIVES AID FROM IMPROVED MORALE

Euro is getting a little help today, thanks to improved morale in the eurozone. Even though the 17-nation currency is struggling against the US dollar, the euro is higher against some of its other major counterparts. There is a lot for Forex traders to think about as this week draws to a close.

CANADIAN DOLLAR ADVANCES ON GDP FIGURES

After Canada posted positive quarterly gross domestic product figures, the national currency benefited on the economic outlook and optimism, advancing versus most of the 16 main traded currencies in foreign-exchange markets.

MEXICAN PESO UP AS STOCKS HIT RECORD HIGH

The Mexican currency had a winning performance versus several important currencies as stocks rallied on speculations that the Latin American economy will recover faster than other emergent markets.

DOLLAR RISE ON U.S. STOCKS DECLINE

After a very sharp fall versus the euro and high-yielding currencies, the dollar gained today as equities markets, specially in the U.S. ended a rally that started in the beginning of the week with renewed optimism regarding the Dubai debt.

AUSSIE DOLLAR ROCKETING ON RATES HIKE

The Australian dollar rose versus most of the 16 main traded currencies as interest rates were once again raised in the country, making the Aussie currency one of the most attractive investment in foreign-exchange markets this year.

Dollar Slumps After Jobs Miss and Other Top Forex News.

The U.S. dollar fell against most of its rivals on Friday after U.S. jobs data came in under expectations, fuelling uncertainty over the Federal Reserve’s next move.

Official data showed that the U.S. economy added 169,000 jobs in August, less than the expected 180,000 increase, after a downwardly revised 104,000 rise the previous month.

Top Trade Idea for September 6th, 2013 – EUR/USD

The EUR/USD daily chart shows a clear downtrend. There’s potential for a strong read on non-farm payrolls tonight to drive further USD strength, and another leg down for EUR/USD. Leaning on the daily trend, traders may turn to the hourly chart for an entry signal.