The overall sentiment for the Euro/USD remains bearish due to the continued deterioration in the Eurozone. The pair has had a very sharp downward move in recent weeks. The weekly chart illustrates the fierce move which began at the break of the 30.2 percent Fibonacci retracement support at 1.3116 extending the move through the long-term [...]
Friday, forecasters expect the Labor Department to report the economy added 150,000 jobs in May-better than the 115,000 in April but well below the 229 monthly pace for the first quarter. Economic growth and jobs creation are slowing, and that may take unemployment higher in the months ahead.
U.S. 10-year Treasury yields fell to 1.64 percent at the time of this article. The last time U.S. yields were near this level was over 60 years ago and briefly after the September 11 attacks over ten years ago. The recent panic has not been caused by the devastation of a world war or [...]
Spain is pouring €19 billion into troubled real estate lender Bankia, SA. Even with the €20 billion in aid already dispensed to financial institutions, this may not avert a run on Spanish banks and economic collapse. Much larger than Greece, Spain could prove beyond Germany and other northern countries’ capacity to rescue, and its collapse [...]
Euro/USD fell below 1.2500 after Egan-Jones downgraded Spain’s sovereign rating. The Euro/USD bounced higher over the past weekend on the news that the Greece`s pro bailout political party was gaining momentum for the election in mid-June. Although the currency pair moved higher, it failed to trade above 1.2637, the 23.6 percent Fibonacci retracement. The theme [...]
President Obama is shameless to cite J.P. Morgan’s $3 billion trading loss as evidence banks need more regulation. More accurately, the debacle raises serious questions about incompetence and corruption among federal regulators and inside the Obama White House.
Here are the forecasts for upcoming economic data.
The much anticipated launching of Facebook’s IPO turned into nasty drama. The stock lost close to 20 percent of its value from its IPO price and the company is facing all kinds of lawsuits concerning this IPO.
Euro/USD traded briefly above 1.2600, but it failed to test the resistance at 1.2637 before resuming the downward trend. The spike in the Euro/USD earlier in the day was due to sudden move in the Euro/CHF to 1.2075. Euro/CHF has been hovering around 1.2000 for many days which is the “line in the sand” for [...]
If Greece leaves the euro, the U.S. economy could easily slip into recession, but given the long term consequences of Europe struggling with a currency regime that makes little sense, that cost is worth bearing.