Market Updates
Markets waiting for FOMC and G-8
Gold continues to consolidate below the $1400 level. No change from previous analysis on the commodity, waiting for either a move above $1500 or below $1300 for the next big direction. We have FOMC and G-8 this week, I don’t expect any big surprise coming out of these meetings but it is better to be [...]
Watching $1300 level in Gold
Even though gold was up in today’s trading but its inability to stay above $1400 is troubling. Technically, I believe the correction in gold is over. If the bull market in gold is still intact, $1300 level should hold. A break below this level means a reverse in trend for the commodity.
President Obama Continues to Fail as CEO
President Obama is failing as CEO of the U.S government. His appointment of Susan Rice to be his top national security advisor and other missteps, indicate he views the fallout from recent scandals as a political challenge, rather than a management failure. Nothing could be less true or more damaging.
USD/Yen Rollercoaster Ride
It has been a rollercoaster ride for the USD/Yen in the past few days. The direction of the movement was expected but not the speed of this correction. At the time of this article, USD/Yen is trading around 99.00. I have no firm conviction on the next direction at this time, thus prefer to be [...]
Economy Adds 175,000 in May but Trouble Ahead
The Labor Department announced the economy added 175,000 jobs in May, but that is hardly the 360,000 thousand jobs needed each month to bring unemployment down to 6 percent over the next three years. The jobless rate remained steady rose to 7.6 percent.
Follow Up from Yesterday Analysis
by Dixon Fung From yesterday analysis, USD/Yen broke 98.80 support and fell to the low of 96.00 at the time of this article. Even though, I originally have 94.60 as the target, but after the quick move today, I need to re-evaluate the situation.
Subpar Jobs Growth Expected
Friday, forecasters expect the Labor Department will report the economy added 167,000 jobs in May. This is in line with the pace of recent months but hardly enough to lower unemployment down to acceptable levels. In the first quarter, GDP was up only 2.5 percent, due to stronger consumer spending and an inventory bounce. Despite [...]
AUD Still Over Value According to RBA
RBA held rate at historic low last night with bias of further easing is sending the AUD/USD lower. The over-night cash rate is standing at 2.75 percent at the moment and in the view of the RBA, the foreign exchange rate is still high despite a close to 7 percent decline in value since the [...]
Target Reached for USD/Yen – What Next?
USD/Yen came close to the target from last week analysis of 98.50 today. The next direction of the USD/Yen depends on the Japanese stocks market. The Nikkei has been retracing from the high of 15,900 to the recent level of 13261. There is good support at 13100, the 38.2 percent Fibonacci retracement.
Obama’s Appeasement of China, Japan Wrecking Economic Recovery
Tuesday, the Commerce Department is expected to report the April deficit on international trade in goods and services was $41.2 billion, up from $24.9 billion when the economic recovery began. The Obama Administration’s ill-conceived energy policies and appeasement of China and Japan are responsible for this jump in the trade gap and the slow pace [...]
Top News
- NSA director says plot against Wall Street foiled June 18, 2013WASHINGTON (AP) — The U.S. foiled a plot to bomb the New York Stock Exchange because of the sweeping surveillance programs at the heart of a debate over national security and personal privacy, officials said Tuesday at a rare open hearing on intelligence — a set-piece for supporters of the snooping. […]
- Nasdaq rises more than 1 percent June 18, 2013NEW YORK (Reuters) - Stocks added to gains in afternoon trading on Tuesday, pushing the Nasdaq up more than 1 percent, as investors were optimistic about the outlook for the Federal Reserve's economic stimulus policies. The Dow Jones industrial average was up 153.55 points, or 1.01 percent, at 15,333.40. The Standard & Poor's 500 Index was up 1 […]
- Icahn seeks Dell share buyback, buys Southeastern stock June 18, 2013(Reuters) - Billionaire investor Carl Icahn on Tuesday laid out a new proposal for Dell Inc, calling on the No. 3 PC maker to buy back 1.1 billion shares and allowing the activist to become a larger stakeholder. Icahn said in an open letter to Dell shareholders that he and Southeastern Asset Management would still seek to stop founder Michael Dell's buy […]
- Huawei might consider buying Nokia: report June 18, 2013NEW YORK (Reuters) - Chinese network equipment and cellphone maker Huawei Technologies Co. would consider buying Finland's Nokia to help it expand its smartphone business, according to a story on the Financial Times website. The story quoted the head of Huawei's consumer business, Richard Yu, as saying: "We are considering these sorts of acqui […]
- Chrysler agrees to recall of Jeeps at risk of fire June 18, 2013DETROIT (AP) — Chrysler says it has resolved its differences with the government and will recall older Jeep Grand Cherokee and Liberty SUVs that could be at risk of a fuel tank fire. […]