Analysis Topic: Currency Market Analysis
The analysis published under this topic are as follows.Monday, October 18, 2010
U.S. Dollar Devaluation, The Greatest Bet of All Time / Currencies / US Dollar
No doubt you watched the U.S. dollar plunge almost out of control last week.
And no doubt you heard about the massive currency wars that are bearing down on the world, as each major country tries to put itself on sale, to boost exports, to inflate debts, and to compete in a world where both consumers and investors are running for cover.
Read full article... Read full article...
Sunday, October 17, 2010
Look at the U.S. Dollar USD Index / Currencies / US Dollar
At this time sentiment on the US Dollar Index is about as bearish as ever and at least equivalent to that at the bottom in December 2009. Expectations for a meltdown to all time lows in the context of rampant devaluation via Quantitative Easing by the Fed are nearly universal. While these expectations may, of course, be met in the market, it's worth asking what the implications may be if the setup renders a contrarian result.
Read full article... Read full article...
Sunday, October 17, 2010
Winning The Currency War By Unleasing Financial Nuclear War / Currencies / Fiat Currency
Let us be very clear about the impact of the coming massive Quantitative Easing (QEII) by the FED, the financial bully of Wall Street. It is the unleashing of a financial nuclear weapon!
The financial media is portraying this process as "a war of survival" between America and the rest of the world. This is a war waged by Wall Street. Its main instrument is a Global Ponzi Scheme.
Read full article... Read full article...
Saturday, October 16, 2010
U.S. Dollar USD Index ZERO Bound / Currencies / US Dollar
Who is fooling whom?"
It is with sheer disbelief, and utter amazement that the real world accepts such an empty unit of exchange to start with. To fathom a plausible reason for such collective behavior, one need not go any further than studying the classic conditioning experiment of Pavlov and his dogs.
Friday, October 15, 2010
Federal Reserve Policy Pushes the U.S. Dollar Ever Closer to Collapse / Currencies / US Dollar
Peter D. Schiff writes: Much of the content of the latest U.S. Federal Reserve statement, released on Sept. 21, echoes the central bank's previous post-credit-crunch pronouncements: There is still too much slack in the economy, interest rates are still going to be near-zero for an "extended period," and the Fed will continue to use payments from its Treasury purchases to buy yet more Treasuries.
Read full article... Read full article...
Friday, October 15, 2010
Global Currency Meltdown / Currencies / Fiat Currency
As the recession and resultant stimulus packages add to higher unemployment and increasing public-sector deficits, the government is seeking to boost the value of overseas earnings that are accrued by US corporations. To aid in this effort, the Fed is being pressured to erode the value of the US dollar, thereby making foreign sales more lucrative in nominal terms. But this form of stealth protectionism will fail just as surely as more overt trade barriers.Read full article... Read full article...
Thursday, October 14, 2010
British Pound vs Australian Dollar (GBP/AUD) Trend Forecast into Mid 2011 / Currencies / British Pound
Andrea asks : We are traveling to Perth in March 2011, are we best changing our money now? Or is there a chance the exchange rate will be better in the new year? Please help.
In answer to Andrea and others who have posted similar comments requesting an analysis of GBP/AUD, this analysis seeks to extrapolate recent in depth analysis on the Dollar and British Pound with regards to the Aussie Dollar.
Read full article... Read full article...
Thursday, October 14, 2010
U.S. Dollar Cannot Even Hold 5 Day Moving Average / Currencies / US Dollar
Dollar bulls are now showing in the 3% range which is a similar reading to Euro bulls in late spring during the Greece crisis ... the euro was roughly 1.18 to the dollar, and people were talking par (1.00). Now the euro just broke over 1.40.Read full article... Read full article...
Thursday, October 14, 2010
How to Diversify Out Of U.S. Dollars With ETFs / Currencies / US Dollar
Do you pay attention to the currency markets? You’d better, if you want to survive and thrive in these crazy times.
I have to tell you I am NOT a currency expert. For deeper analysis I refer you to my Money and Markets colleague Bryan Rich. I do, however, know a trend when I see one — and right now the trend in the U.S. dollar is down against every major currency.
Read full article... Read full article...
Wednesday, October 13, 2010
Fed Slashing the U.S. Dollar, The Economic Future is Ugly / Currencies / US Dollar
The Fed has has hinted that it will launch a second round of quantitative easing (QE) sometime after its November 2 meeting. The anticipated intervention has been widely criticized, but for all the wrong reasons. Fed chairman Ben Bernanke knows that adding another $1 to $1.5 trillion to bulging bank reserves will likely have little effect on aggregate demand. Nor will it lower unemployment now hovering at 9.7%. It will, however, send a message to trading partners (re: China) that the Fed is serious about reducing destabilizing trade imbalances that siphon-off domestic stimulus, increase unemployment and keep the dollar perilously overvalued. In other words, the Fed's action is the first volley in what is likely to be a protracted currency war that leads to the final demise of Bretton Woods 2.
Read full article... Read full article...
Tuesday, October 12, 2010
U.S. Treasury's Drive to Devalue the Dollar, Fed Takes Aim at Chinese Yuan / Currencies / Fiat Currency
Although the United States is still the world’s #1 economy, it’s increasingly feeling the heat of the Chinese dragon, breathing down its neck. At the beginning of the twenty-first century, the US-economy was eight-times larger than China’s - a decade later the figure was down to three-times. China’s $5-trillion economy has eclipsed Japan, Germany, France and Britain, to become the second-biggest, after three decades of blistering growth, and is now within reach of overtaking the US within 10-years. With China’s economic growth rate at 10% and the US-economy struggling at +1.5% growth, - this long-term prediction doesn’t sound that far-fetched.
Read full article... Read full article...
Tuesday, October 12, 2010
Fed’s Bizarre Tactics Target Weaker U.S. Dollar / Currencies / US Dollar
Is the Federal Reserve (Fed) experiencing a midlife crisis? Ever since Fed Chairman Bernanke gave a speech in Jackson Hole, Fed behavior can be summarized as, well, bizarre. According to Bernanke, the market’s inflation expectations may be too low. He considers three possible remedies:
Read full article... Read full article...
Tuesday, October 12, 2010
China’s Plan to Dethrone the U.S. Dollar as Worlds Reserve Currency / Currencies / US Dollar
Don Miller writes: The U.S. dollar is on the way out as the world's top reserve currency. And as Money Morning Chief Investment Strategist Keith Fitz-Gerald predicted more than a year and a half ago, the yuan could be set to replace it.The greenback has served as the world's benchmark reserve currency since the mid-20th century, but soaring deficits and the U.S. Federal Reserve's loose monetary policy have drained the dollar's value.
Tuesday, October 12, 2010
How to Profit From the Global Currency War Race to the Bottom / Currencies / Forex Trading
Shah Gilani writes: Short of sitting on the sidelines, investors can't escape the global currency wars - a "race to the bottom" shootout that has countries debasing their currencies to boost overseas sales.
But here's the only thing you need to know: As the central banks of the world slug it out in the global currency markets, individual investors who understand the currency-war strategy can reap some extraordinary gains.
Read full article... Read full article...
Tuesday, October 12, 2010
USD Index Trend Forecast Into Mid 2011, U.S. Dollar Collapse (Again)? / Currencies / US Dollar
Following the USD Index peak at 89 in early June 2010, the Dollar has been on a near relentlessly slide to the recent low of 76.90 which represents a 14% fall in just 4 months. The fall in the Dollar has again brought out the perma Dollar collapse proponents who have periodically come out to reiterate that the U.S. Dollar as measured by the USD index is destined to crash and burn which is set against the perma deflationists who continuously propose that DEFLATION will result in the Dollar rallying to new highs as a consequence of debt deleveraging, which again was most prevalent just as the U.S. Dollar peaked. Therefore this in-depth analysis will seek to conclude towards a probable trend forecast for the USD index into Mid 2011 (9 months forward).
Read full article... Read full article...
Monday, October 11, 2010
U.S. Dollar Could Rally In Coming Weeks / Currencies / US Dollar
When one side of any market gets crowded, it is time to prepare for a possible reversal. While there are numerous reasons to be bearish on the U.S. dollar long-term, there are some short-to-intermediate-term factors that may cause the dollar to stage a counter-trend rally in the coming weeks. As we monitor the dollar, we must also consider the possible impact on “weak dollar assets” such as gold (GLD), silver (SLV), copper (JJC), oil (USO), agricultural commodities (DBA), Australian dollar (FXA), Canadian dollar (FXC), and emerging markets (EEM).
Read full article... Read full article...
Monday, October 11, 2010
EUR/USD Bounce Closing in on Stronger Resistance / Currencies / Euro
The recovery in EUR/USD from a Jun low has turned out impressive, with a second bull leg now well underway. This has started to reach certain interesting resistance levels which the market could find tough to overcome.
Read full article... Read full article...
Sunday, October 10, 2010
Safeguard Against the Falling Dollar with ZERO Downside Risk... Guaranteed / Currencies / Forex Trading
Dr. Steve Sjuggerud writes: Heads we win. Tails, the government loses.
Hey, if the government is willing to create investment guarantees for us (through virtual banks, for example), we'd be foolish not to take advantage of 'em. If we can get the full upside potential of the investment... and we can legally hand off all the risks to the government... then let's do it!
Saturday, October 09, 2010
China’s Currency War, the Enemy #1 for Global Economy / Currencies / Fiat Currency
When Brazil’s finance minister said the world was in a currency war, it came as big news to many people — a surprising “new” economic threat. But there’s nothing new about a currency war. China has been waging a war — an economic war — with its currency for a long time.
Over the last 14 years, China’s economy has grown four times as fast as the U.S. economy, and it has quickly soared to become the world’s second-largest. The key to China’s success has been a weak yuan — it’s method of manipulating a sustained advantage over its competitors in global trade.
Read full article... Read full article...
Saturday, October 09, 2010
Central Bankers’ Global Race to the Currency Devaluation Bottom / Currencies / Fiat Currency
Well, that pretty much seals the deal. I’m talking about the latest, lousy batch of employment data. The ADP Employer Services report out Wednesday showed the economy shedding 39,000 jobs in September — the biggest decline since January and far below the Bloomberg forecast for a gain of 20,000.
Read full article... Read full article...