Day: September 21, 2011

September 21
2011

NZ Dollar Falls as Current Account Deficit Widens

The New Zealand dollar dropped today after the government report showed the nation’s current account deficit widened in the second quarter of this year. New Zealand’s seasonally adjusted current account deficit was $2,041 million in the quarter ended in June 2011. This is $507 million above the deficit of the previous three months. Tomorrow’s government report is expected to show the consumer prices inflation slowed to 0.5 percent in the second quarter […]

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September 21
2011

Pound Slumps as Confidence Falls, BoE Considers More Stimulus

The Great Britain pound plunged today as the minutes of the central bank’s policy meeting showed the policy makers considered boosting the asset purchasing program, while consumer confidence dropped further. The minutes of the Monetary Policy Committee meeting showed most members of the Committee thought the current monetary policy is appropriate. Yet the minutes also said: Most of these members thought that it was increasingly probable that further asset purchases […]

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September 21
2011

FOMC Will Buy Longer-Term Securities, EUR/USD Plunges

EUR/USD was steadily rising this trading session, but slumped sharply after the Federal Market Open Committee announced it’s going to expand their holdings of longer-term securities. Some analysts viewed this announcement as a confirmation of the economic problems in the US. The reports about housing market weren’t supporting such pessimistic sentiment as housing starts and building permits were little changed from the month before, while existing home sales […]

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September 21
2011

RBA Minutes Don’t Speak About Rates Cut, AUD Rises

The Australian dollar strengthened as the minutes of the central bank’s policy meeting showed that the policy makers are content with the current level of the interest rates, reducing probability of a borrowing costs cut. The Reserve Bank of Australia was less dovish than market participants expected, returning appeal of the Australian currency to carry traders, who profit for the relatively high interest rates in Australia compared to the rates in the developed nations. The RBA was moderately optimistic […]

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September 21
2011

IMF Lowers Growth Forecast for Canada

The Canadian dollar weakened as the International Monetary Fund cut its growth forecast for Canada, making the growth-related nation’s currency less attractive for investors. The IMF revised its growth estimate to 2.1 percent from the June forecast of 2.9 percent. The outlook worsened because of the slower global economic growth and the faltering economic recovery of Canada’s major trading partner — the United States of America. The downgrade of Italy’s credit rating by Standard and Poor’s also […]

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