Day: May 23, 2012

May 23
2012

EUR/USD Breaks 1.26 Level, Traders Running from Euro

The euro fell below the 1.26 level against the US dollar, reaching lowest level since July 2010. That level was considered to provide strong support to the shared 17-nation currency and, now that the support line is broken, traders are afraid that the currency would spiral down to even lower price. The members of the European Union are meeting at summit today, but most analysts and traders are pessimistic […]

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May 23
2012

Rand Slides to This Year’s Low as CPI Below Expectations

The South African rand slumped against the US dollar today to the lowest level this year as slower-than-expected growth of consumer prices triggered speculations that the nation’s central bank would refrain from raising interest rates. South Africa’s inflations accelerated to 6.1 percent in April from 6 percent in March. That was the first increase in three months, which is not bad, but still below analysts’ expectations of 6.2 […]

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May 23
2012

Euro Tanks as Greece Exit Considered More Likely

Euro is tanking today, heading lower as speculation about a Greek exit of the eurozone increases. Indeed, some think that there is a real threat for Greek withdrawal — and that such a withdrawal could prompt a domino effect that includes Spain and Italy later. Worries about what’s next for the eurozone are sending the 17-nation currency down across the board. Recently, former Greek Prime Minister Lucas Papademos insisted […]

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May 23
2012

Bank of Japan Inaction Helps Yen

The Bank of Japan decided against taking any more action to ease at this time, and that is helping the Japanese yen. Forex traders had been expecting the Bank of Japan to ease further, in an attempt to keep the yen weak, but the BOJ offered something of a surprise following the recent downgrade by Fitch. Citing faster economic growth, Bank of Japan officials decided to forgo additional easing measures during the most recent BOJ policy […]

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May 23
2012

Pound Drops After BoE Releases Minutes of Monetary Policy Meeting

The Great Britain pound dropped today, reaching the lowest level in a month against the US dollar and the lowest in two months versus the Japanese yen, after the minutes of the central bank’s monetary policy meeting were released. The minutes showed that the policy makers of the Bank of England were considering additional stimulus. They cited risks associated with the European crisis as threats to the economy. Additionally, uncertain prospects for economic growth were also considered […]

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May 23
2012

EUR/USD Slumps Below 1.26 Level of Support

EUR/USD sank below the 1.26 level today, which was considered a strong support line. The members of the European Union are meeting today on summit at Brussels, but most Forex market participants do not believe that the meeting would provide some tangible result. News from the United States, on the other hand, was good as the housing market continued to show signs of a good state. New home sales climbed to the seasonally […]

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May 23
2012

AUD/USD Reaches This Year’s Low

The Australian dollar continued its tumble today, reaching the lowest level this year against the US dollar, as adverse market sentiment and the interest rate cut earlier this month are still driving forces that push the currency down. Europe is hurting risk sentiment and, as a result, riskier currencies, the Aussie (as the Australian currency is nicknamed) among them. The general uncertainty about the future also hurts commodities. The Australian […]

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