{"id":1465,"date":"2009-04-17T16:39:06","date_gmt":"2009-04-17T21:39:06","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=1465"},"modified":"2009-04-17T16:39:06","modified_gmt":"2009-04-17T21:39:06","slug":"fundamental-outlook-at-1400-gmt-edt-0400-19","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/04\/17\/fundamental-outlook-at-1400-gmt-edt-0400-19\/","title":{"rendered":"Fundamental Outlook at 1400 GMT (EDT + 0400)"},"content":{"rendered":"

By GCI Fx Research<\/span><\/p>\n

\u20ac<\/strong><\/p>\n

The euro depreciated vis-\u00e0-vis the U.S. dollar today as the single currency tested bids around the US$ 1.3025 level and was capped around the US$ 1.3195 level.\u00a0 The common currency extended recent losses after verbal intervention from European Central Bank President Trichet who said the euro is \u201cnot weak\u201d at current levels.\u00a0 Regarding the possibility the ECB will initiate quantitative easing policy soon, Trichet added \u201cIn our economy, banks play such a dominant role that non-standard measures need to be implemented – first and foremost – through the intervention and with the active participation of banks. This is why I have sometimes referred to our non-standard measures as those of enhanced credit support.\u201d\u00a0 Concerning the U.S. dollar, Trichet\u00a0 reported \u201cI am very, I would say, appreciative, of what is said by our U.S. friends Ben Bernanke, Tim Geithner and Barack Obama that indeed a strong dollar is in the interest of the United States of America.”\u00a0 Many dealers believe the ECB will extend the maturity of its longer-term refinancings to twelve months.\u00a0 Data released in the eurozone today saw the February trade deficit improved to -\u20ac4.0 billion from -\u20ac5.4 billion.\u00a0 In U.S. news, traders await remarks from Federal Reserve Chairman Bernanke.\u00a0 Many Fed officials including Vice Chairman Kohn will speak tomorrow.\u00a0 Data released in the U.S. today saw the mid-April University of Michigan consumer sentiment indicator print at 61.9, up from 57.3 at the end of March.\u00a0 Euro bids are cited around the US$ 1.3100 figure.<\/p>\n

\u00a5\/ CNY<\/strong><\/p>\n

The yen depreciated vis-\u00e0-vis the U.S. dollar today as the greenback tested offers around the \u00a599.75 level and was supported around the \u00a598.70 level.\u00a0 Finance minister Yosano verbally intervened and reported \u201ccurrency market now, with (the U.S. dollar – yen) around \u00a5100, seems to be stable. Share prices (in the Nikkei 225 cash index) have also gone to around 9,000.\u00a0 We don’t know about the future, but at least at the present time I think that conditions (in the stock and foreign exchange markets) have stabilized in a way that gives us some measure of relief.\u201d His comments render it less likely the government and Bank of Japan will enact yen-selling intervention.\u00a0 Data released in Japan overnight saw the February tertiary index decline 0.8% m\/m.\u00a0 Also, the March consumer sentiment index printed at 28.9, up from 26.7.\u00a0 The Nikkei 225 stock index climbed 1.74% to close at \u00a58,907.58.\u00a0 U.S. dollar offers are cited around the \u00a5104.15 level.\u00a0 The euro moved lower vis-\u00e0-vis the yen as the single currency tested bids around the \u00a5128.80 level and was capped around the \u00a5131.45 level.\u00a0 The British pound moved lower vis-\u00e0-vis the yen as sterling tested bids around the \u00a5146.15 level while the Swiss franc moved lower vis-\u00e0-vis the yen and tested bids around the \u00a584.70 level.\u00a0 The Chinese yuan depreciated vis-\u00e0-vis the U.S. dollar today as the greenback closed at CNY 6.8291 in the over-the-counter market, up from CNY 6.8286.<\/p>\n

\u20a4<\/strong><\/p>\n

The British pound fell sharply vis-\u00e0-vis the U.S. dollar today as cable tested bids around the US$ 1.4755 level and was capped around the $1.4940 level.\u00a0 Sterling tracked the common currency lower after ECB President Trichet\u2019s dovish comments.\u00a0 Cable bids are cited around the US$ 1.4525 level.\u00a0 The euro weakened vis-\u00e0-vis the British pound as the single currency tested bids around the \u20a40.8795 level and was capped around the \u20a40.8860 level.<\/p>\n

CHF<\/strong><\/p>\n

The Swiss franc came off vis-\u00e0-vis the U.S. dollar today as the greenback tested offers around the CHF 1.1685 level and was supported around the CHF 1.1455 level.\u00a0 Swiss National Bank President Roth reiterated his support for the quantitative easing policy announced last month saying \u201cIn view of the risk of deflation, decisive action was called for, and we will continue to pursue this strategy for as long as the risk remains.\u201d Data released in Switzerland today saw February retail sales off 3.8%.\u00a0 Cable bids are cited around the US$ 1.4525 level.\u00a0 The euro moved lower vis-\u00e0-vis the British pound as the single currency tested bids around the \u20a40.8795 level and was capped around the \u20a40.8860 level.<\/p>\n

Daily Market Commentary<\/strong><\/em> provided by\u00a0GCI Financial Ltd<\/strong><\/a>.<\/strong><\/p>\n

GCI Financial Ltd (\u201dGCI\u201d) is a regulated securities and commodities trading firm, specializing in online Foreign Exchange (\u201dForex\u201d) brokerage. GCI executes billions of dollars per month in foreign exchange transactions alone. In addition to Forex, GCI is a primary market maker in Contracts for Difference (\u201dCFDs\u201d) on shares, indices and futures, and offers one of the fastest growing online CFD trading services. GCI has over 10,000 clients worldwide, including individual traders, institutions, and money managers. GCI provides an advanced, secure, and comprehensive online trading system. Client funds are insured and held in a separate customer account. In addition, GCI Financial Ltd maintains Net Capital in excess of minimum regulatory requirements.<\/p>\n

DISCLAIMER: GCI\u2019s Daily Market Commentary is provided for informational purposes only. The information contained in these reports is gathered from reputable news sources and is not intended to be U.S.ed as investment advice. GCI assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n","protected":false},"excerpt":{"rendered":"

By GCI Financial – The Chinese yuan depreciated vis-\u00e0-vis the U.S. dollar today as the greenback closed at CNY 6.8291 in the over-the-counter market…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-1465","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/1465","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=1465"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/1465\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=1465"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=1465"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=1465"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}