{"id":2896,"date":"2009-07-13T17:21:11","date_gmt":"2009-07-13T22:21:11","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=2896"},"modified":"2009-07-13T17:21:11","modified_gmt":"2009-07-13T22:21:11","slug":"fundamental-outlook-at-1400-gmt-edt-0400-57","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/07\/13\/fundamental-outlook-at-1400-gmt-edt-0400-57\/","title":{"rendered":"Fundamental Outlook at 1400 GMT (EDT + 0400)"},"content":{"rendered":"

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

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

The euro gained ground vis-\u00e0-vis the U.S. dollar today as the single currency tested offers around the US$ 1.4000 figure and was supported around the $1.3895 level.\u00a0\u00a0 European Central Bank President Trichet defended the central bank\u2019s monetary policymaking during the ongoing economic crisis, reporting its toolkit \u201cis up to the challenge.\u201d\u00a0 Trichet conceded, however, that the eurozone\u2019s economy will continue to contract through the end of 2009 with economic growth returning by the middle of 2010.\u00a0 ECB member Bonello said the ECB is \u201csatisfied\u201d with current policy settings, leading to expectations the ECB will not reduce rates further or expand its asset purchase program anytime soon.\u00a0 Bonello added \u201cthere are some signs of bottoming out\u201d but said it is \u201cpremature to talk of a sustainable recovery.\u201d\u00a0 The ECB recently initiated a policy to purchase \u20ac60 billion in covered bonds to help keep market interest rates low and provide liquidity to the financial market.\u00a0 In U.S. news, traders are keeping a close eye on CIT Group, a troubled U.S. financial giant that is seeking access to the U.S. Treasury\u2019s Temporary Liquidity Guarantee Program so that its debt issuance can be subsidized with a FDIC guarantee.\u00a0 Federal Reserve Chairman Bernanke was quoted as saying the U.S. may experience a jobless recovery.\u00a0 Bernanke is expected to testify before Congress next week and may explain how the central bank will begin to unwind its massive monetary stimuli.\u00a0 Data to be released in the U.S. tomorrow include the June producer price index with most forecasts predicting an increase in the monthly reading.\u00a0\u00a0\u00a0 Euro bids are cited around the US$ 1.3435 level.<\/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 \u00a593.00 figure and was supported around the \u00a591.75 level.\u00a0 Democratic Party of Japan official Nakagawa reported Japan should diversify its foreign reserves and said foreign exchange intervention during periods of volatility is understandable.\u00a0 The DPJ appears well-seated to give the LDP Aso government a serious challenge at the mandatory general election that must be held by mid-September.\u00a0 Data released in Japan today saw June consumer sentiment improve to 37.6 from 35.7 in May while May revised industrial output was up 5.7% m\/m to 79.1.\u00a0 Traders await any indication Bank of Japan may extend its emergency quantitative easing measures through the end of September.\u00a0 The Nikkei 225 stock index lost 2.55% to close at \u00a59,050.33.\u00a0 U.S. dollar offers are cited around the \u00a5104.15 level.\u00a0 The euro moved higher vis-\u00e0-vis the yen as the single currency tested offers around the \u00a5130.20 level and was supported around the \u00a5128.00 figure.\u00a0 The British pound moved higher vis-\u00e0-vis the yen as sterling tested offers around the \u00a5150.95 level while the Swiss franc moved higher vis-\u00e0-vis the yen and tested bids around the \u00a585.95 level. In Chinese news, the U.S. dollar strengthened vis-\u00e0-vis the Chinese yuan as the greenback closed at CNY 6.8318 in the over-the-counter market, up from CNY 6.8317.<\/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 euro gained ground vis-\u00e0-vis the U.S. dollar today as the single currency tested offers around the US$ 1.4000 figure…<\/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-2896","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2896","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=2896"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2896\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=2896"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=2896"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=2896"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}