Please select your home edition
Edition
Collinson and Co

Collinson FX Market Commentary- July 2, 2013 - US markets continue up

by Collinson FX on 3 Jul 2013
MRX racing - 2013 Auckland Cup, Day 3 © Richard Gladwell www.richardgladwell.com

Collinson FX market Commentary: July 2, 2013

http://itunes.apple.com/app/collinsonfx/id533360650?mt=8!Click_here to find out how to get CollinsonFX's free iPhone app

US equity markets continued to rally after positive economic data embraced the economy. The important ISM Manufacturing report broached the significant 50 level, rising from 49 to 50.9, and Construction spending also rose, boding well for the US economy. Bond yields settled as economic data had a positive impact with the Fed taking a back seat. Earlier mixed news from Asia, with the Chinese Manufacturing PMI drifting lower, although the important Japanese Tankan report revealed big improvements in large Manufacturing. European PMI was mixed with rises in Italy and France but a fall in Germany. Unemployment pinched higher from 12.0% to 12.1%.

The Dollar was steady against the single currency holding above 1.3050 and the GBP 1.5215. US markets are interpreting positive news coherently so far this week but will follow the Employment reports closely. Commodities rose and this was reflected in the associated currencies with the AUD rebounding to 0.9225 and the KIWI just under 0.7800.

The RBA rate decision will be focal, with a slant towards loosening in the language, but expectations for actual rate cuts are low. Language from the ECB and B of E will be crucial later in the week and any observations by Fed members will be important.

Employment data in the States will be critical to market moves for the remainder of a shortened, holiday week in the US.

For more on Collinson FX and market information see:
www.collinsonfx.com and www.collinsonwealthmanagement.com

Countries: | NZ: 0800 338 838 | AU: 1800 143 415 | NY: 1888 6257 833 | UK: 0800 0285 834 |


Disclaimer: The details expressed in this website and accompanying documents or transmissions are for information purposes only and are not intended as a solicitation for funds or a recommendation to trade. Collinson Forex Ltd accepts no liability whatsoever for any loss or damages suffered through any act or omission taken as a result of reading or interpreting any of the information contained or related to this site.
Collinson and Co

Related Articles

Collinson FX Market Commentary - June 30 - Calm heads lead recovery
Markets are regaining sanity with the return of reason. The Brexit has not changed anything The U.K. will focus on alternative markets, with Commonwealth members lining up at the door, restoring historical trade links. The EU have failed to enact any substantial trade agreements globally, with negotiation of bureaucrats taking years, stalling market expansion. This has been one of the main problems of a protectionist Union and now Britain will be free!
Posted on 30 Jun
Collinson FX Market Commentary - June 29 - Dust settles on Brexit
The dust is starting to settle post Brexit. Equity markets are regaining some lustre as reality dawns. The dust is starting to settle post Brexit. Equity markets are regaining some lustre as reality dawns. The British PM met with European leaders, bring a certain reality home, while warning of an amicable divorce. Markets are looking for certainty and confidence, while the Dollar charges on.
Posted on 29 Jun
Collinson FX Market Commentary - June 28 - Europe bleeds post-Brexit
European equities continue to haemorrhage, suggesting the Brexit may impact the EU more than the UK The EUR held steady on 1.1000, despite safety flows to the USD and Yen. European equities continue to haemorrhage, suggesting the Brexit may impact the EU more than the UK, shedding almost 12% in the two post Brexit fallout. The FTSE has only dropped 6% since the poll, while US markets even less, with risk of further exits in the offing.
Posted on 28 Jun
Collinson FX Market Commentary - June 26 - Europe is biggest loser
The Brexit is a bigger disaster for the EU than the UK. The British are now free to pursue trade, globally The Brexit is a bigger disaster for the EU than the UK. The British are now free to pursue trade, globally, assuming the greatest trade nation status it once occupied. Buy GBP's! More exports for NZ and Australia! The Dollar was the safe haven play as expected.
Posted on 25 Jun
Collinson FX Market Commentary - June 25 - Markets initially hope IN
Markets traded as if 'remain' had won the brexit referendum, as polls and odds indicated Markets traded as if 'remain' had won the brexit referendum, as polls and odds indicated, with equities surging and the Dollar surrendering recent gains. The results will be out soon enough, but the implications are clear, with the GBP surging to 1.4915. The retreat in the Dollar was reflected across the board, with the EUR rising to 1.1350
Posted on 24 Jun
Collinson FX Market Commentary - June 23 - Markets on eggshells
Brexit remains the only issue driving markets overnight. Brexit remains the only issue driving markets overnight. Yellen, the Fed President, completed her second day in front of law makers. She cited the disastrous Non Farm Payrolls numbers last month, referring to it as 'transitory', confirming interest rate rises. Rhetoric is fairly empty. although hugely important to markets, driving the Dollar lower.
Posted on 24 Jun
Collinson FX Market Commentary - June 24 - Waiting for Brexit
Brexit remains the only issue driving markets overnight. The Dollar is treading water, ahead of the Brexit vote, with the EUR holding below 1.1300 and the JPY crawled above 104.00! The GBP remains below 1.4700, recovering with the resurgent 'remain' campaign, although the race will be tight. Bookies are overwhelmingly with the status quo, so it is hard to see a radical result, unfortunately.
Posted on 23 Jun
Collinson FX Market Commentary - June 22 - Brexit swing spooks Brits
The KIWI hit year highs, around 0.7169, but retreated back to 0.7150. The AUD breached 0.7500 overnight, but settled back around 0.7470, driven by a drifting Dollar. The KIWI hit year highs, around 0.7169, but retreated back to 0.7150. All eyes remain on the UK vote, which will consume markets for the entire week, with the latest polls driving currencies and equities.
Posted on 22 Jun
Collinson FX Market Commentary - June 21 - Brexit poll points to stay
UK Brexit polls turned sharply over the weekend, surging in a reversal, leaning back to the remain campaign. Commodity prices regained some momentum, bolstering the associated currencies, pushing the NZD to 0.7100 and the AUD to 0.7450. This is a week where the referendum will dominate markets and change seems unlikely. The dire warnings and pressure internally and externally are overwhelming.
Posted on 21 Jun
Collinson FX Market Commentary - June 18 - Bookies tip Brits to stay
The KIWI has attracted further interest, post GDP, trading around 0.7050. The aftermath of the murder of the Yorkshire MP has left an unnatural silence hanging of the suspended Brexit debate. The intermission is likely to end in a subtle finger pointing from the 'stay' campaign, as desperation rises, to combat polls. The bookies still have the remain mob winning, which is probably likely, as change is more difficult.
Posted on 19 Jun