sail-world.com
 
 
News Home Cruising Photo Gallery Video Gallery
Sail-World.com : Collinson FX Market Commentary: August 24, 2013 - Back to the Future
Collinson FX Market Commentary: August 24, 2013 - Back to the Future


'Josh Junior in the Finn - Day 4, Oceanbridge Sail Auckland 2013'    Richard Gladwell ©    Click Here to view large photo

Collinson FX market Commentary: August 24, 2013

Click here to find out how to get CollinsonFX's free iPhone app

Back to the future! A surprisingly bad number in US New Home Sales has injected the equity markets with confidence.

New Home Sales plunged 13.4% and the leading indicator triggered a rally in equities as the bad news reduced the liklihood of tapering from the Fed. The irony of 'bad news being good' should reflect the parlous state of the US economy and the crises that is looming. Fed Presidents met at Jackson Hole and were certainly not in concensus on the prospects of tapering.

The recovery in equities is temporary, at best, as economic conditions remain dire. The USD reflected the status quo with the EUR trading 1.3375 and the GBP 1.5560.

Risk currencies tread water with the AUD 0.9020 and the KIWI battling 0.7800. The next week will look at growth in the US and the important Case-Shiller Home Price Index.

- Day 4, Oceanbridge Sail Auckland 2013 -  Richard Gladwell_©   Click Here to view large photo

Collinson FX market Commentary: August 23, 2013

US Equity markets were in turmoil after the NASDAQ fell over! The computer driven, Tech-stock market, was closed mid-way through the days trade and hopes were that they could open prior to the close. Equities were higher in the DOW and S&P after some serious losses emanating from the pending tapering from the Fed. Momentum was gained from positive economic news from Asia and Europe.

The Chinese Flash Manufacturing PMI broke above 50 and EU PMI numbers also gained, renewing confidence in the global economic recovery. Energy prices rose and Metals also gained, giving some hope to the recently recalcitrant AUD. The commodity driven currency has reflected weakening prices and a resurgent USD but has dug in it's toes around the 0.9000 level.

This can not be said for the country KIWI cousin which has collapsed to 0.7810 after some interference from the RBNZ, falling Agriculture prices and a stronger reserve measure. This rebound in markets is probably temporary, as recent trends are lower due to tapering adjustments in US markets.

420 heads upwind in the white water - Day 4, Oceanbridge Sail Auckland 2013  Richard Gladwell_©   Click Here to view large photo

Collinson FX market Commentary: August 22, 2013

Equity markets remained weaker in the lead up to the Fed minutes release in the US before the close. The minutes revealed that the members all agreed with the reduction of QE later this year assuming the economy continues to improve. Some members advocated an even earlier reduction in stimulus.

This was in line with market expectations and so equities rebounded strongly on the 'buy the rumour...' trade. The news is still not great for equities and bonds and the digestion of the minutes should result in further downside. The reduction of QE will reinvigorate the Dollar and this was reflected in the EUR which fell to 1.3350 although the Pounds recent strength held, trading 1.5645.

NZ Credit card spending increased 4.7% but the downward pressure from RBNZ antics and a rising USD pushed the KIWI down to 0.7850.

The AUD also has been impacted by the rally in the reserve currency breaking the big figure of 0.9000! Speculation over the effect of economic data on Central Bank action will remain the driver of equity, bonds and currency markets.

Womens 49er FX - Day 4, Oceanbridge Sail Auckland 2013  Richard Gladwell_©   Click Here to view large photo

Collinson FX market Commentary: August 21, 2013
Asian equity markets tumbled after concerns over the end of the Central Bank bubble in US equities as bonds continued to sound shrill warnings. The Sell-off across Asia was stabilised in Europe and turned to the positive by the time US markets opened. There were no major economic data releases in the US which meant reduced speculation on the Fed's 'tapering' program.

Good news has recently been a negative, as it supports the tapering in Central bank monetary policy and bad news was treated as 'bad news' pushing equities lower and bond yields higher! This is a reversal of the same inversed phenomena that caused recent rallies!? Go figure!? The Chicago National Activity Index dropped, but in line with expectations, so markets will eagerly await tonight Housing data release in the US. The EUR regained 1.3400 and the GBP continued to book gains, trading 1.5675.

The AUD suffered during domestic trade after the RBA Minutes confirmed the parlous state of economic and budgetary affairs but will resist further cuts before the election. The AUD looked to test the big, big figure of 0.9000 but rebounded back to 0.9080 as US markets improved. The KIWI traded below 0.8000 after the RBNZ acted to impose restriction on mortgage ratios on banks.

The intervention is a vain attempt to control the booming property market in Auckland while not raising rates and thus the NZD. Unintended consequences! Look for further downward pressures in US Equities and Bonds as tapering approaches and this will drive markets!

Denmark 49er FX - Day 4, Oceanbridge Sail Auckland 2013  Richard Gladwell_©   Click Here to view large photo

Collinson FX market Commentary: August 20, 2013
The momentum of the last week continues with further pressure on equities. US markets were unable to break the inure that has siezed stock markets due to the threat of reduced stimulus. It is hard to believe that markets are so inflated and swamped in liquidity, but here we are!

The Dollar remains relatively strong due to similarly adopted Monetary policy by global counterparts. The ECB has followed the monetary expansionism and this has reduced the impact of the USD which trades 1.3333. The Bank of England has also participated in monetary largesse, due to insurmountable debt and deficit, with growth the only redeemable option. Fiscal rectitiude is the solution and the UK has invested with returns reflected in the GBP, which has moved back to 1.5650.

Bernanke will act to preserve what little historical relevance he may have but it will be too little too late! Greenspan is blamed for the same monetary vandalism that Bernanke will be. They have overplayed their hands due to Governmental incompetence and fiscal ineptitude. The experiment with the left has failed miserably and the people will recognise that emotional social wish lists never avail themselves to reality. Social progress only comes through growth and conservative economic budgeting.

Australia is learning this hard lesson with an exponential growth in debt and an uncontrolled budgetary abuse. Interest on debt has become a major component of Governmental expenditure and the budget has now become structurally broken. It appears the people will right the wrong and this may be reflected in the currency which has recovered to 0.9110 after hitting 0.9200 in yesterdays trade.

The KIWI has improved back to 0.8070, after earlier hitting 0.8100, with economic conditions slowly improving. Commodities dipped due to demand pressure which has been hit by international markets. Look to further growth prospects globally to determine central bank policy and thus equity, commodity and currency markets.

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.


by Collinson FX

  

Click on the FB Like link to post this story to your FB wall

http://www.sail-world.com/index.cfm?nid=113600

9:33 PM Sat 24 Aug 2013GMT


Click here for printer friendly version
Click here to send us feedback or comments about this story.

Click for further information on
2011 Collinson & Co

Related News Stories:

24 Aug 2013  Collinson FX Market Commentary: August 23, 2013 - NASDAQ turmoil
23 Aug 2013  Collinson FX Market Commentary: August 22, 2013 - Kiwi drops to .78
21 Aug 2013  Collinson FX Market Commentary: August 21, 2013 - Asian tumble
20 Aug 2013  Collinson FX Market Commentary: August 20, 2013 - Momentum continues
16 Aug 2013  Collinson FX Market Commentary: August 16, 2013 - US Recovery underway
16 Aug 2013  Collinson FX Market Commentary: August 15, 2013 - The canary tweets
15 Aug 2013  Collinson FX Market Commentary: August 14, 2013 - US up others slide
13 Aug 2013  Collinson FX Market Commentary: August 13, 2013 - AUD drops KIWI holds
10 Aug 2013  Collinson FX Market Commentary: August 10, 2013 - AUD shoots high
09 Aug 2013  Collinson FX Market Commentary: August 9, 2013 - Kiwi close to break
MORE STORIES ...




News - USA and the World

Volvo Ocean Race: Still tight at front as Roaring Forties beckon *Feature by Richard Gladwell/Sail-World.com/nz
According to the routing function of Predictwind, the three boats are covered by just 10 miles in terms of distance to be sailed to the finish on their optimum course, more telling is that on the same basis just seven minutes would cover the first and third boats to finish. Sail-World interviewed Team Vestas skipper, Chris Nicholson this morning - he comments in this report. ... [more]  

Talent, passion, ability, success. All qualities that spring to mind with regard to Luke Patience, the 28 year old 470 Class silver medallist from London 2012. SSL is delighted to announce that Luke has now accepted the Star Sailors League invitation to participate in our 2014 Finals, becoming the second UK special guest star, alongside newly-crowned Finn World Champion Giles Scott. ... [more]  

Volvo Ocean Race 2014-15 - Like in the old English tale of Robin Hood, it’s a case of taking from the rich and giving to the poor. That is what we have been seeing over the last few days. More wind just behind the leaders has allowed the middle, poorer pack to catch the rich leaders. ... [more]  

The International Kiteboarding Association’s (IKA) annual general meeting next Tuesday (Nov 4) is likely to debate measures put forward by the Polish Kiteboarding Association (PKA) that would effectively outlaw ram-air kites from the beginning of next year. ... [more]  

The Aloha Classic is the longest existing windsurfing wave event (together with Sylt in Germany). 2014 marks 30 years since the very first event and the 25th edition of the Aloha Classic. Let me rewind back to when I was a young journalist, following the evolution of windsurfing, back then windsurfing was called ‘the fastest growing sport’… ... [more]  

Volvo Ocean Race - Team Alvimedica heads south by Amory Ross, Team Alvimedica
OBR Amory Ross reports on Team Alvimedica’s progress in the Volvo Ocean Race. It’s wild that after six days of sailing down the coast of South America we finally found ourselves pointed directly at Cape Town (going 16 knots) but all the routing indicates we’re not far enough to the south so down we go! ... [more]  

Volvo Ocean Race 2014-15. Team SCA coach Brad Jackson gives his thoughts on Leg 1. 'We very much understand what the girls are trying to do and who they are competing against and if they do things well they are right up there in the mix. ... [more]  

Little Traverse Yacht Club (Harbor Springs, Michigan) won the Yacht Club Challenge in the 106th Running of the Chicago Yacht Club Race to Mackinac. ... [more]  

Want to see 40 great sailing champions in action in stunning Nassau in the Bahamas? The Star Sailors League, an emerging international circuit, is offering the chance to win a four-day holiday for two people with accommodation at the luxury Atlantis resort and water park. ... [more]  

Bidding is now open in the auction to join the Volvo Ocean Race as a part of Team Alvimedica and support heart charities around the world! Team Alvimedica supporters have the unique chance to bid on two experiences that will take place at each stopover throughout the race. ... [more]  

The seventh edition of the St Barth Cata Cup is set to be thrilling. Sixty teams will go head to head aboard the last generation of F18 boats: Hobbie Wild Cat, Nacra Infusion MKII, Cirrus R, Phantom and C2. It is a high-speed, tactical, technical and spectacular discipline! ... [more]  

AWT Severne Starboard Aloha Classic 2014 - The day started early with a traditional Hawaiian blessing, welcoming everyone to the beach and setting the wheels in motion for a fantastic contest. As the ceremony continued the wind started to blow and straight after the skipper's meeting it was straight on with the pro men competition. ... [more]  

Volvo Ocean Race - After 19 days of Leg one, the leaders are still within sight of each other, something we don’t think we’ve ever seen at such a stage between Alicante and Cape Town. It’s the ultimate inshore race, staged hundreds of miles offshore. Abu Dhabi, Team Brunel and Team Vestas Wind are locked against each other with Dongfeng Race Team just 17NM further adrift. ... [more]  

The Taiwan 2014 Kitesurfing Open & Green Tourism Miaoli proved to be an interesting event for the Kiteboard Tour Asia (KTA) to get involved with at the Longfong Fish Harbour beach front in Jhunan. As the KTA had been wanting for some time to bring an event to the renowned high wind shores of Taiwan, which is famous for its windy conditions 300 days a year. ... [more]  

Best possible conditions are expected when 2014 World Championships in ISAF-class Kona One is about to start in Islamorada, Florida on Saturday, November 1. A total of 115 sailors from five continents will line up making it the largest Kona event ever. The outcome is very open with a number of high-profiled sailors with multiple international championship wins in different windsurfing classes. ... [more]  

2015 U.S. Youth Sailing Championships - The dates for the 2015 U.S. Youth Championships, hosted by Eastern Yacht Club in Marblehead, Mass., have been changed to July 6-10 from the traditional second week in August ... [more]  

'It is no less important to the Commodore as air or water,' said Staff Commodore of the San Diego Yacht Club Chuck Nichols. The Lipton Cup is arguably one of the most iconic regattas in the sailing community. This three-day regatta is an invitation-only event where the best sailors from around the country compete to represent their yacht clubs. ... [more]  

Year in and year out, the U.S. Disabled Championships is one of the most fascinating sailing events in the world. A strong collection of the top sailors in the country are in Galveston, Texas preparing for this week’s three-day championship, which begins Thursday, October 30 and concludes Saturday, November 1. ... [more]  

Volvo Ocean Race: Team Vestas back-slams both race leaders *Feature by Richard Gladwell/Sail-World.com/nz
The Chris Nicholson skippered Team Vestas Wind, has made a big gain in the last 12 hours in the Volvo Ocean Race, and is now positioned between the two lead boats. The Danish flagged entry had been positioned to the west of the leaders, who were in the fringe of the St Helena High. ... [more]  

Last night all the American Windsurfing Tour riders, and some of the top PWA sailors, enjoyed a fantastic opening party and registration for the Aloha Classic at Adventure Sports Maui. Food, drinks, photos and lots of chat was the order of the evening, and this morning all with gather again at 9am for the official opening blessing. ... [more]  

Many know Bill Erkelens as a former rigger, team manager for the Maxi Sayonara and subsequently Campaign manager for Oracle Racing during the IACC efforts and a really good sailor with a solid Rolodex of connections in the yacht racing world. When the opportunity to manage a Volvo team arose, Bill did not hesitate, and in late 2013, the Bay Area Native accepted the roles as COO for Team Alvimedica ... [more]  

Team Alvimedica OBR Amory Ross reports on the crew’s progress in the Volvo Ocean Race. Even in the 'straight-line' sailing that has dominated the last portion of the race, the dynamic of our fleet position has been in a state of constant change. ... [more]  

Team SCA OBR Corinna Halloran reports on day 18 for the crew in the Volvo Ocean Race. We are fighting. We are determined. We are focused. Yes, today was not easy, but we did not allow ourselves to slow down-- we sailed with the conditions given and sailed at 100% performance. ... [more]  

The International Paralympic Committee (IPC) published its 2015 Anti-Doping Code on Wednesday (29 October), which will apply to all Member organisations, Paralympic Games and IPC recognised International Federations, from 1 January 2015. ... [more]  

Sailing legend Sir Robin Knox-Johnston hopes to inspire greater French participation in ocean racing through his entry in the Route du Rhum – Destination Guadeloupe. 'France is a nation of sailors with excellent role models; legends in their own right,' said Sir Robin. ... [more]  

Volvo Ocean Race 2014-15 - The big news of yesterday was the introduction of an ice gate by Race Director Jack Lloyd. Designed to take away the temptation for the teams to dive deep south in the search for better pressure and a better angle to Cape Town. The Ice Gate is placed at 42 deg South between 20W and 10W, seen on the screenshot below. ... [more]  

Volvo Ocean Race - Up until now the comment from the boats to the east has been that Team Vestas Wind had made a bad move by digging west. But now, with the high pressure to the east expanding, perhaps Wouter on the Danish boat has read the future a little better and has set his team up for a comeback. ... [more]  

Optimist World Championship 2014 - Six races were made last week and the fleet was divided into Gold, Silver and Bronze. Each fleet has 70 sailors. This first part of this championship had light winds, lot of current and little waves but today it changed completely: The wind gauge marked 23 Knots on the race area, the waves were high and short. ... [more]  

2014 - 15 Volvo Ocean Race - Abu Dhabi Ocean Racing have finally given ground to Team Brunel after almost exactly a week at the head of the fleet but the new leaders’ thin advantage may well be very short-lived as the Volvo Ocean Race Leg 1 turned into a game of hunt-the-breeze. ... [more]  

Volvo Ocean Race: Ice Gate laid in Southern Ocean on Leg 1 *Feature by Richard Gladwell/Sail-World.com/nz
Volvo Ocean Race have specified an Ice Gate in the Southern Ocean of which all competitors must stay to the North, or pass on their starboard side. The gate has been set along the line of 42degrees South and runs for 10 degrees of longitude. ... [more]  

Volvo Ocean Race - Reality for Team Vestas Wind by Brian Carlin, Team Vestas Wind
The Volvo Ocean Race is an event that you get to watch unfold as something real. What happens on these boats day-to-day, what’s sent, what’s written about, what’s photographed, what’s on video is REAL. When you wake at 3am, it’s dark, really dark. ... [more]  

Volvo Ocean Race 2014-15. Team Alvimedica OBR Amory Ross reports on the crew’s progress. It’s beginning to feel a bit like Groundhog Day onboard! Our straight-line progress south continues without significant change and after 48 hours of port tack bliss we’re still free running in the South Equatorial Current at steady speeds in excess of 20 knots. ... [more]  

Volvo Ocean Race 2014-15. Team SCA OBR Corinna Halloran reports on day 17 for the team as they enter the Southern Ocean. Entering the Southern Ocean and racing to Cape Town is not as easy as sailing a straight line South. Currently, we are heading west in order to catch a Low pressure that spins out of the South. ... [more]  

Comanche ocean trials in Newport + Video
La Torche PWA Grand Slam - Title race thrown wide open
ISAF Rolex World Sailor of the Year Awards one week away
Clipper Race - Is this the toughest job on the ocean?
PIC Coastal Classic Roundup: Almost 30 minutes slashed off record
America's Cup: Artemis Racing signs seventh Olympic Gold medalist
Pieces in place for the 2015 GC32 Racing Tour
Volvo Ocean Race 2014-15 - Behind the numbers
Volvo Ocean Race: Front runners open gap for Cape Town *Feature
AWT - PWA Finale 2014: Severne Starboard Aloha Classic - One day to go
2014 International Masters Regatta - Augie Diaz takes the trophy
Volvo Ocean Race - Supreme sailing for Team Alvimedica
Volvo Ocean Race - Team SCA, united by one
A big shift for Pumpkin Pursuit in Richmond
ISAF Annual Conference to take place in Palma de Mallorca, Spain
Volvo Ocean Race 2014-15: Latest position report: October 27, 1700 UTC
Oakcliff Ocean Racing Team to race RORC Transatlantic Race
Clipper Round the World Yacht Race - The search for skippers is on
China Cup Int'l Regatta - Windier weather brings victory for Vanke
Argo Group Gold Cup - Stena Sailing Team wins in Bermuda
GC 32 Foiling Cat Argo sets Mount Gay Rum Around Jamestown Record   
Volvo Ocean Race 2014-15: Latest position report, October 27, 0630 UTC   
2014 RS:X Youth Worlds - Going out with a bang! + Video   
2015 Flying Dutchman World Championships - Winners will be Grinners!   
RenaissanceRe Junior Gold Cup - Denmark’s Christian Spodsberg wins   
Argo Group Gold Cup 2014 - Berntsson joins sailing’s elite   
Sand Flies versus Foiling Moths - Moth World Championship 2015 *Feature   
2015 International 14 World Championship - Frasch leads German team   
Ian Williams and GAC Pindar set up an exciting AWMRT finale   
Volvo Ocean Race 2014-15 Leg one – South Atlantic tactics   
Volvo Ocean Race: Steady run to the finish at Cape Town   
18ft Skiffs: Club Championship - Race one   
2014 Optimist World Championship - Race started with a clear day   
2014 - 15 Volvo Ocean Race - Fernando de Noronha   
2014 - 15 Volvo Ocean Race - The longest route   
Argo Group Gold Cup - Semi Final matches set for Sunday   
Argo Group Gold Cup - Light air drama in Bermuda   
Renaissance Re Jr Gold Cup - Searching for breeze on the race course   
La Torche PWA Grand Slam - Radical wave tow-in on day 8   
Rolex Middle Sea Race - 35th edition one to remember + Video   


For this week's complete news stories select    Last 7 Days
   Search All News
For last month's complete news stories select    Last 30 Days
   Archive News





Sail-World.com  


















Switch Default Region to:

Social Media

Asia

Australia

Canada

Europe

New Zealand

United Kingdom


http://www.sail-world.com/event_images/image/Twitter_logo_small.png http://www.sail-world.com/event_images/image/FaceBook-icon.png  http://www.sail-world.com/event_images/image/RSS-Icon.png

United States

Cruising Northern

Cruising Southern

MarineBusiness World

PowerBoat World

FishingBoating World

 

Contact

Commercial

News

Search

Contact Us

Advertisers Information

Submit news/events

Search Stories/Text

Feedback

Advertisers Directory

Newsletter Archive

Photo Gallery

 

Banner Advertising Details

Newsletter Subscribe

Video Gallery

Policies

 

 

 

Privacy Policy

 

 


Cookie Policy

 

 



This site and its contents are © Copyright TetraMedia and/or the original author, photographer etc. All Rights Reserved.  Photographs are copyright by law.  If you wish to use or buy a photograph contact the photographer directly.
XLXL NEW US
LocalAds   DE  ES  FR  IT