sail-world.com
 
 
News Home Cruising Photo Gallery Video Gallery
Sail-World.com : Collinson FX Market Commentary: July 5, 2012 - Independence Day
Collinson FX Market Commentary: July 5, 2012 - Independence Day

'Image of the Day Eleonora, the largest yacht to ever compete in the J.P. Morgan Asset Management Round the Island Race'    onEdition ©    Click Here to view large photo

Collinson FX market Commentary: July 5, 2012

July the 4th, Independence Day, sees markets are at a virtual standstill. US Markets are all closed and European trade is so thin they may as well be. This week will see lower than normal volumes as many take advantage of a mid-week holiday to extend the vacation.

European markets edged lower as did the EUR trading 1.2535 and the GBP 1.5600. Italian Debt to GDP hit 8% from 3.8% confirming serious budgetary issues coming to the fore. Expectations are high for monetary stimulus from the ECB in the form of a rate cut and perhaps further securities purchases. In the US markets are keenly awaiting the Jobs reports over the next couple of days.

The Challenger and ADP reports come out tonight and the all important Non-Farm payrolls Friday. The markets will react strongly to these and the political implications will be heard wide and far on the Presidential Election campaign. Commodity currencies remain strong with the AUD testing 1.0300 buoyed by the expected monetary stimulus in the EC and US. This will boost currency and commodities and was further enhanced by the latest strong economic news.

Retail Sales increased by 0.5% trumping all expectations and far exceeding market predictions by more than double! The series of surprisingly strong data is adding to the currencies attraction as a 'safe-haven' play after being a risk off trade for many a year. The KIWI holds 0.8040 after tagging along on the Aussie coat-tails.

Image of the day Gildas Morvan, skipper du Figaro Cercle Vert, after the start of the second stage of the Solitaire du Figaro -  http://www.transat.ag2rlamondiale.fr!©_Alexis_Courcoux   Click Here to view large photo

Collinson FX market Commentary: July 4, 2012

The eve of Independence Day in the US has seen extremely light trading with only a half day trade in New York and many participants taking the opportunity to have an extended break. Rallies in equities and commodities were based on the hope of further central bank intervention after weak economic data and a bubbling European crises.

The ECB is expected to act this week and perhaps the Bank of England will throw the market a bone. Commodities rallied with the weakening of the Dollar. Further monetary stimulus will push equities and commodities north with the latest addicts fix sated. This boosted the associated currencies with the AUD approaching 1.0300.

In addition to market move further surprising economic data has provided a boost. The Australian Building Applications surged 27.3% surprising all and the latest shock to the upside in economic data. The recent news has satisfied the RBA who left rates unchanged as expected.

The KIWI approaches 0.8050 aided by growing risk appetite recently. US markets jumped on a rise in Factory Orders contradicting the fall in Manufacturing. Markets will remain quiet until Thursdays open in the US and close attention will be paid to the ECB and BoE decisions and the all important jobs reports from the US.

Porto Cervo, 28/06/12
Audi Melges 32 European Championship 2012 -  © Guido Trombetta/BPSE/Studio Borlenghi  

Collinson FX market Commentary: July 2, 2012

Markets surged at the close of the week with some positive news from the EU summit. Member nations acted decisively to solve the Banking crises enveloping Spain and other EU Banks.

The decision was to use the bailout funds (EFSF and ESM) to directly fund the banks instead of filtering it through the Sovereign nation. This avoided any conditions in terms of austerity to Spain in particular. This directly contravenes all EC rules but I guess they are there to be broken. Members also decided to launch a stimulus package directly funding growth packages.

Equity markets surged across Europe and the US with the perceived solution to the crises. It seems that more debt and borrowing is the solution to the debt/deficit crises!? US markets rallied strongly with the surge of confidence despite some weak economic data.

Consumer Sentiment fell as did the Chicago PMI. Commodities took advantage of the rise in confidence and associated currencies rallied strongly.

The AUD surged to 1.0240 and the KIWI tested just under .8000. This week we will focus back on economic data with the EU Summit behind us. A particular focus will be the various employment reports out during the 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.


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=99313

10:59 PM Wed 4 Jul 2012GMT


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:

04 Jul 2012  Collinson FX Market Commentary: July 4, 2012 - Quiet times in US
02 Jul 2012  Collinson FX Market Commentary: July 2, 2012 - Markets surge on EU
29 Jun 2012  Collinson FX Market Commentary: June 29, 2012 - A double blow
28 Jun 2012  Collinson FX Market Commentary: June 28, 2012 - Tonight's the Night
27 Jun 2012  Collinson FX Market Commentary: June 27, 2012 - EU Proposals bagged
26 Jun 2012  Collinson FX Market Commentary: June 26, 2012 - Aversion drops ANZAC
25 Jun 2012  Collinson FX Market Commentary: June 25, 2012 - The Dead Cat Bounces
22 Jun 2012  Collinson FX Market Commentary: June 22, 2012 - Train crash speeds up
21 Jun 2012  Collinson FX Market Commentary: June 21, 2012 - Operation Twist II
20 Jun 2012  Collinson FX Market Commentary: June 20, 2012 - Big 8 looms for KIWI
MORE STORIES ...




News - USA and the World





















2014 Rolex Big Boat Series - Farr 40 Day 4 by William Wagner, San Francisco














































2014 Rolex Big Boat Series - Farr 40 Day 3
America's Cup: Luna Rossa sailing with two foiling AC45's + Video
Extreme Sailing: Emirates Team NZ retain second overall
ISAF Sailing Worlds, Santander - Rio Olympic Laser spots snapped up
Rolex Swan Cup - All set for final showdown
Upper Midwest sailors need help to take it to the next level
ISAF Sailing World Championships - RS:X action begins in Santander
ISAF Sailing Worlds, Santander - Americans rise in Laser and Radial
Extreme Sailing Series - A remarkable penultimate day’s racing + Video
Marseille One Design - GC32 GDF Suez unstoppable in the light
Rolex Swan Cup - Day 3 images by Carlo Borlenghi
ISAF Sailing World Championships - Images of the leaders in Santander
Rolex Big Boat Series - Good day for Double Trouble
Rolex Big Boat Series - Day 2 images by Erik Simonson
Royal Cup Marina Ibiza - TP52 fleet ready for tricky race tracks
Rolex Big Boat Series - Plenty maintains lead
2014 Asia Pacific Student Cup - Count down begins
Extreme Sailing Series: Live coverage of Day 3 - view here
Volvo Ocean Race 2014-15 - Going away
Volvo Ocean Race 2014-15 - Practice makes perfect
2014 J/70 World Championship - Contrasting conditions on Day 4   
Rolex Big Boat Series - 50 years of big boat racing: a retrospective   
2014 Rolex Big Boat Series - Day 2   
Snipe Western Hemisphere and Orient Champ: Rios takes the Championship   
Volvo Ocean Race: Leg Zero signals start of the significant racing   
Extreme Sailing Series: Physically demanding racing for BAR on Day 2   
Emirates Team NZ: Holding second overall after Day 2 in Istanbul   
Extreme Sailing Series: A force to be reckoned with in Istanbul +Video   
ISAF Sailing Worlds - Day 1 images by Jesus Renedo and Pedro Martinez   
Marseille One Design: GC32's Armin Strom storms ahead on day 2 + Video   
ISAF Sailing World Championships - Racing underway in Santander +Video   
ISAF Sailing Worlds, Santander - Erika Reineke claims Radial race win   
Santander Worlds 2014 Mat Belcher (Part II) *Feature   
Rolex Swan Cup - Mistral keeps fleet shoreside   
PWA Cold Hawaii World Cup rescued by wave of local support   
ISAF Sailing World Championship, Santander - Opening ceremony images   
Volvo Ocean Race 2014-15 - Team Alvimedica geared up for Leg Zero   
J/70 World Championship 2014 - Healy surfs into lead   
2014 Rolex Big Boat Series - Day 1   
2014 Rolex Big Boat Series - Gripping first day on the Bay   


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