sail-world.com
 
 
News Home Cruising Photo Gallery Video Gallery
Sail-World.com : Collinson FX Market Commentary: 24 May 2012 - Dramatic recovery in US
Collinson FX Market Commentary: 24 May 2012 - Dramatic recovery in US

'Happening this weekend - seens at the 2012 Hutchwilco NZ Boat Show'    Richard Gladwell    Click Here to view large photo

Collinson FX market Commentary: 24 May 2012

A dramatic late recovery in US equity markets shrugged off fears from Europe and focused on the economic data. Housing continued to be a beacon of hope with New Home Sales rising 3.3% and Weekly Mortgage Applications also gaining 3.8%.

It is this sector that has dragged the US economic recovery down and the latest news gives hope. A dislocation from the European crises is welcome with all the technicals looking bad. The Greek crises continues to roll on with warnings of a defection and the possible nightmare scenarios unfolding. The uncertainty continue and thus the EUR remains unstable at 1.2585 and the GBP 1.5690.

The French and Italians have agreed to a 'Growth Strategy' with rumoured funding from Eurobonds! Fantastic news it is! The Germans will never commit to funding more Keynesian lunacy. It is pie-in-the-sky political rhetoric. Still it give markets pause although the currency and commodity markets are the true indictors.

The AUD continues to weaken, trading 0.9750 and the KIWI 0.7515 after dipping below the key technical of 0.7500. The Bulls remain optimistic but we are in the middle of an 'Sell in May' phenomena!

Collinson FX market Commentary: 23 May 2012

Markets continued a week of recovery after the previous shaking most investors confidence. The commitment from China and Europe to the Growth concept while embracing fiscal responsibility has given confidence to the corrective rally.

Semantics seem important to World Leaders and 'austerity' has been rejected and 'growth' is now the term. It is insane! How can they have growth without investment and capital? The concept of raising further debt to finance public investment is crazy as most EU nations do not have the ability to raise further debt as their balance sheets are beyond tipping point.

Debt has overwhelmed their ability to service the interest payments. Posturing and verbal games do not fix the deficit or debt crises faced by most. Germany will not stump up for all these seriously compromised economies.

The EUR continued to falter trading 1.2715 and the GBP fell to 1.5765. The OECD reviewed global growth lower from 3.6% to 3.4% reflecting deteriorating economic conditions. Fitch downgraded Japan to AA+ from AAA with their Debt to GDP ratio climbing to an unbelievable 239%!

In the US equity markets corrected for a second day running but this may just be a technical correction. 'May' being the operative word. Existing Home Sales rose 3.4% beating expectations but the jury will remain out until we see a series of positive data coming from the Housing sector.

NZ Inflationary expectations drifted with benign economic activity and soft commodity prices. The KIWI is off lows, trading 0.7585 and the AUD 0.9850. Commodity demand is weak and these currencies remain vulnerable to further jolts from Europe.

Collinson FX market Commentary: 22 May 2012
Markets rebounded overnight as last weeks losses sparked bargain hunters to return. The G8 summit closed with little achievements and a new platitude.

Growth is the word now catering to the new political mantra from newly elected French President. The aspirational notion of 'growth' is what all countries desire. It is a conceptual economic desire all countries have such as profitability, balanced budgets, surplus, low inflation etc. The only problem is how to achieve these growth targets.

The French idea seems to be to invest through borrowing. A new plan is afoot to raise debt through EU backed bonds. A new socialist concept of spreading the risk and responsibility for borrowings. Socialized debt across EU members would be repugnant to Germany who would assume many of EU debts on behalf of the Citizenry.

The Chinese Premier backed calls for growth with inflationary pressures subsiding and everything to gain from economic stabilisation of its markets.

This boosted commodity currencies with the KIWI stabilising at 0.7620 and the AUD moving to 0.9870. The EUR remains weak trading 1.2770 with Greece extremely vulnerable.

G8 members advocated support for Greece to remain in the Eurozone but the Bank runs in Greece and Spain threaten the Banking sector and the EU. The dyke is springing leaks and Politicians have limited fingers. Keep watching the train crash!


Collinson FX market Commentary: 21 May 2012

Equity Markets were preoccupied with the unprecedented float of Facebook which was impeded by technical errors on the Nasdaq which may be a sign of foreboding!?

Equity markets were finally awakened to the omnipresent nightmare that Europe has become. Moody's downgraded 16 Spanish Banks which attacks the EU Banking system and the very heart of the EU.

Attention now turns to the G8 meeting this weekend at Camp David and any solutions they may provide. These International meetings offer little in historical terms but provide fantastic photo shoots on the world stage. Great for the political egos!

The EUR continues to melt, trading at 1.2770 and the GBP down to 1.5810.

In the US, markets were totally preoccupied with the new IPO and with little economic data to drive markets, they were engulfed with the negativity spreading from Europe.

Commodity based currencies continued to collapse with the KIWI falling out of bed. The NZD dropped to 0.7550 and the AUD looking to test 0.9800.

Next week will look at economic data and in particular housing in the US but they will be overwhelmed by events unfolding in the European train crash!

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=97596

8:07 PM Wed 23 May 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:

23 May 2012  Collinson FX Market Commentary: 23 May 2012 - The European oxymoron
22 May 2012  Collinson FX Market Commentary: 22 May 2012 - Markets rebound
18 May 2012  Collinson FX Market Commentary: 18 May 2012 - Greek Bank run feared
17 May 2012  Collinson FX Market Commentary: 17 May 2012 - Greek negotiations stop
16 May 2012  Collinson FX Market Commentary: 16 May 2012 - KIWI testing .7700
15 May 2012  Collinson FX Market Commentary: 15 May 2012 - Greece set to exit EURO
14 May 2012  Collinson FX Market Commentary: 14 May 2012 - JP Morgan loss reeks
11 May 2012  Collinson FX Market Commentary: 11 May 2012 - Greece bailed out
10 May 2012  Collinson FX Market Commentary: 10 May 2012 - KIWI drops further
09 May 2012  Collinson FX Market Commentary: 9 May 2012 - Euro politics crystallise
MORE STORIES ...




News - USA and the World

Today, Ben Ainslie Racing (BAR) took to the water for the first time from their temporary base in Southampton, sailing their foiling AC45. The boat originally raced under BAR colours during the America’s Cup World Series in 2012-13, and has subsequently been modified to fly on hydrofoils. ... [more]  

As of the 2140UTC report on Day 10 of the first Leg of the Volvo Ocean Race, the placings on the water on the water had not changed during the day, but the distances between the boats had reduced. The two easternmost boats, Abu Dhabi Ocean Racing continued to lead but is only 4nm ahead of Team Brunel with about 600nm to sail to the turning mark of Fernando de Noronha 220nm off the coast of Brazil. ... [more]  

The calm weather returned on day five of the La Torche PWA Grand Slam as the wave sailors recovered from yesterday’s punishing, but brilliant, conditions. After a chilly start, with the thermometer reading just five degrees celsius, the temperature soon rose with the appearance of the sun, making for another stunning autumn day. ... [more]  

Day five of the Rolex Middle Sea Race has proved a day of reckoning for the competing fleet. The forecast strong northwesterly wind has arrived and consistently blown over 25 knots with gusts exceeding 40 knots. The effect has been to catapult the previously slow moving yachts towards the finish line in Malta. ... [more]  

A day and a night of uncertainty - later, the Doldrums will come to an end for the Volvo Ocean Race teams. By tomorrow morning, the fleet should be sailing safely in the southeasterly trade winds. So – who won this equatorial lottery? What was the best place to cross this convergence zone, where two hemispheres and two weather systems collide? ... [more]  

Known for erratic light airs alternating with sudden gusts that can last a minute or an hour from the giant unstable vertical clouds, the Doldrums (aka more officially the Inter-Tropical Convergence Zone) are the unavoidable low-point of leg 1 of the Volvo Ocean Race for the determined men on Dongfeng. ... [more]  

Volvo Ocean Race 2014-15. Onboard Team Alvimedica. The synopsis is pretty straightforward: we are stuck in the Doldrums. Stuck, and stuck real good. All things considered, yesterday was actually pretty decent. We had a quick morning rainsquall that was able to power us south through the first line of ITCZ clouds already towering above our heads by 10AM. ... [more]  

Rolex Middle Sea Race - Artie gunning for glory by Media Royal Malta Yacht Club
Lee Satariano's Maltese J/122, Artie has emerged as the hot favourite to become the overall winner of the 2014 Rolex Middle Sea Race. However, at 16:00 CET, Artie was still 80 miles from the finish and the Mistral storm is still raging. In addition, there are several yachts behind Artie that could still claim the overall prize. ... [more]  

Volvo Ocean Race 2014-15, Onboard Team SCA. Today I would like to share another perspective with you. Given the kind messages from Team SCA followers that we have been receiving onboard (thank you!), it would seem daily reports from our onboard reporter Miss Halloran and our onshore media crew have been doing a wonderful job of sharing our journey thus far. ... [more]  

The 17th edition of the Rolex Farr 40 World Championship took place from 15-18 October in San Francisco, USA. Hosted by the St. Francis Yacht Club, the 2014 Rolex Farr 40 Worlds welcomed 19 international entrants - comprising teams from Australia, Canada, Germany, Italy, Mexico, Turkey and the United States. ... [more]  

After two days of intense racing at the 2014 RS:X Youth Worlds in Clearwater, both fleets have completed a full schedule of six light-wind races, and they’ve earned their lay day! Very light and shifty winds were forecast for the day, and it was a nice surprise to see a seven knot side-off breeze fill in early from the North. ... [more]  

Rolex Middle Sea Race - Big breeze and lumpy seas by Media Royal Malta Yacht Club
There are 92 yachts still racing in the Rolex Middle Sea Race. The expected frontal system arrived around Midnight last night at the northwest corner of the course. Reports of storm force winds and big seas have been received by the Race Committee and 25 yachts had officially retired from the race by 15:00 CET on Wednesday 22 October. ... [more]  

Justin 'Judd' Goldman was 17 years old when he suffered a disabling bone disease. After realizing that there were few sports that he could participate in he discovered sailing. Over the next 58 years he competed successfully in many races throughout the world. ... [more]  

Volvo Ocean Race: Blogs from the Boats - Leg 1, Day 10 plus Videos *Feature by Richard Gladwell/Sail-World.nz/com
Several of the On Board Reporters aboard, provide their unique views of Leg 1, Day 10 of the Volvo Ocean Race - in text, images and video: You know when you try to stick two positive magnets together and regardless as to how close you get them they never touch? Well, the ITCZ is a bit like that. ... [more]  

Volvo Ocean Race: Leg 1 turns inside out in Doldums *Feature by Richard Gladwell, Sail-World.com/nz
As reported earlier Leg 1 of the Volvo Ocean Race would seem to have gone from being a tightly fought contest to being a procession to Cape Town. Even though only 40% of the course has been sailed, the distance between the boats are significant (other than the two lead boats) and look set to increase. ... [more]  

Student Yachting World Cup - After those days of sun and light air, the weather was upside-down with a cloudy sky threatening us of heavy shower at any time and a strong wind fluctuating from 15 knots to 25 knots! Two windward-leeward races took place today as the wind became far too heavy in the early afternoon. The 13th race began this morning: a second start occurred under black flag. ... [more]  

2014 Argo Group Gold Cup - Over the last few days there have been frantic phone calls between travel agents from competitors at the Argo Group Gold Cup, the sixth stage and the oldest event on the Alpari World Match Racing Tour. Over Friday night and into Saturday the Category Three Hurricane Gonzalo passed directly over Bermuda pummelling it with 100+ knot winds. ... [more]  

Volvo Ocean Race: Big gains for two boats in Doldrums *Feature by Richard Gladwell/Sail-World.com/nz
Two boats have made big gains in the Doldrums, with the western-most competitors apparently not stopping and sailing though the convergence zone between northern and southern hemispheres, without dropping below 8kts. Team Brunel and Abh Dhabi Ocean Racing have both made big gains on the rest of the fleet - and the two easternmost boats - Team Vestas Wind and Mapfre, in particular. ... [more]  

In spite of Hurricane Gonzalo's thrashing of the Onion Patch last week, the Royal Bermuda Yacht Club and the people of Bermuda are ready to host the 2014 Argo Group Gold Cup, Stage 6 of the Alpari World Match Racing Tour (AWMRT). All 20 teams have arrived safely from their corners of the world and will practice for a day and race on Wednesday. ... [more]  

While the Renaissance Re Junior Gold Cup always offers opportunities for young people to have new experiences, coping with Hurricane Gonzalo offered the 14 competitors traveling from overseas to Bermuda a hurdle that strengthened their respect for this island nation. Many of the 14 competitors spent layover time in either hotels or airports and some are now guests in homes without electricity. ... [more]  

Dynamic Stability Systems welcomes last week’s decision by IMOCA to place no further restrictions on its class rule. This permits both the six new IMOCA 60s currently under construction, as well as the existing fleet, to be fitted with the lateral lifting foils which DSS has spent the last decade pioneering. ... [more]  

Groupe Beneteau today announced its sponsorship of the US Sailing Team Sperry Top-Sider and ISAF Sailing World Cup Miami. Groupe Beneteau is the world's leading yacht builder, and will now become a significant presence in high-performance sailing with its support of both the US national sailing team and North America's premier Olympic and Paralympic classes regatta. ... [more]  

Volvo Ocean Race 2014-15. It’s the place where the northern and southern winds meet, where a sailing race can be won or lost in an instant. And with its complex and confusing conditions, lack of breeze, and stifling heat – it’s also a place that most sailors can’t wait to see the back of. But there is one good thing about the Doldrums. ... [more]  

The Atlantic has proved to be a test for the VO65s in the Volvo Ocean Race and their teams as a battle of gybing down the west coast of Africa broke out, keeping all boats in a relatively tight-knit pack for much longer than expected. Having passed Morocco and the Canaries, we were drawn to the tricky-to-handle magnet of Cape Verde. ... [more]  

It’s the dawn of a complicated day in the Volvo Ocean Race. Let’s face it: we’re not having a very good time on Dongfeng. We lost distance last night, and our leading position. The day got dull afterwards. Sailing straight ahead, with the spinnaker up, in light winds. ... [more]  

Volvo Ocean Race 2014-15, Day 10 onboard Team SCA. Two days, eight hours, thirty-four minutes, and ten seconds, nine seconds, eight, seven, six, five… over the last few days the clock has gotten louder and louder as it counts down to October 23rd at noon—the time when we cross the equator and the time when myself and six other sailors join the rest of our crew in King Neptune’s court. ... [more]  

For Pablo Arrarte Elorza, the Volvo Ocean Race is a tough challenge. Not as far as physical effort is concerned because this likeable Spaniard is a very strong guy. For Pablo, the race is mostly a culinary war of attrition because the food that the team has bought with it on the race does little to please his gourmet palate. ... [more]  

The 2014 RS:X Youth Worlds kicked off on October 20th in Clearwater, USA, and it was hard work from the start: in 5-6 kt of breeze, offshore to start the day and side-on to close it, pumping was in order for the 54 boys and 28 girls gathered here for the 2014 RS:X Youth World Windsurfing Championships. ... [more]  

The team at The St. Maarten Heineken Regatta are very happy to announce that entries are now open for the 2015 Regatta, taking place March 5 - 8. The team hopes to see lots of return entries as well as new ones this year, all coming to celebrate the event's 35th year. In order to celebrate this milestone year, there will be some new features this coming season. ... [more]  

After three complete days at sea only three boats competing in the 2014 Rolex Middle Sea Race have passed the northwest tip of Sicily, roughly the halfway point of the race. The prevailing wind remains weak, but is expected to strengthen this afternoon coinciding with the arrival of bulk of the fleet t the Egadi Islands. ... [more]  

Last week the Volvo Ocean Race was all about VMG downwind sailing, with Dongfeng being the star performer. After DFRT took the lead, they shortly lost it again 36 hours later after hitting something in the water and losing their rudder. Two hours later they were up and running again with the spare in. Impressive stuff. ... [more]  

Volvo Ocean Race: Blogs from the Boats - Leg 1, Day 9 plus Videos *Feature by Richard Gladwell/Sail-World.nz/com
Several of the On Board Reporters aboard, provide their unique views of Leg 1, Day 9 of the Volvo Ocean Race - in text, images and video. ... [more]  

Rolex Middle Sea Race 2014 - Fight to the finish by Media Royal Malta Yacht Club
Igor Simicic's maxi, Esimit Europa 2 is expected to finish the Rolex Middle Sea Race in the early hours of tomorrow morning. However the 100ft carbon fibre canting keel Maxi is under serious pressure to secure their fourth Line Honours victory in the race. ... [more]  

Student Yachting World Cup - Fourth race day + Video
New improved swell forecasting and more locations from PredictWind
Volvo Ocean Race: Day 9 final report - Lead continually changing
Renaissance Re Junior Gold Cup - An opportunity for growth
Volvo Ocean Race: Fleet charges the door of the Doldrums Casino *Feature
La Torche PWA Grand Slam - Light winds on day 3
Volvo Ocean Race: Navigators throw away the routing textbook
Volvo Ocean Race - The Doldrums, a navigational nightmare + Video
Rolex Middle Sea Race - Maltese yachts top the leader board
Star Sailors League Finals - Torben Grael and Jorge Zarif join fleet
Volvo Ocean Race - Team Alvimedica heads for the Doldrums
Volvo Ocean Race - Team SCA, a crew on a mission
Thailand bids for 2016 IODA ‘Optimist’ World Championships
Farr 40 Worlds: Prizegiving images from the Final day in San Francisco
Bill Green - builder and sailor passes on
ISAF World Sailing Rankings – 20 October 2014
Farr 40 Worlds: Images from the Final day in San Francisco *Feature
Farr 40 Worlds: Images from Day 2 in San Francisco *Feature
Rolex Middle Sea Race 2014 - A hard day's night
34th Student Yachting World Cup 2014 - Second race day
Volvo Ocean Race: Dongfeng loses lead, anyone's race ahead of Doldrums *Feature   
Flying Dreams 'An Ocean Story': The Movie   
New super maxis gear up for Rolex Sydney Hobart   
Volvo Ocean Race: Blogs from the Boats - Leg 1, Day 8 plus Videos *Feature   
Linda Elias Memorial Women’s One Design Challenge - Youngerman wins   
2014 Off Valparaíso Race - Santander team victorious   
La Torche PWA Grand Slam - Waves continue to pound on day 2   
Volvo Ocean Race: Dongfeng consolidates lead on Day 8 *Feature   
RS:X Youth World Championships - All set for Clearwater action   
Rolex Middle Sea Race 2014 - Slow road north   
Volvo Ocean Race 2014-15 – Dongfeng Race Team - A risky call   
Rolex Middle Sea Race 2014 - Escaping the shroud of Mount Etna   
Farr 40 Worlds: Day 4 Image and Video gallery *Feature   
Australian 18 Footers League’s Major A. Frizelle Trophy   
Volvo Ocean Race 2014-15 - Leader gambles on Island windshadow   
2014 Sailing World Cup Qingdao - Final day video highlights   
2014 Rolex Farr 40 World Championship - Plenty of time   
Coast Guard rescues two near Wachapreague   
2014 Off Valparaíso Race - Day 2   
La Torche PWA Grand Slam - Massive swell on day 1   


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