MarineBusiness-World.com
 
 
News Home Cruising USA Cruising Int Photo Gallery
Sail-World.com : Collinson FX Market Commentary: December 7, 2012 - NZD breaks 83c mark
Collinson FX Market Commentary: December 7, 2012 - NZD breaks 83c mark

'Image of the Day Phil Robertson wins his semi final match against Ian Williams during the 2012 Monsoon Cup. Kuala Terengganu, Malaysia. 8 December 2012.'    Gareth Cooke - Subzero Images ©

Collinson FX market Commentary: December 7, 2012

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

Markets remained steady despite deteriorating conditions in Europe. The ECB left rates unchanged but President Draghi offered bleak prospects with growth contracting by 0.6%.

There were no additional rate cuts but inflationary pressures fell with negative growth thus allowing even more expansion of the monetary policy. This immediately hit the single currency which fell to 1.2950. The Bank of England also kept interest rates intact and the GBP held 1.6050. The US holds steady in the lead up to tonight's all important Non-Farm Payrolls with employment tipped to remain steady.

The Challenger Jobs report indicating rising layoffs and it would be no surprise if there was a surprise tonight. Faith in US statistics has been undermined with recent employment figures as hint of political influence permeate. Australian unemployment also dropped to 5.2% against all predictions also contradicting anecdotal evidence in the markets.

The AUD held 1.0470 and the KIWI gathered strength to break above 0.8300 despite a freak tornado terrorising Auckland.

All eyes will be on Employment numbers in the States and any further developments in the EC and the Fiscal Cliff negotiations.

Brendan Casey (AUS) Finn class
Oceania Leg of the ISAF Sailing World Cup 2012 -  Jeff Crow- Sport the Library ©   Click Here to view large photo



Collinson FX market Commentary: December 6, 2012

The NZ Reserve bank Governor has just announced that the Official Cash rate will remain unchanged at 2.5%.

Markets rallied overnight with Obama mooting a resolution within a week. Republicans look likely to cave in to Democratic demands and allow tax rises while ignoring spending cuts. A seriously divided country now approaches the brink with the election giving Obama the high ground.

Factory Orders rose 0.8% and the ADP Jobs report was inline with expectations thereby confirming pre election improvements. The EUR remained steady trading 1.3075 and allowed bulls to regain last weeks momentum. The RBA cut rates by 0.25%, as expected, but failed to dissuade investors in the AUD which rallied to 1.0475 supporting the still healthy interest rate differential.

GDP increased by 0.5% for the quarter but incremental gains were marginal at best. The Australian economy is starting to stall and the writing appears to be on the wall with monetary policy reflecting that.

Today will focus on RBNZ intentions with little expected as the Governor balances inflationary pressures with failing growth. Macro Political decisions from the US and Europe will continue to dictate market direction.

Windsurfing Heaven - Phuket King’s Cup 2012 -  Sail-World .   Click Here to view large photo

Collinson FX market Commentary: December 5, 2012

Equity markets were flat overnight with no earth shattering news to move the needle. Obama rejected the Republicans offer for a deal on the Fiscal Cliff insisting that taxes be raised on upper income earners. The soap opera will continue until the last minute allowing a less than satisfactory result to be accepted as an emergency measure like all solutions under Obama.

Increased taxes and spending will come exasperating the already critical debt/deficit situation and driving the once great US towards socialist Europe. In Europe EU Finance Ministers met to slap another plaster on the gaping wound and the EUR traded 1.3090.

The Global Economic position did not fill the RBA with confidence as they cut rates to a record low emergency level. 3% is the level of rates post-GFC and reflects the RBA's view of Global demand with storms gathering in Europe and the US.

This had little impact on the currency which actually rose to 1.0475 as expectations were met. Look for Australian economic data to drive local markets today and Eco-Political developments in the US and Europe longer term.

Mariella - winners in the CLASSIC Class at Les Voiles de St. Barth -  http://www.lesvoilesdesaintbarth.com/!©_Christophe_Jouany_- Les Voiles de St. Barth   Click Here to view large photo


Collinson FX market Commentary: December 4, 2012

China's Manufacturing rose with the PMI breaking above 50, showing expansion in the sector. This is good news for growth and demand. In Europe Greece announced a debt buy back program to reduce the crippling debt that is drowning the country and dragging the EU with it.

Merkel also hinted that the Germans may accept debt write-off into the mix which further boosts the bailout package. It also removes what little credibility the EU had in terms of the single currency and rules surrounding member nations. Merkel will pay a price politically in next years elections for Greek bailouts and could pay the ultimate political price. In the US, Manufacturing contracted with the ISM falling below the all-important 50 to 49.5! This surprised many bulls who have been talking the sector higher but is instead likely to signal a trend of poor economic indicators as the economy slips back in to recession.

Theatrics continue with the Fiscal negotiations and nothing serious is likely to evolve until the deadline is upon them at years end. The drama is part of the political game being acted out with a solution likely, but that solution likely to be detrimental to the US and Global economy. Taxes will rise and the necessary cuts are likely to be largely ignored.

The EUR rallied on the news to 1.3050 and the GBP to 1.6100. Commodity currencies drifted despite the rally in risk assets with a string of weak economic data and prospects of an interest rate cuts in Australia. Australian PMI fell along with Retail Sales and Job Advertisements all confirming the deterioration in the local economy as costs rise and mining returns fall.

The RBA is likely to cut interest rates today which will relieve recent upward pressures on the currency. The KIWI tested 0.8200 although the AUD looks set to test 1.0400 on the downside. Look out for the RBA decision today to impact local markets with accompanying commentary likely to be food for thought!

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=104539

8:12 PM Sat 8 Dec 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:

06 Dec 2012  Collinson FX Market Commentary: December 6, 2012 - No change in NZ
05 Dec 2012  Collinson FX Market Commentary: December 5, 2012 - Equity markets flat
04 Dec 2012  Collinson FX Market Commentary: December 4, 2012 - Good news ex China
30 Nov 2012  Collinson FX Market Commentary: November 30, 2012 - EUR Markets quiet
29 Nov 2012  Collinson FX Market Commentary: November 29, 2012 - Market windshifts
28 Nov 2012  Collinson FX Market Commentary: November 28, 2012 - Good news from EUR
27 Nov 2012  Collinson FX Market Commentary: November 27, 2012 - Fiscal Cliff looms
24 Nov 2012  Collinson FX Market Commentary: November 23, 2012 - Surge in Equities
22 Nov 2012  Collinson FX Market Commentary: November 22, 2012 - Lift in Equities
21 Nov 2012  Collinson FX Market Commentary: November 21, 2012 - France downgraded
MORE STORIES ...




Cruising Canada









Springtime Greening: Boaters Tips for Earth Day by BoatUS Foundation/Sail-World Cruising,








How sailors really do have a voice in the future of our oceans by Sandra Whitehouse, Sailors for the Sea,


Message-in-a-bottle record - 102 years by AFP/Sail-World Cruising,










Canadian solo sailor rescued north of Auckland by Sail-World Cruising round-up,


















Free online fuel spill course - how much do you know? by BoatUS Foundation/Sail-World Cruising,












Life-shattering event sends 'rookie' couple sailing the world by Asia News Network/Sail-World Cruising,








3,200-year-old boat found in Croatian waters
Product of the Week: the LineGrabber
Mediterranean Mooring - How to moor stern-to to a dock or quay
Canadian storm bomb threat - sailors advised: get off the water!
Carbon monoxide poisoning - is it possible on YOUR boat?
Sailing family condemmed for taking 3-year-old on circumnavigation
New contract-free plan for satellite communicator on your smart phone
Yacht of the Week: The Dashew creation: no sails, but eco-friendly
No laughing! Sailing mistakes I don't want to make
Destination: From Moscow Sea to the White Sea
Land sailors of India on adventure across the Rann
A Paint App to (almost) replace your marine store assistant
Air warms but water slower - be careful, sailors, of hypothermia
Volunteer Canadian rescue team homeless - any offers?
Hilary Lister and Nashwa Al Kindi set a new trans-ocean record
How to anchor and 'never utter a word'
Non-pyrotechnic flares for my boat - Can I or can't I?
Health benefits of sailing
Cruising in the Maldives - some nuts and bolts
ISAF Guide to Offshore Personal Safety for Racing and Cruising
Halyard Tension - a video   
Winchrite - for lazy days or extra muscle-power   
Researcher examines 'current leaks' that may change the way you sail   
Paris off to attempt to circumnavigate the world again   
Need a tow from that helicopter? - watch the video and don't laugh   
Certain oil spill products shown to be ineffective and toxic + Video   
The Constrictor: a powerful 'Queen' of sailing knots!   
Boat painting - simple but best tips   
'It's never just one thing' - Swedish sailors rescued   
Book of the Week: From the Galley of...   
Two brave women to sail India to Oman across Arabian Sea   
Rhode Island's Classic Yacht Symposium - Registration opens   
Another rescue for second-time unlucky solo sailor   
New York to San Fran record attempt - Maserati reaches the Horn   
Finally the book:HMS Bounty, Disaster and Survival in Superstorm Sandy   
Yachts impounded in Mexico - the agony goes on...   
Students achieve robot boat Atlantic Crossing - but not as planned   
Solar vessel nominated for Engineers Prize   
Endurance Award for cruising sailors, new worldwide award for 2014   
It's coming. Dodgers/biminis to be solar power producers   


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  



















 
Our Advertisers are committed to our sport, please support them!
This site and its contents are © Copyright TetraMedia Pty. Ltd and/or the original author, photographer etc. All Rights Reserved.

Photographs are copyright by law. If you wish to use or buy a photograph you must contact the photographer directly (there is a hyperlink in most cases to their website, or do a Google search.) with your request.

Please do not contact Sail-World.com as we cannot give permission for use of other photographer’s images.

Only if the photographer named on the image is Sail-world.com, Powerboat-world.com, Marinebusiness-world.com or NZBoating-World.com.
Contact us .
Ph: +61 2 8006 1873 or complete our feedback form    Contact us .
   View our Privacy Policy.    [Go Home]     [  Banner Advertising Specification]    [Bot Archive ]

Customised news feeds -Marine Industry companies, Clubs and Associations have their own customised version of our news feed on their website.
Look_here_to_see_examples

X6XL VIR Cru CA