By www.CentralBankNews.info Poland’s central bank cut its key reference rate by 25 basis points to 4.0 percent, as expected, along with its other interest rates and will provide further details about its decision later today.
It is the third consecutive rate cut by the National Bank of Poland (NBP), which cut rates by 50 basis points in 2012.
Poland’s economy worsened steadily through 2012 and practically all economists had expected the central bank to continue to ease its policy stance today with many expecting it to cut further next month.
In December, the NBP said it would continue to lower its interest rates if the economic slowdown is protracted and inflationary pressures remain limited.
Poland’s third quarter Gross Domestic Product rose by only 0.4 percent from the second, with the annual growth rate falling to 1.4 percent from 2.5 percent in the third quarter and 3.5 percent in the first quarter. The country’s GDP rose by 4.3 percent in 2011.
Poland’s inflation rate fell to 2.8 percent in November from 3.4 percent in October and 3.9 percent in September. The central bank targets inflation of 2.5 percent, plus/minus one percentage point, and expects the target to be reached this year. In 2014 inflation is forecast to drop further to 1.5 percent.
Last month the NBP cut its 2012 growth forecast to 2-2.6 percent from 2011’s 4.3 percent in 2011, and forecast growth this year of 1.5 percent.
In addition to the 25 basis point cut in the reference rate, Poland’s central bank cut its lombard rate to 5.50 percent, the deposit rate to 2.50 percent and the rediscount rate to 4.25 percent.
“Gold Correction Awaited” in India, US Monetary Policy “Gives No Reason to Change Bullish View on Gold”
London Gold Market Report
from Ben Traynor
BullionVault
Wednesday 9 January 2013, 12:30 EST
THE SPOT gold price hovered above $1660 per ounce Wednesday morning in London, slightly up on the week so far, before dropping through that level ahead of US trading.
“[Gold] continues to consolidate last week’s down move from $1694 to $1627,” says the latest technical analysis from bullion bank Scotiabank.
“Our bias remains lower with $1627 our next line in the sand.”
Gold buying in India meantime slowed Wednesday, dealers report.
“The market has slowed as everyone is waiting for [a price] correction,” says Ketan Shroff, director at wholesaler Penta Gold in Mumbai.
A day earlier, premiums on gold imported by India hit a two-month high Tuesday, with bullion importing-dealers citing strong demand ahead of a possible import duty hike as well as supply constraints caused by reduced refining capacity over Christmas.
Societe Generale meantime became the latest bank to lower its 2013 average gold price forecast Tuesday. SocGen analysts now say they expect gold to average $1700 an ounce this year, down from the previous forecast of $1800.
Silver is forecast to average $31 an ounce, compared to the previous forecast of $34 an ounce.
“The very poor price action of gold recently and lack of bullish triggers leads us to moderate our expectations for gold and silver prices,” says a note from SocGen.
“We remain moderately bullish, and are looking for a similar trajectory to our gold and silver forecasts, albeit at lower levels.”
“Monetary policy accommodation continues to paint a supportive backdrop for higher gold prices up ahead,” adds a note from UBS.
“We do not think that there has been any material change in the macro environment to warrant a change in the underlying bullish gold view… the reality is that the Fed’s balance sheet is still expected to continue expanding for some time.”
Stock markets opened higher this morning before easing back, while US Treasuries ended this morning flat on the day, with most commodities were also little changed.
Silver meantime failed to hold above $30.50 an ounce, despite news of strong coin sales and exchange traded funds demand.
So far this month, the US Mint has sold nearly 4.3 million ounces of silver bullion American Eagle coins, which it produces specifically for investment purposes and sells to primary dealers. This compares to 6.1 million ounces sold in the whole of January 2012.
The world’s largest silver ETF meantime, the iShares Silver Trust (SLV), saw its holdings rise to 10,112 tonnes this week, their highest level since 23 May 2011.
“The low silver prices are clearly being seen as an attractive opportunity to buy,” says this morning’s commodities note from Commerzbank, adding that overall silverETF holdings hit a record 18,990 tonnes yesterday.
The United States will import less oil next year than at any time since 1987, thanks to adomestic supply boost from hydraulic fracturing as well as slower demand growth, according to projections from the US Energy Information Administration published Tuesday.
Elsewhere in the US, economists are debating whether the government should consider minting a $1 trillion platinum coin as a way of continuing to borrow should Congress refuse to raise the $16.4 trillion federal debt ceiling.
“By minting a $1 trillion coin, then depositing it at the Fed, the Treasury could acquire enough cash to sidestep the debt ceiling — while doing no economic harm at all,” wrote Nobel Prize-winning economist Paul Krugman in his New York Times column this week.
“So why not?”
“Wasn’t that the plot of a Simpsons episode?” asked Michael Steel, spokesman for Republican speaker of the House of Representatives John Boehner, when asked about the proposal last week.
“There’s no magic coin to duck the tough choices our nation faces,” Steel added, “and the only way to stop spending money we don’t have is to stop spending money we don’t have.”
The US Treasury said last month the government on December 31, and has introduced extraordinary measures designed to keep debt below the threshold until February.
Over in Europe, the Eurozone remained in recession for the final three months of 2012, according to GDP data published this morning.
Gold value calculator | Buy gold online at live prices
Editor of Gold News, the analysis and investment research site from world-leading gold ownership service BullionVault, Ben Traynor was formerly editor of the Fleet Street Letter, the UK’s longest-running investment letter. A Cambridge economics graduate, he is a professional writer and editor with a specialist interest in monetary economics. Ben writes and presents BullionVault’s weekly gold market summary on YouTube and can be found on Google+
(c) BullionVault 2013
Please Note: This article is to inform your thinking, not lead it. Only you can decide the best place for your money, and any decision you make will put your money at risk. Information or data included here may have already been overtaken by events – and must be verified elsewhere – should you choose to act on it.
Euro Takes Losses Following Disappointing EU Data
Source: ForexYard
The euro took losses against several of its main currency rivals yesterday, following the release of worse than expected EU retail sales and German factory orders data. The news also led to bearish movement for other riskier assets, including the British pound and crude oil. Today, euro-zone news is once again forecasted to impact the market. Traders will want to pay attention to the German Industrial Production figure, set to be released at 11:00 GMT. If the figure comes in below its forecasted level, the euro could take further losses during mid-day trading.
Economic News
USD – Risk Aversion Leads to Dollar Gains
The safe-haven US dollar saw moderate bullish movement against several of its higher yielding currency rivals yesterday, after worse than expected euro-zone data, specifically retail sales and German factory orders figures, led to risk aversion in the marketplace. The USD/CHF advanced close to 50 pips during mid-day trading to eventually reach as high as 0.9250. The GBP/USD fell close to 60 pips during the middle of the day to trade as low as 1.6047 by the end of the European session.
A lack of significant news out of the US today means that dollar movement is once again likely to come as a result of euro-zone data. Traders will want to pay attention to the German Industrial Production figure. Analysts are forecasting the indicator to come in significantly higher than last month’s which, if true, is likely to generate risk taking in the marketplace and cause the greenback to give up yesterday’s gains. Later in the week, dollar traders will want to pay attention to the US Unemployment Claims and Trade Balance figures, both of which are forecasted to generate volatility for the greenback.
EUR – Euro-Zone Data Once Again Expected to Drive Markets Today
News that the euro-zone unemployment rate went up last month, combined with a drop in German factory orders, resulted in the euro taking moderate losses against safe-haven currency rivals yesterday. The EUR/USD fell some 65 pips during the mid-day session to trade as low as 1.33068, before a slight upward correction brought the pair up to 1.3090. Against the Japanese yen, the common-currency lost more than 60 pips during the middle of the day to trade as low as 114.23.
Today, euro-zone news is once again forecasted to dictate the direction markets take. Specifically, traders will want to focus on the German Industrial Production figure, scheduled for 11:00 GMT. As the biggest economy in the EU, German economic news tends to have a significant impact on the euro. With analysts forecasting the indicator to come in higher than last month’s, the euro could recover some of its recent losses today.
Gold – Increase in Chinese Demand Boosts Gold Prices
An increase in Chinese demand for gold caused the precious metal to reverse its recent bearish trend during the European session yesterday. Gold prices advanced more than $11 an ounce over the course of the day, eventually reaching as high as $1658.66 before falling back to the $1656 level.
Today, gold traders will want to pay attention to euro-zone news and its impact on the US dollar during mid-day trading. If the German Industrial Production figure comes in above its forecasted level, the USD could take losses, which would make gold more affordable for international buyers and possibly boost prices further.
Crude Oil – US Inventories Data Set to Impact Oil Prices Today
After gaining more than $0.70 a barrel during early morning trading, crude oil turned bearish after worse than expected euro-zone data led to risk aversion in the marketplace. The commodity fell close to $1 during mid-day trading, eventually reaching as low as $92.73 by the end of the European session.
Turning to today, oil traders will want to pay attention to the US Crude Oil Inventories figure, scheduled to be released at 15:30 GMT. If the figure comes in below its forecasted level, it will likely be taken as a sign that demand for oil in the US has gone up, which would cause the commodity to turn bullish during afternoon trading.
Technical News
EUR/USD
The Bollinger Bands on the weekly chart are beginning to narrow, indicating that a price shift could occur in the coming days. Furthermore, the MACD/OsMA on the same chart appears close to forming a bearish cross, signaling that the shift in price could be downward. Opening short positions may be the smart choice for this pair.
GBP/USD
The daily chart’s Slow Stochastic appears close to forming a bullish cross, indicating that this pair could see upward movement in the near future. Additionally, the Williams Percent Range on the same chart has dropped into oversold territory. Traders may want to open long positions for this pair ahead of a possible upward correction.
USD/JPY
The Relative Strength Index on the weekly chart is currently in overbought territory, indicating that a downward correction could occur in the coming days. This theory is supported by the Slow Stochastic on the same chart, which has formed a bearish cross. Opening short positions may be the smart move for this pair.
USD/CHF
The Williams Percent Range on the daily chart has crossed into overbought territory, indicating that a downward correction could occur in the near future. Furthermore, the Slow Stochastic on the same chart has formed a bearish cross. Opening short positions may be the smart move for this pair.
The Wild Card
USD/NOK
The Williams Percent Range on the daily chart has crossed over into overbought territory, indicating that a downward correction could occur in the near future. This theory is supported by the Slow Stochastic on the same chart, which has formed a bearish cross. Going short may be the wise choice for forex traders today.
Forex Market Analysis provided by ForexYard.
© 2006 by FxYard Ltd
Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.
Market Trends 09.01.2013
Source: ForexYard
Hey Everyone,
Below are some market trends for today.
Good luck!
-Dan
Gold- May see downward movement today
Support- 1652.15
Resistance- 1673.49
Silver- May see downward movement today
Support- 29.82
Resistance- 31.09
Crude Oil- May see downward movement today
Support- 92.18
Resistance-93.77
Dax 30- May see upward movement today
Support- 7624.01
Resistance- 7850.00
EUR/USD May see downward movement today
Support- 1.2995
Resistance- 1.3163
Read more forex news on our forex blog
Forex Market Analysis provided by ForexYard.
© 2006 by FxYard Ltd
Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.
Market Review 09.01.2013
Source: ForexYard
The US dollar was able to correct some of its recent losses against the Japanese yen during the overnight session, as renewed speculations that the Bank of Japan will initiate a new round of monetary easing in the near future weighed down on the JPY. The USD/JPY advanced more than 80 pips during Asian trading and is currently trading at 87.60.
A slow news day yesterday resulted in the EUR/USD, crude oil and gold seeing little movement during overnight trading.
Main News for Today
German Industrial Production- 11:00 GMT
• Analysts are forecasting the figure to come in at 1.1%, significantly higher than last month’s -2.6%
• Better than expected news could result in gains for the euro during mid-day trading
US Crude Oil Inventories- 15:30 GMT
• Analysts are forecasting today’s figure to come in at 0.9M, which if true, may be taken as a sign of weakened demand in the US and could lead to a drop in oil prices during afternoon trading
Read more forex news on our forex blog
Forex Market Analysis provided by ForexYard.
© 2006 by FxYard Ltd
Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.
Thailand holds rate but eyes risks from high credit, debt
By www.CentralBankNews.info Thailand’s central bank kept its policy rate steady at 2.75 percent, as expected, but cautioned that it was keeping a close eye of risks that could develop from persistently high credit growth, rising household debt and volatile capital flows.
The Bank of Thailand (BOT) said last year’s accommodative policy – the BOT cut rates by 50 basis points in 2012 – had “significantly shored up private sector confidence, supported post-flood recovery, and helped cushion the economy from the global economic headwinds.”
Although the global economy continued to recover, led by the US and China, the central bank said it was still appropriate to maintain a policy stance that sustained growth momentum, given the remaining uncertainties in the global economy and that inflation was forecast to be within target.
“The MPC will, however, continue to closely monitor financial stability risks that may arise from persistently high credit growth, rising household debt, and volatile capital flows,” the BOT said in a slightly hawkish statement after a meeting of its Monetary Policy Committee.
The BOT said the recent political agreement in the United States to avert the fiscal cliff had helped bolster global financial market sentiment but the euro zone and Japanese economies remained weak and a “resolution of their structural problems would likely take time.”
But the economic performance of most Asian economies had turned more positive, helped by strong domestic demand and “modestly improving exports.”
The BOT’s slightly hawkish tone was a bit firmer that its surprisingly upbeat statement in November when it said downside risks to economic growth were starting to subside and it expected exports to recover in the first half of this year.
In December the BOT raised its forecasts for growth in 2012 and 2013 and the bank said this growth revision was based on its expectation that the Thai economy likely expanded more than previously expected in the the fourth quarter.
In the third quarter, Thailand’s Gross Domestic Product rose by 1.2 percent from second for annual growth of 3.0 percent, down from 4.4 percent in the second but well above the first quarter’s 0.4 percent as the country slowly began to recover from flooding in 2011.
Growth continues to be driven by private consumption and investment that is supported by “consumer and business confidence, favourable household income, full employment as well as accommodative monetary conditions with continued high rates of credit growth,” the bank said.
It added that the export sector showed incipient signs of a broad-based recovery while the service sector and tourism expanded robustly.
The BOT said inflationary pressures remained stable but “the impact of the second-round minimum wage increase warranted monitoring.”
Thailand’s headline inflation rate jumped to a 2012-high of 3.6 percent in December from 2.7 percent in November but core inflation, which excludes fresh food and energy prices, eased to 1.78 percent from 1.85 percent.
The BOT targets core inflation of 0.5 to 3.0 percent.
In December the central bank raised its 2012 GDP forecast to 5.8 percent from a previous 5.7 percent and its 2013 forecast to 4.7 percent from 4.6 percent.
Economists had widely expected the BOT to hold rates steady this month but are starting to pencil in rate rises in the second half of this year if inflation starts to rise.
www.CentralBankNews.info
Downside in the Yen: Shinzo Abe and the Three Bears
While everyone has been focused on the outcome of the fiscal cliff negotiations there has been a far more interesting development occurring in Japan. I believe this development has had a greater impact on the direction of markets over the last couple of months than most people appreciate.
Shinzo Abe, the new Prime Minister of Japan, has made it very clear that he supports more money printing and a weaker Yen. The lead up to his election saw a very sharp move to the downside in the Yen and this strong trend has continued after the election.
Japanese Yen Monthly Chart
Source: Slipstream Trader
The reason why I find this so fascinating is that the monthly chart of the Japanese yen in US dollars is now looking quite scary indeed.
The chart above goes all the way back to 1979. You can see quite clearly that the highs made in 2011 have now created a double top or ‘false break’ of the high made all the way back in 1995. The uptrend from 2007 has also been clearly broken now.
From the look of the chart above and the determination of the Prime Minister to attempt to print his way to prosperity, we may still be at the very beginning of a large move to the downside in the Yen.
This new development is worth keeping an eye on because the Yen has been a favourite amongst the ‘carry trade’ set for many years. The last few years saw a switch from the Yen to the US dollar as the borrowed currency. But we may now be witnessing a return to the old ‘Yen carry trade’ game.
If you’re not familiar with the term, a carry trade is when an investor borrows money in one currency and then sells that currency and invests the money offshore. While the borrowed currency weakens and asset markets rise elsewhere this trade can reap incredibly huge rewards for those able to borrow large sums at very low rates. ie. the banks and hedge funds of the world.
If the Prime minister of the country has made it clear that he has your back and will keep printing money and weakening the currency, why wouldn’t you borrow in that currency and invest elsewhere? It’s a no-brainer that the Yen will continue weakening, so half of your risk has been taken of the table and if anything will ultimately add to the profits.
We have all heard of the risk on/risk off mentality of markets. A good proxy for this risk on/risk off idea is the Euro/Yen and the AUD/Yen cross rates. You’ll often see quite a high correlation between these two currency crosses and equity markets.
Euro/Yen vs ASX 200
Source: Slipstream Trader
It’s sometimes hard to get your head around, but looking at a chart of the Euro/Yen and the ASX 200 shows a striking correlation. There is no doubt they will both diverge at different times but ultimately the relationship comes back into play and the divergence between the two can often be a great hint about future direction.
It’s obvious from the above chart that the rally in the Euro/Yen over the past few months has been amazingly strong. Could the 10% rally we’ve seen in the ASX 200 over the past month be due to this ‘Yen carry’ effect rather than anything else? I think so.
AUD/Yen vs ASX 200
Source: Slipstream Trader
It makes more sense that there is an even higher correlation between the AUD/Yen and the ASX 200. There have been times in the past few years when the AUD/Yen and the ASX 200 have walked side by side with a correlation of almost 1.
That high correlation broke down in early 2012 but the last few months have seen the relationship return.
AUD/Yen vs ASX 200 since 2001
Source: Slipstream Trader
Just to make the point that there is a lasting relationship between the AUD/Yen and our equity market I thought I should include a longer term chart of the two.
You can see from the above chart that over the last 13 years there has been an incredibly close link between the two, even if there are periods of a year or so when the two moved in opposite directions.
So it appears that the decisions of the new Prime Minister in Japan have far more influence over the direction of our equity market than most would imagine. If he is really determined to trash the Yen does that mean our market will continue rallying? Perhaps.
But as always there are unintended consequences to the actions of our fearless leaders. They are determined to defy all of the laws of economics in their quest to ‘fix’ the economy.
One interesting development in Japan is the little wiggle in the tail of the Japanese government bond (JGB) market.
Japanese government Bond (JGB) yields since 2009
Source: FXthoughts.com
You can see from the above chart that the 30 year JGB’s have sold off since the middle of 2012. The move has seen yields rise from 1.75% to just over 2%. A yield of 2% is of course still incredibly low, but the fact is a 25 basis point move from 1.75% is not negligible.
You can also see from the above chart that the 10 year bond yield is also starting to move higher over the last couple of months.
Could the bond market be sniffing the possibility of inflation down the track?
What happens to the finances of Japan if the bond yields continue to rise?
Well they have about 240% debt to GDP and an article on CNBC.com stated that:
‘Andy Xie, an independent economist, agrees that Japan’s debt situation is not sustainable and that the country is becoming increasingly reliant on foreign capital flows. Even though the yield on 10-year JGBs is less than 1 percent, the interest expense is expected to top 22.3 trillion yen ($280.6 billion) in the current fiscal year, Xie said.‘”This is one-quarter of the budget,” he added. “If the bond yield rises to 2 percent, the interest expense would surpass the total expected tax revenue (this year) of 42.3 trillion yen.’
Wow.
So we can now see that the new Japanese Prime Minister is playing with fire.
He has to tread very carefully if he is to print enough money to weaken the Yen and increase exports, but not so much that he scares the bond market and brings the whole house of cards tumbling down on his head.
In other words, he has to get things ‘just right’.
If anyone needed to ask the advice of Goldilocks it’s the new PM of Japan Shinzo Abe. And I assure you when the music stops it will be more than three bears chasing him into the woods.
Murray Dawes
Editor, Slipstream Trader
From the Port Phillip Publishing Library
Special Report: The Fuse is Lit
Daily Reckoning:
A North Korean Investment Opportunity
Money Morning:
How Central Banks Are Letting Inflation Get Out of Control
Pursuit of Happiness:
Are You Brave Enough to Break From Technology?
China’s Economy is Still Heading for a Hard Landing – Here’s a Better Bet
Early last year, the idea that China’s miracle economy might finally have sprung a leak started to gain some acceptance by even the biggest China bulls.
After all, it was pretty hard to keep arguing that growth could never fall below the magic 8% level when even the Chinese government said it come in at around 7%.
Yet the sight of a few bits of perkier economic data now have everyone declaring a ‘soft’ landing. The stock market is ticking higher, and the China bulls are back in force.
I still wouldn’t touch it with a ten-foot bargepole…
The one sure predictor of a mega-bust –
a mega-boom
As Edward Chancellor points out in an excellent column for the FT’s funds supplement this morning, there is one predictor of financial crisis that is unmatched: “reckless credit expansion”.
Chancellor quotes from a paper by Claudio Borio at the Bank for International Settlements. Borio tries to highlight the importance of the credit cycle (in other words, how tight or loose lending is) to understanding macro-economics. He observed that “economic hard landings often followed periods of strong credit growth and house price inflation”.
This shouldn’t be a controversial topic, but it is. Maddeningly, the people in charge still argue that the financial crisis came out of nowhere. You can see why: it gets them off the hook. But it’s entirely wrong. “We have forgotten the basic law that every credit boom… contains the seeds of its own demise.”
Borio’s point is that the credit boom years are an aberration: “Reckless credit expansion spurs unsustainable growth and results in the misallocation of capital.” In other words, money gets thrown at projects and investments that can’t ever pay for themselves.
When the bust comes, the best thing to do is let the bad investments unwind and go bust. If you instead try to get back to the boom years by using ultra-loose monetary policy, all you do is “delay the resolution of economic imbalances and even generate new asset price bubbles”. That’s what Alan Greenspan did after the tech bubble burst, and it’s what Ben Bernanke is trying to do now.
By this measure, which country currently looks most vulnerable to a hard landing? China, of course. As Chancellor reminds us, China’s ratio of debt to GDP rose by 60 percentage points in the five years to 2012.
By itself, that probably doesn’t mean much to you. So to put it in perspective, that’s “a much larger increase than that experienced by either the US prior to 2008 or by Japan in the second half of the 1980s”.
In other words, China’s economy has ‘geared up’ more dramatically than either the US or the Japan did right before two of the most devastating economic collapses in living memory. And despite government attempts to cool the property bubble, credit has gone on expanding. “Last year, China’s non-financial credit expanded by a staggering 33%.”
As for ‘malinvestment’, Michael Pettis, a professor at Peking University, flags up an International Monetary Fund paper which investigates just how mad China has gone with its infrastructure investment.
In short, China has used its citizens’ savings to subsidise huge levels of investment in infrastructure. This can’t carry on. If it does, says Pettis, “overinvestment will contribute to further financial fragility leading, ultimately, to the point where credit cannot expand quickly enough and investment will collapse anyway”. But China’s growth meanwhile has become so dependent on this level of investment, that any slowdown or adjustment will hit growth hard.
So either way the country is in trouble. While I’m bearish on China, I wouldn’t be at all surprised to see a strong market bounce from here if investors decide they are back in ‘risk-on’ mode. But I won’t be buying in. As Chancellor points out, “nobody can tell when China’s financial cycle will peak. We can say the longer this boom lasts, the harder the landing will be”.
Another risky country that might be a better bet than China
And if you’re tempted to invest in China because the stock market looks cheap, I’d suggest that you consider Russia instead. The country is still too dependent on energy prices, but it certainly hasn’t experienced a credit bubble.
Now, the truth is, I’m not keen to invest in either country. I am not an especially risk-averse investor (the amount of my own pension invested in Japan is a testament to that). But there is simply too much political risk in both China and Russia for my liking.
What concerns me most is the apparent attitude that private ownership of an asset is a right granted to you by the government, and which can be rescinded at any time the state wants the asset back. Forget understanding company fundamentals – being a successful investor in that environment depends mainly on knowing which backs to scratch, and that’s not something you can divine from even the most transparent balance sheet.
John Stepek
Contributing Writer, Money Morning
Publisher’s Note: This article originally appeared in MoneyWeek
From the Archives…
The Talisman of Fear: Why Gold Remains the Foundation of Wealth
4-1-2013 – Kris Sayce
We Got it Wrong With Dividend Stocks…And Investors Still Made Money
3-1-2013 – Kris Sayce
A Contrarian Investment Prediction for 2013
2-1-2013 – Greg Canavan
The Rockers and Shockers of 2012
31-12-2012 – Kris Sayce
Will 2013 Show Us Up?
29-12-2012 – Callum Newman
Central Bank News Link List – Jan. 9, 2013: BOJ may ease again, double inflation target – sources
By www.CentralBankNews.info Here’s today’s Central Bank News link list, click through if you missed the previous link list. The list comprises news about central banks that is not covered by Central Bank News. The list is updated during the day with the latest developments so readers don’t miss any important news.
- BOJ may ease again, double inflation target – sources (Reuters)
- Why this may be the week the ECB cuts rates (CNBC)
- Lacker: Would be damaging if Congress doesn’t take orderly course on debt (dow jones)
- CBK (Kenya) to cut interest rates to boost economic growth (Reuters/Standard)
- Egyptian central bank sells dollar as pound weakens (Reuters)
- Azeri central bank reserves grew 11.6% to $11.7 billion in 2012 (Bloomberg)
- www.CentralBankNews.info
USDJPY rebounds from 86.82
After touching the lower line of the price channel on 4-hour chart, USDJPY rebounds from 86.82, suggesting that a cycle bottom is being formed. Further rise could be expected, and next target would be at 88.00 area. Support is now at 86.82, only break below this level could indicate that lengthier consolidation of the uptrend from 77.14 (Sep 13, 2012 low) is underway, then deeper decline to 86.00 area could be seen.
