Month: May 2013

Suspect: Boston attack payback for hits on Muslims
Futures edge higher on mixed signals from retail
U.S. Futures Point to Lower Open

Little change to stock futures
Futures edge higher on mixed signals from retail
U.S. Futures Point to Lower Open

Officials in Texas are awaiting daybreak to fully assess the scope of the destruction left in the wake of a deadly tornado in Granbury that killed six people. (May 16)

Berkshire reveals CB stake, adds to Wells Fargo
Netflix trading at pre-plunge levels
HSBC boss can do more to cut bank down to size

By CountingPips.com

The US dollar took a pause from its recent uptrend against the other major foreign currencies in forex market trading. At the New York close of Wednesday’s trading session, the American currency had registered losses for the day against just about all the other major currencies except for the euro.

The dollar fell against the British pound sterling, Japanese yen, Swiss franc, Canadian dollar, Australian dollar and the New Zealand dollar. Meanwhile, the euro declined for a second straight day against the dollar to close at the lowest level since April 3rd as the EUR/USD slides further away from the major 1.3000 level.

The American currency has mostly been on a strong uptrend versus many of the majors over the last week with some currencies like the Australian dollar, New Zealand dollar and the Swiss franc seeing swift and sharp declines. The USD is also trading at the highest level against the Japanese yen since 2008.

Elsewhere in the financial markets, the Dow Jones industrial average saw a rise of just over 60 points to close above the 15,275 level on Wednesday while the NASDAQ rose by nine points and the S&P 500 gained by a little over eight points.

The benchmark 10 year treasury bond was lower with the current yield level coming in at 1.94. Gold fell today and trades around the 1391.50 level while crude oil was down and trades at the 94.21 level.

Forex Chart: AUD/USD

The Australian dollar, on Wednesday, stopped its sharp downtrend that had lasted approximately the last seven trading days. The AUD/USD finished the day modestly higher than it began after touching the lowest level for this currency pair since June 2012. Any further correction higher in this pair would likely see the major psychological level of 1.0000 as a strong resistance level.

Thursday’s economic releases include:

Euro zone consumer price index

United States consumer price index

United States jobless claims weekly

United States housing starts and building permits

United States Philadelphia fed survey

Written by Zac Storella, CountingPips Forex Blog & Currency Research

European Union finance ministers have been given the green light to start talks with Switzerland, Liechtenstein and three other countries on new rules for swapping bank account information. As Sonia Legg reports it’s a move that’s likely to be popular with Europe’s cash-strapped voters.

Definitely Still Bullish on Stocks: Appaloosa’s Tepper
Futures Off Ahead of Retail Data
British firms more upbeat on economy, credit scheme helping: lobby

By CountingPips.com

The British pound sterling has begun the week on the decline against the US dollar in foreign exchange market trading. The GBP/USD currency pair is currently trading around the 1.5300 price level after the close of the New York trading session. The pair began the week trading about 50 pips higher.

The GBP/USD dropped last week following two straight weeks of increases and closed below the 1.5500 major support resistance level. So far this week, the pair has been trading outside the weekly ascending channel (see below weekly chart) that has held for the last 10 weeks approximately.

Support & Resistance:

The GBPUSD looks to be headed to a test of the 1.5250 support level which is just 50 pips below current price. A close below this level would bring the possibility of a retest of the major 1.50 level and bring this pair close to the lowest levels of 2013.

Any rebound this week in the British pound would see overhead resistance near the 1.5360 level up to the 1.5400 round number while the major 1.5500 threshold would also be lurking above.

This week is light on fundamental data for the UK with jobless claims numbers and the Bank of England inflation report both due out on Wednesday.

GBP/USD: Last 6 Weeks of Changes & Ranges

* current week

Written by Zac Storella, CountingPips Forex Blog & Currency Research

Verizon Wireless to Pay Its Parents $7 Billion Dividend in June
Bernanke to speak on economy to Congress on May 22
Euro finance ministers to discuss Italy, Portugal

UK’s Cameron urges ‘everything on table’ in U.S.-EU trade talks
Britain’s Conservatives Split Over Europe
Limited banking union can buy time, German finance minister writes