The Summer Story Returns

10 May, 2016

It’s summer (or it was in the UK for about 2.5 days) which means Greece has another pile of bond redemptions and copy editors are desperately looking for any headlines regarding Greece that have not already been used. The box of clichés is empty, but the position Greece finds itself in is all too familiar. Yesterday, there were some signs of softening with regards to the fundamental issue, namely that of debt restructuring. It was on the agenda for the meeting of Eurozone finance ministers, with a sense emerging that Germany was also softening its steadfast objection to any form of debt relief. It’s early days, but it seems this time a more realistic approach may be taken. As a market issue, it’s one of the most tired and beaten stories of the past 6 years, so suffice to say it’s not impacting the euro and is not likely to for the time being, but it’s a story to keep an eye on, especially if a deal is finally done that puts debt on a sustainable path and removes the on-going question regarding Greek membership of the single currency.

The focus in the broader FX market is with the underling dollar sentiment, as we highlighted yesterday. The dollar index has been recovering for the previous 5 sessions, re-entering the lower end of the trading range seen through April. The recovery has been most against the dollar bloc currencies, principally the Aussie. This was initially on the back of the rate cut last week, but the weakness seen in mining stocks has played a part in more recent sessions. Note that the correlation between the Aussie and Materials stocks on the ASX exchange has been rising in the bigger picture, which sits in contrast to the immaterial and sometimes negative correlation (weekly, 3M rolling) on the bigger picture. See here for chart.


Source link  
Pound rallied, stocks declined

The U.K. main stock index closed lower Thursday, weighed down by weakness for resource stocks and banks and a strong pound as the outline of a key agreement...

Oil slips as U.S. inventories swelled

Oil prices slipped on Thursday after U.S. crude inventories swelled to their highest level since December 2017 amid concerns of an emerging global glut, although...

Crude's Collapse Is Sending Shockwaves

Investors have gone from contemplating the prospect of oil at $100 to sub-$50 in less than two months. No wonder global markets are playing catch-up....


Dollar growth pushed down stock indices

Monday was a hard day for the financial markets. American DJI lost more than 2.3% and S&P500 decreased by 2.0%. As in previous weeks, the main pressure...

U.S. stocks recover after elections

Preliminary estimates of the U.S. election results support a positive mood on the world markets, reducing the demand for protective assets and causing...

Cautious mood has returned to stocks

American markets ended trading on Wednesday with a slight increase. Asian bourses also experienced growth at the opening, but it was quickly...


Emerging markets rebound seems over

Asian markets have turned to a decline with a renewed force. After the rebound of last week, the index MSCI Asia ex Japan loses 1.2% and is only...

Rebound in Asian markets intensifies

On Friday morning, the demand for risks on the Asian bourses continues to recover. MSCI for Asia ex Japan is adding more than 1.2% this morning, having...

Reasons to rebound EM indices

Asian markets are adding after reaching 14-month lows the day before. Positive markets are supported by the reports about China's invitation to trade...


In the past 24 hours Bitcoin has lost -2.14% and reached $3482.7100038. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has lost -0.4129% and is now at $1.1327. Start trading and making money on Forex today.

In the past 7 days Ethereum has lost -17.36% and is now at $91.2710627929. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets92%
2FXTMFXTM88%
3HYCMHYCM87%
4Alfa-ForexAlfa-Forex86%
5FxProFxPro85%
6FIBO GroupFIBO Group84%
7OctaFXOctaFX83%
8HotForexHotForex82%
9AvaTradeAvaTrade80%
10FXCMFXCM78%
  


Share: