Markets seem to be in a state of paralysis, unable to find a clear direction this Monday morning. The EURUSD was contained in a tight 100 pip range, while the USDJPY languished right below the Ichimoku daily could cover. Starting this week, the early part of March is filled with events which have the ability to truly shift market direction. This week is packed with macro G10 economic data… (more…)
Markets were quiet until Europe woke up, where we saw a steady unwind of risk. The EURUSD traded down to 1.3490 from 1.3560, while the GBPUSD fell to 1.4860 from 1.4960. While in the mid-term we are short risk right now these pairs are well oversold and we would expect a near term term risk rally. There was really no single catalyst for the move, rather a continuation of yesterday?s… (more…)
Risk appetite took a significant hit yesterday, as German IFO and US consumer confidence failed to impress the markets and concerns over Greece?s impending 24 hour strike weigh on sentiment. US equity closed down and today Asian and European markets followed. This was in spite of the positive economic data from Japan, that looked encouraging, as Jan trade surplus Y85.2 bln vs. Y108.5 bln deficit… (more…)
It seems that in the last few days the situation in Greece has taken a palpable turn for the worse. Not that any new economic revelations have revealed themselves, but rather there has begun a noticeable shift from the contained economic realm to the social realm. First, credit rating agencies S&P and Moody?s have both issued warnings that Greece might face further downgrades if the country… (more…)