Euro Continues to Crumble

05-01-2012

After two days of growth, Asian indices retracted, due mainly to the news that France plans to sell 8 billion euros of debt today. The MSCI Asia Pacific Index (MXAP declined by 0.4 percent to 115.98. Deposit the decline in fortunes for the Asian markets today thus far, the Hang Seng increased slightly by 0.4 percent. The Euro lost ground against the Aussie, Yen and Canadian Dollar yesterday, after a lackluster German bond auction dampened the mood of traders regarding the EU fiscal nightmare. This is Germany’s second bond sale that has failed to meet expectations and the concern that France will suffer a similar fate is hurting the prospects of the Euro against other major currencies.

Trouble in the Middle East

Crude futures declined despite Iranian threats and an EU embargo of the country’s oil supply. Oil is trading at 103.31 at the time of this writing up by about half of a percentage point this morning. The rising prices of oil is expected to further hinder the European economy, as the continent receives much of its oil from the Strait of Hormuz, the body of water that Iran has threatened to block. The EUR/USD is down 0.154 trading at 1.2921. The EUR/JPY is also down by 0.141, trading at 99.15.

Unemployment numbers released today in the United States

Two crucial figures are scheduled to be released today in the U.S. The first being the ADP Non-Farm Employment Change and the second being Unemployment Claims. The ADP is not expected to beat the forecast of 206 thousand new jobs, which could mean a decline in the USD against other currencies. The ISM Non-Manufacturing PMI is also scheduled for release in the United States today and is expected to beat expectations after failing to do so for the last two months.

Dollar on the rise

The USD gained ground yesterday as investors sought the refuge of safety in the midst of a failing EUR. The Euro was hammered by Italian bank worries, a disappointing German bond sale and all-time highs in overnight deposits at the European Central Bank. The EUR/USD was down on midday yesterday, trading at 1.2949. The greenback also increased significantly against the Swiss France, with the USD/CHF trading at 0.942, a rise of 1.04%

Turbulent times continue for the Euro

It seems that there is not end in sight for the European debt crisis. In fact, the situation appears to be direr than ever before. Greek Prime Minister, Lucas Papademos has ignited serious concern when he warned that his country could face economic collapse as soon as March. The contagion has also spread to Hungry, with the Forint reaching an all-time low against the Euro after the European Parliament announced that it had no immediate plans to resume aid talks with the country’s administration. The EUR is down against the USD and recently reached an 11 year low against the Yen.

Metal’s become more precious in early trading

Gold, silver and copper are all up in early trading today, with silver and copper experiencing a gain of 1.18%. Silver is trading at 29.440 and copper at 3.469. Gold was up modestly and now trades at 1620.25. Energy resources have remained stable, with crude oil showing a slight gain this morning, while Brent oil and natural gas are down, trading at 113.73 and 3.099.

Trends Reverse…Slightly 17-05-2012

The Euro is up slightly against the greenback during early European trading on Thursday, but remains far below levels from two weeks ago. The EUR/USD is up 0.18% and trading at 1.2739 this morning, rebounding from a 0.10% decline during yesterday’s trading in the United States that saw the pair close the session at 1.2717. The Dollar is [...]

The Collapse of Oil Prices Continues 16-05-2012

Early trading on Wednesday saw a continuing trend of investor concern towards the Greek political crisis and a rush to the greenback. With the chance of Greece leaving the Eurozone more likely with each passing day, the Euro continues to struggle against the Dollar. The EUR/USD is down 0.11% in early European trading this morning, at [...]

European Uncertainty 15-05-2012

The U.S. Dollar was up against most major currencies on Monday, as investor uncertainty regarding the Greek political crisis continued to push investors towards the safe haven of the greenback. The Euro is up slightly at the beginning of the European trading session on Tuesday by 0.05%, sitting at 1.2828. The Euro has declines sharply [...]

Euro Falls Once Again 14-05-2012

Political uncertainty in Greece and mass protests in Spain has pushed the EUR/USD down 0.15% to 1.2897 during late Asian trading on Monday. In fact, the greenback was either steady or up against most major currencies as traders searched for a temporary safe haven in order to dodge uncertainty in the markets. The increased value of the [...]

Time Is Ticking For Greece 11-05-2012

The Euro is back on the decline during Asian trading on Friday, with the EUR/USD down 0.14% and trading at 1.2920. The pair continues to hover at around 1.3000 after the single currency took a major hit due to fears surrounding political instability in Greece and future fiscal policy in France. The pound is also down against the greenback [...]

Euro Declines Stop 10-05-2012

The Euro has rebounded slightly against the USD during Asian trading on Thursday after posting huge losses over the last several days. The EUR/USD is up 0.15% and trading at 1.2946. The majority of major currencies are also up against the greenback this morning, including the Pound, Swiss Franc and Australian Dollar. The Aussie posted [...]

Euro Decline Continues 09-05-2012

The beginning of trading on Wednesday continued the negative trend of the Euro and oil. The Euro continues to decline sharply, down 0.24% and trading at 1.2975. The EUR/USD broke through the 1.3000 barrier earlier this week after European elections in France and Greece cast a shadow over the future of the single currency. The Euro is also [...]

Declines Continue for Oil and Euro 08-05-2012

The Euro is down once again during late Asian trading on Monday, after suffering huge losses yesterday. The EUR/USD is down 0.15% and trading at 1.3032. The single currency did manage to recover somewhat during late trading yesterday, rebounding from a decline of 0.81% at the end of the Asian trading session. Investors continue to show [...]

Future of the Euro in Doubt? 07-05-2012

Two key election results in the European Union are threatening to undo the single currency. Francois Hollande is the new president of France, after defeating Nicolas Sarkozy by a small margin in the second round of elections. Hollande is the first socialist president in France in the last seventeen years. Many voters in France expressed [...]

Oil Prices Plummet 04-05-2012

Oil prices plummeted during the U.S. trading session on Thursday after European Central Bank President Mario Draghi expressed concern over future growth of the EU economy. The price of crude was down 2.48% and trading at 102.61 USD per barrel. Oil was also hit hard because Draghi claimed that ECB was not planning to increase liquidity in [...]

Go Back