Forex Investment and Currency Trading

USD weakness pushes commodity prices higher
Commodity prices generally firmed in October, drawing support from a range of external factors, most notably a weaker USD. Fundamentals provided added impetus for the market, but improvements in the demand and supply picture remain tentative and are coming from a low base. Investor sentiment has improved, and a sustained recovery in investor demand could fuel a price rally. However, investors will likely be on the lookout for signs of a sustained global economic recovery, which as of now is still uncertain.
Crude oil: boosted by USD weakness, but upside is limited for now
Crude oil (WTI) [...]

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EUR/USD – The EUR appears to be pushing the envelop, with spot pressuring the upper boundary of the 4 month bull channel; previous tests of the primary channel ceiling have been followed by a period of weaker, corrective price action. While Friday’s price action is ending the week on a rather indecisive (“doji” session) note, some do not think the EUR is facing a significant correction from the mid/upper 1.50 zone. Rather, the main risk is for price to respect the steeper, shorter term bull channel and for the current EUR rally to accelerate. Structurally, the EUR bull trend is much [...]

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Norges Bank Rate Decision - Release: Oct 28
The Norges Bank is scheduled to announce its latest rate decision on Wednesday 28th October, alongside which it will also release its third and final Monetary Policy Report for 2009. Market forecasts the Norges Bank to announce a rate hike at this meeting. The recent Regional Network Report, on which the Norges Bank has stated it places great emphasis when reaching rate decision, was notably more upbeat on output, and the negativity highlighted by contacts on the price front was somewhat overshadowed by the release of September CPI inflation data which showed the [...]

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US stocks fell in the last hour of trading yesterday with the S&P finishing the day down 0.9%. While earnings so far have generally beat to the upside by a healthy margin (16% on average as of last count), the magnitude of revenue beats has been significantly lower and among firms catering to end demand, the median revenue surprise has been zero.
In the UK, yesterday’s MPC minutes revealed a less dovish tone. The MPC stressed that the effect on asset prices from the QE program has been substantial. In addition, the MPC noted that the resilience of employment in the [...]

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