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The International Monetary Fund approves a $2.1bn (£1.4bn) loan for Iceland, after its banking system collapsed in October.

Inflation at factory levels has moderated slightly in October, due to a sharp decline in oil prices according to data released by German Statistics.

Speaking with the Financial Times on Thursday, European Central Bank's Ewald Nowotny says that it makes sense that the ECB would not cut too much too soon. At its governing council meeting in November, the ECB surprised some by only cutting its main refinancing rate by 50 basis points to 3.25%. With the Bank of England having just minutes before cut its Bank Rate by an unexpected 150 basis points,…

European Central Bank Executive Board member Lorenzo Bini Smaghi added to the speculation that the ECB would cut rates further at its Governing Council meeting in December by saying that more cuts were possible, according to Portuguese newspaper Público on Thursday. However, Bini Smaghi also says that the central bank must avoid having rates too low for too long and reiterated that the central ban…

Asian markets plummet after New York's main share index slumps to its lowest level in five years, amid recession fears.

European Central Bank member Ewald Nowotny says falling inflationary pressures "obviously give room for further measures" from the central bank, according to the Financial Times on Thursday, echoing similar statements from a number of ECB members recently. Nowotny also says that Germany should consider a more aggressive program to stimulate its economy and bring it out of recession, adding that th…

(CEP News) Frankfurt - With oil prices continuing to fall back from their record highs reached earlier this year, a majority of economists expect German producer price growth to slowed further in October. Ahead of the Federal Statistical Office (Destatis)'s data release on Thursday, the median consensus is calling for producer price inflation to slow to 7.2% year-over-year, down from September's 8…

Gbp/usd - 1.4960...U.S. names were seen selling earlier this morning ahead of the 1.5000 lvl n cable fell to 1.4916 (absorbing some bids at 1.4920) b4 rebounding on short-covering ahead of U.K. retail sales data (expected to show a month-on-month decrease). More bids are found at 1.4890/00 with stop...

Eur/usd - 1.2491...ECB board member Smaghi was quoted in a newspaper interview as saying that it is possible for eurozone rates to fall further n that the central bank does not anticipate a deflationary process will occur. Bids fm various accounts (incl. Asian CBs n European corporations) are noted ...

Yesterday Euro/Dollar made a slight adjustment upwards. The currency pair reached a peak at 1.2807 but closed lower at 1.2488. Our model remains mixed for now, with descending signals in the longer term while the European currency remains below 1.2880. Only consistent movement above 1.2752 might break the bearish scenario. Immediate support is seen at 1.2470. Break down of this level can give us f…

Usd/jpy - 95.16...Dlr declined to 94.97 on risk aversion with the Nikkei-225 falling below the 8,000 lvl (the index has ended the day down over 6%) n bids at 95.00/10 have been absorbed. More bids are reported at 94.50/60 with stops likely to emerge below there. Fresh offers have been placed at 95.4...

The poor data for the US housing sector push the dollar to levels above 1.28 but fast recovery during the US session. The traders predict poor data for the Euro Zone. The Fed will probably cut the interest rates to 0.5% based on the latest inflation report.

BoE's Gieve says central banks and governments must be ready to take further actions. In a speech late yesterday, Gieve noted that advanced economies are...

The Reserve Bank of Australia spent a record-breaking 3.15 billion to intervene in the forex market and support the value of its currency. Japanese exports...

Risk aversion dominated the Asian session with the USD, JPY and the HKD the three currencies to benefit from the sharp decline in Asian stocks and the...

Regional currency intervention has been seen through the day with reports that S. Korea is the latest to intervene with the currency trading to 11 year...

Falling oil prices paired with increased demands for the U.S. dollar continues to favor a bullish outlook for the USDCAD, and we may see the pair work...

Current Yesterday USD 0.43750 0.40000 GBP 3.00000 3.00000 EUR 2.93375 2.97625 JPY 0.53250 0.52750 CHF 0.98333 0.99167 AUD 5.62500 5.75000 CAD 2.55833 2.56667 NZD 6.70000 6.78750

U.K. retail sales are expected to have declined for the second month in a row in October. Economists are predicting that consumer consumption drop 0.9%...

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1,2506. EUR USD broke 1,2590 support. EUR USD is in a consolidation after the last bearish movement. The volatility is high. Bollinger bands are parallel and form the trend. ForexTrend 1H, 4H, daily (Mataf Trend Indicator) is in a bearish configuration. 4H ForexSto (Modified Stochastic) indicate a b...

1,4956. GBP USD is in a range between 1,4900 and 1,5090. GBP USD moves without trend and swings around exponential moving averages (EMA 50 and 100). The volatility is high. ForexTrend 4H, daily (Mataf Trend Indicator) is in a bearish configuration. 4H ForexSto (Modified Stochastic) indicate a bearis...

1,2557. USD CAD is in an uptrend supported by 1H exponential moving averages. The volatility is high. Bollinger bands are parallel and form the trend. ForexTrend 1H, 4H, daily (Mataf Trend Indicator) is in a bullish configuration. 1H, 4H ForexSto (Modified Stochastic) indicate a bullish pressure on ...

1,2118. USD CHF is in an uptrend supported by 1H exponential moving averages. The volatility is high. Bollinger bands are parallel and form the trend. ForexTrend 1H, 4H, daily (Mataf Trend Indicator) is in a bullish configuration. 4H ForexSto (Modified Stochastic) indicate a bullish pressure on USD ...

There is a slight uncertainty over whether we'll remains above 118.30 or see losses extend deeper to around 116.13 or possibly 115.22...

95,07. USD JPY broke 96,00 support. USD JPY is in an downtrend directed by 15min exponential moving averages. The volatility is high. Bollinger bands are parallel and form the trend. ForexTrend 1H, daily (Mataf Trend Indicator) is in a bearish configuration. The downtrend should continue to gather m...

142,31. GBP JPY broke 143,75 support. GBP JPY is in an downtrend directed by 4H exponential moving averages. The volatility is high. ForexTrend 1H, 4H, daily (Mataf Trend Indicator) is in a bearish configuration. 1H, 4H ForexSto (Modified Stochastic) indicate a bearish pressure on GBP JPY. The downt...

118,92. EUR JPY broke 121,10 support. EUR JPY is in an downtrend directed by 4H exponential moving averages. The volatility is high. Bollinger bands are parallel and form the trend. ForexTrend 1H, 4H, daily (Mataf Trend Indicator) is in a bearish configuration. 1H, 4H ForexSto (Modified Stochastic) ...

0,8346. EUR GBP is in a consolidation after the last bearish movement. The volatility decreases. Bollinger bands are tightened. Oscillators are neutral. The price should find a support above 0,8300 (46 pips). We won't take a position. The risk/reward ratio is too high to take a position.. Resistance...

Switzerland’s Trade Balance is expected to show the surplus shrank to 1.28 billion francs in October from 1.44 billion in the previous month. Exports are...

1,5143. EUR CHF moves without trend and swings around exponential moving averages (EMA 50 and 100). The volatility is high. Oscillators are neutral. The price should continue to move in Bollinger bands. We won't take a position. Resistances1,5205 - 1,5305Supports1,5130 - 1,5100

1,5687. EUR CAD is in an uptrend supported by 1H exponential moving averages. EUR CAD is in a consolidation after the last bullish movement. The volatility decreases. Bollinger bands are tightened. ForexTrend 1H (Mataf Trend Indicator) is in a bullish configuration. The price should find a support a...

1,9687. EUR AUD broke 1,9650 resistance. The volatility is high. Bollinger bands are parallel and form the trend. ForexTrend daily (Mataf Trend Indicator) is in a bullish configuration. The price should find a support above 1,9460 (227 pips). The uptrend should continue to gather momentum. We won't ...

0,6345. AUD USD broke 0,6420 support. The volatility rises. Bollinger bands are parallel and form the trend. ForexTrend 1H, 4H, daily (Mataf Trend Indicator) is in a bearish configuration. 1H, 4H ForexSto (Modified Stochastic) indicate a bearish pressure on AUD USD. The downtrend should continue on ...

Japan’s Trade Balance fell back into deficit last month, showing a trade gap of -63.9 billion yen versus expectations of a 73.6 billion surplus. The dismal...

(CEP News) - All 35 economists polled by Bloomberg are unanimously expecting no change to the Bank of Japan's target rate on Friday, seeing as a 20 basis point cut was delivered from the board just three weeks ago. But, some say, despite a low 0.30% target rate, further cuts next year are quite possible.

GBPUSD might be forming a short term cycle top at 1.5249 level on 4-hour chart and the fall from 1.5249 could possibly be resumption of down trend. Key support is now located at 1.4900, a break below this level will confirm the cycle top, and the following decline could bring price towards 1.4000 zone or even lower.

(CEP News) - Japan's unexpected trade deficit for October, with exports down 7.7% year over year, further confirmed the global meltdown's effect on the world's second largest economy. What is most striking, economists say, is the decline in exports to their Asian trading partners, marking a new phase in Japan's economic downturn.

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Yesterday's cross-inspired selloff suggests the correction from 94.48 has ended earlier at 98.30 and consolidation with mild downside bias is seen, however, a break below previous support at 95.13 is needed to signal recent erratic decline from 100.56 has finally resumed and bring re-test of said lo...

The International Monetary Fund approves a $2.1bn (£1.4bn) loan for Iceland, after its banking system collapsed in October.

Forex traders saw the US dollar rise sharply in the early stages of the credit crunch despite disappointing US economic fundamentals. The appreciation...

In the afternoon the U.S. equity markets took a turn for the worse and plunged sharply lower. This break triggered a flight to quality rally to the treasuries. Global traders pitched the higher risk Euro currency for the safety and liquidity of the Dollar.

The Japanese yen has traded very choppily lately, but remains below its October 24 highs where the low-yielding currency ran into critical resistance versus...

(CEP News) - Japan posted a trade deficit of ¥63.9 billion in October, despite expectations for a ¥73.6 billion surplus. In September, Japan posted a downwardly revised ¥88.5 billion surplus. The original figure was recorded as a ¥95.1 billion surplus.

(CEP News) - Japanese buying foreign bonds came in at +¥213.9 billion on balance for the week ending Nov. 14, against the +¥635.7 billion the week prior.

The US dollar initially weakened versus the euro upon the release of US inflation figures, only to rebound in the afternoon as dim prospects for an auto...

(CEP News) - Markets on Thursday will be awaiting jobless claims data, along with the Philly Fed Survey and remarks from U.S. Treasury Secretary Henry Paulson.

(CEP News) - On Thursday, markets will receive German producer prices data, along with Italian industrial orders and UK retail sales.

In its Oct 28-29 meeting the Federal Reserve made it clear that it could invoke a near zero interest rate policy (ZIRP) if the economic perspective continued...

Wall Street plunges more than 5% on Wednesday to its lowest level in over five years on rising economic worries.

The British pound gained throughout much of the morning to reach an intraday high of 1.5249, but subsequently fell back below 1.50 as UK interest rate...

The clock is ticking for a short-term AUDCAD range. For the past few weeks, the pair has worked itself into a very clear and concise range that would be...

(CEP News) - The S&P 500 fell to its worst level since 2003 and U.S. two-year yields hit their lowest in more than three decades on Wednesday as investors contemplated a pair of menacing scenarios.

(CEP News) Ottawa - After Wednesday's Speech From The Throne acknowledged a federal deficit may be necessary, Canadian Liberal finance critic John McCallum warned that deficits can be addictive.

The greenback fell versus the Japanese yen on Wednesday on renewed risk aversion due to growing worries about the ailing U.S. auto industry and deflation fears on the back of a record slide in U.S. consumer prices. The U.S. consumer price index fell by 1.0% in October (the largest decrease on record...

Fibonacci studies are an excellent tool for a forex trader to use because they can act as a leading indicator. If used properly, the can help you to determine...

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(CEP News) - It was another day of dismal economic news, which sent stocks down sharply and the S&P 500 to its lowest level in five years. Minutes released today from last month's FOMC meeting revealed the U.S. GDP forecast was revised down substantially for 2009, while October housing starts fell to the lowest level since 1959. Also setting a new record, U.S. core inflation fell in October for th…

US consumer prices dropped by a record 1% in October, sending Wall Street and European markets lower on renewed recession fears.