Forex Forex News by ForexMart

The current Money Fall contest has already started on January 9, 2017 and will end on January 13, 2017.


You can register for the next competition which will take place from January 16, 2017 to January 20, 2017


Note:

Registration for the next competition finishes 1 hour before the contest starts.

 

World Economy Could Receive Boost from Tax Cuts, Says World Bank



The World Bank has stated that Trump’s proposed tax cuts and other spending policies could possibly help in boosting the global economy in spite of the concerns surrounding his proposed trading policies. The international development lender further added that the incoming administration could possibly endanger the recent gains caused by various economic stimuli once it implements the setting up of certain trading boundaries which could trigger counter-policies from neighboring countries such as Canada and the UK.

 

China Exports Dropped in December


According to the official data released on Friday, the exports of world’s second biggest economy worsen trader’s expectation in December since the global trade kept its weak stance unchanged, while the imports growth were reduced.


Moreover, the exports for the month declined by 6.1 percent on-year in terms of dollar-denominated circumstances. Compared with the previous month of 0.1 percent hike as per report from Reuters on Friday cited in the official stats as well.


Last year, imports rose by 3.1 percent versus 6.7 percent increase in November. Whereas, the trade balance on December reached $40.82 billion against $44.61 billion for the past month.

However, economist polled by Reuters assessed the exports will lose 3.5 percent, imports will rise 2.4 percent and the monthly trade balance will arrive at $46.50 billion.

 

Oil Records Highest 6-Week Gains as KSA Cuts Back on Oil Production


Oil prices increased in value and has recorded its largest two-day gains within the six-week mark as Saudi Arabia prepares to cutback on its oil production way more than what was initially required as stated in the OPEC meeting a few weeks ago. Saudi’s Energy Minister has already stated that the country has already minimized its oil output to only less than 10 million barrels per day which is more than what was previously agreed on between OPEC and non-OPEC oil producers as part of efforts to curb down oil production across the globe.

 

The current Money Fall contest has already started on January 16, 2017 and will end on January 20, 2017.


You can register for the next competition which will take place from January 23, 2017 to January 27, 2017


Note:

Registration for the next competition finishes 1 hour before the contest starts.

 

Oil Prices Amp Up as the Dollar Weakens


Oil prices edged higher as the dollar weaken and the expectations about Organization of the Petroleum Exporting Countries (OPEC) en masse with other producers will reduce its output since it's part of the deal in curbing the worldwide overproduction.


According to traders the prices appears to be buoyant due to the sluggish stance of greens which made fuel cost cheaper for countries that utilize foreign currencies


The oil further accumulated support from the issued reduction for crude production which includes major producers in Russia.


OPEC also mentioned that they would cut down the quantity they produced with 1.2 million barrels each day to 32.5 million bpd starting 1st of January. However, there are assumptions that the Austria-based company will not totally execute the declared cutback whereas the agreement of 50 to 80 percent are adequate to support petroleum purchase.

 

Economic Assessment Shows A Moderate Growth of Japan’s Economy


The Bank of Japan economic assessment shows a positive outlook in its quarterly report on Monday. Three out of nine regions saying giving a moderate economic recovery while other regions stay the same because of higher private consumption and increase in demand from Emerging Asian countries. On the other hand, retails sales increased in November with the tightening of the labor market as wages rises as well.


This the first time after seven quarters passed with BOJ raising its assessment for different regions implying that the country is in its way to recovery at a moderate pace. It is anticipated by the analysts that the central bank will delay its planned stimulus in the next months as the economy moves having an optimistic future for the country.

 

Chinese Government’s Countermeasure for Decline in Home Prices


Residential property in Guangzhou climbed by 0.7 percent in December according to the report from Bureau of Statistics’ data. It is the only city who opposed the deflation program of residential properties in China.


Twenty local and provincial officials have seeked out counter measures to control loans and restrict second-home buyers to lessen the risk of elevated prices that may lead into dire repercussions. When this countermeasure has been implemented home prices from first and second tier cities steadied implying a positive change for the economy. As for the city of Beijing, he pledged that the prices of new homes will be kept unchanged for this year.

 

India’s Demonetization Impacts the Economy


India presented consecutive growth for less than 7 percent in the past three-quarters during December 2012 and June 2013 based on the statement from an India economist at Soc Generale, Kunal Kumar Kundu.


SocGen also mentioned the fiscal growth rate of the country for 2017 is 6.6 percent versus the previous result of 7.3 percent. The bank further expects for a 7.2 percent, lesser than the earlier prediction of 7.7 percent, for the fiscal year 2018 which will end on March 2019.

India laid out its demonetization program since November with more than 50 days from now, causing an 86% impact on the currency circulation within the country. The 500 ($7.35) and 1,000 ($14.70) rupees were replaced with 500 and 2,000 rupee notes.


The Jakarta-based investment firm reviewed the research from All India Manufacturers' Organization (AIMO), which showed that there are 35% job losses within the small scale and micro industries and suffered 50% decline in the revenue, 34 days after the demonetization program is set forth. However, in March 2017, the figures will likely drop into 60% in employment while 55% reduction in revenue as stated by AIMO, it’s because these sectors are highly dependent on cash transactions.

 

Pound Surges, USD Plummets After Trump, May Comments


The sterling pound finally increased in value after a long slump after UK PM Theresa May outlined her plans for the hard Brexit process, therefore clearing up some of the Brexit-related confusions and placating investors. Meanwhile, US president-elect Donald Trump has recently commented on the strength of the dollar, saying that the USD’s current value might be “too strong” for the US economy to handle. This has then prompted USD investors to vacate the dollar and move to riskier assets such as stock markets and has caused the dollar to drop in value.

 

The current contest has already started on January 30, 2017 and will end on February 3, 2017.

You can register for the next competition which will take place from February 6, 2017 to February 10, 2017.


Note:

Registration for the next competition finishes 1 hour before the contest starts.

 

Winners for the week of January 9 to January 13, 2017

 

USD Drops, Asia Stocks Slump after Trump’s Immigration Ban Causes Unrest


The US dollar inched lower and asian stocks declined after the market suffered repercussions brought about by President Trump’s various implementing policies, including an immigration which has sparked outrage from a number of the world’s most influential leaders as well as some tech giants. Meanwhile, bonds rose in value along with gold prices. The US dollar traded within its lowest levels in over two months and has weakened significantly against all other major currencies. Oil prices also decreased in value for the second consecutive day this week.

 

Positive Outlook on Japan’s Economic Growth Forecast Caused BOJ to Maintain its Policy


The Bank of Japan adjusted higher its economic forecast on Tuesday. However, the monetary policy remained the same which is already anticipated. The GDP forecast for the year increased by 14% from 1.0% in October for this fiscal year. Its economic forecast was raised by 1.5% from 1.3% for this year and 1.1 percent from 0.9% in the following fiscal year. Alongside, the inflation of 2% is anticipated to increase as well for the fiscal year in 2018 since the medium to long-term inflation expectations has a positive outlook and halts is recent decline.



The Labor market is also doing well with rates tightening and the downtrend of the commodity prices is pushed higher by the increase in demand for International commodity prices. The currency yield-curve policy control approved on later September meeting of the central bank is expected to maintain its current stand despite the uncertainty brought by the new U.S. administration as one of their top trading trading partner.

 

The current Money Fall contest has already started on February 6, 2017 and will end on February 10, 2017.


You can register for the next competition which will take place from February 13, 2017 to February 17, 2017.


Note:

Registration for the next competition finishes 1 hour before the contest starts.

 

USD Falls for Sixth Consecutive Week as NFP Data Disappoints


The US dollar fell for the sixth consecutive week and has recorded its lowest drop since July 2016 after the NFP report disappointed a lot of market players as the supposed effects of a highly positive hiring data was offset by the lack of wage-induced pressures. This was also further propelled by various uncertainties surrounding Trump’s policies regarding the USD, as well as his newly-imposed sanctions on Iran. The results of the NFP report were also not enough to compensate for the uncertainties brought about by the Fed’s refusal to give out hints on its next steps regarding the impending interest rate hike.

 

Worst-Performing Economy in the Eurozone - Italy


According to an analysis conducted in the euro zone, the economy of Italy has the worst condition among European Union countries after 18 years while the leading country is Germany. The besieged Italian republic was witnessed to be the only nation within the region to have an economic decline equal to its population size during the year, 1998.


The state’s Gross Domestic Product is down to 0.4 percent within that period which performed worse than Greece as stated in the EU data from Bloomberg. Moreover, the current GDP of Italy grew by 6.2 percent, however, the number of all individuals is greater by 6.6 percent.


According to a Milan-based economist from UniCredit Bank AG, Loredana Federico, said in an interview that the country’s economy had a slow growth versus other nations. She also mentioned that it will tough for Italy to close the gap compared with other economic systems.

 

Asian Stocks Drop After JPY Haven Demand Surge


Asian equities experienced a decline following a JPY rally after the demand for the safe haven currency increased following various concerns surrounding political events worldwide. The Japanese Topix index decreased after a three-day high as the JPY recorded its highest value since November 2016 last Monday. This recent rally in equities caused by Trump’s policies have started to weaken as most investors are now worried with how the Trump administration plans to balance out its proposed tax cuts and added spending with its protectionist stance on international trade. Adding to risk are some EU countries where anti-establishment organizations are now gaining fuel prior to their respective national elections.

 

Indonesia Economy Rose to 5.02%


The Gross Domestic Product of Indonesia beefed up by 5.02 percent in 2016 versus 4.88 percent in 2015 based on the report of Central Statistics Agency (BPS) released on Monday. However, the Austronesian nation declined during the Q4 with a year-over-year decrease in GDP by 4.94 percent with the previous 5.02 percent in Q3.


The chief of BPS, Suhariyanto mentioned the government expenditure also dropped to 4.05 percent during the fourth quarter of 2016 followed by a budget curtailment which causes for a slower annual percentage compared with the same quarter in 2015 with an increase of 7.12 percent.


The adjusted public spending regarded as being caused by austerity measures led by the administration of Joko “Jokowi” Widodo with an estimated Rp 137 trillion (US$10.27 billion) trimmed budget.


Furthermore, the figures for imports and exports grew slower with 1.74 percent only while 2.27 percent in 2016 accordingly. Investments mounted to 4.48 percent in the previous year.


The household consumption of Indonesia is considered the largest factor for the country’s GDP reaching 56 percent within the total percentage, the increase is approximately 5.01 percent.

 

Positive Reports Indicating Italy's Economic Recovery


Italy’s economy is performing well as it grew for the past three months signaling a stabilizing growth pace of the economy as statistics shown. Despite the uncertainty in the first half last year, the country was able to recover supported by the monthly report short-term economic forecasts by the national statistics agency ISTAT.


Results were further supported by the improving manufacturing sector, household purchasing power and higher investment. However, the consumer confidence index declines due to the current weak economic condition. On a brighter side, the business confidence has significantly advanced. This was greatly influenced by the manufacturing sector increased by 0.7% In November. Other sectors such as the foreign trade and and Household Consumption climbed by 2.2% and 0.3% respectively in the third quarter last year.


This remarkable results coincides with the expectations of the government and optimistic that this will lessen the fiscal adjustment needed from the European Union.