1. Welcome to the #1 Gambling Community with the best minds across the entire gambling spectrum. REGISTER NOW!
  2. Have a gambling question?

    Post it here and our gambling experts will answer it!
    Dismiss Notice

Forex Forex News from InstaForex

Discussion in 'Forex Forum' started by InstaForex Gertrude, Sep 5, 2015.

  1. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    BOJ TANKAN: LARGE MANUFACTURERS INDEX SLIPS TO +14

    2.jpg

    Large manufacturing in Japan weakened in the first quarter of 2022, the Bank of Japan's quarterly Tankan Survey of business sentiment showed on Friday with a diffusion index score of +14.

    That beat forecasts for a reading of +12 and was down from +18 three months ago.

    The outlook came in at +9, missing expectations for +10 and down from +13 in the previous quarter.

    Large all industry capex is now seen higher by 2.2 percent, missing forecasts for a gain of 5.0 percent and down from 9.3 percent in the previous three months.

    The large non-manufacturers index came in at +9, beating forecasts for +5 and unchanged from the previous month. The outlook was +7, missing forecasts for +8, which would have been unchanged.

    News are provided by
    InstaForex
    .
     
  2. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    EUROPEAN ECONOMICS PREVIEW: GERMANY FOREIGN TRADE DATA DUE

    8.jpg

    Foreign trade from Germany and investor confidence survey results from eurozone are due on Monday, headlining a light day for the European economic news.

    At 2.00 am ET, Destatis is slated to issue Germany's foreign trade data for February. Exports are forecast to climb 1.5 percent on month, reversing a 2.8 percent fall in January. Economists expect imports to grow 1.4 percent, in contrast to the 4.2 percent decline a month ago.

    At 3.00 am ET, Spain's unemployment data is due.

    In the meantime, consumer and producer prices are due from Turkey. Economists expect inflation to surge to 61.6 percent in March from 54.4 percent in February.

    At 4.30 am ET, Eurozone Sentix investor confidence survey results are due. The sentiment index is forecast to fall to -9.2 in April from -7.0 in March.

    News are provided by
    InstaForex
    .
     
  3. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    JAPAN SERVICES PMI IMPROVES TO 49.4 IN MARCH - JIBUN

    3.jpg

    The services sector in Japan continued to contract in March, albeit at a slower rate, the latest survey from Jibun Bank revealed on Tuesday with a services PMI score of 49.4.

    That's up from 44.2 in February, although it remains beneath the boom-or-bust line of 50 that separates expansion from contraction.

    While firms were still impacted by high case numbers, others reported that the easing of restrictions had boosted customer numbers. New business inflows returned to expansion territory for the first time in three months during March. The rise was only marginal, as panelists noted that domestic demand strengthened as COVID-19 restrictions were lifted. However, new export orders saw the rate of decline accelerate to the fastest since January 2021 as a result of renewed restrictions across China and uncertainty due to the Russia-Ukraine war.

    The survey also said its composite index moved into expansion at 50.3 in March, up from 45.8 in February.

    Growth was driven by a renewed rise in manufacturing output while services firms noted a much softer decline. Aggregate new orders also rose modestly for the fifth time in six months, and at the strongest since last December. Service providers noted the first upturn for three months while growth continued at manufacturers.

    News are provided by
    InstaForex
    .
     
  4. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    CHINA SERVICE SECTOR CONTRACTS SHARPLY AS VIRUS CONTAINMENT STEPS TIGHTEN

    5.jpg

    China's service sector contracted notably in March as the recent rise in COVID-19 cases and restrictions to limit the spread of the virus led to a marked drop in activity, survey results from S&P Global showed on Wednesday.

    The Caixin services Purchasing Managers' Index fell to 42.0 in March from 50.2 in February. This was the steepest fall since the initial onset of the pandemic in February 2020. Total new work decreased at the fastest pace since March 2020.

    Pandemic-related restrictions, notably those on mobility, were frequently attributed to lower customer numbers and softer demand conditions.

    Staffing levels fell in March but the pace of reduction was only fractional. At the same time, disruption to business operations led to a further increase in the level of outstanding business.

    There was a stronger rise in input costs faced by services companies. The rate of inflation was solid overall and quicker than the series average.

    Although fees charged by services companies rose slightly, the rate of increase was the softest seen in the current seven-month period of inflation.

    When assessing the 12-month outlook for business activity, Chinese services companies were generally upbeat that output would expand over the next year. However, the degree of optimism slipped to its lowest for 19 months.

    China's overall private sector activity shrank the most since the initial onset of the pandemic in February 2020.

    The composite output index fell to 43.9 in March from 50.1 in the previous month. The reading reflected renewed falls in both manufacturing and services activity, with the latter noting the faster rate of decline.

    "At present, China is facing the most severe wave of outbreaks since the beginning of 2020, Wang Zhe, a senior economist at Caixin Insight Group said. Uncertainty also increased abroad.

    The outcome of the war between Russia and Ukraine is uncertain, and the commodity market has convulsed, Wang added. Several factors have aggravated the downward pressure on China's economy and underscore the risk of stagflation.

    News are provided by
    InstaForex
    .
     
  5. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    EUROPEAN ECONOMICS PREVIEW: GERMANY INDUSTRIAL PRODUCTION DATA DUE

    1.jpg

    Industrial production from Germany and house prices from the UK are due Thursday, headlining a light day for the European economic news.

    At 2.00 am ET, Destatis releases Germany's industrial production data for February. Economists forecast output to fall 0.2 percent on a monthly basis, in contrast to the 2.7 percent increase posted in January.

    In the meantime, UK Halifax house price data is due for March. House prices had climbed 10.8 percent annually in February.

    Also, industrial production data from Norway is due at 2.00 am ET.

    At 5.00 am ET, Eurostat releases eurozone retail sales data for February. Sales are expected to grow at a faster pace of 0.6 percent on month after rising 0.2 percent in January.

    At 6.00 am ET, consumer price data is due from Ireland.

    At 7.30 am ET, the European Central Bank publishes the account of the monetary policy meeting of the Governing Council held on March 9 and 10.

    News are provided by
    InstaForex
    .
     
  6. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    INDIA CENTRAL BANK KEEPS RATE UNCHANGED

    7.jpg

    India's central bank left its key interest rate unchanged, as widely expected, and maintained its accommodative stance.

    The Monetary Policy Committee of the Reserve Bank of India, led by Governor Shaktikanta Das, unanimously decided to retain the policy repo rate at 4.00 percent. The reverse repo rate was left unchanged at 3.35 percent.

    The marginal standing facility rate and the bank rate remained unchanged at 4.25 percent.

    The central bank today downgraded its growth outlook for the fiscal year 2022-23 to 7.2 percent from 7.8 percent.

    At the same time, the bank raised its inflation forecast for the current fiscal year to 5.7 percent from 4.5 percent.

    News are provided by
    InstaForex
    .
     
  7. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    EUROPEAN ECONOMICS PREVIEW: UK GDP DATA DUE

    9.jpg

    Monthly GDP data from the UK is due on Monday, headlining a light day for the European economic news.

    At 2.00 am ET, the Office for National Statistics releases UK GDP, industrial production and foreign trade data for February. The UK economy is forecast grow 0.3 percent month-on-month, after rising 0.8 percent in January.

    The UK visible trade deficit is seen narrowing to GBP 20 billion in February from GBP 26.5 billion in January.

    In the meantime, Statistics Norway issues consumer and producer prices for March. Inflation is expected to rise to 5.0 percent from 3.7 percent in February.

    At 3.00 am ET, consumer price data is due from the Czech Republic. Economists forecast inflation to advance to 12.4 percent in March from 11.1 percent in February. Also, unemployment and current account figures are due from Turkey.

    At 8.00 am ET, the UK NIESR monthly GDP tracker is due for March.

    News are provided by
    InstaForex
    .
     

  8. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    UK UNEMPLOYMENT DECLINES; JOB VACANCIES AT RECORD HIGH

    3.jpg

    The UK unemployment declined in three months to February and job vacancies rose to a new record high, the Office for National Statistics said Tuesday.

    The jobless rate fell 0.2 percent points from the previous quarter to 3.8 percent in three months to February. The rate came in line with expectations.

    At the same time, the employment rate was largely unchanged at 75.5 percent, but remained below the pre-pandemic level.

    The number of job vacancies rose to a new record 1,288,000 in January to March period. However, the rate of growth in vacancies continued to slow down.

    In March, payrolled employment showed a small monthly growth of 35,000 to a record 29.6 million, data showed.

    Average earnings including bonuses, grew 5.4 percent annually in three months to February. Excluding bonus, average earnings was up 4.0 percent. Both rates matched economists' expectations.

    News are provided by
    InstaForex
    .
     
  9. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    FRANCE TRADE GAP WIDENS IN FEBRUARY

    3.jpg

    France's trade deficit increased in February on falling exports, data from the customs office showed on Tuesday.

    Another official data showed that the current account deficit narrowed in February.

    The trade deficit widened to EUR 10.3 billion from EUR 7.96 billion in January. In the same period last year, the shortfall was EUR 5.35 billion.

    Exports dropped 3.9 percent on month, while imports grew 0.8 percent.

    On a yearly basis, exports and imports were up 18.1 percent and 27.9 percent, respectively.

    The current account deficit narrowed to EUR 1.1 billion in February from EUR 1.3 billion in January, the Bank of France reported.

    The deficit on trade in goods increased slightly to EUR 6.8 billion, while the surplus on trade in services rose marginally to EUR 4.9 billion.

    The financial account showed net capital inflows of EUR 18.6 billion in February.

    News are provided by
    InstaForex
    .
     
  10. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    US stock market closes higher, Dow Jones gains 1.01%

    At the close on the New York Stock Exchange, the Dow Jones rose 1.01%, the S&P 500 index rose 1.12%, the NASDAQ Composite index rose 2.03%.

    The leading gainer among the components of the Dow Jones index today was Boeing Co, which gained 6.59 points or 3.74% to close at 182.87. Walmart Inc rose 3.99 points or 2.60% to close at 157.22. American Express Company rose 4.05 points or 2.31% to close at 179.59.

    The biggest losers were JPMorgan Chase & Co, which shed 4.24 points or 3.22% to end the session at 127.30. The Travelers Companies Inc rose 1.23 points (0.67%) to close at 183.71, while 3M Company gained 0.08 points (0.05%) to close at 148. .66. Leading gainers among the S&P 500 index components in today's trading were American Airlines Group, which rose 10.62% to 18.95, Gap Inc, which gained 8.23% to close at 14.46, and shares of Host Hotels & Resorts Inc, which rose 8.12% to end the session at 19.70.

    The biggest losers were AbbVie Inc, which shed 4.19% to close at 158.95. PayPal Holdings Inc fell 2.85% to 105.17.

    Leading gainers among the components of the NASDAQ Composite in today's trading were Kaleido Biosciences Inc, which rose 75.06% to hit 0.30, Antares Pharma Inc, which gained 49.20% to close at 5.58, and also shares of Veru Inc, which rose 42.86% to close the session at 14.30.

    The drop leaders were NanoString Technologies Inc, which shed 33.63% to close at 21.87. Shares of Polarityte Inc lost 30.84% and ended the session at 0.27. Quotes Crown Electrokinetics Corp. decreased in price by 19.63% to 1.31.

    On the New York Stock Exchange, the number of securities that rose in price (2463) exceeded the number of those that closed in the red (778), while quotes of 110 shares remained practically unchanged. On the NASDAQ stock exchange, 2,913 companies rose in price, 955 fell, and 226 remained at the level of the previous close.

    Shares of Antares Pharma Inc surged to a high of 49.20% or 1.84 points to close at 5.58. Veru Inc surged to a 52-week high, up 42.86% or 4.29 points to close at 14.30.

    The CBOE Volatility Index, which is based on S&P 500 options trading, fell 10.06% to 21.82.

    Gold futures for June delivery added 0.10%, or 1.90, to $1.00 a troy ounce. In other commodities, WTI crude for May delivery rose 3.72%, or 3.74, to $104.34 a barrel. Futures for Brent crude for June delivery rose 4.09%, or 4.28, to $108.92 a barrel.

    Meanwhile, on the Forex market, EUR/USD rose 0.58% to hit 1.09, while USD/JPY edged up 0.24% to hit 125.64.

    Futures on the USD index fell 0.39% to 99.90.

    News are provided by
    InstaForex
    .
     
  11. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    CHINA HOUSE PRICE DATA DUE ON FRIDAY

    7.jpg

    China will on Friday release March figures for its house price index, headlining a light day for Asia-Pacific economic activity. In February, house prices were up 2.0 percent on year.

    Finally, several of the regional markets are closed for Good Friday, including Australia, New Zealand, Singapore, Hong Kong and Indonesia - while Thailand remains shuttered for the Songkran Festival.

    News are provided by
    InstaForex
    .
     
  12. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    Bitcoin (BTC) will not fall below $24,500

    analytics625ce8ed619cc_source!.jpg

    Bitcoin is declining for the second week in a row under the influence of the negative dynamics of the stock market. The main decline in BTC last week occurred on Monday against the backdrop of a noticeable drawdown in US stock indices.

    The leaders of the world's largest crypto exchanges, interviewed by CNBC, said that they have recently noticed signs of a "crypto thaw", expressed in a changing attitude towards cryptocurrencies from governments.

    The Central Bank of Portugal granted the bank the country's first license to work with crypto assets. Bison Bank has become the first bank in Portugal to offer custody and trading services for cryptocurrencies for large clients.

    Tesla CEO Elon Musk said recently that he intends to buy Twitter. Cardano founder Hoskinson suggested that Musk join forces to create a decentralized social network if Twitter refuses the deal.

    The 12th DOGE cryptocurrency will become the most used cryptocurrency for online payments, said Robinhood CEO Vlad Tenev. However, to do this, developers must increase the speed of transaction processing.

    The Ministry of Finance of the Russian Federation finalized the draft law on mining and circulation of digital assets. The government of the Russian Federation submitted to the State Duma a draft law on the taxation of digital assets by three types of taxes.

    The creator of the Stock-to-Flow (S2F) model PlanB believes that bitcoin will no longer fall to $24,500. His optimism regarding the asset remains unchanged. According to PlanB, BTC could reach $100,000 by the end of the year.

    News are provided by
    InstaForex
    .
     
  13. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    Digital Yuan: checkmate for USD in the next 50 years

    analytics625ea63d4de13_source!.jpg

    The cryptosphere is invading most sectors of the global economy, primarily financial. Virtual money is being developed in a number of countries. China has become the leader in this issue, where the crypto yuan is being tested. At the moment, China's digital money is looking for ways to compete with American ones.

    Currently, China's virtual currency, known as the digital yuan (e-CYN or e-yuan), is under development. The electronic means of payment is issued by the People's Bank of China (PBC). Now the digital version of China's fiat currency is being tested in 20 cities of the country. This year, China's electronic money became available for use by foreigners for the first time.

    The development of the innovative currency of the People's Republic of China did not attract much attention, because "it was in the shadow of the Russian-Ukrainian conflict," said Kyle Bass, manager of the hedge fund Hayman Capital Management. According to the analyst, the release and introduction of crypto yuan is "the biggest threat to the West over the past 50 years." Bass urges markets not to ignore this fact, but, if possible, to create a similar financial instrument capable of reflecting the negative impact of e-CYN.

    According to the investor, the full-fledged introduction of Chinese digital money outside the country will lead to the collapse of the world economy. In such a situation, Beijing will be able to attract certain groups of foreigners and convince them to use e-CYN. These include citizens who are experiencing financial difficulties and are prone to corruption. "This gives China the opportunity to bribe everyone and everyone in the world who succumbs to corruption. Such a development threatens national security and leads to digital authoritarianism," says Bass.

    The current situation worries American lawmakers who are developing regulatory documents limiting the influence of the digital yuan. In May 2021, members of the American Congress introduced the "Law on Dollars of the XXI century". According to this document, the US Treasury Department should include in the report to Congress any risks to the USD associated with the digital yuan.

    This year, this issue has not lost its relevance. In March 2022, Senator Marsha Blackburn and representatives of the Republican Party introduced the "Say No to the Silk Road" law. If it is adopted, the US Department of Commerce will need to report on all transactions with the electronic yuan. The bill also provides for notifying citizens traveling to China "about the dangers of the digital yuan."

    The US authorities are concerned about the potential competition of e-yuan with the digital dollar. Against this background, the role of innovative developments of virtual currency has grown dramatically. According to the Atlantic Council think tank, more than 80 countries, including the United States, are planning to issue state-controlled digital assets (CBDC). Earlier, US President Joe Biden stated the exceptional importance of research and development in the field of CBDC. The release of innovative means of payment "meets the national interests," the head of the White House stressed.

    According to Bass, the goal of China's global deployment of the electronic yuan is to reduce dependence on the US currency. "The majority of global transactions (87%) carried out by China are conducted in dollars," the investor notes. Against this background, the Chinese authorities have set a course for de-dollarization. One of the ways to overcome it is the introduction of a digital means of payment. Another variant of the anti–dollar strategy is the use of China's fiat currency in trade settlements with some countries, in particular with Russia. Such actions cause serious damage to the USD hegemony, experts believe. However, the full triumph of digital e-CYN is still far away, although the first steps in this direction have already been taken.

    News are provided by
    InstaForex
    .
     
  14. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    Bitcoin has risen sharply in price after a loud fall the day before

    At the auction on Tuesday, the value of the first cryptocurrency shows a steady growth of 6%. At one point digital gold has jumped the $41,400 mark.

    Throughout the day, the virtual asset market was recovering after a spectacular decline the day before. Yesterday, bitcoin collapsed to $38,500, updating the local low in mid-March, but today the coin has easily won back the fall.

    analytics625f046d8c37a_source!.jpg

    According to Binance, the largest exchange in terms of trading volume of virtual assets, over the past 24 hours BTC has gained 5.83% in value and is trading at $41,480. % - up to $41,504.

    Since the beginning of April, the quotes of the first cryptocurrency have been below market forecasts amid negative events in world markets, as well as the conflict between Russia and Ukraine. So, during the current month, bitcoin has already fallen in price by almost 9%.

    According to the results of the first quarter of 2022, the cost of digital gold lost 1.5%. At the same time, the past March was a rather favorable period for the asset, as a result of which it reported growth by 10%, having strengthened for the second consecutive month.

    Recall that bitcoin lost more than 16% in January, and its price increased by 12% in February.

    The BTC updated its historical record in November 2021, soaring above $69,000. Since then, the cryptocurrency has moved into a steady decline.

    According to the results of the past year, the cost of bitcoin increased 1.6 times - to $46,200 from $28,900.

    Experts call the Russian-Ukrainian conflict the main downward factor for the digital currency market today. Analysts are confident that the sooner the tense geopolitical situation begins to stabilize, the more confident the digital asset market will feel in the short term. After reaching peace agreements, the economy will need to be restored, which will require a lot of money. One of the components of this tangible amount of funds will be cryptocurrency. In this case, the digital asset market will receive a spectacular impetus and rush to growth.

    On Tuesday, the leading altcoins from the top 10 by capitalization willingly adopted the trend of the main virtual asset and also began to effectively increase in price. As a result, over the past 24 hours, the Ethereum token has grown by 4.5%, Solana by 6%, and Terra by 14%.

    According to the world's largest virtual asset data aggregator CoinGecko, over the past day, the total capitalization of the crypto market has grown by 4.5% to $1.89 trillion.

    News are provided by
    InstaForex
    .
     

  15. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    USD/CAD: Loonie is confused by ups and downs and looks to the downside, then to the upside

    analytics6260fb11a2da6_source!.jpg

    The Canadian dollar started the week on the rise, and ends it in some confusion. After disappointing macro statistics and another round of inflation, the loonie significantly fell. However, the loonie is trying to "keep face" and is looking for ways out of this situation.

    The Canadian dollar strengthened against the US dollar in the middle of the week, reaching 1.2584. However, after four days of growth, the USD/CAD pair showed a downward momentum, retreating from the local high at 1.2644. To date, the pair is struggling to hold its positions, but is determined to catch up. On Thursday, April 21, the USD/CAD pair traded at 1.2480, leaning to the downside and upside from time to time.

    The "loonie" was tripped up by the growing inflation recorded in Canada. According to current data, consumer inflation in the country accelerated to 6.7% in March, exceeding forecasts. Recall that this figure was 5.7% in February. Against this background, the Bank of Canada is interested in raising interest rates above current levels. The central bank's immediate goals are to curb inflation without provoking a recession in the economy.

    The pressure on the USD/CAD pair is exerted by the growing US currency. According to analysts, the resistance to the dollar is draining the loonies. In the future, the loonie will sink even more in relation to the greenback, however, it will strengthen against the euro.

    The Canadian currency was supported by the increase in the key rate by the Bank of Canada (by 50 bp) recorded last week. In addition, the central bank announced the start of quantitative tightening in response to accelerating inflation.

    The Canadian economy got a head start thanks to rising prices for commodities and energy. This contributes to the decisive actions of the Bank of Canada, aimed at normalizing monetary policy. The country's economy is on the winning side compared to other states that are importers of energy and hydrocarbons. In such a situation, the CAD receives tripartite support: from a significant influx of money into the country, from the growth of business activity and the potential tightening of the central bank's monetary policy.

    According to experts, galloping inflation is a weighty argument for further tightening of monetary policy by the Bank of Canada. The implementation of such a scenario will strengthen the position of the Canadian dollar in the medium term. In such a situation, experts recommend holding short positions on the USD/CAD pair with a target of 1.2450.

    News are provided by
    InstaForex
    .
     
  16. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    Dollar remains a financial shield, and the euro is afraid of collapse, not wanting to be overboard

    analytics6262561d1a25a_source!.jpg

    The European currency, the greenback's rival for the EUR/USD pair, is still in limbo.

    The dollar has had an impressive rally this month, which is now gradually slowing down. The catalyst for this was the decline in the yield of 10-year treasuries, the growth of which stalled near 3%. To date, long-term US Treasuries have tested zero for the first time since 2020.

    The American currency is supported by two powerful drivers - the expectation of an early rise in interest rates by the Federal Reserve and the Russian-Ukrainian conflict. Earlier, Mary Daly, the head of the San Francisco Fed, confirmed the central bank's plans to bring the rate to 2.5% by the end of 2022. According to the FOMC representative, an increase in interest rates by 50 bps is possible "at several Fed meetings." James Bullard, President of the Federal Reserve Bank of St. Louis, agrees with this opinion. The politician allows the central bank to raise the rate by 75 bp at once. Recall that the head of the Fed of St. Louis is in the forefront of the Fed in the issue of aggressively raising rates in order to curb inflation.

    Despite the local weakening of the US currency, it retains a strong potential for growth. In addition to expectations of an early rise in the Fed rate and the launch of a quantitative tightening program, the USD is supported by the risk aversion of traders. Experts attribute the decline in risk appetite to the sliding of the global economy into recession.

    The greenback shows caution against this background, maintaining its strength, but not demonstrating it. The greenback rose slightly against the euro on Thursday evening, April 21, reaching 1.0847. The EUR/USD pair was cruising near 1.0815 on the morning of Friday, April 22, trying not to slide to the bottom.


    According to experts, the current mood in the currency markets is positive for the US currency, which cannot be said about the European one. According to the calculations of Nordea economists, at the end of 2022, the EUR/USD pair will be near 1.1000, and over the next three months it will test the 1.0500 mark.

    The catalyst for the recent rally of the EUR/USD pair was the hawkish comments of the European Central Bank leaders. According to Martins Kazaks, a representative of the central bank, an increase in the key rate is possible in July. The policy was supported by Luis de Guindos, vice-president of the ECB, who expects the QE program to be curtailed in the specified month.

    The current vulnerability of the euro is fueled by the prolonged Russian-Ukrainian conflict. The tension in relations between Europe and Russia increases uncertainty in the dynamics of the euro and calls into question the economic prospects of the eurozone.

    As for the dynamics of the dollar, the Russian-Ukrainian conflict, on the contrary, played into the hands of the latter. At the same time, experts are confident that the current geopolitical confrontation will affect the European economy more than the American one. Against this background, on the wave of growth, the greenback returned to pre-pandemic levels, maintaining the status of a reliable protective asset.

    The USD was strengthened by the expectation of an economic recovery in the United States, capable of outstripping that in other countries. The implementation of such a scenario will allow the Fed to begin the cycle of monetary tightening faster. However, there are pitfalls here, the main one of which is the high risk of recession in the US economy. A sharp drop in the purchasing power of American households can slow down economic growth in the United States. Adding fuel to the fire is the likelihood of an aggressive tightening of the Fed's monetary policy.

    As for the prospects of the European economy and the euro, they will improve only if the geopolitical conflict is offset. However, this is still far away, as the euro is in a situation in which something bad could happen to it at any time and it is seriously worrying the markets. According to Thomas Mayer, former chief economist at Deutsche Bank, the euro is rapidly losing stability. According to the analyst, the European Union is threatened by prolonged inflation, the result of which will be the "destruction of the euro." At the same time, the ECB continues to print banknotes, but does nothing to normalize the economy, Mayer believes. According to the expert, strong inflation in the eurozone threatens negative long-term economic and social consequences.

    Earlier, Alexandre del Valle, a French political scientist and economist, announced the possible collapse of the euro. The analyst paid special attention to anti-Russian sanctions that could push the single currency and the eurobloc economy into the abyss. Del Valle accused the White House of pushing the European Union to tighten sanctions and abandon Russian energy carriers, stressing that these measures would lead "to the collapse of the euro and an explosion in prices." At the same time, the United States imposes its shale gas on the Europeans, which is more expensive than Russian LNG.

    The current situation is undermining the positions of the EUR/USD pair. However, experts are counting on the relative stability of the pair in the medium term. According to ING bank economists, in the coming months the EUR/USD pair will consolidate in a wide range of 1.0500-1.1000. In 2023, the existing monetary trends will not lose relevance. The Fed is expected to approach the peak of monetary tightening, and the ECB will continue its hawkish monetary cycle, albeit at a slower pace. The implementation of such a scenario will allow the EUR/USD pair to strengthen to 1.1600 and remain in this range during 2023, Nordea Bank believes.

    News are provided by
    InstaForex
    .
     
  17. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    EUROPEAN ECONOMICS PREVIEW: GERMANY IFO BUSINESS CONFIDENCE DATA DUE

    8.jpg

    Business confidence survey data from Germany is due on Monday, headlining a light day for the European economic news.

    At 3.00 am ET, the Turkish Statistical Office releases manufacturing confidence survey data for April. In the meantime, Spain producer prices data is due for March. Prices had increased 40.7 percent year-on-year in February.

    At 4.00 am ET, the ifo Institute is scheduled to issue Germany's business climate survey report for April. Economists expect the sentiment index to fall to 89.1 from 90.8 in the previous month.

    At 5.00 am ET, eurozone construction output is due from Eurostat.

    At 6.00 am ET, the Confederation of British Industry publishes Industrial Trends survey results. The order book balance is seen at 21 in April versus 26 in March.

    News are provided by
    InstaForex
    .
     
  18. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    EUROPEAN ECONOMICS PREVIEW: GERMANY IFO BUSINESS CONFIDENCE DATA DUE

    3.jpg

    South Korea's gross domestic product was up a seasonally adjusted 0.7 percent on quarter in the first three months of 2022, the Bank of Korea said in Tuesday's advance estimate.

    That exceeded expectations for an increase of 0.6 percent following the 1.2 percent expansion in the previous three months.

    On a yearly basis, GDP rose 3.1 percent - again beating forecasts for 2.8 percent and down from 4.2 percent in the three months prior.

    Real gross domestic income increased 0.6 percent on quarter and 0.1 percent on year.

    News are provided by
    InstaForex
    .
     
  19. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    AUSTRALIA INFLATION JUMPS 5.1% ON YEAR IN Q1

    4.jpg

    Consumer prices in Australia climbed 5.1 percent on year in the first quarter of 2022, the Australian Bureau of Statistics said on Wednesday - beating forecasts for an increase of 4.6 percent and accelerating from 3.5 percent in the previous three months.

    On a quarterly basis, inflation jumped 2.1 percent - again exceeding expectations for a gain of 1.7 percent and up from 1.3 percent in the three months prior.

    The Reserve Bank of Australia's trimmed mean came in at 1.4 percent on quarter and 3.7 percent on year, up from 1.0 percent on quarter and 2.6 percent on year in the previous quarter.

    The RBA's weighted median was up 1.0 percent on quarter and 3.2 percent on year after rising 0.9 percent on quarter and 2.7 percent on year three months earlier.

    News are provided by
    InstaForex
    .
     
  20. InstaForex Gertrude

    InstaForex Gertrude Active Member

    Joined:
    Sep 5, 2015
    Likes:
    0
    EUROPEAN ECONOMICS PREVIEW: GERMANY FLASH INFLATION DATA DUE

    10.jpg

    Flash inflation from Germany and economic confidence survey results from eurozone are due on Thursday, headlining a busy day for the European economic news.

    At 2.00 am ET, Statistics Sweden releases quarterly GDP data and retail sales figures for the first quarter. The economy is expected to shrink 0.5 percent sequentially, in contrast to the 1.1 percent expansion in the fourth quarter.

    At 3.00 am ET, Spain's INE is scheduled to issue flash consumer prices and unemployment data. EU harmonized inflation is expected to ease to 9 percent in April from 9.8 percent in March.

    In the meantime, economic confidence survey data from Sweden and Turkey are due.

    Half an hour later, Sweden's central bank announces its monetary policy decision. The bank is expected to hold its repo rate at zero percent.

    At 4.00 am ET, business and consumer confidence survey results are due from Italy.

    At 5.00 am ET, the European Commission is scheduled to issue Euro area economic confidence survey data for April. The economic sentiment index is forecast to fall to 108.0 from 108.5 in March.

    At 8.00 am ET, Destatis publishes Germany's flash consumer and harmonized inflation data for April. Consumer price inflation is expected to ease marginally to 7.2 percent from a record 7.3 percent in March.

    News are provided by
    InstaForex
    .
     

Share This Page