Euro Struggles on Contagion Fears - December 8, 2010 18:20

The Euro has struggled in trade today, the small retracement in the EUR/USD pair is likely to be short-lived as market participants speculate that Portugal and Spain will share Ireland’s ill fate moving forward into next year. A spokesman for the EU Commission has said today that Ireland’s plan to reduce its budget deficit for [...]

Bernanke Threatens Extension of QE past $600 Billion - December 6, 2010 17:51

Bernanke the chairman of the federal reserve has said today that the US might need to extend bond purchases past the the $600 billion announced last month to spur on economic growth. The argument for this extension is based upon fears that the US economy is expanding at a bairly sustainable pace and ongoing fears [...]

US Stocks Climb on CPI figures - November 17, 2010 18:35

The S&P has rebounded from its largest drop since August as slower than expected inflation has helped to quash critics arguments against the Fed’s recent stimulus. This is a form of a relief bounce that has been caused by the lack of news and data coming from Europe and China and the slower than expected [...]

UK Exposed to Irish Bailout? - November 16, 2010 19:07

This afternoon we have heard that the UK has a 13% exposure to the Irish debt situation and has therefore been called upon to help in a bailout package that could total upto €100 billion Euro’s. Mervyn King has stated that the UK’s exposure is by no means trivial which is in most traders eyes [...]

BoE Inflation Report Unexpectedly Hawkish - November 10, 2010 18:59

The BoE inflation report led to a significant Sterling rally accross the board due Hawkish comments stating that consumer prices are around target in the medium term. The report went on to say that there was a high probability that the BoE Chancellor Mervyn King would have to write an inflation letter to the Chancellor [...]

Is the Fed’s Stimulus Package and Inflation Time Bomb? - November 3, 2010 18:24

The Fed’s announcement will be upon us very soon. Traders now wait with baited breath to see whether the Fed will deliver just what everyone expects them to deliver. They will probably restart the asset purchasing program this evening even as growth is expected to accelerate to 2.6 in the second quarter of next year. [...]

US ISM Expands at a faster rate than expected - November 1, 2010 18:09

The world’s largest economy has today posted Manufacturing activity gains at the fastest pace in five months. The ISM Index has advanced from 54.4 last month to 56.9 this month. This release represents a significantly better than expected growth in this sector amid forecasts for 54.0. Economists are arguing that Manufacturing is at the head [...]