Browse by Tags

In This Issue..

* Risk Aversion boosts dollar...
* U.S. manufacturing is strong...
* More stimulus? Please say it ain't so Joe!
* Thoughts from the Big Boss!

Good day... And a Terrific Tuesday to you! Well, I'm here! Just when you thought I would be gone for the week, and you would get away from my rants, and get the calm Chris Gaffney, the rug gets pulled out from you! I am so bummed! I was told that I could not travel to Cabo for the Sovereign Society's Offshore Advantage Conference, and I was to remain at home, with my leg up, blah, blah, blah... What a crock!

OK, now that we've got that out of the way... Front and Center this morning, we have a very strong dollar rally going on... It began yesterday mid-morning, when things turned on one thin dime. First, we had the U.S. Manufacturing Index rise in September and the Trading Theme kicked in with the dollar getting sold on the good news for the economy... But then a strange thing happened on the way to the forum. Everyone began to fear what's been going on in Banking... Friday, the 115th bank failed this year, and suddenly, traders, investors, hedge fund dudes, and everyone else, got a case of the flu... Not the 'pandemic' H1N1 flu... This is the 'chicken flu'... Chicken to continue to takes risks in the face of a banking problems... Well, to think of it, maybe, just maybe, it's not the 'chicken flu' but the 'prudent flu'!...

In This Issue..

* Pandora's Box of rate hikes is opened!
* Is the dollar being removed from oil trades?
* Deficits do matter, eh?
* Gold heads toward its all-time high...

Good day... And a Terrific Tuesday to you! A Tuesday morning that is seeing a HUGE currency rally VS the dollar on the news that the Reserve Bank of Australia (RBA) opted to go ahead and hike rates now, and not wait for November's meeting, as I had thought they would do! WOW!

The first hike... It has opened Pandora's Box of interest rate hikes around the world... For, if the RBA went this soon, then we can expect Norway's Norges Bank to push their rate hike earlier on the calendar, maybe even later this month! And they won't be the only ones! Look for New Zealand to hike rates this year, and who knows what other country (Brazil?) will follow after that... But I see them coming, and they're marching the death march of the dollar!...

In This Issue..

* Currencies rally on tariff news...
* Norway's election doesn't move krone...
* Canada's Gov't problems to hurt loonies?
* 1-year since Lehman Bros...

Good day... And a Terrific Tuesday to you! Well, just as I suspected yesterday in the Pfennig, when the U.S. traders came in and got word of the new Chinese tariffs on tires, the dollar got sold like re-mastered box sets of Beatles albums! So, we've got that to talk about, and some other items I'd like to discuss... So, here we come Terrific Tuesday!

OK... Well, just as I stated above, the U.S. traders didn't care for the new tariff, feeling that it would project a trade war, and therefore sold the dollar. The Big Dog, euro, traded to 1.4635 by mid-day... There was some profit taking late in the day, which brought the euro back to below 1.46, but then this morning, the euro got another boost from a report on German Investor Confidence, to bring it back to 1.46, as I write......

In This Issue..

* Currencies trade in a tight range... Again!
* Continuing Claims rise...
* Bank of England adds to QE! UGH!
* Swiss franc posts 5 weeks of gains...

Good day... And a Happy Friday to one and all! I'm going to go out on a limb and say it will be a Fantastico Friday! This has been a long week for yours truly, coming off a week of relaxation, and getting right back in the saddle... But... It's Friday... YAHOO!

OK... There are a few things to discuss this morning, but none so important as the Jobs Jamboree that will happen in a couple of hours from now. I told you yesterday that the economists surveyed believe that the jobs lost number will make a big move downward from 476,000 in June to 325,000 in July... That's a HUGE jump folks! Ty Keough responded to that note in the Pfennig yesterday by saying, "That's because there are no more jobs to cut!" Now, that's one way of looking at it... We have to hope that it's not that, but instead be a reflection of jobs being added... Come on! We can hope!...

In This Issue..

* A strong currency move Monday...
* RBA leaves rates unchanged...
* And moves bias to neutral...
* Central Bank warnings have no teeth!

Good day... And a Terrific Tuesday to you! First day back yesterday was a killer for yours truly... Went home, and went to sleep... But, I'm back today, and feeling good. I did something to my left knee on vacation that left me hobbling, and leaning on my cane more than I usually do. But today, it seems a bit better, so I've got that going for me!

Yesterday, I left you with the euro popping back and forth over the 1.43 level... But in a wink of an eye, the 1.43 level was gone, and the euro was trading with a 1.44 level, and remained there the rest of the day, reaching 1.4420 for the high... As I turn on the screens this morning, I see that the single unit has gone to popping back and forth over the 1.44 level... You don't think it will get another sling-shot higher today do you?...

In This Issue..

* Risk Aversion is strong once again...
* Currencies get sold...
* What's China really up to?
* RBA to leave rates unchanged?

Good day... And a Marvelous Monday to you! Some people have the day off today, so we'll probably not be back in full force until tomorrow... Not that we've been in full force, as a workforce in the U.S. for some time... But that's another story for another day! Today is a new day, and new week!

Friday's thinned out markets were not what the currencies wanted to see, as the bias to Risk Aversion was magnified in the thinned out markets, only making the selling of the currencies even worse... Some 'levels' were hit in the thinned out markets, and that caused even more selling in the overnight markets as Japan and Asia came on board....

In This Issue..

* Euro goes back and forth over 1.42...
* Geithner make another promise to China...
* RBA leaves rates unchanged...
* The Mogambo on a Tuesday!

Good day... And a Terrific Tuesday to you! Well... The currencies, led by the euro, ran into a dollar road block yesterday, not once, not twice, but three times... The first two times the euro traded over the 1.42 figure, it fell back, but recovered to again try to remain over 1.42... It was a classic case of profit taking at a line of resistance... But the third time, was no charm for the euro, and thus it ended the day and night sessions below 1.42... But hey! Has this run from 1.2578 on March 1st, been something or what?

I see where UBS believes this is it for the euro... Sort of like the thought that a star burns the brightest right before it burns out... Hmmm... I guess they believe that the U.S. deficit problems are going to go away... Apparently, they drank the kool-aid from U.S. Treasury Sec. Geithner, who told the Chinese that the U.S. was going to shrink the deficit... He also told them that their assets were 'safe'... Ty sent me something on this that he found yesterday......

In This Issue..

* A Huge currency rally...
* The games people play now...
* RBA leaves rates unchanged...
* Brazilian real is the daily winner!

Good day... Hola! And a Terrific Tuesday to you! Well, today is Cinco De Mayo... It's a fun day so go have some fun! A few years ago, I talked about Cinco De Mayo, and some guy took exception to it, and called me a really nasty name... So, I won't get all flowery about the day, except to say, go have some fun!

Of course, to me, the saying 'go have some fun' is a staple of my being! Especially these days! I realize that I need to have "more fun", but work, and all that gets in the way, darn it! HA!...