Browse by Tags

Daily Pfennig

Blog Subscription Form

  • Email Notifications
    Go

Have You Seen This?

  • BOJ To Expand Monetary Stimulus.

    In This Issue.

    * German ZEW soars.

    * Oil & Gold head higher.

    * Global growth gets a boost!

    * Yen weakness continues.

    ...
    Filed under: , , , ,
  • G-7 coordinates intervention to push the yen lower...

    In This Issue.

    * G7 coordinates to push yen lower...

    * Swedish krona the biggest winner...

    * Oil is higher and brings the CAD$ with it...

    * China increases reserve requirements...

    * US data shows an economy caught in a rut...

    ...
  • Jobs Disappoint Again!

    In This Issue..

    * Euro falls below 1.20...
    * Did we have negative "real" job creation?
    * Canada's labor market is strong...
    * G-20 yields nothing...

    Good day... And a Marvelous Monday to you! It was a wonderful jam-packed weekend for yours truly, and when the alarm went off this morning, I had a greater appreciation for 3-day weekends!

    Well... Friday, when I was signing off, I said that suddenly the currencies were getting sold... At that time, it looked as if it might be short-lived... But NOOOOOOOOOOOOOO! This was an all-out assault on risk, folks... At when the dust settled in the early afternoon, the euro had fallen below 1.20, for the first time since 2005, and everything other currency was getting whacked too... For the first time all week though, Gold rallied......
  • Let's Talk Deficits...

    In This Issue..

    * A$, kiwi, and C$'s outperform...
    * Yen gets what is deserved!
    * Deficit to reach 100% of GDP?
    * Don't they work for us?

    Good day... And a Thunderin' Thursday to you! It has been Thunderin' here most of the night, so it was quite fitting to call our Thursday, Thunderin'! It's been a week of pop-up Thunder Showers for us here in the Midwest... If summer plays out the way most summers play out, we'll be pining for rain come August!

    The Japanese have a new Prime Minister (Kan), and the currency markets don't like it! The once so-called 'safe haven' of yen, is getting sand kicked in its face, and rightly so, as the new PM has previously stated his goal of a weaker yen...

    ...
  • Will History Repeat Itself?

    In This Issue..

    * Non-dollar currencies rally...
    * A$'s and C$'s to parity?
    * Reaching 40% of expenditures...
    * Gold & Oil on the rise once again...


    Good day... And a Terrific Tuesday to you! A long day on the desk for me yesterday, left me draggin' the line... But I'm rested and refreshed again this morning, so let's get to the Pfennig for today! The Finance Ministers of the Eurozone met yesterday, as I told you, and they've tried to stem the euro's rise... But, they'll need more than words to get the job done! And so, we begin a new day...

    Front and Center this morning, the currencies, which had given back ground overnight to the dollar, are back in rally mode, and are taking liberties with the dollar once more. For most of the night that was not the case, though. The dollar had rallied back and sent the euro, for instance, to the 1.48 handle, after the single unit spent yesterday at 1.49 and change... There seemed to be a move to the dollar, but that didn't last long, and the currencies are once again rallying VS the dollar this morning, and the euro has pushed to 1.4970 as I write......
  • G-20 Heats Up...

    In This Issue..

    * Dollar's rally is cut short...
    * Major problems for loans still exist...
    * Yen rallies on exporter repatriation...
    * Kiwi gets whacked!

    Good day... And a Happy Friday to one and all! It's still raining here in St. Louis this morning, but I won't that get me down, as it is a Friday! G-20 has gotten a bit ugly, folks... Seems everyone just can't seem to get along! Imagine that! 20 different countries, and now they want to be able to watch another country's finances and comment on them! Oh, I can see that working out real well! NOT!

    So... Yesterday, we had the dollar gaining back the ground that it had lost the previous day, but at the end of the day, we're looking very much like the currencies hadn't moved from morning to morning... And overnight, didn't bring about much movement... So... When you get to the currency round-up below, you'll see the dollar's gains were small, and short-lived....
  • A Leak Of The Stress Tests?

    In This Issue..

    * Currencies trade in a tight range...
    * U.K. Budget announcement...
    * When will Treasuries follow Gilts?
    * Gold as a currency...

    Good day... And a Wonderful Wednesday to you! Another bad night for your Blues, which means their season has come to an abrupt halt... They are a young team, so they'll be back, next year...

    OK... The euro traded in a very tight range yesterday with a bias to sell dollars, but like I said, it was very tight... The Aussie dollar rallied very strongly during the day, adding over 1-cent to its figure. It sold back some of that 1-cent gain overnight though. As the upbeat stock session, immediately turned sour after the close... As I said yesterday, there was a lack of data to help the currencies along, and they had to rely on the earnings season for direction....
  • Euro Rally Fizzles Out...

    * Yen continues to kick! * Jim Rogers disses sterling... * China's 4th QTR GDP... * Singapore announces stimulus... ** Euro Rally Fizzles Out... Good day... And a Tub Thumpin' Thursday to you! A nasty day in the currencies yesterday, except Japan of course. The Dow jumped 290 points yesterday, maybe an Obama bounce? You all know that I subscribe to an Obama bounce for stocks and the dollar in the first part of this year... But given what I know about, and what you now know about, after I drew it all out yesterday, the additions to the deficit that Obama will make, the focus on the fundamentals should return by late spring, early summer... That's my story and I'm stickin' to it! Well... As I said in the opening, the currencies led by the Big Dog, euro, suffered through a nasty trading day, with the euro touching below 1.29 for a good part of the day. The risk takers are nowhere to be found. Where have all the risk takers gone... Long time passing... A Reuters reporter asked me yesterday if I was still of the opinion that the yen had more to rally or was it overbought? I said, that as long as the risk takers are nowhere to be found, yen should continue on its path higher VS the dollar, euro and sterling. The RSI (Relative Strength Index) for yen, shows that it is a tad overbought, but that's not enough to change my mind. Nor is it enough to change the mind of a currency trader at the Bank of New York (BONY), who believes yen may rise to 85 VS the dollar by midyear... Another currency trader at the Royal Bank of Scotland (RBS) believes the Bank of Japan will step in and intervene to stem the yen's rise.......
  • Its all about the yen...

    * Japan dominates news wires... * US retail sales to drop... * Russia devalues the ruble again... * Happy Birthday Kathy Butler... ** Its all about the yen... Good day...Hope everyone had a wonderful holiday, I had a great Christmas and Christmas eve. I ate entirely too much, but that is one of the joys of the holidays! Most of the markets were closed yesterday, and trading was very light on Christmas eve. The Asian markets were open, and the dollar did sell off a bit vs. most of the major currencies with the one exception being the Japanese yen. Unless we see a big bounce today, the yen will end the day with the first weekly loss vs. the US$ in two months. With a majority of markets closed, most news stories centered around the Japanese yen. Japanese industrial production fell the most in 55 years as reported on Wednesday. Factory output plunged 8.1% from October, more than 6.8% estimated by economists. Other data released in Japan showed the jobless rate climbed to 3.9% from 3.7%, and household spending slid .5%, a ninth drop....
  • The Trading Theme Remains In Place...

    * Heeee's Baaaaaacccckkkkk... * Carry Trade Depth... * RBA intervenes... * Oil weighs on the loonie... ** The Trading Theme Remains In Place... Good day... And a Marvelous Monday to you! It's been a long time, now I'm coming back home, I've been away now, oh how, I've been alone... Two weeks gone by the wayside! This Friday is Halloween! WOW! Where did the month go? Airports, hotels, and taxi cabs, that's where! But, I did it... The Currency Tour is finished... Time well spent I might add, but very taxing on me... Of course, my beautiful bride tells me if I were in better shape, it wouldn't be so taxing! Well... As I look at the currency screens this morning, I see that nothing has changed... The Trading theme I left you with is still in place, as the more deeper, darker, dangerous outlook for the U.S. becomes, the more the dollar gets bought... Things look better, and the dollar will get sold... The dollar has become the new Japanese yen!...
  • Financial storms claim two more...

    * Financial storms claim two more victims... * Yen and Swiss Francs move back up... * Euro approaches 1.45 before reversing course... * Oil below $100... ** Financial storms claim two more... Good day... The financial storm claimed another victim this weekend as Lehman Brothers Holdings Inc. filed for bankruptcy after being unable to find a buyer. Bank of America, who was rumored to be bidding on Lehman ended up buying Merrill Lynch & Co and AIG Inc. is asking the fed for an emergency loan. All of this financial turmoil has sent the dollar lower vs. most of the major currencies as investors are beginning to realize the situation in the US markets is worse than the rest of the world. Over the past three months, currency traders have rallied the dollar on the basis that the US was in better shape than Europe. They will now need to rethink their strategies, as the past few weekends show just how bad the US financial sector is ailing. And unfortunately, their will likely be more to come. Risk aversion is a popular theme in the markets again, and the purchase of US treasuries actually helped to keep the US$ from falling further....
  • Oil Price Slides!

    * Big Ben in a predicament! * The euro retreats after new high... * Retail Sales disappoint! * Yen and francs on the menus again! ** Oil Price Slides! Good day... And a Wonderful Wednesday to you! 3 straight days without rain here in St. Louis! WOW! It did however, rain on the currencies' parade yesterday. About mid-morning, the brakes were applied to the run on the dollar, and the car was put into reverse. Retail Sales disappointed, and PPI is not anything to laugh about... All that and more, as we head into the day after a 15-inning All-Star Game! Front and Center though is the good cop, bad cop thing that played out with Fed Chairman Ben Bernanke (bad cop) and SEC Chairman Cox (good cop)... Big Ben sent the dollar packing in the morning with his statement that highlighted the Fed's predicament... Big Ben noted the parts of financial markets remained seriously disrupted (which screams, no rate hike), but that dollar weakness had helped cause inflation to rise (Here he goes again trying to blame everyone else for the Fed's creation and feeding of inflation... Oh well, this statement screams, no rate cut!). The currencies all took turns taking a swing at the piñata (dollar)... And... It looked like the volcano was about to blow... Oh, I don't know, I don't know, I don't know where I'm a going to go when the volcano blows! (Ahhh, a little Jimmy Buffett on a Wonderful Wednesday!)...
  • BIS Disses The Dollar!

    * Euro & Aussie on the rise... * Yen continues to rise on stock sell off... * Another depressing warning... * Gold takes off! **BIS Disses The Dollar! Good day... And a Marvelous Monday to you! June the 30th... I had a fabulous weekend, with a Cardinals' win Saturday night to top it off! I'm waiting for news from the blood doctor on my latest ultra sound on my leg. And my goofy car is acting up again! UGH! But... Not even that kind of stuff could ruin my weekend! OK... Front and Center this morning, we have the euro climbing above 1.58, and the Aussie dollar hitting a 25-year high! The dollar is getting sold again, as the negativity toward the dollar grows strong again. We also have The Bank for International Settlement (BIS) talking about how a disorderly decline in the dollar can't be ruled out completely, while U.S. Treasury Sec. Paulson is talking about how a strong dollar is a good thing for the U.S....
  • The Yen Is Back!

    * The dollar stumbles... * BOE & ECB leave rates unchanged... * Trade Deficit to "narrow"? * Another record level for oil!...
  • The Dollar Swings A Mighty Hammer!

    * Hoenig's big fat cat! * Renminbi stalls... * Going out on the limb again... * Stocks get sold on oil price... ...