SereneLoi.com

Yesterday’s Eurogroup meeting in Brussels provided nothing of note and we don’t expect anything of real substance from today’s wider Ecofin group of 27. The markets should be hit with comments from EMU nations on their pledge of support for Greece, but will lack an official bailout plan. We still believe that the EC strategy [...]

Following last week’s relatively benign action, the Dow is indicating a lower start to trading following concerns over monetary tightening in China, and more pertinently comments from Moody’s. The ratings agency pointed to rising risk in the four largest Triple A rated countries – the US, the UK, France and Germany. Moody’s ratings agency pointed [...]

Chinese Prime Minister Wen Jiaboa has been quoted as stating that he doesn’t feel that the Chinese Yuan is overvalued and China may experience a “double dip” recession. These comments have sparked a move back to safe havens such as the US Dollar, with the Dollar Index edging higher against its major rivals. Dollar traders [...]

Gold trading this week will be dominated by the US interest rate announcement. The FOMC are scheduled to announce their decision tomorrow, with traders looking to see if there is a fundamental shift in their stance that interest rates are to remain at “exceptionally low rates for an extended period”. Gold continues to have found [...]

EUR-USD Drops On Stronger US Data Eurozone Employment Change (Q4) came out at -0.2% q/q, -2.0% y/y (-0.5%/-2.1% prior). Swiss Producer & Import Prices (Feb) were a much lower than expected -0.3% m/m, -1.0% y/y (0.1%/-0.6% expected, 0.3%/-1.3% prior). BoE member Kate Barker quoted saying UK GDP may fall one quarter, but no double dip. [...]