The dollar fell from a four-month high against the yen as U.S. employers unexpectedly eliminated jobs last month, boosting speculation that the Federal Reserve may extend stimulus measures. The yen rose against all of its most-traded counterparts including the Australian and New Zealand dollars on speculation the payrolls report will reduce demand for higher-yielding assets. The greenback dropped The dollar fell from a four-month high against the yen as U.S. employers unexpectedly eliminated jobs last month, boosting speculation that the Federal Reserve may extend stimulus measures.
The U.S. currency dropped against all of its most-traded counterparts except for the Taiwanese dollar, falling at least 1 percent against the Brazilian real, South African rand and Swiss franc. The greenback recorded its biggest weekly drop against the euro since November on the prospects for the world’s largest economy.
“The headline doesn’t sit well with the dollar,” said Brian Kim, a currency strategist at UBS AG in Stamford, Connecticut. “People had been bracing for a flat to positive number. It puts expectations for a Fed rate hike on ice.”
The dollar slid as much as 0.9 percent to $1.4439 per euro in the biggest intraday decline since Nov. 25, before trading at $1.4409 at 5 p.m. in New York, compared with $1.4308 yesterday. The dollar dropped 0.8 percent to 92.66 yen, from 93.37. It earlier touched 93.77, the highest level since Aug. 28. The euro fell 0.1 percent to 133.46 yen.
U.S. employers eliminated 85,000 jobs in December, the Labor Department said today. The median estimate of 76 economists in a Bloomberg News survey was for no change in nonfarm payrolls. The unemployment rate held at 10 percent.
The greenback avoided declining beyond $1.45 per euro, a level last seen on Dec. 17, as the payrolls report showed a gain of 4,000 jobs in November, the first boost in almost two years.
Dollar ‘Resilience’
“The dollar has shown resilience,” said Vassili Serebriakov, a currency strategist at Wells Fargo & Co. in New York. “There were some mitigating factors. Should the damage to the dollar be limited in the aftermath of the report, that would be a positive sign for the greenback.”
The traded-weighted Dollar Index, which the ICE futures exchange uses to track the greenback against currencies including the euro, yen, pound and franc, rose 1.7 percent on Dec. 4, when the Labor Department reported an unexpected drop in U.S. unemployment.
The index had fallen 17 percent from the 2009 peak reached in March as evidence of a global economic rebound spurred investors to buy higher-yielding assets funded with dollars. The index rose 4 percent last month on speculation the Fed was moving closer to withdrawing stimulus measures. The gauge of the greenback dropped 0.6 percent today.
Fed Stimulus
At its Dec. 15-16 meeting, Fed officials debated increasing and extending its stimulus program should the economy weaken, according to minutes released Jan. 6. A few favored such a move while one policy maker discussed a reduction. The target rate for overnight lending between banks was held at a range of zero to 0.25 percent.
The greenback slid 1.2 percent to 1.7264 Brazilian reais today, declined 1 percent to 7.3568 rand, lost 1 percent to 1.0235 franc and fell 0.8 percent to 5.6664 Norwegian kroner.
The dollar posted a 0.5 percent weekly decrease against the yen, its first drop since the five-day period ended Dec. 11, and was down 0.6 percent versus the euro. The European currency gained 0.3 percent against the yen.
The yen appreciated earlier against the dollar after Japan’s Prime Minister Yukio Hatoyama told reporters that rapid foreign-exchange moves were “not good” a day after the newly appointed Finance Minister Naoto Kan said he would welcome a weaker yen. Kan’s predecessor, Hirohisa Fujii, had dismissed the value of a weaker yen to Japan’s economy.
“Hatoyama’s remarks muted the impact of yesterday’s comments from Kan,” said Masahide Tanaka, a Tokyo-based senior strategist at Mizuho Trust & Banking Co., a unit of Japan’s second-largest bank. “Kan’s statement yesterday was a New Year’s gift for Japanese exporters.
EUR/USD The Euro again found support close to 1.19 against the dollar on Tuesday and made an attempt at breaking back above resistance in the 1.20 area.
Saturday, November 13, 2010
U.S. Stocks, Dollar Fall While Treasuries Rise on Job Losses
U.S. stocks, the dollar and oil declined while Treasuries rallied after American employers unexpectedly eliminated jobs last month, spurring concern the economic recovery will falter. The Standard & Poor’s 500 Index fell 0.4 percent to 1,136.93 at 9:41 a.m. in New York, retreating from a 15-month high. The Dollar Index, a measure of the currency against those of six U.S. trading partners, lost 0.4 percent to Jan. 8 (Bloomberg) -- The U.S. dollar fell and Treasuries rose after American employers unexpectedly eliminated jobs last month, spurring concern the economic recovery will falter. U.S. stocks rallied on optimism about corporate profits.
The Dollar Index, a gauge of the U.S. currency versus those of six major trading partners, declined 0.6 percent to 77.485 at 5:13 p.m. in New York. Treasury two-year notes advanced, driving their yield down 0.05 percentage point to 0.97 percent. The Standard & Poor’s 500 Index added 0.3 percent, recovering from a 0.5 percent drop, as United Parcel Service Inc. said profit beat its forecast and Alcoa Inc. climbed to the highest price since October 2008 before reporting quarterly results on Jan. 11.
The Labor Department said the U.S. lost 85,000 jobs in December, compared with the median economist estimate in a Bloomberg survey that called for no change in payrolls. The decrease in employment wiped out November’s gain. Federal Reserve Bank of Boston President Eric Rosengren said unemployment will stay “quite elevated” while the economy recovers, warranting continued low interest rates.
“People are still losing some jobs here, even in the fourth quarter,” said Jason Cooper, who manages $2.5 billion at 1st Source Investment Advisors in South Bend, Indiana. “The economy, it’s not as good as what people were anticipating. And I think that’s reflected in what the markets are doing.”
Higher Inventories
Benchmark U.S. equity indexes rebounded after UPS announced earnings and inventories at wholesalers unexpectedly jumped in November by the most in five years. The report on stockpiles from the U.S. Commerce Department signaled companies are picking up the pace of orders as sales climbed 3.3 percent, the biggest gain since January 2008.
Equities also recovered from their lows of the session amid diminishing bets on an interest rate increase by the Federal Reserve. Fed funds futures trading showed a 33 percent chance the central bank will lift its benchmark rate by its June meeting, down from 60 percent odds a week ago.
The dollar fell from a four-month high against the yen and dropped against all of its most-traded counterparts except for the Taiwanese dollar, falling at least 1 percent against the Brazilian real, South African rand and Swiss franc. The U.S. currency recorded its biggest weekly drop against the euro since November.
The benchmark two-year Treasury note’s yield fell as much as 0.08 percentage point, the biggest drop since Dec. 17.
Bond Auctions
The yield difference between 2- and 10-year notes widened to 2.86 percentage points, near the record 2.88 percentage points reached on Dec. 22, as the U.S. prepared to sell $21 billion of 10-year securities on Jan. 13 and $13 billion of debt maturing in 30 years on Jan. 14. The government will also sell $10 billion in 10-year Treasury Inflation Protected Securities on Jan. 11 and $40 billion of 3-year notes on Jan. 12.
Bill Gross, who runs the world’s biggest mutual fund at Pacific Investment Management Co., said the U.S. economy is too fragile for the Fed to back away from its stimulus measures.
“Four percent of the viable workforce has given up,” Gross said in Bloomberg Radio interview. “To think the economy can snap back in the face of that is a bit of a stretch.”
The S&P 500 climbed to 1,144.98, the highest level since Oct. 1, 2008. The VIX, as the Chicago Board Options Exchange Volatility Index is known, slumped to a 20-month low of 18.13. It measures the cost of insurance against losses in the S&P 500.
UPS, the world’s largest package-delivery company, rallied 4.8 after saying profit topped its estimate. Alcoa added 2.5 percent before the largest aluminum company releases fourth- quarter earnings.
The Dollar Index, a gauge of the U.S. currency versus those of six major trading partners, declined 0.6 percent to 77.485 at 5:13 p.m. in New York. Treasury two-year notes advanced, driving their yield down 0.05 percentage point to 0.97 percent. The Standard & Poor’s 500 Index added 0.3 percent, recovering from a 0.5 percent drop, as United Parcel Service Inc. said profit beat its forecast and Alcoa Inc. climbed to the highest price since October 2008 before reporting quarterly results on Jan. 11.
The Labor Department said the U.S. lost 85,000 jobs in December, compared with the median economist estimate in a Bloomberg survey that called for no change in payrolls. The decrease in employment wiped out November’s gain. Federal Reserve Bank of Boston President Eric Rosengren said unemployment will stay “quite elevated” while the economy recovers, warranting continued low interest rates.
“People are still losing some jobs here, even in the fourth quarter,” said Jason Cooper, who manages $2.5 billion at 1st Source Investment Advisors in South Bend, Indiana. “The economy, it’s not as good as what people were anticipating. And I think that’s reflected in what the markets are doing.”
Higher Inventories
Benchmark U.S. equity indexes rebounded after UPS announced earnings and inventories at wholesalers unexpectedly jumped in November by the most in five years. The report on stockpiles from the U.S. Commerce Department signaled companies are picking up the pace of orders as sales climbed 3.3 percent, the biggest gain since January 2008.
Equities also recovered from their lows of the session amid diminishing bets on an interest rate increase by the Federal Reserve. Fed funds futures trading showed a 33 percent chance the central bank will lift its benchmark rate by its June meeting, down from 60 percent odds a week ago.
The dollar fell from a four-month high against the yen and dropped against all of its most-traded counterparts except for the Taiwanese dollar, falling at least 1 percent against the Brazilian real, South African rand and Swiss franc. The U.S. currency recorded its biggest weekly drop against the euro since November.
The benchmark two-year Treasury note’s yield fell as much as 0.08 percentage point, the biggest drop since Dec. 17.
Bond Auctions
The yield difference between 2- and 10-year notes widened to 2.86 percentage points, near the record 2.88 percentage points reached on Dec. 22, as the U.S. prepared to sell $21 billion of 10-year securities on Jan. 13 and $13 billion of debt maturing in 30 years on Jan. 14. The government will also sell $10 billion in 10-year Treasury Inflation Protected Securities on Jan. 11 and $40 billion of 3-year notes on Jan. 12.
Bill Gross, who runs the world’s biggest mutual fund at Pacific Investment Management Co., said the U.S. economy is too fragile for the Fed to back away from its stimulus measures.
“Four percent of the viable workforce has given up,” Gross said in Bloomberg Radio interview. “To think the economy can snap back in the face of that is a bit of a stretch.”
The S&P 500 climbed to 1,144.98, the highest level since Oct. 1, 2008. The VIX, as the Chicago Board Options Exchange Volatility Index is known, slumped to a 20-month low of 18.13. It measures the cost of insurance against losses in the S&P 500.
UPS, the world’s largest package-delivery company, rallied 4.8 after saying profit topped its estimate. Alcoa added 2.5 percent before the largest aluminum company releases fourth- quarter earnings.
High-Risk Warning of forex trading
Forex, Futures, and Options trading has large potential rewards, but also large potential risks. The high degree of leverage can work against you as well as for you. You must be aware of the risks of investing in forex, futures, and options and be willing to accept them in order to trade in these markets. Forex trading involves substantial risk of loss and is not suitable for all investors. Please do not trade with borrowed money or money you cannot afford to lose. This website is neither a solicitation nor an offer to Buy or Sell currencies, futures, or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this website. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. Website owners and affiliates will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. Please remember that the past performance of any trading system or methodology is not necessarily indicative of future results.
Real Time Forex News Alerts For Major Currencies
Real time forex news alerts show how global the financial crisis affects every major currency. Australian dollar is optimistic on keeping itself from recession. Although, reports are showing very slow come back from big blows. Unemployment rise with the loss of approximately 18,000 jobs. Business confidence is still down, record low, as well as consumer confidence. Good news is unheard for except for the slight increase in risk appetite. If this risk appetite is not sustained, Australia may face the recession sooner than expected.
The Japanese Yen recently lost track of the movements of the over risky assets. It has shown no significant movement even though the price changes in over a week. Real time forex news alerts is still wondering on how long the Japanese yen will last. Their domestic spending is showing very little movement. Both consumer and business confidence shows no sign of improvement. Some good news shows capital spending on safe investments that has at least break even results.
Euro, on the other hand, is showing promising signs of slight improvement. Though, there is no clear picture of the improvements, some would imply that it will come from stabilizing the Euro. This is a small step up if one is to consider the broader Euro zone. Business and consumer sentiment is still said to be bleak. The eyes are still focused on the financial market, whether they are to take the risks or not. Real time forex news alerts are sure to be hanging on to any news for Euro.
Swiss francs surprised real time forex news alerts when it emerged as the ‘best performing major currency’. When inflation was controlled to nearly no movement, the consumer confidence was heightened. Although, their unemployment also reached a three-year high. Their export market slowed down, especially in US and Europe, so it is just a matter of time that their trading terms to hit low.
The New Zealand dollar is showing poor growth, but is hopeful that it can persuade the risk appetite. If they can persuade their markets’ risk appetite they can stop the currency exchange rate from falling, which hit its seven-year low last week. Another blow was received as the retail industry hit record -low as consumers cut back on entertainment, so is true with South Pacific countries as well.
US dollar is keeping real time forex news alerts amazed. With their government’s efforts to boost their consumer confidence, it has been showing more positive outlook on its way out of recession. There may have been downbeat like the consumer confidence drop and the unexpected jobless claims of about 623,000. The Obama administration is gathering up consumer confidence with the passing of his Stimulus bill. This is expected to boost the consumer and business confidence. All the other currencies are watching the movement of US dollar because of it.
As of this month, real time forex news alerts show interest rate for US dollar and GBP slightly went up. Euro, Japanese Yen and NZ dollar showed very little decline. Other major currency stayed the same.
Looking for the one secret to be a professional forex trader?
Be a pro trader by consistently knowing what’s new on the forex market with the finest online forex news trading site today.
And stay updated with online forex scam reviews, to protect yourself from misleading programs.
The Japanese Yen recently lost track of the movements of the over risky assets. It has shown no significant movement even though the price changes in over a week. Real time forex news alerts is still wondering on how long the Japanese yen will last. Their domestic spending is showing very little movement. Both consumer and business confidence shows no sign of improvement. Some good news shows capital spending on safe investments that has at least break even results.
Euro, on the other hand, is showing promising signs of slight improvement. Though, there is no clear picture of the improvements, some would imply that it will come from stabilizing the Euro. This is a small step up if one is to consider the broader Euro zone. Business and consumer sentiment is still said to be bleak. The eyes are still focused on the financial market, whether they are to take the risks or not. Real time forex news alerts are sure to be hanging on to any news for Euro.
Swiss francs surprised real time forex news alerts when it emerged as the ‘best performing major currency’. When inflation was controlled to nearly no movement, the consumer confidence was heightened. Although, their unemployment also reached a three-year high. Their export market slowed down, especially in US and Europe, so it is just a matter of time that their trading terms to hit low.
The New Zealand dollar is showing poor growth, but is hopeful that it can persuade the risk appetite. If they can persuade their markets’ risk appetite they can stop the currency exchange rate from falling, which hit its seven-year low last week. Another blow was received as the retail industry hit record -low as consumers cut back on entertainment, so is true with South Pacific countries as well.
US dollar is keeping real time forex news alerts amazed. With their government’s efforts to boost their consumer confidence, it has been showing more positive outlook on its way out of recession. There may have been downbeat like the consumer confidence drop and the unexpected jobless claims of about 623,000. The Obama administration is gathering up consumer confidence with the passing of his Stimulus bill. This is expected to boost the consumer and business confidence. All the other currencies are watching the movement of US dollar because of it.
As of this month, real time forex news alerts show interest rate for US dollar and GBP slightly went up. Euro, Japanese Yen and NZ dollar showed very little decline. Other major currency stayed the same.
Looking for the one secret to be a professional forex trader?
Be a pro trader by consistently knowing what’s new on the forex market with the finest online forex news trading site today.
And stay updated with online forex scam reviews, to protect yourself from misleading programs.
Lester Associates announce new toll and conversion contract support
Lester Associates, a leading supplier of international commodity trading software, announced support for toll/conversion contracts within their CPMS commodity software.
FOR IMMEDIATE RELEASE
PRLog (Press Release) – Jul 07, 2010 – Lester Associates, a leading supplier of international commodity trading software, announced support for toll/conversion contracts within their CPMS software. The new toll contract capability allows metal trading firms and metal services firms to manage tolling contracts including material delivered, material processed and material returned as well as tracking toll fees.
Tolling contracts involve delivering material to a toller (processor) which processes, refines or converts the material from one form to another for a fee; the ownership of the material remains with the original owner. Toll/conversion contracts are used by metal services firms and recycling firms and can be used in a number of areas for various commodities. For example, a toll contract is used to convert copper anode to cathode or to process metal scrap into a more usable form.
"The new toll contract capability is fully integrated with the other contracts managed by CPMS and allow a complete, integrated solution for trading firms and service firms with tolling/conversion contracts." said Joseph Lester, president of Lester Associates. "Without a integrated toll contract, the typical work-around is to create artificial contracts to manage the toll process or handle them outside the system; this new capability provides full audit trails and accountability."
The ability to manage these contracts as a distinct toll contract allows enhanced risk reporting providing a common reference for delivery, pricing and hedging as well as providing conversion reports as material is processed while providing the capability to report positions (stocks) by type of material. The CPMS software supports contracts to purchase and sell physical commodities in addition to supporting hedging (futures), swaps, foreign exchange, options and metal lease contracts.
# # #
About Lester Associates:
Lester Associates is a leading supplier of international commodity trading software to trading firms, producers and consumers which are involved in the purchase, sale and hedging of commodities, allowing them to manage their risk positions from multiple risk perspectives while supporting their contract management functions.
Lester Associates is a privately held company located in Chatham, NJ which has been providing commodity software since 1984 and is a Microsoft Certified Partner.
FOR IMMEDIATE RELEASE
PRLog (Press Release) – Jul 07, 2010 – Lester Associates, a leading supplier of international commodity trading software, announced support for toll/conversion contracts within their CPMS software. The new toll contract capability allows metal trading firms and metal services firms to manage tolling contracts including material delivered, material processed and material returned as well as tracking toll fees.
Tolling contracts involve delivering material to a toller (processor) which processes, refines or converts the material from one form to another for a fee; the ownership of the material remains with the original owner. Toll/conversion contracts are used by metal services firms and recycling firms and can be used in a number of areas for various commodities. For example, a toll contract is used to convert copper anode to cathode or to process metal scrap into a more usable form.
"The new toll contract capability is fully integrated with the other contracts managed by CPMS and allow a complete, integrated solution for trading firms and service firms with tolling/conversion contracts." said Joseph Lester, president of Lester Associates. "Without a integrated toll contract, the typical work-around is to create artificial contracts to manage the toll process or handle them outside the system; this new capability provides full audit trails and accountability."
The ability to manage these contracts as a distinct toll contract allows enhanced risk reporting providing a common reference for delivery, pricing and hedging as well as providing conversion reports as material is processed while providing the capability to report positions (stocks) by type of material. The CPMS software supports contracts to purchase and sell physical commodities in addition to supporting hedging (futures), swaps, foreign exchange, options and metal lease contracts.
# # #
About Lester Associates:
Lester Associates is a leading supplier of international commodity trading software to trading firms, producers and consumers which are involved in the purchase, sale and hedging of commodities, allowing them to manage their risk positions from multiple risk perspectives while supporting their contract management functions.
Lester Associates is a privately held company located in Chatham, NJ which has been providing commodity software since 1984 and is a Microsoft Certified Partner.
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