The Dollar Move Higher Compared to Yen

On Monday,  the dollar pushes higher compared to the yen, although the euro stayed firm as markets processed Friday’s U.S jobs post and unsatisfactory trade statistics from China within a weekend. USD/JPY hit peaks of 107.70 and was previously at 107.53, up 0.4 percent for the day.

The U.S. dollar index, that measures the greenback’s strong point compared to a trade-weighted basket of six main currencies, increased 0.11 percent to 93.92, off Friday’s declines of 93.08. EUR/USD  slightly changed at 1.1399.

After data on Friday, the greenback  initially declined presenting that the U.S. economy additional occupations at the sluggish rate in seven months in April.

However,  the report also presented that one year monthly wage development increased the previous month.

The greenback was also supported after New York Federal Reserve President William Dudley stated on Friday that it was sensible to anticipate  two rate increase this year.

The yen display slight reaction when Japan’s Finance Minister Taro Aso stated on Monday that executives stayed prepared to mediate in the currency market if extreme changes in the yen are sufficient to move Japan’s trade or economy.

Compared to the yen last week,  the greenback decline to 18-month lows of 105.05 and the U.S. added Japan to a list of countries it was watching over foreign exchange rules.

Investors stayed watchful after record on Sunday displayed that China’s export and imports decline over the prediction in April.

The weak statistic highlighted worries over reducing domestic and overseas claim touching the world’s second biggest economy.

In the wake of the report, the Australian dollar was lesser, with  AUD/USD declines 0.38 percent  to 0.7340. China is Australia’s biggest trading companion.

The Aussie had already dropped over  3 percent the previous week when the country’s central bank reduces interest rates for the 1^st time in more than a year and reduced its inflation predictions in reaction to falling commodity rates.

On Additional News

On Monday, the Canadian currency hit three-week lows compared to the U.S. dollar as a massive wildfire in Alberta and a short domestic job post on Friday affected on the economic viewpoint. As the wildfire raging through Canada’s oil sands region in northeast Alberta since last Sunday continued, the loonie stayed stressed.

USD/CAD touches peaks of 1.2984, the best since April 18 and was last at 1.2978, increase 0.55 percent  for the day.

Economists have stated the interruption to production in the oil rich province could transport Canadian economic development to a halt  in the 2nd quarter.

After record on Friday, the Canadian currency had now declined  presenting that the county’s labor market caught up in April.

Statistics Canada reported that the economy suddenly lost 2,100 works the previous month as Alberta shed additional jobs in its natural resources sector because of the lower commodity rates.

Statistics on Monday, presented that Canadian housing beginning to drop beyond anticipated in April.

The Canadian Mortgage and Housing Corp stated the periodically adjusted yearly rate of housing begin to drop to 191,512 units in April from a downwardly reviewed 202,375 units in March.

The U.S. dollar  index, that gauge the greenback’s strong point compared to a trade-weighted basket of six main greenback’s, was increased 0.28 percent to 94.08, off Friday’s declines of 93.08.

TradingBanks reviews news on commodities, stocks, economy, technology and foreign exchange daily to help the clients with their market decisions. Open a live account now  and be one of our successful traders soon. TradingBanks, your brokers for your success.

EUR/USD is in High Point on New Greece Bailout Request

Euro is stronger than the greenback for a week now after Greece asked for a new three-year bailout and as the meeting for the latest Federal Reserve is heading and pressures the greenback to lower.

During late Asian trade, EUR/USD hit 1.1124 which is the highest since the start of the month. The two currencies finally build up at 1.1104, rising 0.22%. The currencies will probably find a base at 1.0974, last Wednesday it was low and resistance at 1.1171, the high of July 1.

GREECE’S REQUEST

Euro established support as Greece requested a new three-year bailout from the euro zone creditors and guarantee an economic repair on Wednesday.

Whether European leaders will agree to Greece’s appeal for emergency loans at a crisis conference this coming Sunday will depend on whether Greek Prime Minister Alexis Tsipras, will make a forceful turnabout on tax increase and pension cuts and further austerity measures over five months of negotiations.

Wolfgang Schäuble German Finance Minister stated that “the actual examination can only begin once the full package has been put on the table.”

POLICY SUMMIT

Subsequently, the minutes of the Federal Reserve June policy summit illustrated that it was on the path for at least one and maybe a second time later this year. The minutes pointed as well to the matter over Greece’s current financial problems, indicating that turmoil in the global market could disrupt the Fed’s rate hike plans if blight spreads.

Furthermore, with EUR/GBP at 0.7208, the euro was steady against the pound.

The world is keeping a close eye on the decision of the European leaders with regards to the three year bailout that Greece is requesting. If you want to know the latest development regarding the Greek crisis, just visit our official website TradingBanks.com. TradingBanks reviews the most import news on the stock market, commodities, precious metals, forex exchange and technology industry as well.

RELATED STORIES

Will Greeks’ ‘No’ Vote Hurt Global Markets?

Euro Edged Higher on Signs of Progress in Greece Debt Deal

Euro recovers after Greek’s “No” vote

EUR/USD Almost Unchanged as Focus Turns to Greek’s Referendum

Euro remained steady against the greenback as investors stayed cautious ahead of the incoming Greek referendum on whether to accept the terms proposed by its international creditors or not.

EUR/USD hit 1.1100 during late Asian trade and subsequently stabilized at 1.1093. The forex pair were likely to find support at 1.1032 (the low of July 1) and resistance at 1.1171 (the high of July 1).

Hopes to reach a deal between Greece and the euro zone were quashed on Wednesday after Greek Prime Minister Alexis Tsipras advised voters to reject the terms of an international bailout deal.

Greek voters are expected to decide this coming Sunday on whether or not to accept the terms suggested by institutions, including the European Central Bank, the International Monetary Fund and the European Commission, who are managing the country’s now-expired bailout.

Tsipras said that a vote against the proposals would be giving him a stronger authority to agree a third bailout Greece’s creditors. Conversely, European leaders said the referendum is definitively a vote on whether to stay in the euro zone.

Greece became the first developed country to default on the IMF after a second bailout was reached last June 30.

The U.S. Commerce Department reported last Thursday that factory orders declined 1.0% in May, in contrast to expectations for a 0.5% decline.

On the other hand, the Labor Department reported that the economy added 223,000 jobs last June, compared to the expected 230,999 job growth, despite the fact that the unemployment rate declined to 5.3% last month from 5.5% in June.

Data also showed that the total number of individuals filing for initial jobless benefits in the week that ended on June 27 increased by 10,000 to 281,000, compared to the expected decline of 1,000.

Everyone is keeping a close eye on the incoming Greek referendum this Sunday as the results will affect the global financial markets. TradingBanks.com will follow the updates regarding the Greek referendum. TradingBanks reviews commodities, stock market and technology industry to help you with your trade.

Related Stories

All Eyes on Greece’s July 5 Referendum

Greek Talks to Extend into the Weekend

Euro Edged Higher on Signs of Progress in Greece Debt Deal

Greek Government Disagrees with Creditors’ Proposals

Euro Slips Lower After Greece Default

As confirmed by the International Monetary Fund, Greek government failed to repay the €1.6 billion debt last Tuesday. IMF said that Greece can only obtain further funding after the debts are settled. Last Tuesday, Greece asked for a last-minute extension, which the fund said will consider “in due course.”

The default by Greece will add to fears over the country’s fuel and wealth doubts over the condition of Greek banks and the assets used for European Central Bank loans.

Yesterday, the Greek government requested a debt restructuring and new two-year bailout program—the country’s third in five years. Conversely, the newest proposals occurred too late to stop Greece’s existing bailout agreement from expiring.

Euro zone finance ministers held the talks shortly on Wednesday to discuss the recent Greek proposals but German Chancellor Angela Merkel ruled out additional negotiations until after Sunday’s referendum in Greece.

Greek Prime Minister Alexis Tsipras called for a sudden referendum to be held on July 5 with regards to the terms proposed by lenders for extending the country’s bailout. European leaders said the referendum is about the vote on whether to remain in the euro zone.

EUR/JPY was a bit changed for the day at 136.47, while the EUR/GBP declined by 0.2% to 0.7886.

Meanwhile, the dollar is slightly higher against the yen, with USD/JPY edging up by 0.11% to 122.63.

A report from the Bank of Japan last Wednesday explains that the outlook among large manufacturers climbed in the three months to June, implying that the economic recovery is gaining grip.

Visit our official website TradingBanks.com for more daily news. TradingBanks reviews the most recent news regarding forex exchange, commodities, stock market, technology industry and other financial markets to help you with your trade.

Oil Retreated Worldwide, Analysts Point to Greece Debt Default

Price of oil dropped on Monday, tracking a sell-off in global equity markets and the euro due to concerns over a Greek debt default.

Brent North Sea crude for August delivery shed $1.71 to trade at $61.55 per barrel in London midday trade.

Investment analyst Daniel Ang of Phillip Futures said that the weakening euro “could see crude prices continue to drop, similar to what we have seen at market open.”

A stronger greenback makes dollar-priced crude more expensive for buyers holding the European single currency, reducing demand.

Meanwhile, dealers are waiting to see if major world powers and Iran can close a deal in curbing the nuclear program of Tehran by the end of June. This move will allow Western powers to lift sanctions that will result to more Iranian crude flowing into the already overstocked international market.  

At the talk in Vienna, a senior U.S official said that there was no chance of nailing down the accord by today, but admitted “it’s fair to say the parties are planning to stay past to keep negotiating.”

TradingBanks reviews the daily price of oil and other commodities to help traders. Just visit our official website TradingBanks.com to stay informed.

Dollar Index Eased After Hitting One-Week Highs

The dollar index declined after hitting its highest in over a week as U.S. 10-year Treasury surrenders on Wednesday. Investors’ focus is slowly changing from Greece to prospects for higher U.S. interest rates.

The index was down by 0.3 percent to 95.155. It increased to 95.636 on Tuesday, its highest level since June 12. Also, the dollar index clung to Tuesday’s gains when it rose to 1.2 percent.

Federal Reserve Governor Jerome Powell said he was prepared to elevate interest rates twice this year and higher U.S. yields US2YT=RR US10YT=RR, pushed the dollar higher on Tuesday.

FX strategist at Nordea, Neils Christensen said, “We had a pretty big move up in the dollar, so it’s natural that there is a pause especially with the U.S. calendar a bit empty and little in store to push Treasury yields higher today.”

The final estimate of first-quarter gross domestic product is the only data of note from the United States. It is expected to show that the economy weakened less compared to the earlier estimate. According to traders, the final estimate is usually not a market mover but could establish positivity for the dollar.

The euro went up by 0.3 percent to $1.1200, retrieving a bit of ground after increasing 1.5 percent on Tuesday even though Greece cannot come to an agreement with its euro zone creditors.

Prime Minister Alexis Tsipras flew to Brussels to meet with euro zone officials on Wednesday, in attempt for connecting the gaps on key elements of the proposals created by his left-wing government to support state finances in return for vital loans.

Athens had proposed raising VAT, corporate tax, and pension contributions in order to fulfill budget targets. However, according to a Greek government official, Tsipras told aides that creditors had not agreed to the revenue-raising measures.

“I’m seeing some euro buying. From a low of 1.1178 posts the (headlines on) rejection of Tsipras’s proposals, we are now knocking on 1.12 again,” said Tobias Davis, corporate hedging manager with Western Union in London.

On Wednesday afternoon, Tsipras will meet with European Commission President Jean-Claude Juncker, European Central Bank President Mario Draghi, and IMF head Christine Lagarde, before a 1700 GMT meeting of the Eurogroup of finance ministers.

TradingBanks reviews and dissect forex market issues since we value the traders and investors’ affairs. TradingBanks.com will keep you posted for more details like these every now and then.