Are you full? You know, appetite wise? Probably not, for most of you read the Pfennig in the morning, with a cup o' Joe… The renewed appetite for risk that the markets were displaying yesterday disappeared yesterday afternoon. The markets were full of risk, I guess… For the selling was swift and damaging to the levels that the currencies, commodities, and stocks had gained overnight on the news that China would allow more flexibility in the renminbi (CNY).
[Read more...]Euro Price Hits a 4-Year Low
May 17, 2010 By Leave a Comment
We had a very soggy weekend here in St. Louis, which continues this morning. It rained on the precious metals on Friday, too, along with the currencies that weren’t dollars, and yen (JPY)…
The overnight markets have continued with the theme from Friday’s price action, which is to sell euros (EUR) and on the crosses bring the other currencies down… Gold, which was up $13 when I signed off on the Pfennig, Friday morning, ended up losing $6, which is a $19 turn-around… The media blamed the gold sell-off on the strong US retail sales, which posted a better-than-forecast number for April of +0.4%, with March’s number revised upward from 1.6% to 2.1%… A strong revision, I must say!
[Read more...]Economic Releases Drive Currency Markets
December 23, 2009 By Leave a Comment
The currency markets were a bit more volatile yesterday, as we got some surprising data releases here in the US… But after the dust settled, the dollar closed out the day pretty much right where it had started versus most of the major currencies. Gold and silver continued to slide, but the price of oil moved up a bit. Today we will get another big round of economic data, which could cause some more volatility in the markets.
[Read more...]
Soft-Core Deflationism
There are two major schools of thought on what is coming next…and two renegade, home-schools too. There are those who believe we have a recovery…though weak…that will continue and eventually bring the economy back to health. This is the line of the Obama Administration and most mainstream economists.
[Read more...]