Fundamental Headlines
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GBPUSD – The BoE left their benchmark interest rate unchanged at 5.00% as expected. The housing market continues to deteriorate as HBOS reported prices fell another 2% in June. The housing slump and tight credit markets are dragging the country toward recession, making it prohibitive for the MPC to raise rates to battle inflation. Indeed, rising oil and food prices has seen the country’s inflation rate rise to 3.3% exceeding the 3% threshold. Discuss the topic and your trade ideas in the
GBP/USD Forum.
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USDJPY – Japan’s domestic corporate goods price index rose to a 27 year high of 5.6% in June, exceeding expectations of 5.3%. Rising commodity prices are forcing Japanese companies to pass on costs to consumers. The BoJ finds itself caught between slowing growth and rising prices, which may lead them to keep their benchmark interest rate unchanged throughout the remainder of the year. Discuss the topic and your trade ideas in the
USD/JPY Forum.
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AUDUSD – Australian employers hired 29,800 workers in June, which was nearly three times the 10,000 that economist forecasted. Chinese demand for commodities led to companies like Rio Tinto to increase hiring, which led to a rebound from the May’s decline of 25,600. The economy’s robust growth has increase expectations that the RBA will raise rates at its next policy meeting. For more news and resources, visit our
Australian Dollar Currency Room.
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U.S. Mulls Future of Fannie, Freddie (
link)
– Wall Street Journal
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IEA Raises Outlook for Oil Demand (link) – Wall Street Journal
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S&P 500 Falls into a Bear Market (
link) – Financial Times
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China’s Aluminum Producers Agree to Cut Output by 10% (
link)
– Bloomberg
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U.S. Foreclosures Rose 53% in June, Bank Seizures Almost Triple (
link)– Bloomberg
BoE Leaves Benchmark Rate Unchanged, As Housing Market Deteriorates Further
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