[B]My picks:[/B] Short CAD/JPY @ 87
[B]Expertise:[/B] Global Macro
[B]Average Time Frame of Trades:[/B] 1 week
Despite the recent improvement in investor’s sentiment the U.S. economy is still facing considerable challenges. According to the Bureau of Labor Statistics of the U.S. Department of Labor, the U.S. economy lost 539K jobs in April, the unemployment rate rose from 8.5 to 8.9 percent and 5.7 million jobs have been lost since the recession began in 2007. Investor’s expectations that the world economy will emerge from this recession sooner than expected has triggered substantial rallies on higher yielding currencies, financial stocks and highly leveraged commodities. However, most of these recent gains are speculative driven and we may see a sharp correction if core economic indicators don’t show an improvement.