[B]Fundamental Headlines[/B]
[I]• To Count New Stimulus Jobs, Help Really Wanted – Wall Street Journal
• How ‘Buy American’ Can Hurt U.S. Firms – Wall Street Journal
• Bernanke says US recession likely over – Financial Times
• Bernanke May Have to Accept Slower Rebound to Show Inflation Credentials – Bloomberg
• Dollar Pessimism Grows Deeper as Borrowing Costs in U.S. Drop Below Japan -Bloomberg[/I]
[B]GBPUSD[/B]– U.K. unemployment rose to its highest level since 1995 as the number of jobless claims increased by 24,400.hough, new filings were less than the expected 25,000, the claimant count rate as forecasted reached 5.0% as companies continue to shed workers in an effort to cut expenses. Climbing unemployment leaves the economy vulnerable to another downturn, as a lack of consumer spending will keep companies from initiating new projects and hiring workers. Indeed, Prime Minister Gordon Brown stated that the recovery is “still fragile” and that stimulus efforts should be maintained. BoE governor King recently left the door open for more efforts from the central bank, which should weigh on the sterling. Discuss the topic and your trade ideas in the GBP/USD Forum.
[B]EURUSD[/B] – Euro-zone consumer prices fell by 0.2% in August from a year ago which was the third straight monthly decline. A drop in oil prices and declining household spending has continued to suppress inflation. However, the stabilization of oil prices has started to filter through which was evident by the 0.3% rise in prices over the month. Additionally, restaurants and hotels were able to raise prices, which could be a sign that domestic demand is firming. However, the ECB expects prices to remain subdued for some time and view current interest rates appropriate for economic conditions. Discuss the topic and your trade ideas in the EUR/USD Forum.