MarineBusiness-World.com
 
 
News Home FishingBoating Photo Gallery Australian Cruising Sail-World Australia
Sail-World.com : Collinson FX Market Commentary: August 22 2014 - KIWI fight back
Collinson FX Market Commentary: August 22 2014 - KIWI fight back

'Optimist-Collinson 027 - 2014 Toyota Optimist Nationals, Manly'    © Richard Gladwell    Click Here to view large photo

Collinson FX market Commentary: August 2, 2014

Click here to find out how to get CollinsonFX's free iPhone app

Equities continued to rally towards new record levels in the US with high expectations of Central Bank support from a dovish Fed. Central Bankers met in Jackson Hole, with Yellen and Draghi expected to reinforce an extended period of low interest rates to support employment while inflation remains benign.

Geo-Political issues appear to be within boundaries and economic data is slowly improving in the USA. EU PMI data was weak, as expected, with the single market on life support from the ECB desperate to overwhelm fundamentals with more liquidity. The EUR traded 1.3280 but further Central Bank intervention will do little to support the currency.

The GBP also felt the effects, falling below 1.6600, after soft Retail Sales. Existing Housing in the US rose 2.4%, in line with recent data, while the Leading Index also found legs with the Philly Fed survey revealing improved manufacturing.

The AUD trades around the 0.9300, after dipping during domestic trade, a direct result of disappointing Chinese Manufacturing data. The KIWI fights back towards 0.8400, supported by attractive interest rates, despite the deteriorating economy due to RBNZ monetary policy. NZ Consumer Confidence contracted and Credit Card spending fell, in line with recent economic trends, mystifying Wheeler.

Optimist-Collinson 024 - 2014 Toyota Optimist Nationals, Manly -  © Richard Gladwell   Click Here to view large photo

Collinson FX market Commentary: August 21, 2014

The release of the Fed minutes overnight hit equities and currencies overnight. Equities balked at record levels, as the Fed looks for an exit strategy to QE Infinity 'sooner than currently anticipated', while the Dollar found heart. The end of QE could signal a bull-run in the mighty Dollar after an extended assault by the Fed.

The EUR crashed below 1.3300 while the GBP looks to test 1.6600 on the downside. Yellen and Draghi both address Jackson Hole this week which may provide more detail to Central Bank strategies. The rise in the reserve, finally pushed the AUD below 0.9300 and domestic markets will look at Consumer Confidence numbers today, without much enthusiasm.

The KIWI continued to reflect recent weak economic data and added pressure from the Dollar has pushed the NZD back to 0.8375. Central Bank activity remains the overarching driver of market direction with shocks from the Geo-Political crises evolving globally.

Optimist-Collinson 025 - 2014 Toyota Optimist Nationals, Manly -  © Richard Gladwell   Click Here to view large photo

Collinson FX market Commentary: August 20, 2014
The Bull market appears to have returned to US equities, which is now eliminating the correction that occurred earlier in the year. Expectations were for a 10% correction which is considered healthy and a pre-requisite for a continued Bull-market, but fell well short. This did not occur because of Central Bank expansionary monetary policies.

Corporate earnings have been relatively strong, but economic news has been weak, thus allowing monetary policy to expand beyond previous conceptions. The avalanche of money has been a free kick to bankers and forced investors into equities with little to attract in the bond market. US Housing Starts surged by 15.7% and Building Permits rose 8.1%, in what has been a volatile Housing sector and generally disappointing. This gave impetus to the US markets and pushed the Dollar north.

The EUR is now testing 1.3300 on the downside while the GBP was hammered back to the low 1.67's. RBA Minutes released yesterday confirmed uncertainty globally and domestically, thus allowing the Bank to leave rates low and unchanged for an extended period. The AUD consolidated around 0.9300 although the NZD took a hit after economic data confirmed a contraction in the local economy. GDP growth forecasts were back to 3.8% from 4.0%, although the fiscal surplus remained intact.

The NZD fell to the low .8400’s and is suffering the direct impact of the RBNZ higher interest rate strategy. Interest rate differentials will continue to counter economic fundamentals contradicting Wheeler and his efforts to combat the Housing bubble.

Optimist-Collinson 022 - 2014 Toyota Optimist Nationals, Manly -  © Richard Gladwell   Click Here to view large photo

Collinson FX market Commentary: August 19, 2014

US Equity markets surged, after gains the previous week, reflected growing confidence in the global Geo-Political situation. Russian-Ukrainian talks began over the weekend, in a search for a solution, while aid convoys still wait. The ceasefire in Gaza is holding and this makes for a relatively quiet period thus boosting market confidence.

The shock of a contraction in German growth has led to expectations that the ECB will further boost stimulus thus supporting equities but not assisting the maligned single currency. The EUR dipped to 1.3350, while the GBP rallied to 1.6730, reflecting currency independence. Jackson Hole commences this week, in Wyoming, in a gathering of Bankers which has led to Central Bank policy changes in the past. It is worth monitoring with important appearances from ECB President Draghi and Fed Chairman Yellen.

House Prices in the US rallied, contradicting recent data, further adding momentum to markets. The AUD consolidated above 0.9300, with interest focused around the release of the RBA minutes that may reveal some insight into the Central Bank strategy. The KIWI is trading around 0.8470 and has an inflation report from the RBNZ to consume, which may influence monetary policy, ergo the NZD.

For more on Collinson FX and market information see:
www.collinsonfx.com and www.collinsonwealthmanagement.com

Countries: | NZ: 0800 338 838 | AU: 1800 143 415 | NY: 1888 6257 833 | UK: 0800 0285 834 |


Disclaimer: The details expressed in this website and accompanying documents or transmissions are for information purposes only and are not intended as a solicitation for funds or a recommendation to trade. Collinson Forex Ltd accepts no liability whatsoever for any loss or damages suffered through any act or omission taken as a result of reading or interpreting any of the information contained or related to this site.


by Collinson FX


  

Click on the FB Like link to post this story to your FB wall

http://www.marinebusiness-world.com/index.cfm?nid=125866

12:53 PM Fri 22 Aug 2014GMT


Click here for printer friendly version
Click here to send us feedback or comments about this story.

Click for further information on
2011 Collinson & Co

Related News Stories:

21 Aug 2014  Collinson FX Market Commentary: August 21 2014 - KIWI drops further
21 Aug 2014  Collinson FX Market Commentary: August 20 2014 - KIWI drops on Data
19 Aug 2014  Collinson FX Market Commentary: August 19 2014 - ANZAC gap widens
17 Aug 2014  Collinson FX Market Commentary: August 16 2014 - Mixed message at end
16 Aug 2014  Collinson FX Market Commentary: August 15 2014 - AUS consolidation
15 Aug 2014  Collinson FX Market Commentary: August 14 2014 - Aussie confidence up
13 Aug 2014  Collinson FX Market Commentary: August 13 2014 - Aussie drifts
13 Aug 2014  Collinson FX Market Commentary: August 12 2014 - NZ Credit Card dead
10 Aug 2014  Collinson FX Market Commentary: August 9 2014 - RBA confirms low rates
09 Aug 2014  Collinson FX Market Commentary: August 8 2014 - Oz jobless jumps
MORE STORIES ...




Marine Business News





















































Great Barrier Reef plan released for comment by Queensland Minister for Environment,














Thai drama with Phuket yacht clampdown
Brisbane Boat Show begins *Feature
PSP Southampton Boat Show - What’s the whisper about Whisper?
PSP Southampton Boat Show - Opening day images
Collinson FX Market Commentary: September 12, 2014 - NZD loses ground
P&O and Princess Cruise Ships to continue operating into Abell Point
Sailing Rallies launch two new events at PSP Southampton Boat Show
Abbott Government delivers on marine conservation promise
Garmin ClearVü™ with CHIRP sonar-chartplotter series
Multihull Central: Record sales, Outremer blog, Regattas and much more
Collinson FX Market Commentary: September 11, 2014 - Dollar rallies
Victorian Marina Industry hit with above average taxes and charges
4th Multihull Solutions Whitsunday Rendezvous an outstanding success
Lowrance signs exclusive partnership with Skeeter Boats
Get your entry in to win a Suzuki Powered Rigiflex Safety Boat
Collinson FX Market Commentary: September 10, 2014 - Apple inspires
Stefan Boating World launches new models at Brisbane Boat Show
Record numbers expected at 2014 Ocean Marina Pattaya Boat Show
British Sailing Team join forces with Zhik for new clothing range
Command Thrust outboards with Counter-Rotation find eager market
Collinson FX Market Commentary: September 9, 2014 - UK Breakup   
Record sales driven by new interest in catamarans   
Southport Yacht Club celebrates opening of 68th season *Feature   
Brisbane Boat Show starts Friday - biggest in 10 years! *Feature   
Marine Auctions adds new recruits *Feature   
Ministerial advisory group launched by united marine industry sector   
2014 Auckland on Water Boat Show: Coming up at the end of September   
Australian research sheds light on ocean garbage gyres *Feature   
Sevenstar Yacht Transport names Kris Caren West Coast Representative   
New Masts for an historic Australian boat - the Young Endeavour   
Round the World racer joins Southern Pacific Inflatables   
Dinghy foiling takes off around the world   
2014 Gold Coast Int'l Marine Expo - Quintrex factory opens its doors   
New exhibition explores role of Royal Australian Navy in WWI   
18 anti-piracy weapons for ships to fight pirates   
Hamilton Island Audi Race Week 2015 - Accommodation options   
Sydney Sailboat Expo 2015 site confirmed   
Skysol Frame Large: A new shading solution for sunroofs   
Collinson FX Market Commentary: September 6, 2014 - Russian control   
Collinson FX Market Commentary: September 5, 2014 - Nervous Election   


For this week's complete news stories select    Last 7 Days
   Search All News
For last month's complete news stories select    Last 30 Days
   Archive News





Sail-World.com  


















Switch Default Region to:

Social Media

Asia

Australia

Canada

Europe

New Zealand

United Kingdom


http://www.sail-world.com/event_images/image/Twitter_logo_small.png http://www.sail-world.com/event_images/image/FaceBook-icon.png  http://www.sail-world.com/event_images/image/RSS-Icon.png

United States

Cruising Northern

Cruising Southern

MarineBusiness World

PowerBoat World

FishingBoating World

 

Contact

Commercial

News

Search

Contact Us

Advertisers Information

Submit news/events

Search Stories/Text

Feedback

Advertisers Directory

Newsletter Archive

Photo Gallery

 

Banner Advertising Details

Newsletter Subscribe

Video Gallery

Policies

 

 

 

Privacy Policy

 

 


Cookie Policy

 

 



This site and its contents are © Copyright TetraMedia and/or the original author, photographer etc. All Rights Reserved.  Photographs are copyright by law.  If you wish to use or buy a photograph contact the photographer directly.
XLXL NEW MBW
LocalAds   DE  ES  FR  IT