MarineBusiness-World.com
 
 
News Home FishingBoating Photo Gallery Australian Cruising Sail-World Australia
Sail-World.com : Collinson FX Market Commentary: October 27, 2012 - Good news in US
Collinson FX Market Commentary: October 27, 2012 - Good news in US

'Image of the Day Shenzhen, 27/10/12 China Cup 2012 Day 1'    Stefano Gattini/ Studio Borlenghi

Collinson FX market Commentary: October 27, 2012

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

Markets closed the week flat as the political crescendo builds in the US. US GDP (2%) surprised many beating expectations for growth in the third quarter. Rises in Government Spending, Consumption and Housing all added to the good news.

The end of quarter Government spending is the 'use it or lose it' scenario whereby allocated budgets must be spent or lost. Consumer Confidence also rallied rising although below expectations. The EUR traded 1.2930 and the GBP 1.6100 after more romours of Greek failures in terms of the austerity program.

Commodity currencies fared better with Fitch re-affirming Australia 'AAA' status and solid appetite for the interest rate yields. The AUD traded 1.0350 and the KIWI back over 0.8200. The coming week will be the final full week before the Presidential Elections in the US and culminating in the all important Employment data Friday.

A huge week with little likely to move markets in terms of Equities, Commodities or Currencies as the most important poll of all approaches!

Events Clothing in San Francisco, they were the third placed New Zealand boat in the Nespresso series  Christophe Favreau ©   Click Here to view large photo

Collinson FX market Commentary: October 26, 2012

Markets continued to range trade with little of substance in terms of eco-political events to move the dial. In Europe there were no major economic releases and the EUR traded steady at 1.2950 although the GBP surged to 1.6120 after some solid GDP growth.

UK GDP grew 1.0% for the quarter exceeding expectations with the Olympic bounce. In the US, equity markets stalled in the lead up to the Presidential elections although rumours swirled of a Fitch downgrade on the horizon for the worlds largest economy. Pending Home Sales disappointed barely gaining 0.3% after growing expectations for the housing sector. Durable Goods Orders gave some reason for confidence jumping 9.9% and Weekly Jobless Claims falling 23,000.

The KIWI rallied strongly after new Reserve Bank Governor, Wheeler, continued the status quo. Any thoughts of a pro-active Central Banker were dashed with more of the same. Despite Central Banks globally slashing interest rates to zero and recognising the impact this has had on the currency he has decided to maintain the rate differential presumably fearing inflation and a new housing bubble. There can be no significant inflation without growth but he has no intention of even popping the cork on the Genie bottle. He may know something we do not!?!?

The NZD surged to 0.8220 with little prospect of a rate cut thus supporting the currency. The AUD held ground as the RBA ponders a Melbourne Cup/US Election rate cut. The AUD traded 1.0350 as economic circumstances deteriorate and the Government flounders with revenue disease hitting the promised and sacred budget surplus.

This is becoming even less believable if that is possible? The US elections will continue to dominate with a rally on for a Romney vistory and the opposite for more of the same!

Image of the Day

Ran Tan in strife after the start of the 2012 Coastal Classic -  Richard Gladwell_©   Click Here to view large photo

Collinson FX market Commentary: October 25, 2012

Markets remain steady awaiting major economic or political events this side of the Presidential election. European economic data continues to disappoint with the PMI falling to three year lows, level with the Post-GFC Recession.

Greece has announced a moratorium on austerity caveats enabling them to continue to blow-out any and all Bailout targets and still receive funding from the EC. The decision must be based on the premise that anything and all must and will be done to prevent the first shoe to drop!

The sheer desperation is astounding and the costs to the EC undisclosed. In Asia the Chinese PMI contracted for the 12th straight month still operating below 50. The AUD contradicted other risk aversion with a strong move back to 1.0350. This was due to a surprising blow-out in inflation data. The CPI rose 1.4% for the quarter and 2.0% for the year.

This is due, in the main, to the flow on effects of the Governments Carbon Tax. The Carbon Tax effects major Carbon producers but necessarily raises the price of electricity across the board. Electricity and Gas have risen over 15% for the quarter, which is the biggest rise ever recorded! It is the flow through of these cost that are impacting the economy as this is a universally pervasive tax. This continued inflationary pressures have increased the cost of living to a struggling citizenship and terminally affected Manufacturing relying on electricity and gas. Ironically, Government reports an increase in future carbon emissions and with rising global coal exports, rising Global Carbon emissions! A planned hatched in Academic Heaven and endorsed by naive liberal acolytes.

In the US, New Home Sales rose 5.7% although Weekly Mortgage Applications fell 12%. The Feds two day meeting ended with no interest rate change and an endorsement of Operation Twist and QE Infinity. Growth was moderate with record low interest rates to continue to mid-2015. Nothing new from the Fed with rumours flying of the impending resignation of Bernanke whatever the election result.

The EUR continued to trade below 1.3000 although the GBP rallied to 1.6030. EU Debt crises developments and the Presidential elections will dominate markets for the next two weeks although many will watch the RBNZ and their penchant for positive pro-active policy!?

Image of the Day Erazer sailing two handed after the start of the 2012 Coastal Classic -  Richard Gladwell_©   Click Here to view large photo

Collinson FX market Commentary: October 24, 2012

Equity markets plunged overnight with growing fears from Europe and disappointing corporate earnings from the US. In Europe, S&P downgraded some regional Governments in Spain while news that the economy is contracting at a greater pace than expected.

The third quarter GDP contracted at 1.7% after austerity had hit the second quarter by 1.3%! The enormous collapse in growth as a direct result of austerity measures will push panic buttons across Europe. The medicine prescribed has the collateral damage that will impact these nations socially with citizens rioting the hardship. This should serve as a stern warning to the US and the track they have been on.

It should drive voters away from the failed policies of the left with the spend and borrow mentality fueled by corrupted Keynsian economics. The EUR dropped below 1.3000 and the GBP under 1.6000 as confidence collapsed. The Reserve Bank of Canada left rates unchanged as the Fed met for their two day meeting. Expectations are for no further action reliant on QE Infinity!

The AUD fell back to 1.0250 and the KIWI to 0.8115 with risk appetite hemorrhaging with Australian Leading Index failing 0.8%.

The digestion of the Australian Mid-Year Budget update is seen as the 'shuffling of the deck chairs on board the Titanic' to many commentators!

Image of the Day 2012 Coastal Classic - Crusader’s crew gets a wet ride out of the Rangitoto Channel -  Richard Gladwell_©   Click Here to view large photo

Collinson FX market Commentary: October 22, 2012

Markets continued to retreat after Fridays big falls. In Europe, Spanish regional elections have done little to impact the EUR which traded 1.0350 and the GBP 1.6000.

Eurozone Debt to GDP rose to 87.3% which is closing fast upon the magical 100% which has lead to many individual national crises. In the US, markets were lower after further weak Corporate earnings and confidence on the slide. The focus is on the fast approaching Presidential Elections and the final Presidential debate overnight.

In Asia the mood was set with deteriorating Trade data from Japan with Exports declining over 10% and Imports on the rise.

In Australia, the Government has released a mid-year Budget update early to avoid inclusion of declining revenues form an economy impacting by falling global demand. The AUD held 1.0300 after the announcement, although does look vulnerable to the Global instability. The KIWI continues to trade around the 0.8150 levels.

Focus today will be political in Europe and especially the US!


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=103272

11:48 AM Sun 28 Oct 2012GMT


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:

26 Oct 2012  Collinson FX Market Commentary: October 26, 2012 - Olympics up UK GDP
25 Oct 2012  Collinson FX Market Commentary: October 25, 2012 - Markets steady
24 Oct 2012  Collinson FX Market Commentary: October 24, 2012 - Markets dive deeper
23 Oct 2012  Collinson FX Market Commentary: October 22, 2012 - Markets take a bath
18 Oct 2012  Collinson FX Market Commentary: October 18, 2012 - Huge rebound
17 Oct 2012  Collinson FX Market Commentary: October 17, 2012 - Markets rally
16 Oct 2012  Collinson FX Market Commentary: October 16, 2012 - Markets open strong
13 Oct 2012  Collinson FX Market Commentary: October 12, 2012 - Markets & Kiwi flat
11 Oct 2012  Collinson FX Market Commentary: October 11, 2012 - Alcoa moves ahead
10 Oct 2012  Collinson FX Market Commentary: October 10, 2012 - IMF rings bell
MORE STORIES ...




Marine Business News























Fort Lauderdale International Boat Show - 13 things to See and do by Fort Lauderdale International Boat Show,












































4x4 Outdoors Show and Fishing and Boating Expo - Busy opening day
Volvo Ocean Race CEO Knut Frostad talks Time and Money (Part II) *Feature
Summerland 40 LR named Boat of the Year
Ocean Signal’s new rescueMe EPIRB1 impresses at Sydney Int'l Boat Show
More new boats brand Brisbane Boat Show as a spectacular showcase
Collinson FX Market Commentary: August 21 2014 - KIWI drops further
Xiamen Int'l Boat Show 2014 moving to a new home
Garmin’s compact echo dv fishfinders pack a powerful punch
Collinson FX Market Commentary: August 20 2014 - KIWI drops on Data
Yamaha inspires students to succeed
NSW EPA supports Marina Industry Environmental Accreditation
Powerful Yanmar 12AY Diesel Series revealed
Volvo Ocean Race 2014-15 CEO Knut Frostad talks (Part I) *Feature
Collinson FX Market Commentary: August 19 2014 - ANZAC gap widens
Buy a slice of Solar Sailor history *Feature
Swan celebrates sales success *Feature
AIMEX expands to include a commercial marine division
4x4 Outdoors Show and Fishing and Boating Expo on the horizon
Collinson FX Market Commentary: August 16 2014 - Mixed message at end
Stealth i14 out of China
Brisbane Boat Show 2014 - New boat engines set to rev up interest   
Collinson FX Market Commentary: August 15 2014 - AUS consolidation   
National 4x4 Outdoors Show and Fishing and Boating Expo - 4WD heaven   
Yanmar selected for big torque at low revs   
Sydney Boat Show display winners recognised *Feature   
Superyacht Australia sees resurgence for yacht building in Australia   
Collinson FX Market Commentary: August 14 2014 - Aussie confidence up   
China Yachting Conference lines up the speakers   
Design Award METS now open for entries   
Collinson FX Market Commentary: August 13 2014 - Aussie drifts   
Volvo Team Vestas Wind skipper Nico says: 'We can win' - Part II *Feature   
Volvo Ocean Race Team Vestas Wind skipper - One Design is key *Feature   
2014 National 4x4 Outdoors Show: Popularity of caravanning and camping   
2015 Sydney Inte'l Boat Show - Boating Industry commences planning   
Volvo Ocean Race - Danish entry confirmed as Team Vestas Wind   
Collinson FX Market Commentary: August 12 2014 - NZ Credit Card dead   
Pacific Boating membership offers hassle-free boating *Feature   
Marine15 expands trade, networking and B2B opportunities *Feature   
2014 Auckland on the Water Boatshow - Huge prize packs up for grabs   
Fire causes million dollar damage on HMAS Bundaberg   


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