Forex Trading TV Video Blog

The Commerce Department yesterday reported that GDP in the US rose to a 4.9% annual rate, up from last month's figure of 3.9%. As a result, the US dollar rose Thursday against two of its major counterparts, the Euro and the Sterling. The U.S Dollar which has dropped overall by 11% this year, found a way yesterday to rally from $1.4769 per EUR from the $1.4841 it had hit the day before; it's most significant rise since Nov. 12. The US dollar increased to $2.0628 versus the Sterling, from $2.0823, and against the Japanese yen the greenback fell b... ( read more )

As the month of November comes to end, talks of the Federal Reserve cutting interest rates have done nothing but gain steam. The rumors have has so much weight that the Dow Jones and most other Wall Street outlets saw gains yesterday just from the notion that such cuts might eventually come. Yesterday the Fed's second in command, Vice Chairman Donald Kohn noted that ''flexible and pragmatic policy making'' was key in turning around the US economy and that the Fed would "act as needed" in cutting interest rates, if such measures were needed. ... ( read more )

The greenback strengthened all across the board yesterday on the back of news that a major Abu Dhabi investment company bought a significant portion of Citigroup. Citigroup, which is a major financial institution in the U.S, was hit very hard by the recent subprime crisis and credit crunch. So this investment by the Abu Dhabi group sent out a strong signal to the market that the financial sector may be at the beginning of a recovery process and therefore this created positive sentiment for the greenback. The major U.S fianacial institutions hav... ( read more )

U.S. stock prices declined yesterday as investors worried that rising mortgage defaults and credit market losses would have a drag on the economy. Analysts estimate that the biggest slump in real estate since 1991, turmoil in financial markets, and higher energy prices will probably slow the U.S. economy's growth rate to 1.5% during the 4th quarter of this year. There is still a lot of fear because of the fact that this credit contagion is continuing to widen out, further supporting speculations that more Federal Reserve interest rate cuts a... ( read more )

High Liquidity is the name of the game after the Thanksgiving holiday, as traders are back in the market after low trading volumes, and high price movement. Last week we saw the EUR/USD continue to break all-time highs only to reverse sharply on Friday, leaving the EUR/USD floating at a distance of 100 pips below those highs. Risk appetite returned to the Asian markets after better-than-expected Black Friday sales suggested that U.S. consumer spending would remain solid towards the end of the year. ShopperTrak RCT Corp, who tracked sales at ab... ( read more )