internationallove

"Bank of Japan: no easing, only technical changes"(2011-07-12) Bank of Japan: no easing, only technical changes REUTERS/Issei Kato (JAPAN) The Bank of Japan has made a technical change to its asset purchase and lending program. The total size of the program was maintained at 70 trillion yen ($879 billion). The BOJ expanded its asset-purchase program by 5 trillion yen to 45 trillion yen ($564 billion) cutting the loan facility by the same amount to 25 trillion yen. As a result, the total amount of the asset purchase and lending program remained unchanged at 70 trillion yen. The BOJ pledged to increase its purchases of short-term public debt – previous extensions of the program had been mostly for long-term government bonds. As for the benchmark rate, the central bank left it in the 0-0.1% area. Japanese Finance Minister Jun Azumi called for more support from the central bank for growth and inflation to meet a 1% price goal. Azumi expects BOJ policy effect to emerge gradually. The market weren’t much impressed by the move which is not regarded as monetary easing. USD/JPY has briefly spiked to 79.96 before sliding to the levels below today’s opening around 79.50 yen. Investors bought yen as a refuge ahead of the release of the euro zone’s industrial production later today and important Chinese data tomorrow. The pair remains supported above 200-day MA at 79 yen. Some market players say that Japanese exporters will sell the currency above 80 yen. Chart. Daily USD/JPY Comment here http://www.fbs.com/analytics/2012-07-12/18265-bank-japan-no-easing-only-technical-changes

"Credit Suisse: trading EUR/USD"(2011-07-11) Credit Suisse: trading EUR/USD Analysts at Credit Suisse recommend going short on EUR/USD at current levels with a stop at $1.2340 and an initial target of $1.2160. In their view, the fact that yesterday EUR/USD didn’t manage to overcome the $1.2340 resistance creates potential for a further decline. The next support for the pair lies at $1.2150 and $1.1985. Only a break through $1.2401/$1.2408 will let the pair reach $1.2693. Chart. Daily EUR/USD Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/1970-01-01/18256-credit-suisse-trading-eurusd

"BoJ expected to leave the policy unchanged"(2011-07-11) BoJ expected to leave the policy unchanged On Wednesday the Japanese yen strengthens against the greenback for a fourth consecutive day. The Bank of Japan starts its 2-day meeting today and is widely expected to leave rates unchanged and not announce any new easing measures. It seems that lately the regulator has become slightly more optimistic: the country's economy is headed for a moderate recovery as improvement in domestic demand eases the pain from slowing global growth. According to a Regional Economic Report released July 5 by the BoJ, in Q2 business conditions improved in all nine regions of Japan. Tankan manufacturing and non-manufacturing indices showed improvement in Q2 (-1 and 8 respectively). Some analysts, however, expect the regulator to follow the central banks of Europe, Britain and China with its own monetary measures in a united effort to fight the global slowdown. Moreover, weaker national currency would be beneficial for the Japanese economy. Bank of The BoJ Governor Masaaki Shirakawa said on Tuesday that the bank is ready to undertake all the necessary measures to bring the nation out of its deflationary state. According to him, the BoJ has already accumulated 54 trillion yen of asset purchases, but is aiming for 70 trillion. UBS: We continue to expect the BoJ to add more stimulus on a meeting and by this to weaken the yen. A deterioration of machinery orders and another drop in the current account confirmed the bad sentiment of economy watchers. Moreover, Japan is still struggling to recover after Fukushima. Bank of Japan Governor Masaaki Shirakawa Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-11/18254-boj-expected-leave-policy-unchanged

"Westpac: trading AUD/JPY"(2011-07-11) Westpac: trading AUD/JPY Westpac analysts recommend going short on AUD/JPY at current levels, setting a stop at 82.35 and a target of 78.50. In their view, this week the Aussie will get under pressure because of the negative data releases. Firstly, Australia employment report is to disappoint the investors on Thursday after the unexpectedly strong previous print: economists forecast the number of employed to increase only by 0.3K in June after a 38.9K growth in May. Secondly, China’s GDP is likely to come out below expectations (around 7.3% vs. a 7.9% forecast), what will also influence the Australian currency. Chart. Daily AUD/JPY Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-11/18252-westpac-trading-audjpy

July 11: economy and currencies (2012-07-11) July 11: economy and currencies On Wednesday EUR/USD remains choppy ahead of FOMC meeting minutes: will the release reveal some discussions on QE3 or Fed funds rate? FOMC minutes (18:00 GMT) are probably most important risk event of the day. US will also publish a May trade balance (forecast: 48.5B trade deficit) and hold a 10-year bond auction today. EUR remains weak today even as European finance ministers at a meeting in Brussels worked out a way for euro bailout funds to intervene in bond markets and said the first 30 billion euros of 100 billion euros in rescue loans will start flowing to Spanish banks this month. Spain was given an additional year (until 2014) to meet a 3% budget deficit target. On Wednesday Germany sells 10-year bunds. Yesterday Spanish and Italian 10-year bond yields were below the critical 7% level, giving some relief to the markets. USD/JPY weakens for a fourth consecutive day on expectations the BoJ won’t add stimulus on a next meeting on Thursday. EUR/JPY reached a new one-month low on demand for the yen as a refuge. AUD, NZD and CAD are strong against their US counterpart. Australia consumer sentiment improved by 3.7% in July as households became more optimistic about the economic outlook . Canada releases a trade balance (forecast: 0.5B trade deficit). Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-11/18250-july-11-economy-and-currencies

"Commerzbank: comments on USD/JPY"(2011-07-10) Commerzbank: comments on USD/JPY Analysts at Commerzbank expect USD/JPY to slide to 78.99 (200-day MA) as in an uncertain environment yen gains momentum as a safe haven. The pair is likely to remain above 78.61 (June 15 minimum) in a short term. However, if USD/JPY manages to break below 78.61, a decline towards 77.65 (June minimum) will become possible. Strong resistance for the pair lies at 80.07/10 (July 5 maximum and 38.2% Fibonacci retracement) and 80.61 (June high and a 100-day MA). Chart. Daily USD/JPY Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-10/18249-commerzbank-comments-usdjpy

"Analysts: comments on AUD/USD"(2011-07-10) Analysts: comments on AUD/USD Specialists at Shelter Harbor Capital, an investment advisor, are bearish on Aussie and recommend going short on AUD/USD at $1.0200 with a stop at $1.0330 and a target of $0.9100. In their view, Australian economy becomes highly dependent on mining sector. Meanwhile, China, Australia’s largest trading partner, aims to help its economy move to a more developed, postindustrial stage. As a result, China’s demand for resources is likely to decline. Moreover, Australia’s economic growth is slowing and the RBA is expected to keep cutting rates. This week China is to release a bunch of important economic data (GDP, consumer price inflation, industrial production and retail sales). Where the nation’s economy is heading? BMO Capital analysts point out that China’s GDP growth below expectations (consensus forecast: 7.9%) would raise investors’ concerns and weigh on AUD. Westpac specialists expect China to cut rates further. Analysts at Aspen Trading Group think that the technical picture for AUD/USD will remain positive as long as it stays above parity. Chart. Daily AUD/USD Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-10/18245-analysts-comments-audusd

"Key options expiring today"(2012-07-10) Key options expiring today Market prices tend to move towards the strike price at the time large vanilla options (ordinary put and call options) expire. It happens (all things equal) as each side of the deal seeks to hedge its risk exposure. This action is most noticeable ahead of 10 a.m. New York time when the majority of options expire (2 p.m. GMT). Here are the key options expiring today: EUR/USD: $1.2300, $1.2400, $1.2475; USD/JPY: 80.75, 80.85; GBP/USD: $1.5300, $1.5700; AUD/USD: $1.0000, $1.0175, $1.0200; EUR/GBP: 0.7900, 0.8125; USDS/CHF: 0.9560, 0.9600. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-10/18241-key-options-expiring-today

July 10: economy and currencies (2012-07-10) July 10: economy and currencies Risk aversion dominates the FX market on Tuesday: commodity currencies weaken amid concerns that the European financial authorities may fail to answer the important questions at today’s meeting. The single currency is trading on the downside today remaining close to the minimal level since July 2010 at $1.2255 hit yesterday. In Europe French and Italian May industrial production figures draw the most of attention today as the economists are looking for contraction by 0.9% and 0.3% m/m respectively. The data for the whole euro area will be released on Thursday, July 12. The officials’ comments also weighed on euro. The ECB Mario President Draghi signaled yesterday that the central bank consider another interest-rate cut if necessary. The EU Economic and Monetary Affairs Commissioner Olli Rehn claimed that Spain will have to take additional measures soon to meet budget targets – that’s doesn’t help to ease the market’s worries about the nation’s future. Spanish 10-year yields reached 7.06% on Monday. Yesterday there was a meeting of the Eurogroup (euro zone’s finance ministers). Luxembourg Prime Minister Jean-Claude Juncker said that Spain will get 30 billion euro for its banks by the end of July. Today there’s the gathering of EU27 financial chiefs (ECOFIN). High Spain’s and Italy’s bond yields raise demand for safe havens, especially JPY. AUD/USD is near to a one-week low after a report showed China’s import rose less than expected. Chinese growth slowdown will surely affect Australia’s economy. Australian business confidence index fell to a 10-month low in June amid uncertainty about the euro zone and China. NZD/USD is also moving down: New Zealand business confidence dropped to a lowest since Q2 2011. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-10/18239-july-10-economy-and-currencies

Current update of FBS 999 Demo Contest(2012-07-10)!!! Dear traders! Current update of FBS 999 Demo Contest. The whole month of exciting trading is waiting for our participants and we will follow the competition. >>Current Top 3 Positions<< Account#287774 Position: 1st Country: Ukraine Balance: 142125.49 USD Account#282196 Position: 2nd Country: Indonesia Balance: 99771.06 USD Account#282463 Position: 3rd Country: China Balance: 99192.00 USD Check other contestants ranking Go to the scoreboard: http://www.fbs.com/999-demo-contest/participants?type=cur FBS wishes all the participants good luck! Contest period: 20.06.12 - 20.07.12 Contest details Contestants’ ranking Discuss it at Forum FBS wishes you Finance,Freedom and Success in trading! (Best mini Forex Broker of 2010 - 2011) FBS Fastest Growing Forex Broker Asia 2012 Stay connected with FBS because its all about you!

“Predict NFP”: contest results!!! “Predict NFP”: contest results Monday, July 9, 2012 - 09:00 According to Bureau of Labor Statistics, U.S. Department of Labor data Nonfarm Payrolls indicator for June is 80K. The closest guess was made by Shorena Gulashvili. The contestant gets an exclusive T-shirt from FBS. Congratulations to the winner. Kind regards, FBS FBS wishes you Finance,Freedom and Success in trading! (Best mini Forex Broker of 2010 - 2011) FBS Fastest Growing Forex Broker Asia 2012 Stay connected with FBS because its all about you!

Deposit bonus is back with better conditions! Deposit bonus is back with better conditions! Dear traders! We are glad to announce the launch of 30% bonus on deposits promotion starting on July 9, 2012. Now when you deposit your trading account at FBS you’ll get 30% bonus! Thus you will have more funds for trading and consequently more opportunities to get profit! More deposit, more funds, more profit! See more details here FBS wishes you Finance,Freedom and Success in trading! (Best mini Forex Broker of 2010 - 2011) FBS Fastest Growing Forex Broker Asia 2012 Stay connected with FBS because its all about you!

Monday, July 9: events to watch (2012-07-06) Monday, July 9: events to watch Japan: Current account is to increase to 0.42T in May from 0.29T in April. Core machinery orders, a leading indicator of private capital spending, is forecasted to decline by 2.4% in May compared with a 5.7% growth in April. Economists, however, see a forecasted drop as an exception, and expect machinery orders to remain in a moderate increasing trend, supported by reconstruction-related demand. China: China's annual consumer price inflation in June likely eased to a 29-month low with producer prices falling for the fourth month in a row, giving the monetary authorities more room to stimulate the economy. CPI may increase by 2.4% in June compared with a 3.0% growth in May, while PPI - to fall by 2.0% compared with a 1.4% decline. Europe: there’s a scheduled Eurogroup meeting. Troika officials will conduct the first discussion on the mission’s ongoing inspection to Greece and try to develop an approach for the negotiation of the updated bailout agreement. Another item on the agenda will be Spanish and Cyprus requests for entry into the ESM.  Great Britain: The BoE’s Deputy Governor Paul Tucker will hold a speech where he will no doubt be defending himself from accusations by Bob Diamond that a call to the bank caused the "confusion" that led to the interbank lending rate to be fixed. Tucker hopes to become the next governor at the BoE when Mervyn King quits. Canada: The BoC is to release its quarterly business outlook survey. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-06/18209-monday-july-9-events-watch

"Commerzbank: bearish on GBP/USD"(2011-07-06) Commerzbank: bearish on GBP/USD Commerzbank analysts recommend selling GBP/USD on rallies to $1.5550 and adding at $1.5580. The pair is expected to continue a bearish movement as long as it's trading below $1.5611 and slide to $1.5407 (June 8 minimum). If the pair breaks this level, a further decline to 1.5268 (June 1 minimum) and 1.5233 (2012 minimum) will become possible. Chart. Daily GBP/USD Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-06/18207-commerzbank-bearish-gbpusd

"Waiting for the NFP"(2011-07-06) >>Waiting for the NFP<< Several hours are left before the US NFP release due at 12:30 pm. GMT. Previous: 69K; Consensus: 97K. Even though this is a big improvement, it still isn’t enough to sustain US economic recovery (Remember +200K jobs a month in winter? That was OK). The unemployment rate is expected to remain at 8.2%, staying above 8% for the longest period since 1948. So, if the forecasts are met, we’ll get evidence that US recovery is losing steam. The ISM Manufacturing PMI, one of the leading indicators of overall economic momentum, fell below 50 in June for the first time in almost 3 years, signaling contraction in the industry. The ISM Services PMI slid from 53.7 to 52.1 last month vs. expected decline to 53.1. The number of jobless claims has been also quite high during the recent weeks (374-387K). On the other hand, the ADP employment report provided a good surprise: non-farm private jobs rose by 176K vs. expected growth by 103K. Impact on the greenback If the actual figures are worse than forecasts, the odds of QE3 increase and USD will lose to its riskier counterparts. If actual figures surprise to the upside, the markets which are already prepared for the worst will cheer up, so we’ll be buying USD. What do analysts expect? RBS is among the optimists projecting a 110K gain in US jobs: “In June, the drag from construction (-28K in May) could have lessened noticeably, with the category perhaps showing no change in the period. Manufacturing, where payroll growth softened from about 40K per month in the first quarter to an average of 10K in April and May, could have risen by close to 10K again. We expect little change in retail as well, which could have inched up by 5K.” Rabobank is specking about +130K. Nomura, on the contrary, is a bit pessimistic expecting only a 80K increase. “The unrelenting crisis in Europe and, more recently, uncertainty about US fiscal policy appear to be weighing on business plans for hiring. Though initial jobless claims remain in a pre-recession “normal” range there has been a gradual rise in the 4-week moving average that suggests a softer hiring trend has emerged. To be sure, job growth has slowed markedly since March to a 3-month average of 96K compared with an average 252K in the three months ended February.” Chart from Forex Factory Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-06/18199-waiting-nfp

Monetary easing at all fronts (2012-07-05) Monetary easing at all fronts The central banks have come up to the market’s expectations… and even more. The Bank of England decided to increase the size of its Asset Purchase Program by 50 billion pound to 375 billion. As for the benchmark interest rate, it was left unchanged at 0.50%. The ECB cut its benchmark interest rate to a record low of 0.75%. In addition, the central bank reduced deposit rate from 0.25% to 0%. The People’s Bank of China cut benchmark lending rate by 31 bps to 6% and deposit rate by 25 bps to 3%. We’re waiting for more info and comments. GBP/USD initially soared to the levels above $1.5600, but then slid to the $1.5560 area. Sterling’s supported by yesterday’s minimum at $1.5554. Chart. Daily GBP/USD EUR/USD fell by 70 pips below today’s opening level. Support for the pair is situated at $1.2406 (last week’s minimum). Although the economists were expecting monetary easing in China in the foreseeable future, today’s move was definitely a surprise – good timing on the part of Chinese central bankers. Chart. Daily EUR/USD Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/18195-monetary-easing-all-fronts

Spanish bond auction results (2012-07-05) Spanish bond auction results Spanish government managed to raise 3.001 billion euro in auctions out of the 2.5-3.5 billion euro target amount. Cover ratios were lower. Average yield on 10-year bonds rose to 6.430% from 6.044% during the previous auction, while shorter-term maturities have posted lower yields. France also sold 10-year bonds with yields up from 2.46% to 2.53% and cover ratio down from 2.0 to 1.9. EUR/USD is trading down by about 20 pips from the opening level. More volatile moves are expected later today with the ECB meeting and press conference on the agenda. Photo Reuters Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-05/18191-spanish-bond-auction-results

RBC: technical comments for USD/CAD (2012-07-05) RBC: technical comments for USD/CAD Technical analysts at RBC underline that the greenback failed to overcome resistance at 1.0353 after last week’s EU summit revived the market's risk sentiment making loonie strengthen. The specialists claim that all attention is fixed on 1.0119 (uptrend pivot, 200-day MA). If USD/CAD closes the week below this level, bearish trend will return and the pair will get vulnerable for a slide to 1.0050 (100-day MA) and 0.9955 (May 11 minimum). For the uptrend to continue US currency has to overcome 1.0341/62 (late June maximums) and 1.0425 (June 5, December 14 maximums). Chart. Daily USD/CAD Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/18189-rbc-tec...comments-usdcad

Nomura: bearish on EUR/GBP (2012-07-05) Nomura: bearish on EUR/GBP Analysts at Nomura are bearish on EUR/GBP ahead of the ECB and BoE meetings. They recommend selling the pair at current levels, targeting at 0.7700 and with a stop at 0.8170. According to specialists, both banks are likely to ease monetary policy on Thursday. In their view, the downside risk for GBP is rather limited as the British currency is no longer being sold off on QE announcements. The ECB meeting, on the contrary, is expected to be euro-negative: a larger-than-expected rate cut would be good for the currency at least in a short-term, but it is not likely. Moreover, Mario Draghi on a press-conference is not expected to hint on the new unconventional measures. Chart. Daily EUR/GBP Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-05/18184-nomura-bearish-eurgbp

July 5: economy and currencies (2012-07-05) July 5: economy and currencies AUD/USD fell from a 2-month high as the demand for risky assets is down. Asian stocks dropped amid signs of a global economic slowdown: the MSCI Asia Pacific Index (MXAP) of shares lost 0.5%. Moreover, a report showed today that the Australia’s trade deficit increased to 0.29B in May from 0.03B in April, but came out below forecasts. EUR/USD is crawling in the $1.2525 area, 23.6% Fibonacci retracement from May decline. Italian Prime Minister Mario Monti told yesterday after a joint press conference with German Chancellor Angela Merkel that Italy’s deficit would rise from 1.3% predicted to 2% of GDP. German finance ministry revised German deficit forecast down from 1% to 0.5% “thanks to the favorable overall economic development”. Francois Hollande, the French president, announced tax increases of 7.2 billion euro in order to ease upward pressure on the country’s large debt burden. French government is counting only on 0.3% growth in 2012 compared with previous estimates of 0.7%. USD/JPY rose to the highest level in more than a week before sliding below the day’s opening level as Asian shares declined. Events to watch today: Euro zone: Markets stand still ahead of the important news to come out. German factory orders are expected to increase by 0.1% in May after a 1.9% contraction. Spain and France holds a 10-year bond auction on Thursday, while the ECB is to announce its rate decision. Many analysts forecast the regulator to cut rates to 0.75% today. Yet, risk rally has tempered as traders feared Mario Draghi, president of the ECB, would again resist the pressure to act. Later in the day the ECB press conference will take place. Great Britain: The house price index is to decline by 0.3% in June after a 0.5% growth. The BoE meeting is an important event of the day: will the regulator add stimulus? Markets expect the expansion of the asset purchase program to 375B. The official bank rate is to remain unchanged at 0.50%. US: ADP non-farm employment may improve by 103K in June compared with a 133K change in May. The number of unemployment claims is to increase to 385K, what means that the labor market remains weak. ISM non-manufacturing PMI is expected to contract to 53.1 in June from 53.7. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/18181-july-5-economy-and-currencies

"Key options expiring today"(2012-07-04) Key options expiring today Market prices tend to move towards the strike price at the time large vanilla options (ordinary put and call options) expire. It happens (all things equal) as each side of the deal seeks to hedge its risk exposure. This action is most noticeable ahead of 10 a.m. New York time when the majority of options expire (2 p.m. GMT). Here are the key options expiring today: EUR/USD: $1.2450, $1.2500, $1.2800; USD/JPY: 79.50, 80.00; EUR/GBP: 0.8060; AUD/USD: $1.0000, $1.0100. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-04/18162-key-options-expiring-today

Predict NFP and get a prize from FBS! Dear clients! Take part in “Predict NFP” contest, guess the non-farm payrolls indicator, which will be published at 12:30 GMT 06.07.12, and win an exclusive and stylish T-shirt from FBS! Winner will receive a brand T-shirt from FBS! You may enter your guesses till 8:30 GMT 06.07.12 in the special topic of our group in FBS Facebook page: Predict NFP (April) | Facebook Your guesses are accepted till 8:30 GMT 06.07.12 We wish all the participants Good Luck! FBS wishes you Finance,Freedom and Success in trading! (Best mini Forex Broker of 2010 - 2011) FBS Fastest Growing Forex Broker Asia 2012 Stay connected with FBS because its all about you!

July 4: economy and currencies (2012-07-04) July 4: economy and currencies US markets are closed for the Independence Day holiday, so trading volumes will be rather thin. Asian session was rather quite with shares rising to 7-week maximum on the hopes for more monetary policy stimulus to support the faltering global economy beginning with the ECB on Thursday. The expectations of more easing predominate over the market warming investor’s sentiment. Australian retail sales rose by 0.5% in May (vs. +0.3% expected). Aussie and kiwi gained against their American counterpart. EUR/USD edged down ahead of tomorrow’s Spanish bond auction and the ECB meeting. According to the forecasts, ECB will lower its key interest rate by 25bps to 0.75%. Today’s release of final June services PMI is to confirm that the region’s service sector keeps contracting. Spain is scheduled to sell 3-, 4- and 10-year debt; a 10-year bond yield was at 6.25% yesterday compared with a record maximum of 7.29% reached on June 18. Elsewhere, don’t miss UK services PMI release: the index is still seen above the critical 50 mark, though economists expect a decline from 53.3 in May to 59.2 in June. Financial markets keep watching the development of the scandal about Libor manipulation (British bank Barclays has been accused of manipulating worldwide interest rates and other European and US banks will likely follow the suit). Bob Diamond, Barclays’ former CEO faces grilling in Parliament after resigning yesterday. The whole situation raises the risks of confidence to the whole banking system and its ethics. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-04/18158-july-4-economy-and-currencies

"Key options expiring today"(2012-07-03) Key options expiring today Market prices tend to move towards the strike price at the time large vanilla options (ordinary put and call options) expire. It happens (all things equal) as each side of the deal seeks to hedge its risk exposure. This action is most noticeable ahead of 10 a.m. New York time when the majority of options expire (2 p.m. GMT). Here are the key options expiring today: EUR/USD: $1.2400, $1.2415, $1.2575, $1.2585, $1.2600, $1.2645, 1.2650; USD/JPY: 79.75, 80.00, 81.20; GBP/USD: $1.5600, $1.5700; EUR/GBP: 0.8025, 0.8040; AUD/USD: $1.0000, $1.0120, $1.0150, $1.0200 (large), $1.0250. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/2012-07-03/18148-key-options-expiring-today

July 3: economy and currencies (2012-07-03) July 3: economy and currencies The risk sentiment revived today. US dollar and Japanese yen are weakening versus its peers, while commodity currencies go up. Asian stocks rose for a fifth day in a row. The MSCI Asia Pacific Index (MXAP) had added 0.8% today after gaining 2.7% last week. As expected, the Reserve Bank of Australia decided to stay on hold leaving its benchmark rate at 3.5%. Australian building approvals increased by 27.3% in May (vs. the forecast of only +5.1%). China also cheered investors up: non-manufacturing PMI rose from 55.2 in May to 56.7 in June (3-month maximum). AUD/USD renewed 2-month maximum. Events to watch today: Britain: Construction PMI in June is expected to fall to 53.1 after a 54.4 in May. Analysts expect the net lending to individuals to slide from 1.4B in April to 1.1B pounds in May showing that the banks are less willing to lend money to consumers. US: Factory orders, a leading indicator of production, may turn out to be weak. This, together with poor June ISM manufacturing PMI released yesterday and the coming labor market data on Friday may fuel the speculation of more easing from the Fed. Don’t forget that the market is pricing in a rate cut by the ECB on Thursday – the market seems hopeful for monetary stimulus here and there that curbs demand for safe havens. Have a profitable trading day with FBS! If you have any questions to our analysts, you’re welcome to ask them in comments to this article! Comment here http://www.fbs.com/analytics/18142-july-3-economy-and-currencies