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May 2012
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Archive for the Euro Category

Euro Trades Lower -

The Euro traded at $1.2752 which is the lowest mark since January 18th.  The Euro has fallen in five of the last six trading sessions.  Ten year yields on Italian and Spanish debt rose to 6% in trading.  GDP in France remained flat and the Italian economy contracted .08%.

To read a related Fox Business article, please click here:

http://www.foxbusiness.com/markets/2012/05/15/euro-slides-to-four-month-low/

Jim Sutliff

Elections May Rattle Currency Markets -

Elections in France and Greece may impact the Euro in the near term.  France elected Francois Hollande of the Socialist party by a slim margin over President Nicholas Sarkozy.  Hollande is not expected to support austerity measures.  Hollande is the first Socialist President elected in France in 17 years.  Francois Mitterand was the last Socialist President and he served from 1981-1995.

To read a related Wall Street Journal article, please click here:

http://online.wsj.com/article/BT-CO-20120507-705469.html

Jim Sutliff

Euro Falls -

The Euro fell to almost $1.31 after indications that the economy for the Euro region contracted.  The Australian and Canadien dollars both declined against the U.S. Dollar.  In addition, the Norwegian Krone dropped 1.6 percent to 5.706.

To read a related Bloomberg article, please click here:

http://www.bloomberg.com/news/2012-03-05/euro-remains-lower-against-yen-before-europe-gdp-report-u-s-jobs-data.html

James Sutliff

Gold & Silver Rally -

Gold hit a three month high rising $13.50 and settled at $1,788.40 an ounce.  Silver also rallied to settle at $37.14 an ounce which was an increase of 4.6%.  In addition, copper and platinum  increased with copper rising .8% to $3.91 a pound and platinum gaining 2.1%.

To read a related Wall Street article, please click here:

http://online.wsj.com/article/SB10001424052970204653604577251543849341380.html?mod=WSJ_hp_LEFTTopStories

James Sutliff

Germany Votes For Greek Bailout -

Germany voted to support a second Greek bailout of approximately $174 billion.  The Finland parliament is expected to vote on the Greek bailout this week.  Also, European leaders will discuss the Euro zone bailout fund at their next meeting in Brussels on March 1st and 2nd.

To read a related Bloomberg article, please click here:

http://www.bloomberg.com/news/2012-02-27/merkel-rebuffs-bigger-euro-firewall-as-she-backs-financial-aid-for-greece.html

Jim Sutliff

Greece Agrees To Bailout -

Greek leaders agreed to terms for a second bailout of approximately $172 billion dollars.  The Greek parliament stills need to ratify the agreement as well as major reductions in spending.  European Union finance ministers would than have to provide final approval for the deal.

To read a related Reuters article, please click here:

http://www.reuters.com/article/2012/02/09/us-greece-idUSTRE8120HI20120209

James Sutliff

Euro Trades Lower -

The European debt crisis has forced the Euro lower in trading over the last few months.  Recent weeks have shown a steeper decline as recessionary concerns mounted and the debt crisis remained unresolved.  The Euro fell below $1.27 in Friday trading before climbing back above that mark.  Recently, the Euro showed weakness against the Yen as well as other currencies.

To read a related Wall Street Journal article, please click here:

http://online.wsj.com/article/SB10001424052970203513604577144371114758062.html?mod=WSJ_hp_LEFTWhatsNewsCollection

James Sutliff

Fitch May Downgrade France -

Fitch Ratings indicated that they may downgrade the sovereign debt of seven European nations.  France is one of the European nations facing a downgrade from Fitch.  The six other nations are Belgium, Cyprus, Ireland, Italy, Slovenia, and Spain.

To read a related Bloomberg article, please click here:

http://www.bloomberg.com/news/2011-12-16/euro-advances-as-juncker-signals-eu-to-meet-imf-loan-deadline-yen-falls.html

James Sutliff

Bernanke Meets With Republican Senators -

On Wednesday, Federal Reserve Chairman Ben Bernanke met with Republican Senators to discuss the European Union sovereign debt crisis.  According to GOP Senators, Bernanke indicated that the European debt crisis could significantly impact the American economy.  The Euro fell below $1.30 in afternoon trading.

To read a related CNN Money article, please click here:

http://money.cnn.com/2011/12/14/news/economy/bernanke_europe_senate_gop/index.htm

Jim Sutliff

Euro Trades Lower -

 The Euro fell on news that Moody’s is considering a downgrade of European Union sovereign debt.  The inability to end the debt crisis is one factor in the Moody’s decision.  In currency trading, the Euro fell to $1.3184 which is the lowest mark since October 4th.  Also, Italian bonds declined in trading.

To read a related Bloomberg article, please click here:

http://www.bloomberg.com/news/2011-12-11/euro-weakens-before-german-investor-confidence-data-italy-s-bill-auction.html

James Sutliff

Eurozone Leaders Reach Agreement -

European leaders reached an agreement on centralized fiscal policy.  The agreement is supported by all 17 euro zone countries as well as the 9 countries seeking to join the union.  England did not approve the fiscal plan.  Stock markets reacted positively with the Dow Jones rising 163.44 points.

To read a related Fox Business article, please click here:

http://www.foxbusiness.com/markets/2011/12/09/european-leaders-give-markets-what-wanted/

Jim Sutliff

Asia Markets Fall; Gold Rises -

Stock markets across Asia fell with Japan’s Nikkei dropping 1.6% and Korea’s Kospi Composite falling 1.9%.  New Zealand and Australian markets were also lower in trading.  European debt crisis concerns were the driving force in the markets.  The Euro fell to $1.3345 against the Dollar and gold rose $7.40 to $1,713.20 an ounce.

To read a related Wall Street Journal article, please click here:

http://online.wsj.com/article/SB10001424052970203413304577087082679599936.html?mod=WSJ_hp_LEFTWhatsNewsCollection

James Sutliff

Data Sends Crude Oil Lower -

European and Chinese manufacturing numbers came in weak and that helped to send crude oil lower.  Crude oil settled at slightly higher than $100 dollars a barrel on Thursday.  This is the first time since February 2009 that Chinese manufacturing has contracted.

To read a related Bloomberg article, please click here:

http://www.bloomberg.com/news/2011-12-01/oil-fluctuates-on-u-s-jobless-claims-rally-in-spanish-french-bonds.html

Jim Sutliff

Euro Falls On Debt Yields -

Yields for European sovereign debt continue to drive the Euro lower in trading.  The Euro fell against most major currencies and settled at $1.3525.  In trading against the Yen, the Euro fell to 104 Yen and had the biggest weekly drop since late September.  Cross currency rates improved slightly for the Euro against the New Zealand Kiwi and the South African Rand.

To read a related Bloomberg article, please click here:

http://www.bloomberg.com/news/2011-11-19/euro-loses-most-against-yen-since-september-as-debt-yields-surge-in-crisis.html#

Jim Sutliff

Oil Climbs Over $100 -

Oil climbed over $100 a barrel in early trading on Wednesday for the first time since July 26th.  Oil has risen on positive economic figures such as industrial production and October retail sales.  However, the strength of the Dollar may slow increases in crude oil.

To read a related CNN Money article, please click here:

http://money.cnn.com/2011/11/16/markets/oil_prices/index.htm?iid=HP_LN

James Sutliff