OANDA Forex Blog

To Bail out or not to bail out, that is the question as GM, Ford and Chrysler wait

Alfonso Esparza — Wed, 19 Nov 2008 11:40:35 +0000

While the majority of investors think it’s a bad idea to bail out the Auto sector, they are afraid that not bailing it out could be a costly mistake for the economy. To make matters worse both political parties have dug in their heels on the issue eliminating the possibility of a swift agreement on [...]

NAFTA Revisited May Now Be NAFTA Delayed

Scott Boyd — Tue, 18 Nov 2008 21:29:46 +0000

As the battle for the Democratic nomination between Hillary Clinton and Barack Obama intensified over the past eighteen months, both would-be candidates raised the renegotiation of the North American Free Trade Agreement (NAFTA) as essentially a fait accompli. “We should use the hammer of a potential opt-out as leverage to ensure that we actually get [...]

Forex News and Rumors - Afternoon Update

Scott Boyd — Tue, 18 Nov 2008 20:03:05 +0000

Dollar Gains on Euro The dollar gained 0.4 percent on the euro in mid-day trading today as stocks in the European markets continued to fall. More Crude Falls to 22-Month Low US forecasts are expected to show that US oil supplies have increased climbing to over one million barrels due largely to weakened demand for gasoline. Crude oil [...]

USD recovers as Auto bailout flounders amid Investor Risk Aversion

Alfonso Esparza — Tue, 18 Nov 2008 11:28:01 +0000

Citigroup announced further job cuts, which would bring America’s second largest bank to reduce its workforce by almost a quarter (75,000 lost jobs). The Auto Industry bailout is still strongly debated and unlikely to pass before the current congress, but the coming year could change the outlook for US automakers. Pakistan has received IMF funding as [...]

Forex News and Rumors

Scott Boyd — Tue, 18 Nov 2008 10:31:42 +0000

US Wholesale Prices Fall 2.8% US wholesale prices - as measured by the Producer Price Index - fell by 2.8 percent setting a record for a single-month drop since the statistics were first tracked more than sixty years ago. More UK Inflation Drops As the British economy contracts, inflation continues to fall with October core inflation (adjusted to [...]

Forex News and Rumors - Afternoon Update

Scott Boyd — Mon, 17 Nov 2008 20:08:01 +0000

Pound Gains on the Dollar After a string of losses against the dollar, the pound gained just over 2 percent to $1.5035 in mid-day trading in New York. More Russian Ruble Continues to Lose Value With the price of crude oil still trending downwards and little evidence of a reversal in sight, the ruble continues to weaken. More US [...]

G20 meeting ends without any concrete answers as Japan enters recession.

Alfonso Esparza — Mon, 17 Nov 2008 11:29:09 +0000

Risk aversion comes to the forefront again and more than $1 trillion dollars is expected to exit emerging markets and has strengthened the USD as the American currency is seen as a safe haven from the current economic instability. This has caused an appreciation of the currency against emerging markets, but a decline against most [...]

Forex News and Rumors

Scott Boyd — Mon, 17 Nov 2008 10:29:49 +0000

Dollar Down in Anticipation of Disappointing Manufacturing Results Manufacturing data due this morning is expected to show a dramatic drop in US manufacturing and this is dragging the dollar down against the yen and the euro. More Brazilian Real Falls on Investment Concerns Concerns that the ongoing global financial crisis will decrease investment in South America’s largest economy [...]

US Retail sales drop in the biggest monthly decline since 1992.

Alfonso Esparza — Fri, 14 Nov 2008 20:25:51 +0000

Two weeks before the biggest shopping season in the US retailers are hurting after Retail Sales dropped by 2.8% in October. Last month sales decreased by 1.3%. It is no coincidence that retailers such as Circuit City declared bankruptcy after consumers stopped visiting their stores because of the dire economic climate. The Auto sector continues [...]

Forex News and Rumors - Afternoon Update

Scott Boyd — Fri, 14 Nov 2008 19:59:48 +0000

US Retail Sales Fall 2.8% US Retail Sales fell by a record 2.8 percent for the month of October beating the previous record of 2.65 percent set in November, 2001. More US Treasury to Invest in 20 More Banks The US Treasury announced it will invest in twenty more banks as part of its $700 billion rescue plan. [...]