OctaFX | OctaFX Forex Broker
Open trading account

Forex Flash: Instability rises - Societe Generale

FXstreet.com (Barcelona) - Sebastien Galy, Senior FX Strategist at Societe Generale notes that it took only some speculation of a German downgrade to send the DAX plunging sharply lower, before it partially recovered.

He feels that the sensitivity of different markets to negative surprises seems to have risen sharply recently, particularly in Europe and the broad EM spectrum. In his eyes it suggests that the period of consolidation is continuing and until now, sharp corrections were met by sharp recoveries as they were in 2006 and 2007 typical of liquidity fuelled rallies. This is the second period of deep instability this year, the last one was end of February (“instability cubed”). He writes, “We are short and wrong in EUR/USD (or GBP/USD) but sticking firmly to the view with some fairly unappealing growth prospects in Europe and the QE theme mutating. EURUSD overshoot its 1.3080 80% quantile making it a natural attractor.”

Forex: NZD/USD remains supported at 0.8450/60

The NZD has been pressured today by the slightly softer than expected CPI in New Zealand, allowing the loss of the 0.8500 handle in the NZD/USD, promptly buoyed by support at 0.8450/60 during the Asian session. The cross remains at the lower band of its daily trading range, back to that support after failing a bouncing movement at 0.8480.
Read more Previous

Forex Flash: Japanese life insurers set to release fiscal year outlooks - BBH

Brown brothers Harriman analysts note that Daido Life, one of the smaller of the Big 9 life insurance firms in Japan that dominate the industry, released its outlook for the fiscal year.
Read more Next
Start livechat