Market Volatility

Posted By on June 29, 2013

Trade in today’s dollars the financial crisis intensifies can who the federal Government follow intervening volumes declined considerably in the beginning of the session night view probably estimated great volatility to the dollar will continue to weaken for the martesTodos hours EASTERN (- 4 GMT) 8: 30 am, USD Core CPI m/m 8: 30 am, USD CPI m/m 9: 00 amthe USD TIC Net Long – Term Transactions 10: 00 am, Paulson, the American Treasury Secretary to speak 1: 00 pm, USD NAHB Housing Market Index 2: 15 pm, the statement of the FOMC: 2: 15 pm, interest rates American overview today was a remarkable day in the market; the majority of the shares in Wall Street collapsed, given the prevailing panic by the crisis of Lehman Bros. Bank, and speculation surrounding the AIG insurance giant. The question is will the Fed be involved?. It is noteworthy that the barrel of oil reached the area of $100, and ended the day in the area of $95. Several analysts welcomed this drop in oil, but you would have to see to what extent is a settlement by financial panic. The GREENBACK suffered great volatility during the past 24 hours, and greater volatility will continue, given that negotiations continue behind closed doors, to rescue the financial market.

At the end of the day, the dollar had mixed results, appreciated against the pound and the EURO, but it lost ground against the YEN and the SWISSY. After the panic and the settlements in Asia, the GREENBACK later stabilized, and will trade in narrow ranges during the New York session. Operated volumes were low and major economic data are awaited to be published. The pound recorded Maxima in the zone of the 1.8130 overnight, then falling into the 1.7900 area during the day; It is estimated that the pound will continue with volatility in the short term. The EURO recovered during the Asian session and reached Maxima in the area of the 1.4482, to then fall; It ended the day in the area of the 1.4200 after lows in New York in the area of the 1.4083, since panic spreads.

After speculation that the Fed will cut interest rates tomorrow, he helped keep the dollar. In my opinion, what happened today in the market and the volatility observed, occurs every 25 years. Operators should wisely use this volatility, but if the financial crisis continues, must be cautious. It is advisable to buy EUROS and pounds into low, will the dollar still low especially against the YEN to my understanding.

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