08/11/2011
08/11/2011
08:00 GMT
EUR/USD Daily Chart
Current price: 1.3748
“This [formation of unity government] is the best possible
EUR outcome”
- Wolfango Piccoli, analyst at Eurasia Group
Impact
Greek leaders reach a deal on formation of unity gov-
High
ernment
Greek leaders agreed to form a unity government with Lucas Pa-
pademos, a former deputy head of the European Central Bank, as a
possible prime minister to ensure outside financing and prevent a
breakdown of the nation’s economy.
“These are 'baby steps' that are good on the surface, but cannot
lead to a solution that avoids a default," said Bob Andres, chief in-
vestment officer at Merion Wealth Partners LLC. "I don't think it will
have a material impact on the final solution.”
“This is the best possible outcome,” said Wolfango Piccoli, analyst at 1 month 3 months 12 months
Eurasia Group. “However, the coalition government is likely to offer
only a temporary relief as the political leaders will soon get into elec- Trends*
tion mode.”
Min 1.32 1.32 1.25
Max 1.48 1.50 1.50
Mean 1.4156 1.4080 1.3811
St. deviation 0.0298 0.0519 0.0876
* the data is based on 35 international banks forecasts
08/11/2011
08:00 GMT
USD/JPY Daily Chart
Current price: 78.02
“The Federal Reserve should try to reduce the stubbornly
USD high U.S. unemployment rate”
- Eric Rosengren, President of the Federal Reserve Bank of Boston
Impact
Rosengren: Fed should act to decrease unemployment
High
rate
President of the Federal Reserve Bank of Boston, Eric Rosengren,
said the central bank should take action to decrease “stubbornly, and
unacceptably, high” unemployment rate, which remains unchanged
near 9 percent since April 2009.
“Given the very weak labour market conditions and the low ex-
pected inflation rate, the Federal Reserve should in my view contin-
ue to take action to aggressively try to reduce the stubbornly high
U.S. unemployment rate,” Rosengren said on Monday. He expects
inflation to decrease below 2 percent “over the next several years.”
1 month 3 months 12 months
“The Federal Reserve has taken unprecedented actions to improve
the growth rate in the economy,” Rosengren said. “But economic Trends*
‘headwinds’ -- stemming from the previous financial crisis and con-
Min 75 77 80
cerns about possible future financial shocks -- have meant that de- Max 85 90 91.5
spite Federal Reserve actions, economic growth has been lethargic Mean 77.72 78.95 84.35
and job growth has been too slow to make significant inroads into St. deviation 1.5449 3.0990 4.3802
reducing the unemployment rate.” * the data is based on 35 international banks forecasts
08/11/2011
08:00 GMT
GBP/USD Daily Chart
Current price: 1.6040
“The housing market has proved highly resilient in recent
GBP months”
- Martin Ellis, an economist at Halifax
Impact
U.K. house prices advanced 1.2% in October High
U.K. house prices increased for the first month in three to an aver-
age of 163,311 pounds, said the Halifax Bank of Scotland on Mon-
day. Prices rose 1.2 percent in October, compared to September,
when they declined 0.3 percent.
“The housing market has proved highly resilient in recent months
despite the weak economic recovery and the deterioration in the
outlook for both the U.K. and global economies,” said Martin Ellis, an
economist at Halifax. “Both prices and activity levels are expected to
remain close to current levels over the coming few months.”
“Overall, housing-market conditions have been broadly unchanged 1 month 3 months 12 months
since the end of 2010,” Halifax said. The number of purchases has
been “largely static over this period.” Trends*
Min 1.57 1.50 1.42
Max 1.65 1.68 1.76
Mean 1.6203 1.6057 1.6037
St. deviation 0.0224 0.0457 0.0957
* the data is based on 35 international banks forecasts
08/11/2011
08:00 GMT
USD/CHF Daily Chart
Current price: 0.9030
“We believe the market’s strong bounce in October will
CHF prove to be more of a trick than a treat”
- Team of strategists at Morgan Stanley
Impact
Swiss stocks declined for a third consecutive day on
Medium
Monday
Swiss stocks declined on Monday amid concerns Italy is next to
suffer from the debt crisis as the country’s yields rose to record
highs. The Swiss blue-chip index SMI, a measure of the largest and
most actively traded companies, declined 0.25%, or 13.87 points, to
5,645.96. The broader Swiss Performance Index slid 0.20%, or 10.31
points, to 5,143.34.
“To use seasonal parlance, we believe the market’s strong bounce in
October will prove to be more of a trick than a treat,” said a team of
strategists at Morgan Stanley on Monday.
1 month 3 months 12 months
Centre for European Economic Research (ZEW) is to announce its
economic expectations index next Thursday. Trends*
Min 0.74 0.80 0.77
Max 0.95 0.98 1.07
Mean 0.7972 0.8192 0.8923
St. deviation 0.0285 0.0383 0.0767
* the data is based on 35 international banks forecasts
08/11/2011
08:00 GMT
EUR/JPY Daily Chart
Current price: 107.27
“News out of Italy and Europe’s situation are weighing on
JPY stocks”
- Soichiro Monji, chief strategist at Daiwa SB Investments Ltd.
Impact
Japanese stocks extended losses on Monday Medium
Japanese stocks declined on Monday amid uncertainty over the new
government in Greece and rising yields in Italy. The Nikkei 225 lost
0.39%, or 34.31 points, to 8,767.09, while the broader Topix de-
creased 0.21%, or 1.57 points, to 750.45.
“There’s going to be some uncertainty of what the direction of the
unity government is,” said Tim Schroeders, fund manager at Pengana
Capital Ltd. in Melbourne. “It’s an opportunity to sit back and wait
for clarity in terms of how governments and investors are going to
approach the European situation.”
“Opposition is mounting in Italy against Prime Minister Berlusconi, 1 month 3 months 12 months
which is feeding concern that the nation can’t make much progress
on rebuilding its finances,” said Soichiro Monji, chief strategist at To- Trends*
kyo-based Daiwa SB Investments Ltd. “News out of Italy
Min 109 107 106
and Europe’s situation are weighing on stocks as well as bad earn- Max 120 128 132
ings.” Mean 110.30 114.74 116.13
St. deviation 2.8063 4.7848 6.2300
* the data is based on 35 international banks forecasts
08/11/2011
EXPLANATIONS 08:00 GMT
Chart
SMA (55) – Simple Moving Average of 55 periods;
SMA (200) – Simple Moving Average of 200 periods.
Max – the highest projection set by the industry sentiment
Mean – the average price based on the projections
of the industry sentiment
Min – the lowest projection set by the industry sentiment
Price projections
Min – the lowest forecast among 35 international banks;
Max – the highest forecast among 35 international banks;
Mean – the average price based on the projections made by 35 international banks;
St. Deviation – the standard deviation based on the forecasts made by 35 international banks.
Table terms
Time – the exact time of the economic data release;
Impact – the expected market impact caused by the economic events;
Actual – the latest data officially announced by the relevant authority;
Forecast – the consensus of the predictions made by polled economists and analysts;
Previous – the previous actual data released.
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