ikonfx

Ikon forex "Gold futures in COMEX were closed low due to decreased hedge buying"

 

Because the economy continued to get improvement, the forex investors decreased their hedge buying in the forex market, therefore, gold futures in COMEX was closed low on Thursday (January 6), and that would be the third trading day for this forex price to be closed low in succession.

 

Gold future contract in COMEX in February was closed low by 1.60 US dollars per ounce to 1372.10 US dollars per ounce, and the slump amount was 0.1 percent. In the previous trading session, gold future forex price had reached the lowest point since December 16 at 1364.00 US dollars per ounce, and it repeatedly reached 1432.50 US dollars per ounce – the historical high point on December 7.

 

According to the latest data of DOL which was released on Thursday that the initial unemployment number at the beginning of the week of January 1 in US was increased by 0.18 billion to 4.09 billion, and the previous expectation was 4.00 billion.

 

Leonard Kaplan, the president of Prospectors said gold forex price might just be at the end of the bearish market, because the economy is getting improved and once the forex rate was increased, the gold forex price would be forced to go down.

 

Edited by Laura in Ikon Group.

Ikon forex "AUD/USD is expected to surge up and might come back to above 1.0205"

 

A senior forex strategist Richard Ross in an oversea institution Auerbach Grayson said on Tuesday, technically speaking, the forex price of AUD/USD is expected to maintain the surging trend of 2010.

 

Ross claimed so far the general trend of the forex market is tent to be preferable and is going up, what it more the weak USD as well as strong performance of commodity prices all supported the forex price of AUD/USD to reach above 1.0200, which was the highest level since 1983.

 

Ross predicted that the forex price of AUD/USD might got back to above 1.0205 again and in the previous night in the New York forex trading session the highest point this forex price had reached was at 1.0211.

 

The forex price of AUD/USD was reported at 1.0155/58 at 07:48 Beijing time.

 

Edited by Laura in Ikon Group.

Ikon forex “EUR/USD rose to 1.3220 early in the forex market for hedge emotions”

 

Early in the Asia forex market on Thursday (December 30), the forex price of EUR/USD rose up to around 1.3220, and in the previous night in the New York trading session, this forex price went back to the support point because of the rising hedge emotions in the market.

 

Forex strategist Mike Jones in BNZ said even though the forex price of EUR/USD went up high, but the cross trading would still be limited. The forex price might get some great pressure from the benefit taking of the forex investors in this trading session.

 

Jones pointed out it is commonly predicted in the forex market that the forex price of EUR/USD would fell down because of the sovereign debt crisis in EU in the year 2011. He thought the support point at bottom for the forex price of EUR/USD would be at 1.3120, and the obstacle point on top would be at 1.3275.

 

The forex price of EUR/USD was reported to be at 1.3223/25 at 07:26 Beijing time.

 

Edited by Laura in Ikon Group.

Ikon Forex “USD/JPY refreshed new low point and would further go down”

 

The forex price USD/JPY refreshed the lowest point for one and half month in the market, and a further slumping down space was open.

 

Early in the Asia forex market on Wednesday (December 29), the forex price of USD/JPY refreshed the lowest point for one and half month in the market at 81.80, and so far it went back to the trading range of 82.30-40.

 

The forex analyst pointed out the forex price had broken the supporting point at 82.30 in the previous night in the forex market, many forex investors chose to stop loss therefore this forex price fell to the lowest point for one and half months at 81.80. So far the further slumping down space for this forex price was opened, according to the daily chart that MACD and the random index was expected to be short, and if this forex price fell below the average line for 55 trading days in the forex market, later in the forex market it might slump to below 81.00.

 

This forex analyst also pointed out because of the forex trading at the end of the year was quite dim; the fluctuation in the forex market might be expanded. Sovereign debt crisis in Euro Zone and the position of the US FED on the quantitative easing policy was not quite sure, and all of these would become the advantage condition for another surging up of JPY in the market. It is predicted that fluctuation range of the forex price of USD/JPY was at 81.50-83.00.

 

The forex price of USD/JPY was at 82.31/34 at 08:12 Beijing time.

 

Edited by Laura in Ikon Group.

According to the latest data released on Tuesday (December 28) of Russian Gold Industrialists’ Union the outcome of the gold production industry from January to November this year went down by 2.2 percent compared with the same time of last year.

 

The data indicated the general outcome of gold production from January to November in Russia was at 185.5 tons, and that of the same time of last year was 189.6 tons.

 

Gold mining production from January to November reduced by 1.4 percent to 161.9 tons, compared with the same time of last year.

 

Edited by Laura in Ikon Group.

Ikon forex “After a sharp slump for non-USD currencies in last Friday, weak differentiation was quite evident in the previous trading session in the forex market. And the forex price of EUR, GBP both continued their slump trend of last week, even though the forex price failed to get weak sharply, but the atmosphere in the market was still tend to be short. And partial differentiation also occurred for the commercial currencies, the performance of AUD was quite strong but as for CAD it was weak and it slumped sharply. The forex price of USD/JPY was maintained small fluctuation in the forex market.

 

Forex news from Ikon Group

 

Edited by Laura

Some economists see in the November consumer price data something the Federal Reserve wants: higher underlying inflation.

 

On Wednesday, the government reported that as part of its consumer price index for last month, core prices, which are stripped of food and energy factors, rose by 0.1%, matching the gain seen in the overall index. Central bankers watch core price measures most closely because they believe they mirror true inflation patterns best.

 

The core CPI increase was the first in three months. For some economists, the change in the direction might be the start of something. If they are right, the Fed may be able to breathe easier, as much of its current, controversial policy of bond buying is aimed at preventing very low inflation levels from tipping over into outright deflation.

 

Those who see sparks of higher prices made their case on several different fronts. UBS' economists noted that the one-year gain in core prices moved up to 0.8% in November, from a 0.6% increase in October. 'We expect a further gradual acceleration in the year-over-year rate of increase next year, to 1.4%' by the fourth quarter of 2011.

CHINA SECURITIES reported that Zhou Xiaochuan, governor of the People's Bank of China, stated that China can use foreign currency reserve to attract short term speculative inflows into China. Financial Times sponsored by China's central bank published a commentator's article Thursday that if RMB exchange rate is fluctuating widely, it will cause a notable impact on China’s economic and financial stability. Therefore, it is of great significance to keep RMB exchange rate basically stable at a appropriate and balanced level. CHINA SECURITIES reported that China’s primary task of monetary policy for 2011 is to maintain steady growth, and to use more quantitative-based tools to control liquidity growth, meanwhile be wary of increase in interest rate and RMB appreciation. The Melbourne Institute (MI) Survey of Consumer Inflationary Expectations for December shows the median expected inflation rate decreased to 2.8 per cent in December, from 3.1 per cent in November. Spot gold is USD1381.80 Per Ounce, increased USD2.40 from the close in New York market. January crude oil futures fell 15 cents on the New York Mercantile Exchange, to USD88.47 per barrel.

Asian stock markets were mixed. Japan’s Nikkei was flat，Australia’s S&P/ASX 200 rose 0.3%，Hong Kong’s Hang Seng index fell 0.4%, South Korea's Kospi Composite fell 0.4%, Taiwan's Taiex rose 0.3%, India's Sensex climbed 0.2%, China’s Shanghai Composite Index fell 0.1%, Singapore's Straits Times Index rose 0.2%, Indonesia shares fell 2.3%, Philippine shares fell 1.2%, shares in Thailand fell 0.6%, New Zealand's NZX-50 fell 0.1%, Malaysia's Kuala Lumpur Composite Index fell 0.8%. In foreign exchange markets, the U.S. dollars has entered into a consolidation phase during Asian trading hours after the recent strong surge, while euro has entered into a rehabilitation after the strong slump yesterday. Euro dropped dramatically after Moody's Investors Service yesterday warned that it could lower Spain's top AAA rating by one "or at most two, notches" at the end of the three-month review period. The latest quote of EUR/USD is 1.3223, Wednesday closed at 1.3210 in New York market; EUR/YEN is 111.39, yesterday was 111.35; USD/YEN is 84.22, yesterday was 84.23.

Germany has enough reason to feel dissatisfied with U.S. policy. Its economy was considered death 10 years ago.

At that time, the German economy can not do without the high prices of commodities. When East Asia, China, Korea and other countries also produce similar products with it, few believe that Germany have a chance. But the Germans did not give up.

The Germans substantially reduce the cost. To the French surprise, they decline the costing of the wine production. In addition, the innovative changes that they make their products depend on intellectual property rights even more, not commodities.

With the low cost and price advantage, the German harvest an new export boom. However. But this time American want to get the question into the exchange rate. Germany, United States are facing a lot of the problems that Germany faced before, but it don’t want to renew, while they want to find a fast track by the way of currency depreciation!