31/ 05/ 2018

Trump could derail the Dollar with Stronger Tariffs against Europe Steel, Aluminum & Vehicles

The euro rallied further on Thursday as Italian parties made last-ditch efforts to form a government and avert elections, going some way towards easing concerns about the impact of a political crisis there & on the Economic arena of ECB resulted with more than expected positive figures of Harmonized Index & Unemployment from Germany boosted the currency further in the right direction retracing Euro against the Bull.

In the geo-political arena, further threats from Trump could derail the Dollar on broad spectrum since Washington Officials have stated further Tariffs will be imposed on EU Steel, Aluminum & Vehicles originating from the Europe Market.

30/ 05/ 2018

Italy's Political Turmoil Causes EUR to Drop to 2018 Lows

The Office for National Statistics has now confirmed that GDP growth in the UK in the first quarter of 2018 was 0.1%. Meanwhile all of the other EU member states, except Romania, grew at least 0.3% during that same period.  Furthermore. Mark Carney said that the UK economy was as much as 2% smaller than forecasts due to Brexit and estimates British households are more than £900 worse off.

The initial rally in the EUR, experienced hours after the coalition government was rejected in Italy, has now completely subsided. Currency traders and investors initially had positive remarks because the coalition government’s pick for the Minister of Economics was a staunch Euro skeptic. However, as is common with the country’s political woes, the ensuing uncertainty caused the EUR to drop to fresh 2018 lows.

29/ 05/ 2018

Political Woes in Italy & Spain Trigger a Weaker Euro across the Board

Euro is affected by two reasons one is the Looming Elections in Italy and Spain sent the Euro/USD to a fresh 2018 low.

Due to lack of Major data from Europe political woes in Europe led the way this Monday, mainly investors globally taking a Risk Aversive procedure of bouncing back to USD and its Treasury Yields.

Also,in Political Arena Trump announced that talks have been resumed with the North Korean Leader to be finally in June next week boosted the Dollar further higher.

The possibility of anticipated elections in Spain and Italy hurt an already weaker Euro, As Spanish PM Mariano Rajoy faces election calls on the back of a corruption scandal involving his party.

In Italy President Paolo Savona triggering an “Institutional Crisis” in the words of Luigi Di Maio from Five Star Movement. The coalition government was put on hold and called for a caretaker government ahead of New Elections.

27/ 05/ 2018

Week Ahead | Trump Assures North Korea back on Summit with complete denuclearization commitment Boosting the Bull against Rivals

The Bank of England governor has said a "disorderly" Brexit could delay rises in interest rates as the Bank would be obliged to act to shore up the economy. Mark Carney made clear what he described as a "sharp Brexit" could mean a reassessment of whether an interest rate rise is imminent. The Pound dropped 0.60% against the Dollar after Carney announced that Brexit has cost households £900, and that Brexit talks could delay rate rises.

This week will be volatile considering the amount of data that is expected to be released. Japans Ministry of Health, Labor and Welfare is expected to release last month’s unemployment figures, which are expected to show a slight decrease as compared to March of 2018. In the United States, a Standard and Poor’s report will be released this week which will serve as an indicator for the health of the US housing market. Generally speaking, a high reading is seen bullish for the USD, and this year’s figures are expected to be 0.2% higher than the previous one. Adding to the USD’s bullish trend, the GDPs figures are due to be released on May 30th; the report indicated a Q1 increase of 0.1%. Finally towards the end of the week, we should expect even more volatility as United States, Japan, Germany, France, United Kingdom, Italy and Canada meet as the G7 in order to discuss global economic policy.