British Pound

Forex: Speculators trim Euro, Yen, Aussie long positions in Currency Futures

Filed in British Pound, currencies, euro, Gold, swiss franc, US Dollar, Yen by on October 18, 2010 0 Comments
Forex: Speculators trim Euro, Yen, Aussie long positions in Currency Futures

By CountingPips.com The latest Commitments of Traders (COT) report, released on Friday by the Chicago Mercantile Exchange, showed that futures speculators slightly pared their bets in favor of the euro and the other major currencies against the US dollar. Non-commercial futures positions, those taken by hedge funds and large speculators,were overall net short the US dollar by $29 billion against the other major currencies, down from a total short position of $30.5 billion on October 5th, according to data published by Reuters . Currency speculators were net long the euro against the U.S. dollar by 41,511 contracts as of October 12th. This is a decline of nearly 7,000 contracts following net long positions of 48,243 contracts on October 5th and breaks a string of five straight weeks of improving positions for the euro. The COT report is published every Friday by the Chicago Mercantile Exchange (CME) and shows futures positions as of the previous Tuesday. It can be a useful tool for traders to gauge investor sentiment and to look for potential changes in the direction of a currency or commodity. Each currency contract is a quote for that currency directly against the U.S. dollar, where as a net short amount of contracts means that more speculators are betting that currency to fall against the dollar and net long position expect that currency to rise versus the dollar. Open interest is the number of open contracts that have not been closed by a transaction or by delivery. The British pound sterling had been the last major currency on the short side against the dollar in the CME futures market but in early October the British currency positions …

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Forex: Speculators are long Euro positions for first time since December

Filed in British Pound, euro, Gold, Gold Bullion prices, swiss franc, US Dollar, Yen by on September 27, 2010 0 Comments
Forex: Speculators are long Euro positions for first time since December

By CountingPips.com The latest Commitments of Traders (COT) report, released on Friday by the Chicago Mercantile Exchange, showed that futures speculators increased their bets for the euro against the dollar for a third consecutive week. Non-commercial futures positions, those taken by hedge funds and large speculators, were net long the euro against the U.S. dollar by 5,097 contracts as of September 21st following net positioning of -9,644 contracts on September 14th. This is the first time contracts have been in positive territory for the euro since early December 2009 when net euro contracts were positive by 22,151. The COT report is published every Friday by the Chicago Mercantile Exchange (CME) and shows futures positions as of the previous Tuesday. It can be a useful tool for traders to gauge investor sentiment and to look for potential changes in the direction of a currency or commodity. Each currency contract is a quote for that currency directly against the U.S. dollar, where as a net short amount of contracts means that more speculators are betting that currency to fall against the dollar and net long position expect that currency to rise versus the dollar. Open interest is the number of open contracts that have not been closed by a transaction or by delivery. The British pound sterling was the only major currency on the short side against the dollar last week in the CME futures market while the euro, Australian dollar, New Zealand dollar, Japanese yen , Canadian dollar, Swiss franc and Mexican peso had a net positive amount of contracts. The British pound sterling short positions edged to -8,989 as of September 21st after being

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British Pound Weakening Against the Swiss Franc

Filed in British Pound, Gold Prices, silver, swiss franc by on September 6, 2010 0 Comments

Hiyo FX peeps! Here’s a weekly chart of the GBPCHF pair. As you can see, the pair has been trading sideways after hitting a low of 1.5118 back in December 29 back in 2008. Just recently, however, the Swiss franc was able to hurdle below the 1.5825 marker against the British pound. Given this price Related posts: Are the Pound Bulls About To Strike Back? – August 16, 2010 Welcome to another week of forex trading! In today’s FX… A Downturn Seen on the Pound – June 17, 2010 The cable or the GBPUSD pair has been staging a… The Swissy on Track for Wave 5 – June 21, 2010 Welcome to another week of forex trading my friends! Today,… Related posts brought to you by Yet Another Related Posts Plugin .

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Euro hits 2-month high versus Dollar, touches 1.2700 as risk rises on IMF, data

Euro hits 2-month high versus Dollar, touches 1.2700 as risk rises on IMF, data

By CountingPips.com The European common currency reached a fresh two-month high versus the US dollar in Forex trading as investors risk optimism has continued on a data-filled day today. The dollar has fallen to other risk currencies such as the Australian dollar, New Zealand dollar and Canadian dollar while the American currency has managed to trade at higher levels versus the British pound, Swiss franc and the Japanese yen. The euro touched the 1.2700 exchange rate for the first time since May 12th today before retreating a bit lower from the highpoint. The European currency continues to rally versus the dollar from the four-year low point reached on June 7 and from a more recent low point of 1.2151 reached on June 29th. Helping to boost the risk optimism in the market today was a report by the IMF that raised their growth projections for 2010. The IMF forecasts that global growth will reach 4.6% in 2010 after a previous estimate that global growth would register 4.2% for the year. Although the IMF projects higher growth, it cautions that the European sovereign debt crisis presented risks to this outlook. Asia will continue to be the driver of growth as the IMF forecasts Asia to rise by over 7% this year while the US is forecasted to grow by 3.3%, Japan by 2.4% and the euro area by 1.0%. Also, the United Kingdom is forecasted to grow at 1.2% in 2010 while Canada is expected to increase by 3.6%. Other economic reports released today included a much more than expected rise in Australian employment for the month of June, according to the Australian Bureau of Statistics. Australia’s economy added approximately 45,000 workers in June following a decline of approximately 23,000 workers in May and topped forecasts expecting a gain of 15,000 jobs. This news had a positive impact and boosted the Australian dollar in early forex trading action. The European Central Bank and the Bank of England had their interest rate announcements today and both held their rates at their current levels as widely expected at 1.00% and 0.50%, respectively. Economic news out of the U.S. today showed that weekly jobless claims

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Soros Says Germany Could Cause Euro Collapse

Filed in British Pound, euro, gld by on June 23, 2010 0 Comments

CNBC | “German policy is a danger for Europe, it could destroy the European project,” said Soros, who earned $1 billion in 1992 by betting against the British pound.

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The Federal Reserve Warns About The Dangers Of The… Federal Reserve

Tyler Durden Zero Hedge Wednesday, June 16, 2010 A not very long time ago, in a galaxy known as the Milky Way, the member of an occult group of sinister individuals warned that should this group ever get to a point where it believed it could fix fiscal problems through printing money, this would present “ a paramount risk to the long-term welfare of the U.S. economy. ” The group is better known as the Federal Reserve and the individual was Dallas Fed president Richard Fisher. The same Richard Fisher, who recently wrote about the FinReg unaddressed concept of how Too Big To Fail will lead to another massive systemic crash, went as far as saying that “ even the perception that the Fed is pursuing a cheap-money strategy to accommodate fiscal burdens ” would be disastrous, and that “the Federal Reserve will never let this happen. It is not an option. Ever. Period. ” Boy, was he wrong. Nonetheless, Fisher’s speech from May 28, 2008 before the Commonwealth Club of California, should be read by all Keynesian fanatics as it is without doubt one of the most lucid presentations of rational thought from the ranks of the Fed. With observations such as that “we know from centuries of evidence in countless economies, from ancient Rome to today’s Zimbabwe, that running the printing press to pay off today’s bills leads to much worse problems later on”, one may only hope that all those who advocate even more rampant spending and irresponsible money printing to “fix” the economy, will finally see the light. Alas, mired in their own stupidity, they won’t. And Fisher’s words, so prescient in 2008, yet so ignored, will suffer the same fate today, and the Fed will continue on its way to singlehandedly destroying this once great country. Key excerpts from Federal Reserve member Richard Fisher’s speech (please forward to your representatives): The even more disturbing dark and dirty secret about deficits—especially when they careen out of control—is that they create political pressure on central bankers to adopt looser monetary policy down the road. I will return to that shortly. First, let me give you the unvarnished facts of our nation’s fiscal predicament… …It is only natural to cast about for a solution—any solution—to avoid the fiscal pain we know is necessary because we succumbed to complacency and put off dealing with this looming fiscal disaster. Throughout history, many nations, when confronted by sizable debts they were unable or unwilling to repay, have seized upon an apparently painless solution to this dilemma: monetization. Just have the monetary authority run cash off the printing presses until the debt is repaid, the story goes, then promise to be responsible from that point on and hope your sins will be forgiven by God and Milton Friedman and everyone else. We know from centuries of…

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FOREX: Euro-Dollar drops to new 4-year low after US Employment report

FOREX: Euro-Dollar drops to new 4-year low after US Employment report

By CountingPips.com The European common currency has traded sharply lower against the U.S. dollar today in the forex market following the release of the U.S. government nonfarm payroll report. The euro-dollar currency pair (EUR/USD) touched under the 1.2000 exchange rate for the first time since late March of 2006 today and has established a fresh four-year low. The EUR/USD had previously touched a low of 1.2110 on June 1st before rallying back to a high of 1.2326 in yesterday’s trading. Today’s trading action saw the pair open the day at 1.2178 and move to a high of 1.2214 when risk appetite turned bearish and propelled the EUR/USD sharply downwards to new lows. Today’s release of the market-moving U.S. nonfarm payrolls report showed that the U.S. economy added 431,000 workers in May, according to the Department of Labor. This increase of employment is usually cause for rejoicing after a deep recession but the overwhelming majority (411,000) of new hires were added to the government payroll due to an increase in census employment. The total jobs number gained failed to meet market forecasts seeking 536,000 new jobs and is seen as a disappointment due to just 41,000 new private-sector employees being added for the month. Also adding to the sour economic mood was news from Europe that an “informal” visit by the IMF to Hungary had taken place to assess the country’s fiscal health in the past few days. Following that was a warning by the new Hungarian government that the country’s finances were in a “grave situation” that was hidden by the previous administration and that the country could fall into a Greece-like crisis. More details are scheduled to be released this weekend by the new government. (More from an FT article) The US stock markets, meanwhile, are feeling the effects of the risk aversion in the markets today with the Dow Jones lower by over a 200 points, the Nasdaq decreasing approximately 45 points and the S&P 500 down by over 20 points at time of writing. Oil has fallen lower by $2.92 to trade at the $71.69 per barrel level while gold has gained by $4.80 to level at $1,213.10 per ounce at time of writing. The U.S. dollar, acting as a safe haven, has been sharply higher in the currency markets today. The American currency has risen versus the euro, British pound, Swiss franc, Canadian dollar, Australian dollar and the New Zealand dollar while falling against the (other major currency safe haven) Japanese yen. EUR/USD 1-Hour Chart – The Euro started the day off trending higher against the US dollar in the forex markets but fell sharply lower as risk aversion set in and a disappointing US jobs report was released. The EUR/USD has fallen to trade below the 1.2000 exchange

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Chubb Corp: Earnings Estimate Scorecard – Analyst Blog

Chubb Corp. ( CB ) reported its first-quarter 2010 results on April 22nd after the close of the market. Operating earnings for the reported quarter were substantially ahead the Zacks Consensus Estimate, benefiting from higher underwriting income, partially offset by high catastrophe loss. Investors were clearly encouraged by the results, sending shares up 2.8% a day after the earnings release. Below we will cover the recent earnings announcement, subsequent analyst estimate revisions and the Zacks Ratings for both the short term and the long term outlook for the stock. Earnings Report Review Beating the estimates considerably is a definite positive for Chubb’s stock price, and this inspires optimism for the future. A quick glance at the top line reveals that net premiums written increased 1% year over year to $2.8 billion. Excluding the effect of currency fluctuation, premiums were down 3%. Premium growth was adversely impacted by currency fluctuation on business written outside the United States due to the strength of the U.S. dollar. Investment income increased 2% year over year to $313 million. The combined ratio deteriorated to 93.6% in the quarter from 88.1% in the prior-year quarter. The increase was primarily attributable to catastrophe losses, which caused a 123 basis-point increase in the ratio. A favorable development of $220 million was recorded during the quarter. Earnings Estimate Revisions – Overview Chubb has experienced upward estimate revisions on the back of a favorable earnings release. This signifies favorable bottom-line results going forward, given management’s disciplined approach towards underwriting, though the top-line growth will remain restricted due to soft property and casualty markets. The earnings estimates are discussed in details below. Agreement of Analysts Given Chubb’s unique positioning in the property and casualty market place, and its solid balance sheet with excess deployable capital that can be used to tap attractive investment opportunities, the analyst community by and large holds a positive outlook on the company. As a result, we see below that 18 analysts have increased their estimates for 2010, while only 2 have lowered their estimates. However, 8 analysts have upwardly revised for 2011, while 4 analysts have downwardly revised. The higher number of upward revisions for FY2010 and FY2011 indicate a likelihood of upward pressure on the performance of the stock in the near term. Magnitude of Estimate Revisions Estimates for FY2010 improved significantly from the operating earnings of $4.99 per share to $5.23 since the earnings announcement. However, estimates moved marginally downwards for FY2011 from earnings of $5.56 per share to $5.54. Earnings Surprise The following table shows that the stock has been quite steady over the last four quarters with respect to earnings surprises. The average during this period is positive 17.2%. Our take We believe that 2010 will continue to be a bit challenging for Chubb due to the lingering effects of the recession, continuing soft property

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The TJX Companies’ Estimates Lowered at Goldman Sachs (TJX)

The TJX Companies’ Estimates Lowered at Goldman Sachs (TJX)

Discount clothing and home goods retailer The TJX Companies, Inc. ( TJX ) saw its earnings estimate lowered through 2012 on Tuesday by analysts at Goldman Sachs. The firm said that TJX is being hurt by the weakening British Pound, as well as the Euro. Goldman maintained its “Buy” rating on the stock, however. The TJX Companies shares were mostly flat in premarket trading Tuesday. The Bottom Line The company has a 1.31% dividend yield, based on last night’s closing stock price of $45.76. The stock has technical support in the $40 price area. If the shares can firm up, we see overhead resistance around the all-time high levels of $48.50. We would remain on the sidelines for now. The TJX Companies, Inc. ( TJX ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Gold Trading at Record Highs in British pound, euro and Swiss franc

This last week had gold reaching its highest trading level against the British pound, euro and Swiss franc, as the potential for a sovereign debt catastrophe in Europe looms over the investment world and people and institutions want a safe place to have their money. It seems the depth of the latest crisis isn’t even comprehended by most, but it boggles the mind when start talking of countries

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