It was another yoyo session for currencies overnight with the EUR trading lower initially following Moody’s double downgrade of Portugal’s debt and a mixed German ZEW survey – economic sentiment softer but current conditions firmer. The single currency eased off to 1.2522 however the rebound was soon forthcoming following a
Source:Risk Takes Off Despite A Moody's Downgrade For Portugal
Risk appetite took center stage yesterday following a well received T-Bill auction in Greece as well as a series of impressive earnings results from giants such as Alcoa Inc and Intel beating analysts’ estimates. Stock markets rallied above 1.5% in the US, risk currencies such as the Euro broke through
Source:Greek T-Bill Issue Spurs Risk Appetite Across The Board!
While more attention is grabbed towards debt woes in the EU countries and financial instability spilling over in the region, investors scrutinize fundamentals to appraise the strength of recovery and thereby the ability of economies to grow amid the planned austerity measures.
U.S. 10-year treasury notes are cheapening up ahead of a $21 billion auction later today as yields rise to the highest since the end of June. With corporate profits starting to emerge for the second quarter looking set to rise by more than one-third compared to a year ago, stocks
