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Forex · News · Forex Forecasts

NEWS / Forex Forecasts

Market’s daily review

11:47 02/13/2006

Friday tenders were ambiguous. So, after the issue of the long-awaited report on the US trade balance, shown record deficit in 2005, the American currency dipped sharply against the basic currencies.

However the movement was short-term, and very soon the dollar renewed its growth.

 

As the US Department of Commerce informed foreign commerce deficit was up 1.5 % in December and made 65,68 billion dollars.

Deficit extended more than predicted. Analysts expected that deficiency made 64,6 billion dollars.

It happened because of hike of consumer goods import and falling of planes sales.

 

The US foreign commerce deficit reached the record sum of 725,76 billion dollars for the whole 2005, that is 17,5 % more in comparison with the indicator of 2004 when deficit made 617,58 billion dollars.

 

According to the US Department of Commerce the total volume of the US import was up 1,9 % in December and made 177,19 billion dollars.

 

The inflation rate in Germany, the largest country of Europe, remained constant in January against the last month.

As the office of statistics informed consumer prices were up 2.1 % y\y. On a monthly basis the price were down 0.5 %. The indicators were in line with preliminary estimate of January, 25th.

 

The wholesale price index in Germany for January made +0.6 % for a month, +2.9 % for a year against the previous value of 0.0 % for a month, +2.4 % for a year.

 

Economic rates of growth of France for the fourth quarter slowed down more seriously than the forecasts as consumers cut down expenses, and the companies reduced investments.

As Insee informed the gross domestic product was up 0.2 % against the third quarter when it} was up 0.7 %. Economists forecast growth on 0.4 %.

In 2005 the economy was up 1.4 %, that is below the most minimal state estimations.

 

The industrial production index in France for December made -0.3 % for a month, -0.8 % for a year against the previous value of +3.1 % for a month, +1.3 % year over year.

 

In December, 2005 foreign commerce deficit of France made 3,102 billion euro against deficit of 3,058 billion euro in November.

Data did not justify economists’ expectations who forecast reduction of deficit in December to 2,6 billion euro.

Foreign commerce deficit of France rose up to a record level of 26,459 billion euro in 2005 against deficit of 8,288 billion euro in 2004.
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