| EURUSD, GBPUSD. This week euro bears have gained revenge. |
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17:47 05/11/2007 |
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Yesterday was rich in events except for decision-making by Bank of England and ECB concerning rates, in the beginning of the American session there was a whole block of news over the United States. The dollar strengthened after ECB Governing Council made decision to leave the rate without changes.
The dollar received additional support after an issue of fundamental data over the USA.
Data on growth of trade deficit did not influence on traders as the market has got used to growth of this indicator and it is considered that the stream of investments into economy of the USA covers the disproportions arising in import-export balance of the USA.
According to Department of Commerce trade deficit in March was up 10,4 % m/m to 63,89 billion dollars. February data were revised up to 57,89 billion dollars from 58,44 billion dollars. Analysts forecasted that deficit would make 60,0 billion dollars.
Export from the USA in March grew by 1,8 % up to 126,23 billion dollars. Nevertheless, growth of export was insufficient to level import growth which made 4,5 %.
In March import in the USA increased up to 190,13 billion dollars. The increase in import was caused by growth of energy import in price and quantity.
The increase in export in March was promoted by growth of industrial deliveries of gold and other metals and also chemical products and coal, which made nearby 1,30 billion dollars. Trade deficit of with China made 17,25 billion dollars against 18,43 billion dollars in February.
Trade deficit with Japan has not changed 7,05 billion dollars. Trade deficit with the countries of the Eurozone raised up to 6,80 billion dollars against 5,34 billion dollars, and trade deficit with Canada increased up to 5,75 billion dollars against 4,72 billion dollars.
The dollar was supported by indicators of the US market of employment - the week jobless claims reduced by 9000 to 297000 for last week.
As a whole moods in favor of euro and dollar have started to be equalized, most likely, we wait for correction of a trend on eurodollar. While we remain outside the market.
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