Reached Parity In January

Dukascopy Fundamental Analysis EUR Stoxx Europe 600 index have dropped for third consecutive day and reached the lowest level since the start of this year as specialists speculate that elections in Greece could take place as early as 10 of June. The index lost 0.5% of its value by noon in London and around 10% from its peak this year in mid-March. USD Facebook increases the share offering by 25% to 421.2M shares to collect near $16B. At the offering's price of $34-$38 per share Facebook is rushing towards the largest technology IPO in the history. Production of utilities, mines and factory's in the U.S. surpassed expected 0.6% level and increased by 1.1% in April. GBP The number of unemployed people for January-March decreased to 2.63 million, 45,000 down on the quarter, the Office for ...

Central Banks' to the Rescue? The Bank of England stole the headlines this morning as it delivered its second Inflation Report of the year. Its message was fairly grim: the UK won't regain its 2007 level of output until 2018. The biggest threat to the UK economy right now according to the bank is the impasse in the Eurozone (something the BOE can't control). The BOE: "blame the Royal Family and the Eurozone" However, the one thing it can control is QE and interest rates, and it kept the door to more QE firmly open today. It noted that Q1 GDP figures could be revised higher, however a number of "one off" factors like the Queen's Jubilee bank holiday this year could knock 0.5% from GDP. This "holiday" could have a more damaging economic effect than the Royal Wedding, according to the Bank. ...

Fundamental Analysis EUR "Equities are stronger than in the fall, as central banks have moved to support the market with liquidity and removing the structural risks to banks" - Hans Peterson, the chief investment officer of SEB Private Bank Industrial new orders in the euro zone declined by more than forecast in February, Eurostat data showed on Tuesday. Orders decreased by a seasonally adjusted 1.3 per cent, after declining 2.9 per cent in January. USD "Overall, consumers are more upbeat about the state of the economy, but they remain cautiously optimistic" - Lynn Franco, director of the Conference Board Consumer Research Center U.S. consumer confidence declined in April as consumers became slightly less optimistic on the outlook of the country’s economy, the Conference Board Inc. ...

The Weekly Bottom Line : 27/02/2012 HIGHLIGHTS OF THE WEEK United States U.S. stock markets have been on a tear over the past several weeks reflecting newfound optimism in the economic outlook. The housing market is leading the improvement in economic indicators and showed continued momentum this week. Existing home sales rose to levels last seen during the homebuyer tax credit of early 2010. Supported by continued job gains, the housing market looks to be turning a corner. The one caveat to rising optimism is rising gas prices. As tensions with Iran push up crude oil prices, consumers are feeling it at the pumps. A sustained gain in oil prices presents a key downside risk to recent economic momentum. Canada Canada's S&P TSX, which is up a solid 3% over the past two ...

Fundamental Analysis EUR "We expect the Greeks to rise to their responsibilities. This coming Monday, we will see whether Greece delivers or whether we will be forced to decide on another course of action, one that is not desired" - Steffen Kampeter, German Deputy Finance Minister The Euro rose against the US dollar and the Yen on Friday on hopes Greece was nearing a deal to secure a new rescue package despite rising worries about the ability of Greek leaders to rule the debt crisis. USD "We are seeing upward momentum in prices of food and other commodities that producers can’t pass along to consumers because consumers are still very fragile" - Lindsey Piegza, an economist at FTN Financial The Consumer Price Index (CPI) climbed 0.2% in January slightly below analyst median forecasts of ...

Dukascopy Fundamental Analysis EUR Germany expects EU finance officials to reach an agreement over Greek bailout on meeting due February 20, German lawmakers announced today. Greece should increase its responsibilities in order be rescued otherwise Europe will have to take another way of action, the one that nobody really wants, Steffen Kampeter, German Deputy FM, emphasized. USD 2011’s most hated stocks have increased in value almost twice as fast as S&P 500’s growth for the period. This trend has burnt short sellers’. The 26 stocks from S&P500, which had attracted the most of short-sellers’ attention, have gained 18% during the last year. The index itself has only gained 8% in the same period. GBP UK retail sales, released today by National Statistics, have positively surprised ...

Dukascopy Fundamental Analysis EUR Europe's largest economy contracted less than expected in fourth quarter, signalling Germany may avoid crisis despite declining demand across region. German GDP dropped 0.2% in last quarter of 2011 compared to 0.6% growth in the third quarter. Economists questioned by Bloomberg predicted a drop of 0.3%. Meanwhile France's economy unexpectedly in expanded 0.2% in last three months of 2011. USD Demand for automobiles pushed upwards the industrial production level in the US. The total industrial output rose by 0.7% in January; the December figure was revised to +1.5%. Analysts believe that shortages in business inventories and increasing machinery investments will keep industrial output level quite high in near term. GBP UK unemployment rose to 2.67, ...

Fundamental Analysis EUR "With confidence returning, the fundamentally very sound German economy can return to growth quickly" - Christian Schulz, an economist at Berenberg Bank An index of German investor confidence rose to 5.4 in February from -21.6 in January, said the ZEW Centre for European Economic Research on Tuesday. ZEW sentiment is based on a survey conducted among 350 German investors and analysts, who are asked to rate the six-month economic outlook. USD "Retail sales are being driven by the improving confidence but also by decent income gains" - Millan Mulraine, a senior U.S. strategist at TD Securities U.S. retail sales grew less than expected January as vehicle purchases tumbled. Total retail sales rose 0.4 per cent the previous month from December, when sales stagnated, ...

Dukascopy Fundamental Analysis EUR European industrial production fell in December, weighted down by a drop in Germany, fuelling concerns the region might be entering in a new recession wave. The output in Euro Zone declined 1.1% in December compared to November. Analysts predicted a decline of 1.2%. On yearly basis production diminished 2%. USD A significant drop in automobile sales caused a slide in the amount of overall retail sales in January, Commerce Department reported today. Retail sales rose less (+0.4%) than expected (+0.8%). However, sales excluding automobiles increased by 0.7%, the greatest climb since March, 2011. GBP UK consumer prices posted a 0.5% monthly drop in January, said the UK National Statistics Office on Tuesday. The annual consumer price index slowed from 4.2% ...