Free Trial

Dire Friday caps worst week for stocks........>

FOREX
FOREX: Dire Friday caps worst week for stocks since 2008
- Another downtick for global equities Friday capped a miserable week for risk
appetite, with indices in the US, Europe and Asia entering market correction
territory having fallen over 10% from their recent peak. This kept JPY buoyant
throughout the week, with EMFX bearing the brunt. The likes of the BRL, ZAR, RUB
and others are particularly weak as markets suspect long-EMFX carry trades
funded via the EUR are being unwound in large quantities.
- The month-end WMR fix proved particularly eventful as AUD, CHF, GBP and others
were slammed into the close. This resulted in a new cycle and multi-year low for
AUD/USD just ahead of the RBA rate decision. Most see no change to policy but
there is an increasing risk of a cut.
- The coming week is the last before the Fed blackout period begins, so plenty
of focus will be paid to speeches from the various Fed members up until Friday.
On the data side, Chinese PMI, US ISM data, Eurozone CPI estimate and the
February nonfarm payrolls report are all due. The list of Democratic
Presidential nominees should shorten following Super Tuesday.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.