LONDON, Sept 2- The dollar rose on Wednesday as fragile global stock markets stabilised, taking the heat out of a rush to unwind carry trades that boosted the safe-haven yen and the low-yielding euro in recent weeks. The dollar was up 0.6 percent at 120.10 yen, rising from a low of 119.225 yen as European stock markets rose and U.S. stock futures were almost 1 percent...» Read More
The dollar fell for a second straight session Wednesday after an unexpected drop in durable goods orders heightened worries about the health of the U.S. economy and backed expectations of further interest rate cuts.
The dollar retreated broadly Tuesday, posting its steepest loss against the euro in two weeks, hurt by concerns about the health of the U.S. economy and the global financial sector.
The dollar rallied across the board Monday on better-than-expected U.S. existing home sales data and J.P. Morgan's higher offer for Bear Stearns shares, which boosted Wall Street stocks.
The U.S. dollar inched lower against the euro on Friday but held on to much of the gains it made the previous day when investors sold commodities including oil and gold and repatriated cash back into the dollar.
For the short week ending Thursday, March 20, 2008 the US Markets ended up. Market moving events include the JP Morgan Chase takeover of Bear Stearns and a Fed rate cut of 75 basis points. The Dow gained 420 points on Tuesday, only to give back 293 points the next day. A rally today kept the Dow, S&P, and NASDAQ up 3.43%, 3.21%, and 2.06% for the week, their best performance in 7 weeks. Next week, the markets will watch for the economic data including Durable Goods, GDP, and Personal Income numbers. Earnings from Lennar (LEN) will give another read on the housing sector.
The dollar made its biggest gain since mid-December against the euro Thursday as investors sold oil, gold and other commodities and repatriated their cash back into the beleaguered U.S. currency.
The dollar briefly reversed losses against the euro on Wednesday in volatile trading, drawing support from losses in gold futures.
The Japanese central bank was placed in the hands of a temporary governor when Toshihiko Fukui retires in a few hours, after the latest candidate to replace him was rejected by the upper house of parliament.
The dollar posted gains against the yen and the euro on Tuesday after the Federal Reserve slashed benchmark interest rates by 75 basis points.
The Japanese government put forward on Tuesday a former top finance ministry bureaucrat as its second nominee to become central bank governor, but a senior opposition lawmaker warned the surprise choice was likely to be vetoed.
The dollar tumbled to a 12-1/2 year low against the Japanese yen on Monday and record levels against the euro and the Swiss franc as emergency liquidity-boosting measures by the Federal Reserve over the weekend failed to ease worries about the U.S. financial sector.
For the week ending Friday, March 14, 2008 the US Markets ended mixed. Market moving events include the Fed's $200B expansion of its securities lending program and the Bear Stearns bailout, amongst others leading to extreme market volatility. The Dow gained 417 points on Tuesday, only to lose the majority of its gains to close up only 0.48% for the week. The VIX crossed 30 for the first time since January. Next week, the markets will watch for the the FOMC announcement on interest rates Tuesday, the Visa IPO on Wednesday, and a slew of brokerage earnings including Goldman Sachs, Lehman Brothers, Morgan Stanley and possibly Bear Stearns.
The Japanese yen has been breaking new ground lately. What's it mean for you and your money?
The dollar fell below 100 yen for the second straight day and hit a record low against the euro after Bear Stearns said a worsening cash position had forced the Wall Street firm to secure emergency financing.
The dollar plunged below 100 yen Thursday for the first time in more than a decade and hit a record low against the euro as worries deepened on Wall Street that the United States had entered a recession.
The dollar tumbled to a record low against the euro Wednesday as doubts grew about the long-term impact of recent Federal Reserve efforts to pump money into cash-starved credit markets.
The dollar rose sharply Tuesday after the Federal Reserve announced new measures to inject liquidity into the financial system, easing concern about a deepening credit crisis and a U.S. recession.
The U.S. dollar continues its downward slide against major currencies including the yen. The dollar hovered near an eight-year low against the yen Tuesday, as fresh signs of deterioration in credit markets hurt global shares and sparked unwinding of carry trades.
The yen has surged to an eight-year high against the U.S. dollar as the greenback takes a hit from expectations for aggressive Fed interest rate cuts to counter the economy's fall towards a recession. This week's Charting Asia takes a look at the dollar/yen trend.