Press Release Summary: It seems like it\'s the same old story every week, oil, gold and other commodities are hitting record highs, while the US Dollar, and equities that have anything to do with the financial market, are hitting record lows.
Press Release Body: It seems like it\'s the same old story every week, oil, gold and other commodities are hitting record highs, while the US Dollar, and equities that have anything to do with the financial market, are hitting record lows. Why should this week be any different?
This week saw gold touch $1,000 per troy ounce, oil trading above 110 per barrel, and the USD/JPY trading below 100 for the first time since 1995. The Yen has appreciated almost 12% against the Dollar since January 1 st of this year.
Equities saw the most volatility this week, with the emergence of near collapses of Bear and Stearns, and Carlyle Capital. The main saving grace was the fact that the Federal Reserve tried to prop up the market on Tuesday, with another 200 billion dollar infusion into the credit markets. Sadly that didn\'t help companies like Carlyle Capital, which announced on Wednesday that it couldn\'t come to terms to save its fund, and were now in default of their 16 billion dollar loan.
On Friday after the Euro/USD touched 1.5640, a report was released citing that there was now talk of an official government intervention from the Far East. Upon release this news sent the Euro/ USD down 85 basis points. Last time there was an official intervention was in 2004, when the Japanese government sold more then 100 trillion Yen to boost the exchange from 102 Yen per Dollar to almost 115. Traders are wondering how low they will let the Dollar slide before they start selling Yen this time around.
Next week doesn\'t get any easier with the FOMC meeting; economists are expecting a minimum of a 50 basis point rate cut. However, rumors that the cut will be much deeper are beginning to circulate, with some predicting a 100 basis point cut. This could possibly send the Euro/USD into the 1.60 area, which leads into our trade of the week.
A \"No touch\" with BetOnMarkets.com on the Euro/ USD with an 11 day term, and 547 points to the down side, pays 6% ROI
Web Site: http://www.betonmarkets.com
Contact Details: Address: Regent Markets (IOM) Limited 3rd Floor, 1-5 Church Street, Douglas, Isle of Man IM1 2AG, British Isles.
2022
