BloggingStocks http://www.bloggingstocks.com BloggingStocks http://www.blogsmithmedia.com/http://www.bloggingstocks.com/media/feedlogo.gif BloggingStocks http://www.bloggingstocks.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[U.S. Has a $1.6 Trillion Deficit, and the Dollar Still Rises]]>http://www.bloggingstocks.com/2010/02/05/u-s-1-6-trillion-deficit-and-the-dollar-still-rises/http://www.bloggingstocks.com/2010/02/05/u-s-1-6-trillion-deficit-and-the-dollar-still-rises/http://www.bloggingstocks.com/2010/02/05/u-s-1-6-trillion-deficit-and-the-dollar-still-rises/#commentsFiled under:

Trillion dollar deficits extending out, purportedly for a decade. A projected $1.6 trillion deficit for next year, fiscal 2011. A higher U.S. national debt ceiling.

And what's the U.S. dollar doing amid the above? Oh, it's trending higher against the world's major currencies.

The dollar early Friday strengthened more than 1 cent versus the euro and British pound, to $1.3607 and $1.5612, respectively, capping a week of impressive gains for the buck.

Continue reading U.S. Has a $1.6 Trillion Deficit, and the Dollar Still Rises

U.S. Has a $1.6 Trillion Deficit, and the Dollar Still Rises originally appeared on BloggingStocks on Fri, 05 Feb 2010 14:40:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British poundBritishPounddollar euroDollarEuroGreeceinthenewsFri, 05 Feb 2010 14:40:00 EST<![CDATA[U.S. budget deficit up, dollar down? Well, not always]]>http://www.bloggingstocks.com/2009/11/11/u-s-budget-deficit-up-dollar-down-well-not-always/http://www.bloggingstocks.com/2009/11/11/u-s-budget-deficit-up-dollar-down-well-not-always/http://www.bloggingstocks.com/2009/11/11/u-s-budget-deficit-up-dollar-down-well-not-always/#commentsFiled under: ,

A word to the wise: Investors should ignore and/or avoid those in the popular press who rush forward with pronouncements about the dollar vis-à-vis the world's other, major currencies.

Sometimes you'll see them on the 24-hour cable news channels at night on FoxNews (NWS), CNN (TWX), and MSNBC (GE). Their research is often simplistic at best, and at times, it's outright wrong.

One common, conventional wisdom articulation concerns the dollar, and it's 'imminent collapse.' Nothing could be further from the truth. But that's the type of flippant conclusion one gets when one uses superficial analysis, as in 'U.S. budget deficit up, U.S. dollar down.'

Continue reading U.S. budget deficit up, dollar down? Well, not always

U.S. budget deficit up, dollar down? Well, not always originally appeared on BloggingStocks on Wed, 11 Nov 2009 17:20:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British poundBritishPounddollarinthenewsyenWed, 11 Nov 2009 17:20:00 EST<![CDATA[Is the dollar about to plunge?]]>http://www.bloggingstocks.com/2009/08/27/is-the-dollar-about-to-plunge/http://www.bloggingstocks.com/2009/08/27/is-the-dollar-about-to-plunge/http://www.bloggingstocks.com/2009/08/27/is-the-dollar-about-to-plunge/#commentsFiled under: ,

Where's the dollar headed from here? Well, if you're in the camp that argues both monetary and fiscal stimulus guarantee rising inflation, the dollar will trend lower in the immediate quarters ahead, and probably for longer.

If you're in the camp that argues that given asset destruction, and massive job lay-offs, pricing power is non-existent, the dollar will hold its own against the world's other major currencies.

Continue reading Is the dollar about to plunge?

Is the dollar about to plunge? originally appeared on BloggingStocks on Thu, 27 Aug 2009 15:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British poundBritishPounddollareurointhenewsThu, 27 Aug 2009 15:00:00 EST<![CDATA[Britain in worst fall since 1930s]]>http://www.bloggingstocks.com/2009/03/30/britain-in-worst-fall-since-1930s/http://www.bloggingstocks.com/2009/03/30/britain-in-worst-fall-since-1930s/http://www.bloggingstocks.com/2009/03/30/britain-in-worst-fall-since-1930s/#commentsFiled under: , ,

One of our global partners, Britain, is in an economic tsunami. Here are some recent indicators of the damage being done to Britain's economy:
  • The annual rate of decline in industrial output has reached an alarming 12%.
  • Manufacturing output fell by 6.4% in three month to January, faster than the 4.9% contraction in the quarter ended in December.
  • During the last few months, GDP shrunk by 1.5%. The trends are pointing to a 4% decline in 2009. The last time Britain saw such a sharp decline was in 1931, with a fall of 5%.

Continue reading Britain in worst fall since 1930s

Britain in worst fall since 1930s originally appeared on BloggingStocks on Mon, 30 Mar 2009 14:20:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>British economyBritish GDPBritish poundBritishEconomyBritishGdpBritishPoundinthenewsMon, 30 Mar 2009 14:20:00 EST<![CDATA[Soros covered his short position in the British pound]]>http://www.bloggingstocks.com/2009/02/02/soros-covered-his-short-position-in-the-british-pound/http://www.bloggingstocks.com/2009/02/02/soros-covered-his-short-position-in-the-british-pound/http://www.bloggingstocks.com/2009/02/02/soros-covered-his-short-position-in-the-british-pound/#commentsFiled under:

When financier George Soros makes a play, traders stand up and take notice. In 1992, Soros made $1 billion by selling the British pound.

Recently, he used the same strategy of betting against the pound. However, when the pound traded below $1.40 last Wednesday, Soros decided to cover his short position. The pound has traded up to $1.4256 against the dollar on Friday. As demand for the pound rose, it had the effect of putting pressure on the U.S. dollar.

Continue reading Soros covered his short position in the British pound

Soros covered his short position in the British pound originally appeared on BloggingStocks on Mon, 02 Feb 2009 14:06:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>British PoundBritishPoundGeorge SorosGeorgeSorosshort positionShortPositionMon, 02 Feb 2009 14:06:00 EST<![CDATA[Pound hits 23-year low on the dollar. What does this mean?]]>http://www.bloggingstocks.com/2009/01/23/pound-hits-23-year-low-on-the-dollar-what-does-this-mean/http://www.bloggingstocks.com/2009/01/23/pound-hits-23-year-low-on-the-dollar-what-does-this-mean/http://www.bloggingstocks.com/2009/01/23/pound-hits-23-year-low-on-the-dollar-what-does-this-mean/#commentsFiled under: , ,

The U.S. dollar is considered a "safe haven" currency because it is the world's reserve currency. The Dollar Index contract is traded on the New York Board of Trade. It is traded as a single currency but the actual value of the dollar is based on a basket of currencies. What does this mean in actual trading? Traders usually decide to buy or sell a given currency based on the strength or weakness of the underlying economy for that currency. So when we see a headline: "Pound hits 23 year low on Dollar" it means that on a relative basis the pound is weaker than the U.S. dollar.

You could infer from this headline that the British economy is weaker that the U.S. economy and is the reason why the British pound is the weaker currency.

Trading in the currency markets, however, is not always as clear cut as this example. A host of complex variables go into determining a country's currency including the country's political and financial structure, who the leaders of a given country are and most important what is actually happening within that particular country's economy.

Pound hits 23-year low on the dollar. What does this mean? originally appeared on BloggingStocks on Fri, 23 Jan 2009 16:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>British PoundBritishPoundcurrency tradingCurrencyTradingDollar IndexDollarIndexinthenewsFri, 23 Jan 2009 16:45:00 EST<![CDATA[Oil pushes July U.S. trade deficit higher, but exports shine]]>http://www.bloggingstocks.com/2008/09/11/oil-pushes-july-u-s-trade-deficit-higher-but-exports-shine/http://www.bloggingstocks.com/2008/09/11/oil-pushes-july-u-s-trade-deficit-higher-but-exports-shine/http://www.bloggingstocks.com/2008/09/11/oil-pushes-july-u-s-trade-deficit-higher-but-exports-shine/#commentsFiled under: , , , , , , ,

Your take on the July U.S. trade data may very well hinge on whether you tend to see a half-glass of orange juice as a glass half-empty or half-full.

The downside: the U.S. trade deficit increased 5.7% in July to $62.2 billion, the U.S. Commerce Department announced Thursday. Economists surveyed by Bloomberg News had expected a $58.0 billion trade deficit for July.

The upside: the non-petroleum trade deficit in goods declined 9.8% to $29.6 billion -- its lowest level in six years, the Commerce Department said.

Almost all of July's trade deficit increase was due to oil. So, does the July trade statistic constitute a modest victory, or something less?

"It means the nation's trade deficit picture is improving, just as long as we don't use any oil," economist Peter Dawson said. "Kidding aside, the non-oil component of the trade deficit continues to improve, and I'm emphasizing that dimension. The oil import component should decrease provided oil prices continue to moderate and Americans continue to cutback gasoline use, so the trend line at least through Q4 is a good one for the trade deficit."

Overall in July, imports rose 3.9% to $230.3 billion, and exports increased 3.3% to $168.1 billion. Strong performance areas for exports included airplanes, machinery, auto parts, computers and industrial materials.

Continue reading Oil pushes July U.S. trade deficit higher, but exports shine

Oil pushes July U.S. trade deficit higher, but exports shine originally appeared on BloggingStocks on Thu, 11 Sep 2008 11:45:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British poundBritishPounddollareuroEuropeEuropean Unionexportsgpdimportsinthenewsoil pricesoil shocktradetrade deficitU.S. Commerce DepartmentU.S. economyThu, 11 Sep 2008 11:45:00 EST<![CDATA[Rising dollar pushes oil prices lower]]>http://www.bloggingstocks.com/2008/08/08/rising-dollar-pushes-oil-prices-lower/http://www.bloggingstocks.com/2008/08/08/rising-dollar-pushes-oil-prices-lower/http://www.bloggingstocks.com/2008/08/08/rising-dollar-pushes-oil-prices-lower/#commentsFiled under: , , , , ,

Oil prices have moved sharply lower this morning, mostly as a result of strong upside in the U.S. dollar. Earlier in the session, oil fell as low as $115.75 a barrel, and is currently sitting at $116.15.

Prices have been dropping since mid July, and today's move comes as the dollar is reacting very positively to the recent decisions of the European Central Bank and the Bank of England to leave their interest rates unchanged. While the dollar still has a long way to go, it is encouraging to see the current rally.

As of today, the euro fell to a five month low versus the dollar, and with the dollar rising against both the British pound, and the Japanese yen, many optimistic analysts are predicting that a long recovery for the dollar is under way.

Continue reading Rising dollar pushes oil prices lower

Rising dollar pushes oil prices lower originally appeared on BloggingStocks on Fri, 08 Aug 2008 13:48:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British PoundBritishPounddollareconomyeurogas pricesGasPricesinthenewsoil pricesOilPricesrising dollarRisingDollaryenFri, 08 Aug 2008 13:48:00 EST<![CDATA[Dollar falls to record low vs. euro on U.S. credit market concerns]]>http://www.bloggingstocks.com/2008/07/15/dollar-falls-to-record-low-vs-euro-on-u-s-credit-market-concern/http://www.bloggingstocks.com/2008/07/15/dollar-falls-to-record-low-vs-euro-on-u-s-credit-market-concern/http://www.bloggingstocks.com/2008/07/15/dollar-falls-to-record-low-vs-euro-on-u-s-credit-market-concern/#commentsFiled under: , , , ,

The dollar fell to a record low against the euro Tuesday morning as traders calculated that U.S. credit market losses will further hurt U.S. economic growth.

The dollar weakened about 1.25 cents to $1.6048 versus the euro before regaining some ground to $1.5995. The dollar also fell one cent versus the British pound to $2.0057 and 1.85 yen to 104.20 versus Japan's yen.

Currency trader Andrew Resnick told BloggingStocks Tuesday the equation is a basic one: with more dollars in supply, each dollar is worth less.

"The Fannie Mae and Freddie Mac assistance packages will require more federal spending or federal support though guarantees. That action, plus FDIC takeover of problem banks means more federal outlays, which weakens the value of the dollar," Resnick said. "We've been in a period of increasing federal outlays for the past five years, although I don't think anyone in 2003 anticipated that federal spending would increase to this degree."

Continue reading Dollar falls to record low vs. euro on U.S. credit market concerns

Dollar falls to record low vs. euro on U.S. credit market concerns originally appeared on BloggingStocks on Tue, 15 Jul 2008 13:08:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British poundBritishPounddollareuroFannie MaeFedFNMFREFreddie MacinthenewsU.S. Federal ReserveyenTue, 15 Jul 2008 13:08:00 EST<![CDATA[Oil breaks through $135]]>http://www.bloggingstocks.com/2008/05/22/oil-breaks-through-135/http://www.bloggingstocks.com/2008/05/22/oil-breaks-through-135/http://www.bloggingstocks.com/2008/05/22/oil-breaks-through-135/#commentsFiled under: , , , , ,

It seems like everyday we are talking about the same news... rising oil prices. Today oil busted through the $135 mark and traded up as high as $135.09. Currently we are seeing oil at $133.91.

There are three main factors at work today helping push prices higher; supply concerns, global demand estimates, and once again, the weak U.S. dollar. Of the three, the weak U.S. dollar has received most of the blame recently for the run up in oil prices.

As we have discussed many times before, any time the dollar shows weakness traders will rush into commodities as a natural way to hedge against the falling dollar. That is exactly what we have been seeing for most of this year, and that has continued into today, as the dollar has continued to drop.

Continue reading Oil breaks through $135

Oil breaks through $135 originally appeared on BloggingStocks on Thu, 22 May 2008 08:45:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British poundBritishPounddollareurointhenewsJapanese yenJapaneseYenoiloil demandoil pricesOilDemandOilPricesThu, 22 May 2008 08:45:00 EST<![CDATA[Oil gushes through the $125 mark!]]>http://www.bloggingstocks.com/2008/05/09/oil-gushes-through-the-125-mark/http://www.bloggingstocks.com/2008/05/09/oil-gushes-through-the-125-mark/http://www.bloggingstocks.com/2008/05/09/oil-gushes-through-the-125-mark/#commentsFiled under: , , , , ,

I know that last thing you probably wanted to hear this morning was that oil prices moved even higher, but that is exactly what is taking place, as oil rose as high as $125.98 and is currently trading at $125.60.

Leading the charge today is the weak dollar as investors continue to seek refuge from the falling U.S. currency in commodities -- most notably, oil. The dollar has fallen today against the euro, the British pound, and the Japanese yen. The euro was sitting at $1.5404 last night, but has moved higher today, up to a current price of $1.5466.

The market is also concerned about the upcoming peak driving season for Americans. With the season getting under way, oil prices will definitely continue to rise, and if gasoline stockpiles continue to fall, you can be sure that gasoline prices are also going to keep moving higher over the next couple of months. Will we see national averages of $4 or greater? I don't think so, but at the current rate prices are moving, nothing is out of the question right now.

Continue reading Oil gushes through the $125 mark!

Oil gushes through the $125 mark! originally appeared on BloggingStocks on Fri, 09 May 2008 09:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>British poundBritishPounddollareurogasolinegasoline pricesGasolinePricesHezbollahinthenewsIranIraqJapanLebanonoiloil pricesoil suppliesOilPricesOilSuppliesOPECtourismyenFri, 09 May 2008 09:00:00 EST<![CDATA[Oil stocks continue charge to new highs]]>http://www.bloggingstocks.com/2007/07/10/oil-stocks-continue-charge-to-new-highs/http://www.bloggingstocks.com/2007/07/10/oil-stocks-continue-charge-to-new-highs/http://www.bloggingstocks.com/2007/07/10/oil-stocks-continue-charge-to-new-highs/#commentsFiled under: , , , , , , ,

Oil stocks continue their impressive charge today with several of the big names trading up to hit new yearly highs. Oil has managed to trade up $0.70 to $72.89 and briefly was able to break through the $73 mark to hit a high on the day of $73.10.

According to a story today on CNNMoney.com a big reason for oil's recent surge can be attributed to large inflows of new money into the oil market. It cites a new report from Citigroup (NYSE: C) that estimates that roughly $10 of this year's upward move can be traced back to the influx of new money this year. "Financial players have now firmly moved ahead as the main near-term driver of oil prices," Citigroup said.

Another factor that is definitely involved, but rarely mentioned, is the impact that the weakening dollar is having on oil prices. The dollar has definitely been struggling lately, and just today it was announced that the Euro hit an all time high against the American currency. The Euro climbed to $1.37 today which is the highest in its history, and the British pound has been trading at around a 26 year high against the dollar for the past couple weeks.

Continue reading Oil stocks continue charge to new highs

Oil stocks continue charge to new highs originally appeared on BloggingStocks on Tue, 10 Jul 2007 16:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>british poundBritishPoundCCOPCVXdollareuronew highsNewHighsoil pricesOilPricesrising oilRisingOilVLOXOMTue, 10 Jul 2007 16:00:00 EST