WASHINGTON (MarketWatch) — Jumping markedly for the second straight month, U.S. import prices shot up 2.2% in April, the Labor Department reported Tuesday, as fuel prices surged 6.7%. That’s above the 1.6% that economists polled by MarketWatch had anticipated and is the first time
import prices increased by more than 2% in consecutive months since June 2008. Export prices meanwhile rose 1.1%.
U.S. stock futures were slightly higher as China recorded a sharp widening of its trade surplus and Microsoft reportedly neared a deal to acquire Internet phone firm Skype Technologies.read more...
Forex Market Lacks Conviction
The US dollar is mostly firmer today, but the market lacks near-term conviction. After last Friday's unscheduled mini-EU summit, it seemed like key officials recognized that something more needs to be done for and with Greece, shy of asking it to leave …
The dollar remained mostly higher verus major rivals, with a euro rebound running out of steam amid ongoing turmoil for Greece.read more...
British Pound / Yen
Even more problems for Greece – just couple of days after rumors of that country leaving the Euro began to circulate, one of the major rating agencies decided to downgrade Greek sovereign debt. Again. Just in March Standard & Poor’s lowered the rating to a “speculative” (junk) level and now assigned a “highly speculative” (super junk?) rating. This move came European politicians publicly commented that the current bailout might not be enough and additional funds will be needed.
Today, many global economies lack fundamentals after a hectic last week full of important data, yet the main highlight is once again on the European debt woes after S&P’s downgrade to Greece Yesterday. S&P lowered the Greece’s credit rating to B from BB-, one level below the lowest credit rating. The debt-laden economy joined Belarus as the lowest rating in Europe and may need to restructure its debt otherwise it may default. European debt woes are back on the scene again, whereread more...
Forex: EUR/USD upside capped at 1.4380
High-Risk Warning Forex, Futures, and Options trading has large potential rewards, but also large potential risks. The high degree of leverage can work against you as well as for you. You must be aware of the risks of investing in forex, futures, …