外汇新闻

The Fed Chairman Ben Bernanke in his testimony on Wednesday said that the monetary policy backed by the Fed is helping the US economy to recover but more evidence need to be found before any action to slow the Feds current bond buying program.

The latest in a series of EU Summits kicks off today with the topic of tax evasion and avoidance at the top of the agenda.

With many European countries observing a holiday yesterday, volume was exceedingly anemic, nearly 40% below the daily average.

Macro figures were largely disappointing, as annualized core CPI printed well below expectations, paving the way for further rate cuts in the imminent future should the situation continue to deteriorate across the Eurozone.

Yesterday’s data dump out of Europe accurately portrayed the growing slowdown evident around the Eurozone as only Slovakia was able to best growth predictions from economists.

Lingering concerns in the French economy have led citizens to overwhelmingly reject the sovereignty of the EU as the economy deteriorates and threatens a triple-dip recession. Disillusionment with government policies and negative EU impact has seen President Francois Hollande become increasingly unpopular.

As traders prepare for the upcoming Bank of England interest rate decision, data flowing out of the Eurozone points to slow recovery, especially in the periphery.

French industrial production fell deeper than expected yesterday while the Government’s efforts to balance the budget and tackle the rising deficit have proved ineffective.

With the UK closed for a banking holiday, regional benchmarks and risk assets traded relatively subdued as the summer months rapidly approach. The major news out of the Eurozone came from Mario Draghi’s policy speech in which he elaborated on the recent ECB decision to cut rates.

In an unsurprising move, the ECB moved to cut rates in conjunction with recent economic weakness. The refinancing rate was dropped from 0.75% to 0.50% as the marginal lending rate was decreased 0.50% to 1.00%.