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Bobbys Corner-Open Market-Sept.7.2011

Good Morning:

Swiss nationals welcomed the decision by the Swiss Nat’l Bank to halt the appreciation of the CHF.  The exporting sector has been reeling the past few weeks with the appreciation of the CHF-as the cost of chocolates,cheese, Swiss knifes, watches,  and all other exported products reached sky high levels.

Bobbys Corner-Open Market-Aug.17.2011

Good Morning:

FX markets were disappointed at the announcement by the Swiss National Bank regarding the weakening the CHF.  The idea of a peg against the Euro was discounted for now-as the SNB made no additional comments regarding this proposal.
The CHF rose again after the SNB’s lack of commitment regarding pegging the CHF to the Euro.  For the SNB to peg the CHF to the Euro-it would cause the SNB to have a program of unlimited intervention to keep the peg  maintained.

Bobbys Corner-Open Market-Aug.4.2011

Good Morning:

We start the morning off by noting that both the ECB and Bank of England left their benchmark interest rates unchanged today.
This was highly expected even though the UK economy continues to show signs of  faltering , and the EU has a debt  crisis that is not going away anytime fast.

Bobbys Corner-Open Market-Aug.3.2011

Good Morning:

The Swiss National Bank seems to have had enough of the recent strength of the CHF, and they came out swinging as they cut rates in a surprise move to the marketplace.  The franc fell after the announcement, as the Swiss government is concerned that the strength of the franc will undermine the county’s economic recovery.
Analysts feel that the rise in the CHF will only be temporary-as the franc is used as a refuge in uncertain times.  Until the nervousness in the markets slow, (which there is no sign of in the immediate future), the franc will continue to attract investors. 

Report SNB is not accepting Portugal paper as collateral

There is a report in the market that the Swiss National Bank is not accepting Portugal debt paper as collateral.  If you recall, a similar decision was made with regard to Irish paper earlier this week.  This is suggesting that the central bank is concerned about the credit worthiness of the countries debt.  They may be more conservative then most and the market reaction is somewhat muted. However, it may be an increasing theme in 2011.

Bobbys Corner-Open Market-Sept.16.2010

bob-slade-forex-trading-5-150x200Good Morning:

The Euro saw gains across the board in overnight trading.  With  decent Spanish  bond auction results, strong buying of EUR/GBP cross on the heels of very poor UK retail sales,  buying of EUR/JPY as the BOJ is still buying USD/JPY, along with trade data from the Euro Zone which was much better than expected, all assisted in the Euro rally.
The Swiss National Bank left rates steady-to  help keep any chance of an economic recovery on track.

Hilderbrand on the Newswires

Swiss National Bank’s  Hildebrand said the bank wont accept an “excessive” appreciation of the Swiss currency

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