currencies

US dollar is softer vs. majors Friday as markets head into holiday mode; sentiment improving a bit in the absence of any major negative euro zone developments. France Q3 GDP revised weaker, Italy confidence lower than expected; euro zone…

US dollar is mixed vs. majors Thursday as market sentiment improving a bit in the wake of ECB’s 3-year LTRO. Merkel advisor Bofinger warned that the euro zone has six months to solve the debt crisis; Greek creditors reportedly balking at…

I thought I should highlight that Marshall Auerback was on Fox Business yesterday since he writes here occasionally. I wish it were more often! Marshall was on message regarding the euro zone debt crisis. His point: Additional liquidity is…

The last post by Randall Wray below is an interesting one because it points out how the world has changed since the end of the gold standard and why the sovereign debt crisis is centered in the euro zone. While I have an Austrian bias…

It seems to have been none other than Paul Krugman who made it safe for others to adopt MMT. He shined his headlights on the obvious: the reason why interest rates on government debt are not exploding in countries like Japan, the US, and…

The euro extended its rally to a six day high, just shy of $1.32 before the results of the ECB's allotment. The results were at the upper end of expectations and the euro was returned to session lows. A classic buy the rumor of a strong…

Successful Spanish and Greek bill auctions and better than expected German IFO caught the market wrong-footed, if the record net speculative short at the IMM is anything to go by. The euro has shot up to almost $1.3090 and pulled up the…

US dollar was firmer vs. majors Monday even as euro zone news stream remains negative; Moody's cut Belgium two notches Friday to Aa3 and kept a negative outlook. Euro short positions at record high on IMM; euro zone Finance Ministers to…

The ECB is seen to be the key protagonist and the pressure is more acute on it to act. Yet it steadfastly refuses. The other solution that has been advocated is a joint European bond. It is not going to be forthcoming any time soon. Such…

I don’t think there is a whole lot to say about this week’s numbers beyond what I have been saying for the past several months. Nothing substantial has really changed. China’s external account is worsening, and will continue to worsen…