Sunday, October 18, 2009
Friday, October 16, 2009
The pound gained today after hitting several record lows this week specially versus the euro, as speculations indicate that the current central bank asset-purchase program may be suspended, finally providing support for the British currency to gain in foreign-exchange markets.
After speculations suggested that the Bank of England is likely to interrupt its asset purchase program due to undisclosed reasons in an interview given by BOE Markets Director Paul Fisher to the Financial Times, the pound witnessed its sharpest gains in October, specially versus the greenback and the yen, but also the euro and a basket of emergent-market currencies. Mixed sentiment towards the U.S. economy made the dollar to erase early gains versus several currencies, including the British pound, which crossed the $1.60 line this Thursday, after several sessions losing in currency markets.
Most of analysts and traders were expecting the BOE’s asset-purchase program to be extended as the economy in the British Isles remains in a rather delicate situation, specially in the financial sector, receiving Fisher’s comments as a surprise that provide support for the pound to climb to more optimistic levels, as the quantitative easing measures taken by the Bank of England were one of the biggest responsible for the pound’s devaluation.
GBP/USD traded at 1.6262 as of 18:34 GMT from a previous rate of 1.5963 yesterday. EUR/GBP traded at 0.9173 from 0.9325.
This article taken by topforexnews.com.
The Canadian dollar, which benefited from a high on crude oil markets and traded near parity with its U.S. counterpart witnessed a significant fall towards the end of these week’s session as equities did not perform in favor of the Canadian currency.
The loonie is ranking among the top winners versus the greenback this year, only losing to the Australian dollar and the Brazilian real, being all these currencies benefiting from a high in commodity markets, due to their raw material exporter profile. This week, the loonie managed to trade near parity with the U.S. dollar, but this Friday, a reverse movement in stocks worldwide created a rather bearish scenario decreasing risk appetite in currency trading, pushing the loonie away from equality with the greenback, as investors shifted their bets before the session’s closing.
Optimism towards the U.S. economy and speculations that the greenback would be undervalued, combined with a negative performance in stocks and commodities forced the Canadian currency down towards the end of this week, according to analysts. The Canadian dollar is likely to remain in this band between parity with the U.S. dollar and up to $1.05 for a while, as long as there are no events that would drastically change the sentiment towards the currencies involved.
USD/CAD traded at 1.0430 as of 12:25 GMT from 1.0305 yesterday, after trading near parity in the middle of the week.
This article taken by topforexnews.com.
The South African currency witnessed a rally this week that set the rand to the highest rate versus the U.S. dollar after a decreased appeal for the U.S. currency combined with an increase in rates of metallic commodities provided support for the rand to outperform a number of currencies.
South Africa is today, the leading exporter of precious metallic commodities in the world, and as the gold is reaching record highs, platinum is climbing and other commodities are gaining value in markets, the rand is rallying significantly, also benefiting from a wave of risk appetite in stocks that brought investors to inject money in emergent markets and abandon previous dollar-priced positions, forcing the U.S. currency to the lowest levels in more than 12 months. South Africa remains one of the highest-yieldings investment options and its currency is one of the top winners among emergent market currencies, together with the Brazilian real.
South Africa is one of the emergent markets that has been benefiting from a new optimistic scenario which is forcing commodities up, attracting investors to yield and decreasing the appeal for the safety provided by the greenback, as the global slump is becoming a past event. The rand is likely to experience further gains towards the end of the year, specially versus the dollar.
USD/ZAR traded at 7.2680 as of 13:19 GMT from a previous closing price of 7.3430 yesterday.
This article taken by topforexnews.com.
The U.S. currency finally posted gains versus most of 16 main traded currencies as some investors suggested that the recovery in the North American economy is not compatible with such losses in currency markets, providing support for the greenback to pare gains of most emergent market currencies which were climbing these week.
Several events changed market’s trends today after the European Central BankJean-Claude Trichet affirmed that U.S. government should support the strength of its currency, declining attractiveness for the euro, which also posted intense losses versus the pound this week. The U.S. dollar also gained on speculations regarding industrial production in the country, which is likely to increase further from the past month, a significant evidence that economic conditions are improving in the wealthiest country in the world. One of the few currencies that managed to control the dollar’s gains today was the pound, as optimism was renewed in the country after the central bank suggested that its quantitative easing problem will be suspended.
Mixed information is influencing on the volatility of the U.S. dollar, firstly the Federal Reserve affirmed that the fluctuations of the currency are acceptable, but now the European Central Bank starts to show concerns regarding a weakened dollar, causing a nebulous scenario for the greenback short term future.
EUR/USD traded at 1.4879 as of 11:40 GMT from a previous rate of 1.4962 hours earlier. USD/CAD traded at 1.0394 from 1.0312 in the intraday.
This article taken by topforexnews.com.
Saturday, October 10, 2009
An Introduction to Trade Dollars
The United States silver Trade Dollar is issued by the U.S. Mint mainly for trading purposes with the countries like chine, Korea and Japan. Mainly for the purpose of trading with china it was used extensively and to improve trade with china. Previously Mexican peso was used to trade with china. Later trade dollars replaces Mexican peso.
The trade dollars were minted in Philadelphia, Pennsylvania, Carson City, and San Francisco from 1873 to 1885. More were minted in San Francisco as it was very near to the silver source. William barber, the mints chief engraver designed the coin which is composed of 90%silver, 10% copper and 420 grains in weight. The chopmarks are there to exhibit the originality and authenticity of the coins produced and used.
The U.S. trade dollars are facing some serious issues nowadays. Various qualities of U.S. trade dollars are found in china and made in china. The coin collectors are warned about it. They are advised to buy the coins from the known authentic source. The certified dealers are there to sell the coins and the collectors are asked to purchase from them to avoid the problems of fake. There is an existing fact which is quite astonishing that 90% of all the U.S. Trade dollars are fake (on Ebay). The good part of it is that the fake coins can be detected. The main major ways to deduct the fake coins are
From the weight also the fake can be determined. The fake coins are silver washed around copper and will weigh only 18 grams. Remember the original coins weigh 420 grains
All the above denotes that the coin is fake. In the original coin the eyes of the eagle will be half shut or incused. All the above are just suggestions to find out the fake. These will not help one to find the fake always. Luck also plays a major role in finding the fake and avoiding them and the consequences.
In March 1955, Benjamin Stack advertised a pair of Trade dollars rarities. In 1884 and in 1885 he advertised for $6,500 in the book “The Numismatic Scrapbook Magazine”. The Trade dollars were auctioned in 1988 which is an astonishing fact which was a piece of information in the Norweb Collection. During the early American republic there was a considerable shortage of silver and gold coins. The silver coins are driven away for circulation in the late 1840. Due to Civil war, discovery of gold in California, monetary system the value of silver raised to $10,000,000 by 1864.
Trade Dollars in Commerce
The US Trade Dollar
Congress started promoting American commerce overseas by authorizing a new .900 silver coin called US Trade Dollar. The coin weighed 420 grains compared to Mexican coin at 416 grains. It was also larger than its predecessor, which weighed 412.5 grains. In Peking, China the US trade dollar was proclaimed as official trade coin in the country overtaking lighter Mexican money.
In Asia the demand for US Trade Dollar was very strong. Most Trade Dollars ended up in Asia within two years of having been minted. In 1876 mine owners were unloading huge amounts of silver onto the market which caused a great backlash for the US Trade Dollar. Treasury Secretary John Sherman stopped commercial production of the coin in 1878. The rarest of all US Trade Dollars are those dated 1884 and 1885. These coins were made illegally for the collector of the Mint, William Idler.
Japan also made a trade dollar
The Japanese minted the Silver One Yen coin which is also known as the “Dragon Yen”. The coin was not much different from the US Trade Dollar coin. One could see a one yen circulating along with the US Trade Dollar. This coin was also issued for foreign trade, and it weighed at 27.22 grams and was .900 silver the same as the US Trade Dollar.
United Kingdom also made a trade dollar
The Opium War began when china stopped Britain from selling opium to its people. Silver dollars were directly involved in the result of the war. Britannia standing on shore, holding a trident in one hand and balancing a British shield in the other depicts that the British trade dollars mined exclusively for use in Far East. The last British dollar was minted in the year 1935. The coin which has the mark “B” was produced at Bombay and “C” was produced in Calcutta. Bombay was the main facility but most of these silver dollars were used by, and planned for, merchant trades to and with Hong Kong and surrounding ports in China. 1935 trade dollar story is still a mystery; many say that they ceased money as a result of the passage in this year of the Currency rule. 1935-B British Trade Dollar was the last of its kind and then the coin vanished into history.
Wednesday, October 7, 2009
Saturday, October 3, 2009
You work hard for your money and you do not want to lose it due to a recession. Here are the top 5 places to invest your money in a recession.
- Now is the time to invest in buying homes since home prices are down and it is a buyer's market. This is an excellent opportunity to invest your money in the housing market. The time line always changes where gold is high or low, houses are high or low or interest rates are high or low. Things will change again where houses are more expensive and it will be a seller's market. If you invest your money now in houses, apartments, condo's, etc., you will be sure to make a fantastic profit in your money.
- Another one of the top 5 places to invest your money in a recession is to safely put your money into a CD or a certificate of deposit. With a CD you will put your money in the bank for a certain amount of time at a set interest rate. This means that for the amount of time you agree to put your money in the CD, your interest rate will not go lower or higher. This is a good thing so the interest rate cannot go lower on your hard earned money. Before putting your money into a CD for a certain amount of time, make sure the bank has FDIC insurance. If the bank has FDIC insurance your money is safe if the bank were to close in the recession.
With FDIC insurance, money and interest up to $250,000 is insured by the government. To find out if your bank is FDIC insured, check the FDIC website for peace of mind. Before putting your money into a CD make sure you are going to keep your deposit in the CD for the amount of time you agree to. If you end up needing the money early, you will be penalized. A good way to invest money into CD's is to invest so that every three months the CD is due. When investing every three months you will have money at your fingertips and in your pockets.
- These days you can safely make money by putting your money into a checking account. You can find a checking account that may pay up to 6 percent on your money. You can check online at Bankrate.com for excellent banks to open a checking account with the high percentage rates. If you use an ATM card, read the small print and check the ATM fee so you are not wasting all of your interest money you make by paying fees. Also, make sure you check how much of a balance you need to have in the checking account and how often you need to use your debit card to be able to participate according to the bank's rules.
- A savings account is one of the top 5 places to invest your money in a recession. You can earn a safe low percentage rate while keeping your money in a savings account. Make sure you read the small print on the rules of the bank you are thinking of putting your money in so you get the best deal.
- The last of the top 5 places to invest your money in a recession is to invest your money into stocks, but it is wise to invest over a long- term versus a short-term. Investing in stocks is riskier; therefore you will make more money than if you had invested your money in bonds. If you can leave your money invested in stocks for a long period, you can make and lose money but in the end you should come out well ahead.
Find the right stock which to invest into can sometimes prove very difficult. Sometimes finding good investment advice can prove even more difficult. Investors will continue to invest no matter how difficult the task.
Investing is no longer only for the elite and powerful. Numerous people can invest into the stock market and you do not have to hold a degree in finance in order to perform this task. The reason people will continue to invest is due to numerous reasons. Some love the thrill of the investment; some have a dream of hitting the "big bucks" where some genuinely depend on the stock market for their income.
Buying stock is easy. Virtually anyone can perform this task. The hard part of dealing with stocks is knowing when to sell the stock. Knowing when to sell your stock is always easy. Sometimes investors are ruled by their emotions and you must take your emotions out of the objective when learning when to sell your stock.
You will never be able to sell your stock at every peak time when you are investing and you will never be able to always buy stock that falls dramatically. When you purchase stock, you should purchase stock with every intention of selling it for a profit in the future. You must place careful planning into what we call an "exit strategy". This will enable you to research what truly motivates you in making investments in the first place.
Great investors always know when to cut their losses while allowing their profits to run. When dealing with the stock market, you should always have an exit strategy. In a perfect world, you will ride the winners to the top while minimizing the damage.
You must keep in mind that no system is ever fool proof. In dealing with volatile stock, you can get stopped out of a price far worse than what you had hoped for. Once a price is triggered, the price will become market price sale and this is a sale at what the market will bear. Typically, this is not a problem but with volatility, this can make your price impossible to fill.
US stocks do not accept trailing stop orders. If you are dealing with thinly traded stocks, the US does not accept "hard" stops. Outside of the US exchange rarely, accept stop orders at all. Keep in mind that trailing stops are constantly on the move and based on the price of a stock. Normal hard stops are placed on a specific price while remaining regardless of what the stock actually does.
Trailing stops change according to how the stock performs. The higher the stock climbs, the higher the trailing stop is placed. If the exchange will not accept this order then you will have a few alternatives. Your broker can place a mental stop on the stock or you can place a mental stop on the stock. You must have a trailing stop strategy and remember there is no guarantee of not losing money with the stock market.
Before jumping into the stock market, ensure that you seek the advice from seasoned professionals who have been performing within the stock market for awhile. Most stock market veterans are more than happy to share their advice as well as tips to beginners of the stock market.
Mike Downs, former automotive quality manager and operations manager turned entrepreneur, assists the average individual understand trading and market dynamics to help achieve profits in today's evolving market. In his latest project, "Trading The Recession", he shares how to use technical indicators to gain insight into the validity of a trend. This can be found at http://www.tradetherecession.com and you can follow his insights athttp://www.mikedownsblog.com.
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