Week in FX Americas – Obama Fails to Bring Relief

Friday’s much anticipated speech from the US President elect has failed to bring relief to the many who seek clarity on how to address the Fiscal Cliff. Market reaction had US bond prices ticking higher, equities giving up ground and the ‘big dollar’ losing some of its safer footing against the Yen. Obama it seems is leaning towards the balanced approach. He is determined to get the Fiscal Cliff talks going and knows that any solution must include spending cuts and raising revenue, including raising taxes on the wealthiest. We can this to be a tortuous procedure for the markets.

 

WEEK AHEAD

  • GBP Core Consumer Price Index
  • EUR ZEW Survey - Economic Sentiment
  • GBP BoE’s Governor King Speech
  • USD FOMC Minutes
  • EUR Consumer Price Index
  • EUR Gross Domestic Product
  • USD Consumer Price Index Ex Food & Energy

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, he established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza