Intraday Market Thoughts

Archived IMT (2010.09.14)

by Ashraf Laidi
Sep 14, 2010 17:13

THE US DOLLAR IS QEd; this may turn into the latest 2-letter dirty word for the US currency as Goldman Sachs reiterates its call for quantitative easing being inevitable this year; with as much as $1 trillion in fresh purchases of US Treasuries by the Fed seen ahead. Credit Suisse had already predicted $500-700 bln in purchases before year-end. But lets not blamed it all on QE for the Swiss Franc is rallying on UBS reports of an SNB rate hike this Thursday (to stem inflation & normalize policy); CAD rallying on positive industrial capacity figures (announced on twitter.com/alaidi) and JPY gaining on Ozawa defeat. GOLD HITS NEW RECORD at $1271 and silver surges past $20.30, as momentum traders target the March 2008 high of $21.30 which has yet to be hit. I still $1330 for gold this year, while calling for $23.30-70 for silver. USDCHF rebound seen capped at 0.9980s for now as traders eye the 0.9870s. USDCAD resumes its fall since the US jobs report (2 Fridays ago) triggered the 1.0570s failure in USDCAD. Use the ARCHIVES CAPABILITY of the IMTS to read prev entries. Going as far as 2 years ago.

 
 

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