Intraday Market Thoughts

Archived IMT (2009.01.23)

by Ashraf Laidi
Jan 23, 2009 10:23

SLUMDOG-BOUND G7. The race to the bottom amid G7 economies speeds up the risk-reduction trades as macroeconomic data pushes superlatives to higher levels. Whether it is the 35% plunge in Japanese exports, a 16% decline in US building permits or the first UK recession in 18 yrs (bigger than exp 1.5% Q4 GDP drop in Q4), the escalating gloom is not only further shortening the life of equity market bounces but also lengthening the advances in risk-driven currencies such as the yen. USDJPY would come under prolonged downside pressure in the event that Obama Administration pressures China into further currency reval. USDJPY, EURJPY & GBPY test 88, 112 and 119.


Latest IMTs