Yohay

This late night European Union Summit had some achievements. France, Italy and Spain insisted on focusing on measures for the current crisis, and not only long terms visions. The leaders agreed on allowing the bailout mechanism to directly recapitalize banks – a move that allows lifts the burden off Spain. In addition, the ESM will have no seniority, thus expected not to scare off private investors.

Spanish yields are falling and EUR/USD reached high resistance before retreating. Will this rally last? Or is this another short-covering rally like the post Greek election rally and the post Spanish bailout rally? Let’s see the decisions:

Read the rest of the article [B][I][URL="http://www.forexcrunch.com/5-holes-in-the-eu-summit-agreement-eurusd-rally-endangered/"]5 ...

EUR/USD broke out of yesterday’s (June 27th) narrow range, as the market mood soured prior to today’s EU Summit. The European leaders have plenty of pressing topics to discuss, starting with the alarming fiscal crises in Greece and Spain. As with other grandiose meetings, there is a lot of skepticism if any concrete measures will be announced. There was more bad news as German CPI and employment figures were below the market estimates. There are several key releases today, including a 10-y bond auction in Italy, and US Unemployment Claims.

Here’s an update on technicals, fundamentals and what’s going on in the markets.

Read the rest of the article [B][I][URL="http://www.forexcrunch.com/eurusd-june-28-slumps-as-eu-summit-expectations-fade/"]EUR/USD ...

EUR/USD continues to trade in a narrow range, as investors stay cautious ahead of the EU Summit on Thursday. The financial crises in Spain and Greece will be at the center of attention, but the European leaders will be discussing a range of topics, including the possibility of a cross-border banking union and closer integration of their budgets. Wednesday started off poorly with disappointing data for German Import Prices. In the US, there are two key releases, Core Durable Goods Orders and Pending Home Sales. The markets are hoping for some better news after yesterday’s weak Consumer Confidence release.

Here’s an update on technicals, fundamentals and what’s going on in the markets.

Read the rest of the ...

EUR/USD is showing some choppiness, reflecting market nervousness. At an EU summit scheduled later this week, European leaders will be discussing a range of topics, including the possibility of a cross-border banking union and closer integration of their budgets. Meanwhile, the Moody’s ratings agency downgraded 28 Spanish banks on Monday, which is putting further pressure on the euro. There are government bond auctions today in Spain and Italy. German Consumer Climate came in just above the market forecast, ending a string of weak German releases. In the US, CB Consumer Confidence, a key index, will be released later today.

Here’s an update on technicals, fundamentals and what’s going on in the markets.

...