Even casual observers of the forex markets will have noticed that it has been a bit of a wild ride over the last several months. And, while currency volatility has spiked, equities have remained relatively placid. If this chart showing the historic relationship between the...
We mentioned yesterday that the US dollar is again breaking out and that tends to be negative for most stocks around the world. Today, we thought we would continue to look at US dollar strength. The nominal trade-weighted dollar index by major currencies is again very...
The real trade-weighted exchange rate index against major currencies has reached its highest level at the end of January since April 2003. The broader index is currently at a 69-month high. The major currency index includes six currencies (Euro, Yen, Canadian Dollar, Pound Sterling, Swedish...
The EUR is trading at levels not seen in over a decade, in the wake of the ECB’s big QE announcement today....
While we mostly use our point-and-figure charts to gauge the relative strength of a stock versus a benchmark, we also look at things like currencies– albeit on an absolute basis– in order to get a better picture, with less noise....
The purchasing power parity (PPP) theory basically states that the exchange rate between two countries should adjust so that a basket of goods in Country X costs the same as it does in Country Y when priced in the same currency....
