US$ at high of day…

By Peter Boockvar - March 18th, 2010, 4:01PM

The US$ is at the high of the day vs the euro coincident with Greek CDS at the wides of the morning by 20 bps to 307 bps following the news this morning. This level is a 2 week high. In sympathy, CDS is wider in Spain, Portugal, Italy and Ireland. Bond yields are higher too and Greek stocks in particular closed down 3.4%. There is also an idiotic rumor out there that the Fed is again going to raise the discount rate after doing so a month ago. While they easily may but likely won’t anytime soon, there is zero chance the possibility of it would leak to a Wall St trading desk.

PERMALINK
Category: MacroNotes.

Comments

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data, ability to repeat discredited memes, and lack of respect for scientific knowledge. Also, be sure to create straw men and argue against things I have neither said nor even implied. Any irrelevancies you can mention will also be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

2 Responses to “US$ at high of day…”

Pat G. Says:
March 18th, 2010 at 10:44 pm
Rumors, innuendos and the illusion that somehow the USD is a “safe haven” aside, let’s state the obvious. The only reason the USD has a bid is because it’s the world’s reserve currency. Period..
JusTryinTaMakeIt Says:
March 19th, 2010 at 12:24 am
The EURUSD has been in a wave pattern for several weeks now with peak to trough taking about 2 days, and back up again. You could make some pretty good money during this period if you catch the wave. The past 2 days the wave was down. If the pattern holds, it will go up over the next few days. Explaining each movement by news events is purely a rationale. Today’s low is right where it was on March 10!