International investors are actively reducing investments in gold: the assets of the world's largest gold exchange fund SPDR Gold Trust fell this week to the lowest level since early 2009. Since the beginning of the year such funds decreased by 734 tons of gold. A volatility lately is such that the investment in it is not perceived as a conservative, but as risky. The outflow of client funds is observed from the majority of ETF (exchange traded funds), investment return of which is focused on gold. The assets under the management of...
There are plenty of forex traders who trade based on technical analysis only and tend to forget about economic reports which are heavily anticipated by those few who trade based on fundamental analysis or just try to trade the news. As a technical trader it is still important to know when economic news are released. The reason being is that the release of an economic report will, at least in the short term, impact price action and distort the charts by creating spikes and new technical traders often see their stop loss orders triggered and...
All forex traders need a good forex broker in order to be able to access the markets and trade. There are several hundred forex brokers out there to choose from and as forex trading increases in popularity more and more forex brokers appear which gives forex traders an increasingly growing choice. This also makes it harder to pick the right forex broker and it is important to ask some key questions in order to make the best choice. Forex trading is the most popular form of trading and the daily turnover is roughly $5 trillion. Entry...
A calm remains at the major stock markets on the eve of today's meeting of the Federal Open Market Committee (FOMC). Investors appear to have already taken into account in their quotations the reaction of the US Fed to 16-day break in the work of public institutions, which involves maintaining the current loose monetary policy. Some economists largely expect FOMC meeting to be a non-event. Everyone expects the Fed to keep its benchmark interest rate at at near zero (0 to 0.25%) and we can't seem to find a reputable economist...
The minutes of the last US Federal Reserve meeting showed that several voting members of the FOMC were open to tapering the current $85 billion economic stimulus package known as QE3. QE stands for quantitative easing which was started by outgoing US Fed Chief Ben Bernanke in an attempt to stabilize the US economy during the Great Recession. While QE3, as well as the previous two stimulus packages, have artificially kept the US economy afloat and outside of a technical recession, defined as two consecutive quarters of negative GDP, the long...
