Stimulus, Rescue Plans Fail To Stimulate Or Rrescue

Daily Forex Fundamentals | Written by AC-Markets | Feb 12 09 10:21 GMT |

Market Brief Asian markets continued to dwindle as the U.S Stimulus package failed to impress anyone. This was further exacerbated by the lack of response by the U.S government to this generalized pessimism. The Nikkei dropped by a frightening -4.92% this morning, while the Hang Seng fell by -3.3%. The ASX plunged by -4.2% after a $28Bn economic stimulus package was rejected by lawmakers. The AUDUSD traded amidst heightened volatility as a result - seeing the Aussie decline sharply to 0.6480 territory, however it seems a lot of this was already priced in. The EURUSD is seen converging around a 1.2900 handle, however further news impetus will continue to weigh on the pair - 1.2707 seen as short-term target, passing by 1.2847 as key currency level. The USDJPY see's Japan's haven currency appreciate - much to the disdain of the home economy - largely supported by exports. In the news today, Spain announces it is officially in recession as its GDP declines by 1.00%. US Initial Jobless claims are expected at 13:30 GMT - expected to come out lower than the previous -626K at -610K. ACM FOREX Disclaimer: This report has been prepared by AC Markets (thereof ACM) and is solely been published for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any currency or any other financial instrument. Views expressed in this report may be subject to change without prior notice and may differ or be contrary to opinions expressed by Salesperson or Traders of ACM at any given time. ACM is under no obligation to update or keep current the information herein, the report should not be regarded by recipients as a substitute for the exercise of their own judgment.