What are the perspectives of investing in Australia?

Market Leader informed

Foreign investors show growing interest in Australia, which is quite logical as Australia is a most safe country in terms of investments. The net amount of the deals made by foreign buyers over the period of 2008-2009 is 25 billion Australian dollars. Most investors come from the UK, Hong Kong, Japan. Over the mentioned period of time they purchased 988 dales and 3639 homes.

Thanks to such an increased inflow of the foreign buyers Sydney sees growing demand for fixed property in the Central Business District, western suburbs and areas of the Northern Coast.

According to experts from the Department of studying Masterforex-V trading system , AUDUSD has finished a bearish wave of level D3 (1,0181-0,9536) and is currently developing a bullish correction to it. Having made a rebound from 0,9638, the prices is most likely to continue the downward movement. To start a new uptrend it will have to get over the pivot at 0.9950.

Will Euro bring luck to Estonia? Shocking comparison of Estonia and Ireland.

Market Leader informed

While the economic crisis is rending Europe (Greece, Ireland, Spain, Italy) and the population of these countries blames the common European currency for it, on Jan 1^st 2011 Estonia is to exchange its national currency for Euro. Will it bring luck or misfortune to the new member of the Euro zone? The opinions of the pro-governmental and opposing mass media contradict each other. So, let’s consider the problem and try to find out the answer to the question in order to understand the investment trend in Estonia as well as the impact that the event will have on the Euro currency rate.

Estonia is the most northern Baltic state, the economy of which has shown amazing pace of growth. Later it was called the Estonian economic miracle, members of the Estonian Association of Traders under Masterforex-V Academy explain. The real income of the population was improved and evened up, which became possible due to strong authorities and their reasonable economic policies. In terms of transformation quality, Estonia stands out in the crowd of the other EU newcomers (Romania, Bulgaria, Hungary). Many times the EU authorities sited Poland and Estonia as examples.

Sugar: daily market overview

Market Leader informed

 

Not long ago Cameroon bought 58.000 tons of sugar for domestic consumption.

33.000 tons came from Brazil. Traders didn’t react to the event with an increase in the demand for sugar, which underlines the confidence in sufficient reserves at the market of sugar and the ability of the world’s leading sugar producers to satisfy the demand.

The sugar price has considerably exceeded the local high. Moreover, the volume of the preceding Daily down-bar remains higher than the volume of today’s one.

 

Does the Greek economy recover?

Market Leader informed

Dominique Strauss-Kahn, Managing Director of the International Monetary Fund, says the IMF may extend the term of the Greek debt payments. The decision should be approved by the EU authorities. Dominique Strauss-Kahn is impressed by how many efforts Greece makes to recover its economy. He hopes that by 2012 Greece will have reached positive values. However, according to him, Germany is against extending the term form 3 to 11 years.

Meanwhile, Greece keeps seeing protest actions.

EURUSD is retracing against the bullish wave 1.2968-1.3422. At the Department of studying Masterforex-V trading system they suppose that the price is currently developing wave a (C )/C.

At 11.00GMT Germany is to release its data on Industrial Production

 

 

 

 

The British are losing their savings

Market Leader informed

The UK’s former Prime Minister Gordon Brown has published a book dedicated to the financial crisis. According to him, each Briton lost about £14.000. The total sum is lost is over £800B.

The British citizens were losing their savings mostly due to the price decline in the UK housing market, resulting in investment profit reduction. During the crisis the national economy declined almost by 5% while the sovereign debt increased up to 70% of the GDP. According to the analytic research for 2010, the UK citizens are going to lose £250B more.

In the meantime, GBPUSD is retracing from the achieved highs. According to the Department of studying Masterforex-V trading system , by now GBPUSD has terminated wave C from 1.5510. The newly-formed wave needs a “moment of truth” to define the direction of the forthcoming movement.

Dec 8^th. News (GMT):

11.00 GB - CBI

12.00 US - МВА Index                       

15.30 US - DOE U.S. Crude Oil Inventories

6ECONT and EURUSD: widening flat brings no certainty

Market Leader informed

Over the last few days the market has seen some balanced opposition of the bears and bulls resulting in a widening flat within the 1.3200 – 1.3420 range.

The market sentiments are changeable. On the one hand, the currency pair has managed to consolidate and make some bullish efforts. On the other hand, the bears remind that they have in store a significant potential and are not going to give up in the short run. Moreover, in terms of tech analysis, the long-term chart of the currency pair looks more optimistic for the sellers.

The news factor may influence the market at 11.00GMT (combined news block for the EU and UK) and 15.30GMT (US news releases).

For today’s European trading session the Department of Volume Analysis of Masterforex-V Academy has defined the following trends:

The mid-term trend of EURUSD is consolidation within the given rage

The short-term trend of 6ECONT (EURUSD futures):

Silver: what will be the future prices on the precious metal?

Market Leader informed

As soon as on Monday silver exceeded $30 per ounce for the first time since 1980, traders and analysts started questioning the bullish tendency.

Silver and gold have been popular with investors as safe assents under the long-lasting crisis in the Euro zone and the perspectives of the Fed Reserve’s further quantitative easing. Moreover silver is also popular with investors because it is used in industrial production.

Despite the fact that gold has recently reached its record-breaking price level, which is $1430 per ounce, silver has “defeated” gold in terms of profitability, i.e. $100 of investments will bring $180 (+80%) for silver and $130 (+30%) for gold.

The future mid-term movement of silver may be affected by the following factors:

·         The reduction of silver reserves, increased market interest, the Fed Reserve’s policies and the Euro zone crisis speak in favor of its uptrend. In 2011 silver is expected to be in deficit as the global economy is expected to continue recovering, which means that the demand for silver will be strong.

·         The production of silver has been reduced over the last few years as numerous industries have shown little demand for it lately. So the prices are conditioned by investment demand, not by industrial one, which definitely doesn’t favor the uptrend of silver.

Irish crisis – step by step

Market Leader informed

 

Finally it happened. After resisting for sometime Ireland eventually decided to compromise and accept the financial aid from the European Union to the sum of dozens of billions (EUR) to support its banking system.

The world community breathed with relief.

The Irish prime minister’s speech at the end of the last week was met with general approval as until the last minute the Irish authorities had been trying to convince everybody that they didn’t need any external help.

It is quite explainable because over the last 10 years the Irish economy has been a role model in terms of how to build the economy in the EU countries. Yet, they do not want to “come back to earth”. The fact that the financially stable country suddenly went broke certainly needs considering as the situation is really critical.

One of the reasons for it was the rapid decline in the housing market, which undermined the banking system making numerous Irish banks fall into the debt abyss. The government allocated 50B euro to help the banking system, which led to the budget deficit growth.

Taking into account Ireland’s reputation and the service it rendered to the EU in terms of forming a favorable image, numerous analysts  are inclined to consider Ireland to be the main threat to Euro.

Irish crisis – step by step

Market Leader informed

 

Finally it happened. After resisting for sometime Ireland eventually decided to compromise and accept the financial aid from the European Union to the sum of dozens of billions (EUR) to support its banking system.

The world community breathed with relief.

The Irish prime minister’s speech at the end of the last week was met with general approval as until the last minute the Irish authorities had been trying to convince everybody that they didn’t need any external help.

It is quite explainable because over the last 10 years the Irish economy has been a role model in terms of how to build the economy in the EU countries. Yet, they do not want to “come back to earth”. The fact that the financially stable country suddenly went broke certainly needs considering as the situation is really critical.

One of the reasons for it was the rapid decline in the housing market, which undermined the banking system making numerous Irish banks fall into the debt abyss. The government allocated 50B euro to help the banking system, which led to the budget deficit growth.

Taking into account Ireland’s reputation and the service it rendered to the EU in terms of forming a favorable image, numerous analysts  are inclined to consider Ireland to be the main threat to Euro.

Fed Reserve to announce receivers of $3.3B financial aid

Market Leader informed

On the order of the US Congress the Fed reserve is to announce the receivers of financial aid to the sum of $3.3B. The legislators urged the Fed Res publish the info after it adopted the financial-aid plan, which reduced the size of the 700B governmental program of supporting risky assets.

So, the info should be published at the Fed Res internet site at noon as provided by the Dodd-Frank Act. The report mentions 6 programs of lending through implementing currency swaps with other central banks and trough obtaining mortgage bonds and investing in Bear Stearns and American International Group.

The data say the Fed Res supports Bank of America and General Electric as previously the collapse of Lehman Brothers became the reason for a considerable increase in spending connected with lending to individuals.

Such actions are expected to intensify the criticism against the US central bank’s actions, especially if to take into account the reaction to the decision made by it on Nov 3^rd 2010 about pouring $600B into the national economy. The Republicans opposed the decision saying such measures might end up with inflation growth and unjustified increase in the value of numerous assets.

Howard Friend, chief economist for MigBank, says that all these attacks are aimed at making political capital. Yet the political criticism is not expressed through deeds while any decision made by the Federal Reserve is always discussed very actively.

Experts of the Department of studying Masterforex-V trading system made their forecast on the further movement of the USD index in the article called “Europe isn’t satisfied with the US monetary policy. What will be the USD currency rate?”