A few hours ago the euro hit a new low since September 2010 against the U.S. dollar and pound sterling, rising to a new default versions of European countries.
To the question of Greece, which adjustment plan to prevent total collapse has been developed with a great difficulty and debt problems in Italy and Spain, which must pay increasingly expensive to finance its deficits, France also had to accept increased cost of bond issues on the morning of Thursday. This resulted in the acceleration of the euro fall on all fronts.
Lowering against the pound is remarkable. While its junction with the dollar suffers the vicissitudes logic supply and demand, but not to other currencies as it reflects the general weakness of the single currency.
Thus, the crossing EUR/GBP falls to its lowest since September 9, 2010, and is close to 0.8170, where it has a solid support. And against the yen, the euro is playing lows (at least from its effective date, exactly 10 years). Sure, in 2002, the USD/JPY area exceeded 135, and the euro, newborn was below parity against the dollar. The figures are the same, but times have changed...
The market takes interesting edges in these circumstances. As Europe seeks to demonstrate how bad that is going to all its members, and continues to commit blunders through his troubled and greedy leaders, other countries show a different picture.
Oil, a true reflection of the global economy, does not fall from $100, after a slumber in the range of 80 to $ 90 for much of 2011. And this high value of the barrel is reflected in the Canadian dollar, which represents a nation whose main problem seems to be a resident of the United States, especially when this goes wrong, but it also represents its main advantage in favorable circumstances.
The Loonie's exchange rate against other leading currencies reflects the strength of the Canadian economy, and in all cases the Bank of Canada is closely monitoring its currency, to avoid uncomfortable insights.
Something similar happens in Australia, where the Ozzie mirrors not only the price of an ounce of gold, but also of economic strength based on strong exports to China, a country which has the privilege of having a neighbor.
The final hours ever put more black and white these situations, and the coins show clearly the reality of each country, and in the case of the euro, the entire eurozone.
The bags of the old continent operate at a loss, moderate, but losses to end in some cases exceeding 1.4% on average. The same happens with the Dow Jones index futures, which had started the week with a major increase, leaving a gap that invariably go to cover, bringing down major currencies.
Within minutes you will know the relevant data first year: the ADP survey of job creation in the U.S. in December. The previous talk about 176,000 new private sector jobs compared with 206,000 in November. But these figures are subject to revision, and there is that it should await the publication of the data to take action in the market.
Also know the weekly unemployment requests, at 8:30 Eastern, and the ISM service, another key figure, at 10:00.