Monday, November 2, 2009

UBS: this week could have a significant impact on currency markets

As noted by analysts UBS, this week is full of momentous events: on Wednesday scheduled FOMC meeting the Fed, on Thursday will announce a decision on rates, the Bank of England and the ECB, but on Friday the summit begins Big Twenty. This week's events could have a significant impact on currency markets and the global economy as a whole, as well as monetary authorities, and investors will try to identify strategies for next year. In this context, if the Fed on Wednesday did not demonstrate a strong mindset, the ECB will be forced to follow suit. At this stage, the ECB's monetary authorities can not afford more aggressive tone than the Fed, because the European Central Bank has already expressed dissatisfaction with the strengthening of European currencies. Also, pay attention to the bank, now November, and the elimination of positions at the end of the year could undermine the situation in the currency markets.

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