France FinMin Baroin: EMU Must Implement July Decisions

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• Please help a cause near and dear to my heart
• France FinMin Baroin: EMU Must Implement July Decisions
• G20 Ministerial Meeting on Development Communique Text
• EU’s Rehn Text: Balance of Interim Risks ‘To the Downside’-2
• EU’s Rehn Text: Balance of Interim Risks ‘To the Downside’
• Japanese Official: Not Considering Swiss Approach
• ECB Trichet: Contagion Risks Threaten EMU Fin Stability
• One Final Twist
• ForexLive North American Wrap Up: Metals Pummeled, Rumors Abound
• Trichet: Systemic Risks Have Increased Considerably
• Fed’s Dudley:Must Not Backslide On Committment To Intl Reg Rfrm
• Worst Week on Dow Since Oct. 2008
• USD Net Long at Most Since June 2010: CFTC Report
• USD/CAD Weekly Chart: Wow
• Cable Pops Toward Session High
• BNP Paribas Not Looking to Raise Cash: CNBC
• US’s Reid, Pelosi Offer Compromise To End Funding Dispute
• Fed’s Williams:Fed Asset Buying Cuts L-T Rates;Impact Unsure
• US Reid, Pelosi Offer Compromise To End FY’12 Funding Dispute
• Fed’s Dudley: Anemic Recov Despite Agg’rve Easing Due to Crisis

Please help a cause near and dear to my heart Posted: For the past several years the ForexLive community has generously supported the Buddy Walk. The Buddy Walk® was established in 1995 by the National Down Syndrome Society to celebrate Down syndrome Awareness Month in October and to promote acceptance and inclusion of people with Down syndrome. If you would like to help, please follow this [...]

France FinMin Baroin: EMU Must Implement July Decisions Posted: By Yali N’Diaye WASHINGTON (MNI) – French Finance Minister Francois Baroin Friday said there is no need to implement a different strategy than the one decided in July by EMU leaders to ensure the stability of public finances in the Eurozone, the “epicenter” of the current crisis. During a press conference following the G20 Ministerial [...]

G20 Ministerial Meeting on Development Communique Text Posted: WASHINGTON (MNI) – The following is the communique issued after the G20 Ministerial Meeting on Development Friday: 1. We, the G20 Finance Ministers and Ministers in charge of development and international cooperation, met today for the first time to address development challenges as part of the global economic agenda. With developing countries acting as key [...]

EU’s Rehn Text: Balance of Interim Risks ‘To the Downside’-2 Posted: WASHINGTON (MNI) – The following is the second and final section of the text of the statement Saturday on behalf of the European Commission to the IMFMC by EU Commissioner for Economic and Monetary Affairs Olli Rehn, published Friday night: International cooperation will be critical to ensuring the longevity and sustainability of financial reforms and, [...]

EU’s Rehn Text: Balance of Interim Risks ‘To the Downside’ Posted: WASHINGTON (MNI) – The following is the text of the statement Saturday on behalf of the European Commission to the IMFMC by EU Commissioner for Economic and Monetary Affairs Olli Rehn, published Friday night: The current outlook for the global economy is subject to high uncertainty and elevated risk aversion in the financial markets. GDP [...]

Japanese Official: Not Considering Swiss Approach Posted: An official at the Ministry of Finance is quoted on Reuters saying the Swiss approach on FX is not an option because it would mean abandoning monetary policy. He said as long as deflation continues, upward pressure on the yen will be sustained.

ECB Trichet: Contagion Risks Threaten EMU Fin Stability Posted: WASHINGTON (MNI) – Rapidly rising risks of contagion are threatening financial stability and growth prospects in the Eurozone, European Central Bank President Jean-Claude Trichet said Friday. To keep the crisis in check, all authorities must take decisive and swift action, Trichet said. “Risks to the stability of the EU financial system have increased considerably,” he [...]

One Final Twist Posted: The week ends like the horror movie it was… with one final scare letting you know the sequel is coming. Some charts are showing huge moves at the close like a 150 pip drop in the last minute in cable but the trades aren’t real anywhere I’m seeing. Closing bids: EUR/USD 1.3496 USD/JPY 76.58 GBP/USD [...]

ForexLive North American Wrap Up: Metals Pummeled, Rumors Abound Posted: Rumors of a French TARP Reports suggest plan to speed up permanent €500B EFSF replacement Talk of EU sponsored Greek debt exchange Speculation of an ECB rate cut Trichet: no risk of materialization of inflation or deflation risks Greek Fin Min: 50% haircut on bonds is one of three options; others quick to deny BNP [...]

Trichet: Systemic Risks Have Increased Considerably Posted: Sovereign stress has spread to larger econs Rapidly rising risk of contagion threatens financial stability Decisive action needed from all More… Authorities should take EFSF cash to recapitalize banks Sees no risk of materialization of inflation or deflation risks ECB stands ready to provide unlimited liquidity up to 3 months

Fed’s Dudley:Must Not Backslide On Committment To Intl Reg Rfrm Posted: –Citigroup’s Pandit: Can’t Assure Sys Safety Just Thru High Cap Reqmnt By Brai Odion-Esene WASHINGTON (MNI) – While regulatory reform might be moving at different speeds around the world, the goal must still be to achieve a level playing field across jurisdictions, as to do otherwise would spark a “race to the bottom,” New York [...]

Worst Week on Dow Since Oct. 2008 Posted: Worst week since Lehman went bankrupt for the big caps, down 6.4%. S&P500 down 6.6% Nasdaq -5.5% On the day, S&P500 up 0.6% to 1136 Closed below 200-week moving avg

USD Net Long at Most Since June 2010: CFTC Report Posted: A quick look at the report: EUR shorts increased 46%, largest net short since July 2010 JPY long up about 25% GBP short +34K to 59.7K, largest net short since Feb 2010 AUD still long but cut back 14K to +23K CAD short trimmed by 1K to 5K CHF still net long but open interest [...]

USD/CAD Weekly Chart: Wow Posted: I hate to see my currency fall but I can't ignore this chart showing a massive breakout to the upside in USD/CAD. Hard to buy here though, we need to go back and retest around 1.0050, or maybe that's hope talking. Beyond that, it looks like 1.0850 at least (probably when the BOC starts talking [...]

Cable Pops Toward Session High Posted: A big order of GBP/USD just rolled through, pushing the pair up 40 pips to 1.5480. NY high is 1.5487.

BNP Paribas Not Looking to Raise Cash: CNBC Posted: Either they’re solvent or stupid. Could help EUR and ‘risk’. Update: It was the CEO on CNBC, not CNBC reporting. God forbid CNBC do any journalism. It’s less trustworthy in this case.

US’s Reid, Pelosi Offer Compromise To End Funding Dispute Posted: –Retransmitting 14:47 ET Story, Fixing Typo in 14th Paragraph –Hill Dems Say They Will Agree To GOP’s Disaster Funding Request –Sen. Reid: Dem Plan ‘Averts A Government Shutdown’ –Rep. Pelosi: Democrats Are Offering ‘A Very Excellent Compromise’ –Rep. Hoyer: Democrats Proposal Would Pass The House Easily By John Shaw WASHINGTON (MNI) – Senate Majority Leader [...]

Fed’s Williams:Fed Asset Buying Cuts L-T Rates;Impact Unsure Posted: By Steven K. Beckner WASHINGTON (MNI) – San Francisco Federal Reserve Bank President John Williams said Friday that the Fed has a proven ability to lower long-term interest rates through large-scale asset purchases, but said the economic impact of those purchases is uncertain. Williams said the $400 billion “maturity extension program” launched Wednesday by the [...]

US Reid, Pelosi Offer Compromise To End FY’12 Funding Dispute Posted: –Hill Dems Say They Will Agree To GOP’s Disaster Funding Request –Sen. Reid: Dem Plan ‘Averts A Government Shutdown’ –Rep. Pelosi: Democrats Are Offering ‘A Very Excellent Compromise’ –Rep. Hoyer: Democrats Proposal Would Pass The House Easily By John Shaw WASHINGTON (MNI) – Senate Majority Leader Harry Reid and House Minority Leader Nancy Pelosi Friday [...]

Fed’s Dudley: Anemic Recov Despite Agg’rve Easing Due to Crisis Posted: By Steven K. Beckner WASHINGTON (MNI) – New York Federal Reserve Bank President William Dudley Friday blamed the United States “unusually anemic recovery” on the severity of the financial crisis and its aftermath. Speaking two days after the Fed’s policymaking Federal Open Market Committee adopted new measures to lower long-term interest rates, Dudley said the [...]