MORNING BRIEFING: The pound sterling has risen sharply against all major rivals.

[RTFX-Trading]

MORNING BRIEFING: The pound sterling has risen sharply against all major rivals.

What’s new:
Japan's government said that the recovery is there, but the economy remains fragile.
United States: Geithner said that the recovery will be slower than usual.
United States: the US Treasury refrained from accusing Beijing of speculation the Yuan.
Oil: still up near $78 a barrel.
United States: rising consumer prices, lower unemployment.
United States: Sharp decline in the Philadelphia Fed index in October.
United States: Empire State index at its highest since October 2004.

Today:


Rates in Asia and Indices:
EURUSD: 1.4967 - 1.4891.
USDCHF: 1.0186 - 1.0130.
EURUSD: 1.6399 - 1.6252.
EURJPY: 136.03 - 135.21.
USDJPY: 90.99 - 90.51.
Dow Jones: 10'240 +0.02%.
NASDAQ: 2'173 +0.05%.
S & P 500: 1'096 +0.42%.
Nikkei: 10'062 +0.47%.
Shanghai: 2'966 -0.46%.
Gold: $1'047.
Crude oil: $77.88.
 
Comments:
The consumer prices rose slightly in September and weekly jobless claims were at the lowest in nine months, last week; supporting the idea that the recovery of the US economy is coming. The market bought a lot of "carry trades" following these encouraging figures. The GBP/JPY has increased from 143 to 148.50 yesterday morning, up nearly 4%; the AUD/JPY displays a very strong increase of 81.80 to 84.00, an increase of almost 3%; the NZD/JPY is also up from 66.20 to 68.00 an increase of almost 3%.

The pound has risen sharply against all major rivals. The decline in unemployment in England, the executive director of Global Markets of the BoE Paul Fisher said that the BoE does not have “benign neglect” policy with sterling and that Sainsbury was subject to bid by Qatar Investment Authority prompted investors to increase the purchase on the pound sterling.

Good day.

Nicolas Longchamp
RTFX Ltd
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