http://www.gftforex.com/resources/analysis/analyst.asp?analyst=Kathy%20LienThe latest market commentary from Kathy Lien, Director of Research, GFT (c) 2010, GFT. All rights reserved.5For readers of the Daily Currency Focus, it should be no surprise that the dollar has continued to weaken. On Wednesday, we said that the actions by the Federal Reserve have cemented the downtrend in the U.S. dollar. Given how currency traders have responded to previous Quantitative Easing threats and announcements, the EUR/USD could realistically hit 1.40 (see charts). Although equities have given back its gains and bond yields have rallied, the moves in the currency and commodity markets indicate that the Fed’s actions will have a lasting impact on the financial markets. As we look forward to more dollar weakness, it is worthwhile to consider how a weaker dollar impacts the global economy. http://www.gftforex.com/analysis/864/which-currencies-will-do-best-against-the-u-s-dollarThu, 04 Jun 2009 12:06:33 GMThttp://www.gftforex.com/analysis/1139/feature-article--572009-21433-pmFri, 08 May 2009 04:42:56 GMTPositive U.S. economic data is counteracting the strain that the swine flu and the initial results of stress tests are having on the currency markets. http://www.gftforex.com/analysis/1100/dollar-bulls-weigh-confidence-against-stress-tests-and-swine-fluTue, 28 Apr 2009 10:14:57 GMTThe lack of any meaningful U.S. economic data along with fear that the swine flu has the risk of turning into a global health crisis has caused investors to flock into the safety of the U.S. dollar. We have always said that when it comes to currencies, investors and traders always sell first and ask questions later. http://www.gftforex.com/analysis/1096/u-s-dollar-fomc-and-gdpMon, 27 Apr 2009 16:58:09 GMTThe U.S. dollar has strengthened against all higher yielding currencies on the fear of a global health pandemic. A respiratory disease known as the swine flu is spreading across the globe.http://www.gftforex.com/analysis/1093/dollars-reaction-to-swine-flu-temporaryMon, 27 Apr 2009 10:44:52 GMTThe greenback faces broad selling today as risk tolerance improves along with equity rallies. The equity rallies were primarily fueled by the gradual uncovering of stress test details and upbeat earnings. The same story of components have been the major market driver for the entire week .Today however, we threw some new factors into the mix including some of the only relevant economic data to be released this week. Even though markets are still net losers since Monday, the voice of optimism is still clearly audible. The Dow today advanced by about 100 points. The dollar was stronger against the pound and yen, but lower against the euro, cad, aussie, and kiwi.http://www.gftforex.com/analysis/1089/us-dollar-rocky-week-ends-on-positive-noteFri, 24 Apr 2009 16:50:59 GMTThis week’s primary influence has been deeply rooted in speculation over stress test results as well as the flood of earnings reports that, so far, indicate that profits are on the rise. These mixed signals have been too much for the Dow to bear. The index was sent back and forth between positive and negative territories. Within the last hour of the trading day, the Dow plummeted off of 60 point gains to end the day down more than 80. Nevertheless, the market may remain range bound until the entire earnings season has played out and all stress tests have been made public. Until this time we may be subject to a constrained trading pattern. The currency markets choose the pound to be the big loser of the day. Otherwise, the dollar rallied against the commodities currencies but fell against the yen and euro.http://www.gftforex.com/analysis/1070/us-dollar-the-stress-test-questionWed, 22 Apr 2009 16:38:55 GMTGlobal equities took a severe pounding in today’s trading. For the U.S., concerns over another wave of banking crises seem to take hold of investor’s sense of fear and uncertainty. The Dow was sent down more than 3.0%, while crude prices plummeted nearly 9.0% on the day. With economic data at a minimum for this week, the primary driver in the U.S. will remain to be the flood of corporate earnings. While news has been primarily promising thus far, many are still convinced that this will be the seventh consecutive monthly decline in corporate earnings. Accordingly, the standard risk adverse formation took shape in favor of dollar and yen strength. Crosses bared the brunt of the selling, sending AUD/JPY spiraling down by more than 4.5%.http://www.gftforex.com/analysis/1052/us-dollar-bearish-markets-fuel-gainsMon, 20 Apr 2009 16:28:38 GMTCautious optimism is the perfect catch phrase for today’s events. Things are getting better but it is unclear whether or not this is just a break in the storm, or the very beginnings of stabilization. The Federal Reserve seems to believe that we are a long ways off, while recent economic data and earnings reports are pointing toward stabilization. The Dow spent much of the day trying to find the answer to this unanswerable question. In the end, the bulls were barely able to maintain control. The euro and pounds got hammered in today’s session, losing more than 150 and 120 pips respectively. Surprisingly, dollar strength was not enough to keep USD/JPY from sinking further. Commodity currencies were mixed on the day.http://www.gftforex.com/analysis/1046/us-dollar-cautious-optimismFri, 17 Apr 2009 16:50:06 GMTIn the first few months of 2009, volatility in the currency market has exploded. Surprisingly enough, this may be in line with seasonal trends.http://www.gftforex.com/analysis/1035/forex-seasonality-the-trends-of-currency-volatilityFri, 17 Apr 2009 09:39:38 GMT