{"id":51752,"date":"2006-06-13T09:18:14","date_gmt":"2006-06-12T23:18:14","guid":{"rendered":"http:\/\/www.fnarena.com\/index.php\/2006\/06\/13\/world-cup-takes-pressure-off-the-usd\/"},"modified":"2006-06-13T09:18:14","modified_gmt":"2006-06-12T23:18:14","slug":"world-cup-takes-pressure-off-the-usd","status":"publish","type":"post","link":"https:\/\/staging.fnarena.com\/index.php\/2006\/06\/13\/world-cup-takes-pressure-off-the-usd\/","title":{"rendered":"World Cup Takes Pressure Off The USD"},"content":{"rendered":"<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">Currency markets are well known for looking for distractions, London&#8217;s Lloyds TSB economic team points out. <\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">This time round it is the World Cup that is drawing attention away from issues at hand and that seems set to take the pressure off the US dollar, in the short term at least. <\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">The economists are of the view that 1.2700 (against the euro) will be tested imminently with 1.2600 or 1.250\/70 possible by next week. <\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">However, they feel the pair will then head back up after the initial drop. <\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">As far as the Australian dollar is concerned, the economists say the &quot;commodity strength story is way over done on the upside.&quot;<\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">As such, any significant correction in commodity prices is likely to impact the AUD, as well as the CAD, and to a lesser extend the NZD.<\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">Historical analysis shows the economists that there is a correlation between the EUR\/USD rate and the price of oil, particularly over the past 12 months. <\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">Therefore, they predict oil prices to enter a corrective phase as the EUR\/USD takes a dip.<\/font><\/p>\n<\/p>\n<p>By Terry Hughes<\/p>\n","protected":false},"excerpt":{"rendered":"<p>With all eyes on the World Cup and traders distracted, Lloyds TSB expects the EUR\/USD to take a dip into next week. As for commodity prices, the strength story has been overdone, the economists say.<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5],"tags":[],"acf":[],"_links":{"self":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts\/51752"}],"collection":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/comments?post=51752"}],"version-history":[{"count":0,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts\/51752\/revisions"}],"wp:attachment":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/media?parent=51752"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/categories?post=51752"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/tags?post=51752"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}