EurO UndeR PressurE & GolD…May 30
It seems that the crack is fast appearing in the Spanish banking system and ECB is unwilling to come to its rescue due to size of damage, which may not be easily repairable. This could be one big factor that sensing problem ahead, the Spanish Prime Minister appeared in an emergency news conference on Monday to give confidence about its banking system, which is certainly not in good shape.
The reason is very simple that the Spanish banks have already sucked in large chunk (Over ¼ pct of LTRO money) and yet Bank Capitalization still remains a big issue. LTRO requires collateralization and Spain’s banks fall short in value, which means its banking system is at huge risk and this is bad news for the Euro-zone.
Therefore all eyes will be on Spain’s bank shares and 10-year bond for further guidance, which is hovering below 6.5 pct yield and I will not be surprised to see a break. Spain’s banking share will also be watched with keen interest and world will be watching Spanish and European equity for more clues. Today’s Italian bond auction will be another important event that will be keenly watched and therefore, until of European opening EURO will surely remain under pressure unless support comes from behind the scene.
However, later in the day Euro could make a surprise bounce back either on technical ground or on false hope. I will keep you posted about the development that takes place.
PicK ToP tO SelL EurO & GolD -May 29
http://www.forexstreet.net/profiles/blogs/pick-top-to-sell-euro-gold
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Comment by Manish Patadia on May 30, 2012 at 7:50am -
ranges in gold possible break 1540
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Comment by asad rizvi on May 30, 2012 at 7:57am
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Manish = Click on the link for Aziz Shaikh's latest coments. I think he is very capable of guiding this market http://www.forexstreet.net/profiles/comment/list?attachedToType=Use...
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Comment by elanthiraiyan on May 30, 2012 at 8:06am -
just leave him mr.asad.. keep up ur good work
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Comment by matahari muda on May 30, 2012 at 8:26am
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Do not listen to anybody's bad or insulting reply Mr.asad rizvi .
Here You are the one that I trust and follow.
Anyone who follow you is 100% his responsibility.
If Aziz has many followers, Why he listen to you and complain to your opinion?
Most of followers of you are 100% royalty to you.
Pls Don't think about soneone's complainment.
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Comment by Marjan on May 30, 2012 at 9:32am -
hello sir, can you suggest us please where should gold find top
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Marjan, I think you should ask this question to Yazeed Shaikh after reading his coments on this link....http://www.forexstreet.net/profiles/comment/list?attachedToType=Use...
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Comment by Andrey on May 30, 2012 at 10:52am
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Sir, pay no attention to the mentally ill
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Comment by Ronald Mewengkang on May 30, 2012 at 11:37am -
u'r still the best mr. asad....
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