Week's Market (6 Feb - 10 Feb)

The European crisis is still in news but now it’s repetitive appearance in headlines have been slower down. The Germany and France are playing key role to resolve this issue. The Greece debt deal is being signed in this week and it is going to have a soothing affect on world economic scenario in. The inflation in major economies is feared resulting from heavy bailouts.
The major economic indicators rose in the last month and there would be a positive attitude in markets as this situation is to remain in early 2012 in U.S markets. The growth in manufacturing and consumer spending is going to sustain economic recovery and moderate economic expansion.
The head of U.K’s state bank has warned treasury officials to raise funds by cutting employees bonuses and dividends on shares to cope with any feared credit crunch. The GDP growth is expected at a level of 0.7 in this year.
The Italy and Spain and other three countries of Euro Zone countries has been downgraded by Fitch and resulting affects can be seen on financial markets. The recovery in Euro zone depends on expansion in recovery process. The rating agency also warned that if the situation remains the same they would further downgrade these countries. On other hand, European officials are optimistic about tackling their debt issue.
China’s growth is slowing down and this factor is irritating multinationals residing in china. The Chinese government has successfully achieved this target to tackle the issue of inflation.
EURO/USD
We predict a neutral forecast for this currency pair. This pair has touched its high points and the Greece debt resolution is taking place. So in this situation we are not sure of any market move in this wee. There are positive as well as negative indicators in the market.
USD/JPY
The bullish activity is prevailing in this week for this pair in the market and it would probably enter into the next week, with positive news arriving in the market.

More Articles:

More Articles:

1. Week's Market (30 Jan - 3 Feb)
2. Week's market ( 30 Jan - 3 Feb)
3. Week's Market (9 Jan 13 Jan)
4. Week's market (2 Jan -6 Jan)
5. Week's Market (16 Jan -20 Jan)