EXCLUSIVE IAFT ANALYTICS / Italian 5- and 10-year Bond Auction in Focus Today

Yesterday, the markets continued to "digest" the Italian elections' results. The euro was under pressure, but the support on the way to the 30th figure failed to constrain the bears' onslaught. In his speech, Ben Bernanke said nothing new in general. The head of the U.S. Federal Reserve continues to promote the Asset Purchase Program, but noted that "the QE increase may cause the loss of the Fed's confidence to roll the measures back, but very low interest rates could harm the financial stability." However there was not any special markets' special reaction to the speech. The stock markets' reduction was changed into its increase, the USD/JPY is trying to determine the direction, and the euro is consolidating in the formed range.

Planned for today: 13:30 — UK. GDP (QoQ);
14:00 — Eurozone. Euro-Zone Consumer Confidence;
17:30 — USA. Durable Goods Orders;
19:00 — USA. Pending Home Sales (MoM);
19:30 — USA. Crude Oil Inventories.

The GDP data for the UK will be of interest today. The pound recently was clearly not in favor with investors and dropped under the pressure of various factors, including the negative macroeconomic statistics as well. Today's GDP may give the British pound a chance to rehabilitate. Therefore, if the GDP is at least at the zero level, and the best for it to demonstrate a positive idex, then we can expect the correction in the British currency. If the index is the same (that is, 0.3%) or below, the pressure on the pound will continue. 

Also the Italian bond auction is going to be held today, where Italy is planning to sell five-year bonds for the amount from 1.75 to 2.5 billion euros, and 10-year-old — for the amount of 3 to 4 billion euros. After the elections, this auction will be serve an indicator of the investor's confidence. If the papers continue to be in demand and their yield decreases, the euro will have an incentive to increase. Otherwise, it would face another wave of sales.

 

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Interesting facts

The first transnational corporation issued shares in stock turnover, was the Dutch East India Shipping Company. Its first share was dated September 9, 1606.

The security was issued in the name of Peter Harmensha Enkhauzena who was receiving dividents until year 1650.

Exclusive IAFT analytics / The Euro and Stocks Indices Decreased After Italian Elections

The election results in Italy still caused some uncertainty in the markets that, in turn, triggered the sales of risky assets, due to which the stock indices decreased and the euro even lost nearly 300 points. Doubts that the new government will continue to implement Mario Monti's reforms to combat the financial crisis, returned the anti risky market sentiment amid the increased concerns about the ability of the Eurozone to overcome the financial crisis.

Planned for today:15:00 — UK. CBI Reported Sales;
18:00 — USA. House Price Index (MoM);
19:00 — USA. New Home Sales (MoM);
19:00 — USA. Richmond Fed Manufact. Index;
19:00 — USA. Consumer Confidence.

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Union's News / New Partner: TusarFX

Dear IAFT customers!

We are informing you that the list of the IAFT partners has been replenished with a new brokerage company. This time, you can work with TusarFX through the IAFT and receive even more profit while trading in the Forex market.

The TusarFX company is licensed by the Central Bank of the Russian Federation (license number: 2712) for performing transactions between individuals and legal entities both in Russian and foreign currencis. Since May 1998, the Bank has been a member of the Association of Russian Banks.

Information on TusarFX can be found in the following sections: “Full brokers list”, “Compare Forex brokers”, “Brokers' profiles”, as well as in the IAFT ratings.

Best regards,
IAFT Administration

Weekly Horoscope (25.02—03.03)

Aries (21.03 - 20.04) During the first half of the week, Aries will be subject to excitement and uncontrollable desire to succeed. Emotions would possess you, and you will not be able to think soberly and take appropriate decisions. Therefore, it is better not to trade these days. If you cannot wait to practice - start trading on a demo account and you kill two birds with one stone: you'll satisfy your ambitions and protect your deposit from losses. Your fervour will decrease by Thursday to start the real trading. The "Bearish" position and trading the pairs, where the euro is, will help you to increase your capital.

TRADER'S DICTIONARY - I

Illiquid

Security or currency that is not traded actively.

Implied Volatility

The derived volatility of an asset calculated indirectly from options prices.

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