ME Rumors Hit Market and Dollar

    Posted by klatuu on 16th of Feb 2011 at 11:52 am

    Marc Chandler
    ME Rumors Hit Market
    2/16/2011 11:34 AM EST
    Reports suggesting Iranian war ships are in the Suez Canal hs sent the dollar broadly lower, though not sure the logic. The Swiss franc is rallying more than the euro, so that is good for the position I recommended short euros vs Swiss franc, but has hurt the short euro position. The euro spiked to about $1.3560.

    Not clear what is happening, but I think these kind of rumors/stories ought to be dollar positive. So, my guess is that the euro comes off again.
    Israeli Foreign Minister: Iranian warships entering Suez canal, Reuters reports Two Iranian warships are planning to sail through the Suez Canal en route to Syria, according to the Israeli Foreign Minister, who hinted that this latest "provocation" could lead to an Israeli response.

Newsletter

Subscribe to our email list for regular free market updates
as well as a chance to get coupons!