Dislikedreally odd ...
all the volume is on the lows almost looks like accumulation againIgnored
"No clear direction" :
0000 GMT [Dow Jones] This week's TIC data don't say much, if anything, about outlook for USD or U.S. bonds,
or what China will do next, says Capital Economics. Traditionally, larger amount of net buying of U.S.
long-term securities is viewed by many as good for USD, and a smaller number bad, but "this interpretation
makes no sense. As long as the U.S. is running a current account deficit, the shortfall will have to be financed
by selling U.S. assets to foreigners. We already know there wasn't a balance of payments crisis in December and
hence that the U.S. was able to attract the overseas capital required." TIC data only provide partial breakdown
of form that overseas finance took; "it does not cover direct investment, which is usually considered to be a more
reliable source of finance. The fact that more or less of the capital inflow in any one month was accounted for by
purchases of long-term securities therefore provides no clear signal for the dollar either way. Indeed, these data
are very volatile from month to month."(RXM)
Viewer Discretion Advised: Shall we shag now or should we shag later? :-)
