Yesterday I mentioned that i expected the curriencies that recieved rate cuts would respond to those cuts by rallying.  A counter intuitive idea of course.  We have seen that play out as expected now.  However, there is an overwhelming amount of preasure still on these currencies.  Triche’s comments clearly left the door open to more cuts to come so that idea will act as a wall in the way of rallies in the near term.  NFP remains a wild card tomorrow so continued caution is advised.  We do expect the tone that ends this week will carry over and set the new tone for next week.   

Hello everyone, i hope you all had a great Thanksgiving.  We are faced with the first of a number of interest rate descisions this week.  The RBNZ starts it off tonight with their cut followed by ECB and BOE.  These cuts are for the most part priced in but I expect we will get a counter intuitive rally out of the very currencies that get cuts.  Be very careful the rest of the week as NFP ends the week with a bang.   NFP is also expected to be a trainwreck and anything less should cause a rally in both stock markets and the majors but if it comes out as expected or worse…look out below!