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CurrencyShares British Pound Sterling Trust ETF (FXB)

  • May 16, 2011, 11:16 AM
    The "risk on" move that began around the time the East Coast woke up brings notable reversals in the currency market. The euro makes a particularly impressive move, gaining nearly 200 pips from its jittery opening in the wake of the DSK news. Somebody actually sold euros because of this? FXE +0.9%, UUP -0.6%.
  • May 16, 2011, 9:38 AM
    The ITEM Club sees little reason for the BoE to hike rates, saying a sluggish U.K. economy is basically being kept afloat by stronger global activity. The ECB, on the other hand, has to deal with the real possibility of overheating and 2nd round inflationary effects in its core economies.
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  • May 6, 2011, 7:15 AM
    U.K. producer prices rise 0.8% in April, ahead of expectations for a 0.7% increase, bringing the annualized rate of PPI to 5.3%. Should this week's price action in commodities hold, it's safe to say the headline number may soon move in the other direction. Sterling +0.2% to $1.6422.
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  • May 4, 2011, 10:55 AM
    Business is booming at FiREapps, where CEO Wolfgang Koester says U.S. firms are clamoring to hedge against dollar weakness. Jeff Macke notes companies getting swept up in this sort of worry could mark the sign of a market extreme - witness airlines' rush to hedge near the top of the 2008 oil mania.
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  • May 3, 2011, 7:49 AM
    The U.K. PMI for April falls to 54.6 from 56.7 in March, the lowest reading since September. "The outlook has deteriorated sharply, with new-orders growth having collapsed," says an economist with Markit. The pound -1%, and short sterling futures begin pricing away odds of rate hikes.
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  • Apr. 29, 2011, 2:19 PM
    "Our economy is far from where we would like it to be," says Fed chief Bernanke at a conference about the challenges facing lower/moderate income communities. Gold likes what it hears, now surging 2% to $1,562/oz. The dollar plumbs fresh 30-month lows.
  • Apr. 29, 2011, 9:19 AM
    Despite the usual rhetoric about the desire for a strong currency, U.S. officials seem unconcerned with the weakening greenback. The current decline in the dollar isn't out of line with 3 of its other recent bear markets. The only problem is 2 of those 3 moves ended with major financial panics.
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  • Apr. 27, 2011, 12:46 PM
    The key to the FOMC statement, and an all-clear signal to those who would sell greenbacks, may be that there were no dissenting votes after a number of recent comments from Charles Plosser and Richard Fisher indicated their discomfort with current monetary policy.
  • Apr. 27, 2011, 10:48 AM
    George Osborne is loving Q1's 0.5% U.K. GDP gain, but that still leaves growth flat over the past half year. Meanwhile, prices continue to rise and wage gains aren't keeping up. The BoE may be forced to hike rates, causing even more pain for households. Welcome back stagflation.
  • Apr. 27, 2011, 10:39 AM
    With 2 year yields near the bottom of a multi-month range and its measure of euro long sentiment at its highest level since December, Citi says investors are clearly leaning towards a dovish Fed statement. Anything other than that could see a reversal in recent price trends.
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  • Apr. 27, 2011, 7:15 AM
    U.K. Q1 GDP comes in right at expectations of +0.5%. While the sluggish growth takes pressure off the BoE to hike rates, gilt yields and sterling both jump higher as traders had been leaning in the direction of a far weaker number being released. Sterling buys $1.6568. Shares are flat.
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  • Apr. 26, 2011, 10:25 AM
    BoE member Andrew Sentance, whose term expires at the end of May, says the bank has lost credibility by not hiking rates in the face of rising inflation. He warns that inaction now risks creating the need for a sharper future adjustment in rates.
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  • Apr. 26, 2011, 10:13 AM
    FX markets yawn as Treasury Sec. Geithner defends the greenback, saying "we will never embrace a strategy to weaken the dollar ... our policy has been and will always be, as long as I will be in office, that a strong dollar is in the interest of the country."
  • Apr. 21, 2011, 11:37 AM
    The Fed's Real Broad Trade-Weighted Dollar Index drops to 40 year lows. Chart readers have a look - either a trend line has been broken with the next stop zero, or the greenback has hit resistance and is due for a serious bounce.
  • Apr. 21, 2011, 7:40 AM
    The pummeling of the U.S. currency continues, the greenback again solidly lower against everything. Of particular note is the aussie, which hit another new record as Foreign Minister Rudd rules out intervention to check his currency's breathtaking rise.
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  • Apr. 20, 2011, 2:31 PM
    A survey of U.K. inflation expectations drops sharply this month, falling to 2.9% from 3.5% in March. The news will reinforce notions the BoE will not move on interest rates soon, unless committee members read David Rosenberg, who says inflation expectations are a contrary indicator.
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FXB Description
CurrencyShares British Pound Sterling Trust is designed to track the price of the British Pound Sterling net of Trust expenses, which are expected to be paid from interest earned on the deposited British Pound Sterlings.
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