German Import Prices Dropped at a Record Pace, Fueling Bets for Further Rate Cuts
German October import prices dropped 3.6% m/m, bringing the annual rate down to just 2.9% y/y from 7.6% y/y in September. The drop over the month was mainly due to lower energy prices, with prices excluding energy falling just 0.2% m/m. The deceleration in the annual rate was a combination…

Another Slow Overnight Session
Overall, the currency market moved slowly during the European session, extending the Asian session’s slow pace. The economic calendar ahead is very busy, and the U.S. session is expected to be very active. Until now, the cad and the yen advanced against the dollar, the three European pairs fell lower,…

Bailout Fatigue In Equity Markets
Most EM CDS prices have been edging a bit lower during the equity rally in this week, but they remain on a very elevated level. Our Top100 Global Stocks CDS Index is still at 124 bps. (all time high), which is not boding well for the current rally. We will…

Identifying Trades with DailyFX 11.25.08
German Import Prices Dropped at a Record Pace, Fueling Bets (Forex)
strategist@dailyfx.com (Matt Russell, Power Course Instructor)

Asian Markets rally for second consecutive day
FXstreet.com (Barcelona) Asian markets have posted strong gains on Tuesday as investors confidence returned after Wall Street s second day of gains, based on the U.S. Government s bailout plan for Citibank.

Despite a mild initial reaction to the Citigroup news in Asian markets, stock indexes in the area have surged robustly after the positive reaction observed in U.S. and European markets.

Tokyo Nikkei index opened the week with a 5.2% increase after being closed for bank holiday on Monday, while Australia s S&P/ASX200 index jumped 5.8% and Hong Kong s hang Seng Index rose 4%.

Stocks in Wall Street surged on Monday as a reaction of Citibank s news. Dow Jones rose 4.93% in the first two day advance so far in November. The Nasdaq technology index rose 6.33% and the S&P 500 index rose 6.47%.

FXstreet.com