------Original Message------
From: MeLinda MeLisa
Sender: [email protected]
To: [email protected]
ReplyTo: [email protected]
Subject: [StockForex] MF Global: US dollar may advance versus GBP
Sent: Oct 29, 2010 10:19 AM

MF Global: US dollar may advance versus British pound

Analysts at MF Global claim that there’s still the significant risk of
US dollar’s surge. Such outcome is possible if the Republicans get the
majority at November 2 elections in Congress as this party doesn’t
support stimulus policy as the Democrats do.

The specialists believe that the market will be looking at the size of
a new stimulus package that’s expected to be announced on November 2-3
and here some disappointment is possible because the majority of
investors have already priced quantitative easing into dollar’s rate.



BNP Paribas: sell pounds versus US dollars


Analysts at BNP Paribas SA still expect British pound to decline
versus the greenback, even though yesterday’s data showed that the
country’s GDP added 0.8% in the third quarter that is twice more than
it was anticipated. The specialists advise investors to use any
rebounds of the pair GBP/USD to enter a short position.


According to BNP estimates, the Bank of England will extend bond
purchases to support UK economic recovery already in February. The
economists note that stronger figures of British economy’s growth pace
weren’t unexpected for them as the country entered the third quarter
with a lot of good momentum. At the same time the forward-looking
indicators, especially those related to credit growth, seem to be
rather weak.


The bank still forecasts that pound will drop to $1.54 by the end of 2010


Source: http://marketpin.blogspot.com/


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