Registered: Oct 2004
05-04-06 03:31 PM
This has got to be the last surge before a correction. I'm not fading it, that's for sure. But all USD pairs are massively overbought/oversold from a technical perspective, and the balance points to the US from a fundamental perspective.
Interestingly enough, check this out:
"San Francisco, May 4. Overnight, Russia reported that its reserves had climbed $8.6 bln in the week ending April 28th with reserves rising to $225.7 bln and new record highs. The week of April 21st, Russian reserves were the fifth largest in the world. This week, with the $8.6 bln rise, reserves are now the fourth largest in the world, outstripping S. Korean reserves but below China, Japan and Taiwan"s reserves. The prior week of April 21st, Russian reserves rose $5.1 bln and the week before that they rose $3.9 bln. The sharp rise in reserves begs the question as to whether the increase also correlates with the recent gains in the EUR as well, particularly following the April 21st comment from Russia"s Finance Minister Kudrin questioning the dollar"s pre-eminence as the world"s reserve currency.
ITAR-TASS makes a point today to note that Brazil, Russia, Indian and Chinese reserves now surpass the reserve holdings of the G-7 nations at $1.292 tln compared to $1.253 tln for the UK, Germany, Italy, Canada, the US, France and Japan"
Wonder if the Ruskies are behind a lot of this?