Fundamental Headlines • At Moment of Truth, U.S. Forced Big Bankers to Blink – Wall Street Journal • In This Securities Industry, No Room for Superheroes – Wall Street Journal • Intel expects to withstand worst of crisis– Financial Times • Fed Offers GE, Citigroup Commercial Paper Subsidies – Bloomberg • Iceland's Central Bank Cuts Key Interest Rate to 12% From 15.5% – Bloomberg • GBPUSD – U.K. jobless claims rose another 31.8K in September following a 35.7K increase in the prior month, while the claimant count rate inched higher to 2.9% from 2.8% as widely expected. As a result, the unemployment rate rose to its highest level in eight years as the ILO index jumped to 5.7% from 5.5% July. In addition, manufacturing costs surged to a six year high of 2.6%, indicating that the downturn in the economy may last for a protracted period of time as foreign and domestic demands falter. Discuss the topic and your trade ideas in the GBP/USD Forum. • EURUSD – Consumer prices in the Euro-Zone rose 0.2% in September after falling 0.1% in the prior month, which was slightly higher than the 0.1% gain projected by economists. Meanwhile, the annual rate of inflation slipped to 3.6% from 3.8%, with the core CPI holding steady at 1.9% for the second straight month. In addition, the final CPI reading for Germany was confirmed at 2.9% as widely expected. The data suggests that upside price pressures have diminished since the first half of the year, and only strengthens the argument that the ECB will lower the benchmark interest rate further as growth prospects deteriorate. Discuss the topic and your trade ideas in the EUR/USD Forum. • USDJPY – Japanese industrial production plunged 6.9% in August to hit a new record low as fading demands from the global economy pushed manufacturers to cutback on production. Meanwhile, capacity utilization fell 3.47% after rising 1.37% in July, and conditions may only get worse as economic activity stalls throughout the globe. For more news and resources, visit the new Japanese Yen Currency Room.
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