Both gold and silver rose in Sunday evening trading on the Globex [counterparty...Western Pacific Ocean]. The peak prices in Far East trading occurred around lunchtime in Hong Kong. From there, both metals drifted slightly lower…and remained there all through European trading until the Comex open in New York…then away they both went.

Gold managed a $10 rally before some not-for-profit seller showed up at 9:15 a.m. Eastern time. Once the London p.m. gold fix was in, gold rallied again…making it a hair above $900 for a few seconds…before some other [probably the same] not-for-profit seller showed up. From there it got sold off into the close.

Silver’s 8:00 a.m. rally on the Comex was like a moon shot…and heaven only knows how high the price would have gone [certainly north of $13] if the same not-for-profit seller hadn’t showed up at exactly the same 9:15 a.m. time. Silver got sold off a

...

The prognosis for Asia’s financial sector in 2009 is relatively better compared to other emerging economies and also compared to the region’s own experience in 1997-98. Even so, further GDP contractions and asset market corrections are likely as the external environment continues to deteriorate and domestic demand falters.

Asian economies do have fewer mismatches in external debt, lower imbalances in the government, corporate and banking sector balance sheets than their counterparts in emerging Europe, and as a whole used less leverage. Fortunately, ample foreign exchange reserves held by most countries in the region - even before the introduction of Fed swap lines and the IMF’s short-term liquidity facility - fully cover short-term debt and minimize the threat of a financial crisis. Intra-Asia swap agreements are helping provide liquidity to Asian

...

As governments around the world fight rising unemployment, falling exports and bank credit crunch, and several central banks are facing liquidity traps, many are turning to restrictions that privilege national producers. These populist measures attempt to minimize growth impact, social unrest and pain from the credit crunch that poses a risk to several ruling governments, especially those facing elections soon. Furthermore, some officials hope that such restrictions will reduce the leakage of the scarce funds used in bank bailouts and fiscal stimulus to other countries.

But as history shows, the impacts of trade protectionism on exports and job creation if any are small in the short-term and instead may lead to global retaliation, and in the long-term result in inefficient allocation of labor and capital and trade distortions, affecting potential

...

U.K.-based Standard Chartered Bank has opened its first village bank, Inner Mongolia Helingeer Standard Chartered Village Bank, making it the first foreign bank to enter China's Inner Mongolia Autonomous Region. This is also the first rural bank that Standard Chartered has opened anywhere in the world. At present, its financial strategy in China's rural areas is [...]

TSYS today announced that China UnionPay Data Services Company, TSYS’ joint venture with China UnionPay, has signed a long-term credit card processing agreement with the Bank of East Asia.
BEA is the first foreign bank to independently launch its own credit card program in China. BEA has the largest number of operating outlets of any foreign [...]

The IMF Senior Regional Representative For Central Europe and the Baltics, Christoph Rosenberg, recently a href="http://www.rgemonitor.com/euro-monitor/254975/why_the_imf_supports_the_latvian_currency_peg"took me to task on RGE Monitor about my Latvian devaluation proposal/a (as did a href="http://www.rgemonitor.com/economonitor-monitor/254905/devaluation_in_latvia_why_not"RGE's own Mary Stokes/a), and I would like now to take a closer look at some of the points they raise.br /br /In the first place, I would like to say that I obviously regard both Chrisoph and Mary as excellent economists, and I was in no way refering to them when I said that arguing in favour of sticking to the present currency peg constitutes trying to justify “virtually the unjustifiable” according to “the implicit consensus among thinking economists.” I do still hold that the consensus is with me, but that certainly does not mean I regard those who differ from me as "unthinking", and certainly hope I didn't give the impression that I was. And with that little ...

PKey Newsbr•nbsp;U.K. Rescue Fails to Spur Loans (WSJ)br•nbsp;Japan's Central Bank Weighs Measures to Curb Stronger Yen (WSJ)/P PKey Reports Due (WSJ):br7:00 a.m. ICSC Chain Store Sales Index For Jan 3: Previous: -0.5%. br10:00 a.m. Nov Construction Spending: Expected: -1.2%. Previous: -1.2%. /P PbrQuotable br“How charming is divine philosophy!brNot harsh and crabbèd, as dull fools suppose,brBut musical as is Apollo’s lute,brAnd a perpetual feast of nectared sweets,brWhere no crude surfeit reigns.”/P P nbsp; John Milton/P PFX Trading – We’re Bullish on the US Dollar Today ...nbsp; and Tomorrow!/P PDo you remember what economists used to tell us about the global economy? If not, let me remind you.nbsp; /P PI remember the mantra-like chant from very clearly: There are major imbalances across the global economy.nbsp; Some countries save too much, others borrow and spend too much.nbsp; /P POf course the US seemed be the one to blame no matter the shape or weaknesses elsewhere.nbsp; The gut wrenching credit crunch of ...

Here’s the thing about forex trading: there’s always a least one or two major currencies going up at all times. This means there is always a currency safe haven out there. Sean  Hyman says currency ETFs and CDs (Certificates of Deposits) are two easy ways to play the currency market.

This from The Sovereign Society:

The currency market is bigger than all of the world’s stock markets combined. This market gushes with $4 trillion worth of currencies EACH DAY, 24 hours a day.In times of turmoil, there’s always a safe haven in currencies. The trick is finding it. These opportunities normally don’t pop up on investors’ radar screens because most investors have no idea how to even get a quote or a chart for a currency.

In fact, in these tough times the Japanese yen has been soaring like a rocket and so has the Swiss franc. Savvy hedge fund managers

...

As always it's never the news, but the reaction to the news which is what matters. Goldman Sachs (GS) had "ok" earnings - poor for them, but great compared to anything their peers have put out - but the stock is down double digits in premarket. To make money at all in this environment is a victory but the market is in fear mode - not logic mode. Goldman Sachs Group Inc (NYSE:GS - News) said third-quarter earnings plunged 70 percent as one of the market's worst slumps ever sapped revenue in almost every business while fueling investment and credit losses. The largest U.S. investment bank reported net income of $845 million, or $1.81 a share, for the quarter ended August 29, down from $2.85 billion, or $6.13 a share, a year earlier. Net revenue fell by half ...

India's inflation accelerated again in mid July, and hit it highest level since 1995, providing additional evidence to support last week's central bank decision to raise borrowing costs for the third time in two months. Wholesale prices were up 11.98 percent in the week to July 19, after rising 11.89 percent in the previous week, according to data from the commerce ministry released in New Delhi on Friday.

The Reserve Bank of India raised its repurchase rate by a half-percentage point to 9 percent on 29 July, giving priority to the inflation fight over India's short term growth rate. Indeed many economists consider that the bank may well increase the benchmark rate again in the next three months. The cash reserve ratio was also raised 8.75 to 9 percent and in the statement which followed the decision the bank said it

...