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Risk aversion?

By   || March 1, 2011 at 16:51 GMT
|| 5 comments || Add comment

Oil up $1.85 to 98.80. CHF and JPY rising. US shares down 0.7%…

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5 Responses to “Risk aversion?”

  1. Michael on March 1st, 2011 17:03 GMT

    ..guess market worries USD is loosing its “oil-power” when middle east changes that much. You never know which way new goverments would go.

  2. Michael on March 1st, 2011 17:08 GMT

    Or how to explain USD weakness Jamie?

  3. Jamie Coleman on March 1st, 2011 17:11 GMT

    The way I explain it is the flood of petro-dollars, in addition to the the still large-scale intervention by Asian economies, prompts heavy reserve diversification by Middle Eastern and Asian central banks. The euro is disproportionately supported by that activity given its role as the principle dollar alternative….

  4. G on March 1st, 2011 17:26 GMT

    “Risk aversion”. Seems to be the new thing these days to explain all sorts of things.

    Only yesterday, popping to Tesco’s, I realized there was a small risk of me crashing the car. So, made sure I sold my GBP and bought CHF and JPY. You know, just to be on the safe side

  5. Jamie Coleman on March 1st, 2011 17:31 GMT

    Worked, didn’t it? ;)

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