Portfolio Performance : -2.39%

Headline News

1. India's Ministry of Agriculture siad that the country's total food grain production for fiscal 2007-2008 has reached 230.67 million tonnes. Wheat production is expected to rise 3.42% year on year and rice production by 3.3%
2. Japan's June corporate goods price index higher by 5.6% year on year
3. Japan's May current account surplus -5.9% year on year
4. Singapore GDP higher by 1.9% year on year, which was below forecast (this is going to be splashed on the front page on the media tomorrow)
5. Australia June unemployment rate 4.2% versus 4.3% consensus
6. China 1H soybean imports higher by 24.4% year on year
7. China 1H oil product imports higher by 16.4% year on year
8. France May industrial output lower by 2.6% vs April
9. Dutch May industrial sales higher by 6% year on year
10. June Halifax house prices lower by 6.1% year on year (I think traders are going to sell the GBP on this)
11. Realtytrac said that US foreclosures are lower by 3% from May in June, but higher by 53% year on year
12. Bank of England leaves rates on hold at 5%
13. US jobless claims lower by 58 000 to 346 000, but continuing claims rose 91 000 to 3.202M
14. A defence analyst said that Iran had doctored photographs of missile firing and exaggerated the capabilities of the weapons


Expectation for the USD crosses

1. AUD : Neutral
2. GBP : Neutral
3. CAD : Positive
4. JPY : Positive
5. CHF : Neutral
6. EUR : Neutral

Bottomline : I am still keeping the Long GBP/USD position. I expect the equity market to soften further and the US dollar to continue to weaken