What should be expect?  Kathy Lien lets us know.

The US trade deficit narrowed materially in the month of November to the smallest since June 2003.  Which currency cross soared?

The EUR/USD has fallen close to 4 percent or 600 pips since the beginning of the year.  Although fundamental factors are certainly in play, there are seasonal factors as well.

Despite the better than expected number, if you need proof that the US economy is in bad shape, the latest non-farm payrolls report certainly provides it.

The US dollar is selling off aggressively ahead of Friday’s non-farm payrolls report on the fear that for the second month in a row, job losses may have topped 500k.

Kathy Lien looks ahead in the US dollar, euro, British pound, and Japanese yen.

Kathy Lien focuses on three big themes that will impact the US dollar.

The US dollar appears to be unfazed by this morning’s mixed economic data. An improvement in consumer confidence has failed to help the dollar while the weaker news has pretty much been baked into the markets.

Quantitative Easing (QE) are the latest buzz words in the financial markets. It is important to become intimately comfortable with these words because they will be the catch phrase of 2009 thanks to the latest interest rate cuts by the Federal Reserve and the Bank of Japan.

Take a look at the strong correlation between the price of oil and consumer prices.