Japanese yen rallies…  Renminbi stumbles…  A very tough data week in store…  Rate cuts all around the world… And Now… Today’s Pfennig!

The dollar rallies big time!  A dollar conspiracy?  Bailing out the automakers?  Weathering the storm in N.Z.?
And Now… Today’s Pfennig!

The China good feeling dissipates…  Currencies lose their edge…  Fannie Mae needs more!  Silver manipulation? And Now… Today’s Pfennig!

Andrew Snyder says Democrat-fearing investors are now looking overseas for profits. Andrew says Eastern Europe is a hotbed of political conflict. But that could end up creating great money-making opportunities in the energy sector.

Contrasting monetary policy moves from the Bank of England (BoE) and European Central Bank (ECB).

The BoE stunned the markets with a 1.5% rate cut, taking its benchmark rate to 3.0%, the lowest in over half a century. The ECB, meanwhile, met expectations with a 50 basis-point cut. The Eurozone’s policy rate now stands at 3.25%.

This from Bloomberg:

The Bank of England is working with the government to limit the fallout from what it calls the worst global banking crisis in almost a century. Prime Minister Gordon Brown was forced last month to broker a takeover of HBOS Plc and Bank of England figures show financial institutions in the U.S. and Europe have already suffered $2.8 trillion in securities losses from the crisis.

“They’re admitting…

In the currency market, the dollar moved higher again vs. the euro. Late Monday, the euro was trading at $1.2641 vs. $1.2751 on Friday. “There is still strong underlying demand for the U.S. dollar,” said Marc Chandler, global head of currency strategy at Brown Brothers Harriman.

The European Commission (EC) said yesterday (Monday) that the Eurozone economy has already slipped into a recession and strong and stable economic growth will not return until 2010. The European Central Bank (ECB), originally charged with the task of maintaining price stability, has now found itself with the added responsibility of encouraging growth and will likely cut interest rates later this week.

Mixed bag o’ data…  Trading theme in place…  Election tomorrow…  Consumer Spending collapses! And Now… Today’s Pfennig!

The U.S. economy shrank at an annualized rate of 0.3% in the third quarter – the biggest decline in seven years – after businesses cut back on investments and consumer spending experienced its sharpest pullback since 1980. And though the contraction was smaller than economists expected, they are still predicting a drawn-out downturn that could be one of worst U.S. recessions since the Great Depression.

The liquidity crisis that began with the collapse of Bear Stearns and has led to the fall of Lehmen Brothers (NYSE:LEH) is spreading. This has prompted foreign central banks to bolster liquidity in domestic markets, reports Jason Simpkins. Even the Bank of China decided to cut its benchmark lending rate. It is its first rate cut in six years.