Tuesday, November 10, 2009

A Look at UK Economy In 2009

The British economy in 2009 was declining at an even quicker rate than originally suspected.All sectors of the UK economy seem to be struggling, with consumer confidence, the housing market, employment and manufacturing either at the lowest point, or dropping faster than ever previously recorded.
Seeking to overcome blame for the recession and the fall out from his previous statements that he had tamed the ‘Boom and Bust’ cycle, Prime Minster Gordon Brown announced a major economic stimulus package. It will add to already high debt levels above 40 per cent of GDP, leading to speculation that Britain’s sovereign debt ratings would be downgraded and to further slides int eh value of sterling. By the end of 2009, the UK economy is expected to have contracted 3.2 per cent (although some economists are revising that figure further downwards), with UK public debt rising to a staggering 70 per cent.

Wednesday, August 26, 2009

People want easy home loans

It is everyone's dream to own a home. But a million dollar question is, "how to finance a home". Many people find the answer in the term, "home loan". Many banks offer easy home loans to their clients, with a starting grace period before the installments to return the loan start. It is easy to fall prey to these offers for many people. What is needed to be considered in this aspect is, the repayment of loan. If one has a good job, it is still to be seen whether paying the installments will be practical considering all the other expenditures.
If you are running a business, then it is easier to finance a home and often a loan is not required. But you are ambitious about owning a large home, your small business maybe of little help. By and large, a medium business or a good income job can be considered as mediocre guarantees of enjoying the luxury of getting a home loan and having good hope of returning it.
It would be prudent to mention here the Islamic concept of financial transactions. Islam completely rejects taking loan or giving loan on interest. So some other via media has to be thought of for the purpose, as the present riba or interest based banking does not offer any solution.

Tuesday, August 18, 2009

Personal Loan

A UK Bad Credit Personal Loan is a loan designed for the many people with a bad credit rating. A bad credit rating can make your life a misery. However created, your past record of CCJ�s (County Court Judgements), mortgage or other loan arrears can live on to deny you access to finance that other people regard as normal.
If you are a UK home owner with equity in your property, a UK Bad Credit Personal Loan can bring that normality back to your life. Secured on your home, a UK Bad Credit Personal Loan can give you the freedom, for example, to do the home improvements or buy the new car you really wanted.
With a UK Bad Credit Personal Loan you can borrow from 5,000 to 75,000 and up to 125% of your property value in some cases. A UK Bad Credit Personal Loan is a low cost loan secured on your UK home. It frees up the spare capital (or equity) in your home for you to use on whatever you want.A UK Bad Credit Personal Loan is ideal if you want to raise a large amount and have a poor credit history you may be able to get a UK Bad Credit Personal Loan even when you have been turned down for an unsecured loan. There are loan plans for applicants who have CCJ's and mortgage arrears, it doesn't matter how many months arrears you have or how many CCJ's you have registered against you, if you have the equity in your property the chances are that a loan plan can be tailored to suit your needs. Whether or not you've missed a few payments on your current credit payments, there are loan plans that will allow you to re-establish your credit rating. So if you've been turned down for credit elsewhere don't despair.
More detailed information
County Court Judgement (CCJ)
A county court judgement is a judgement for debt in the county court. If a judgement is settled in full within 30 days of the date of the judgement it will not appear in the credit register. A judgement may be set aside, varied and suspended on application to the court. Judgements are registered publicly with Registry Trust and held for six years. In the event of a payment after that date the judgement will appear in the register but will be shown as being satisfied. However a satisfied judgement will, in most cases, show on your credit history and will treated as adverse credit history. If you have experienced a county court judgement and it has had a negative affect on your credit history you may still be able to obtain a loan via specialist lenders.
Arrears are mortgage payments that have not been made by the due date or are not to the correct amount in accordance with the mortgage deed agreed by the policy holder and the lender.
Borrowers with arrears in their credit history may find lenders are less willing to provide them with a loan. Fortunately some high street lenders will consider providing credit impaired borrowers with a loan.
A UK Bad Credit Personal Loan can help you with:
Home improvements such as a new kitchen or bathroom
That once-in-a-lifetime holiday
Your dream car or boat
Repaying credit card or other debts to reduce your monthly outgoings to a more manageable amount
A UK Bad Credit Personal Loan rates are variable, depending on status. Your monthly repayments will depend on the amount borrowed and term.

Sunday, August 16, 2009

FOREX can be risky

The Forex is essentially risk-bearing. By the evaluation of the grade of a possible risk accounted should be the following kinds of it: exchange rate risk, interest rate risk, and credit risk, country risk.Exchange rate risk. Exchange rate risk is the effect of the continuous shift in the worldwide market supply and demand balance on an outstanding foreign exchange position. For the period it is outstanding, the position will be subject to all the price changes. The most popular measures to cut losses short and ride profitable positions that losses should be kept within manageable limits are the position limit and the loss limit. By the position limitation a maximum amount of a certain currency a trader is allowed to carry at any single time during the regular trading hours is to be established. The loss limit is a measure designed to avoid unsustainable losses made by traders by means of stop-loss levels setting.Interest rate risk. Interest rate risk refers to the profit and loss generated by fluctuations in the forward spreads, along with forward amount mismatches and maturity gaps among transactions in the foreign exchange book. This risk is pertinent to currency swaps, forward outright, futures, and options (See below). To minimize interest rate risk, one sets limits on the total size of mismatches. A common approach is to separate the mismatches, based on their maturity dates, into up to six months and past six months. All the transactions are entered in computerized systems in order to calculate the positions for all the dates of the delivery, gains and losses. Continuous analysis of the interest rate environment is necessary to forecast any changes that may impact on the outstanding gaps.Credit risk. Credit risk refers to the possibility that an outstanding currency position may not be repaid as agreed, due to a voluntary or involuntary action by a counter party. In these cases, trading occurs on regulated exchanges, such as the clearinghouse of Chicago

Market Currency in FOREX

Contracts on Forex market within the IFC Markets are performed due to SPOT conditions. A spot transaction is a straightforward (or outright) exchange of one currency for another. The spot rate is the current market price or 'cash' rate. Spot transactions do not require immediate settlement, or payment 'on the spot'. By convention, the settlement date, or value date, is the second business day after the deal date on which the transaction is made by the two partie

Forex Trading

Discovered by John Bollinger, the Bollinger Bands is a simple moving average based tool that allows people in Forex trading to estimate the instabilities and trend in the Forex market. Let us have a brief look at the concept of Bollinger bands and how you can use it to improve your Forex trading strategy.

Currency trading

Investors and traders around the world are looking to the Forex market as a new speculation opportunity. But, how are transactions conducted in the Forex market? Or, what are the basics of Forex Trading? Before adventuring in the Forex market we need to make sure we understand the it, otherwise we will find ourselves lost where we less expected. This is what this article is aimed to, to understand the basics of currency trading. What is traded in the Forex market? The instrument traded by Forex traders and investors are currency pairs. A currency pair is the exchange rate of one currency over another. The most traded currency pairs are: USD/CHF: Swiss franc GBP/USD: Pound USD/CAD: Canadian dollar USD/JPY: Yen EUR/USD: Euro AUD/USD: Aussie These six currency pairs generate up to 85% of the overall volume in the Forex market. So, for instance, if a trader goes long on the Euro, she or he is simultaneously buying the EUR and selling the USD. If the same trader goes short or sells the Aussie, she or he is simultaneously selling the AUD and buying the USD. The first currency of each currency pair is referred as the base currency, while second currency is referred as the counter or quote currency. Each currency pair is expressed in units of the counter currency needed to get one unit of the base currency. If the price or quote of the EUR/USD is 1.2545, it means that 1.2545 US dollars are needed to get one EUR. Bid/Ask Spread All currency pairs are commonly quoted with a bid and ask price. The bid (always lower than the ask) is the price your broker is willing to buy at, thus the trader should sell at this price. The ask is the price your broker is willing to sell at, thus the trader should buy at this price. EUR/USD 1.2645/48 or 1.2645/8 The bid price is 1.2645 The ask price is 1.2648 A Pip A pip is the minimum incremental move a currency pair can make. A pip stands for price interest point. A move in the EUR/USD from 1.2545 to 1.2560 equals 15 pips. And a move in the USD/JPY from 112.35 to 113.40 equals 105 pips. Margin Trading (leverage) In contrast with other financial markets where you require the full deposit of the amount traded, in the Forex market you require only a margin deposit. The rest will be granted by your broker. The leverage provided by some brokers goes up to 400:1. This means that you require only 1/400 or .25% in balance to open a position (plus the floating gains/losses.) Most brokers offer 100:1, where every trader requires 1% in balance to open a position. The standard lot size in the Forex market is $100,000 USD. For instance, a trader wants to get long one lot in EUR/USD and he or she is using 100:1 leverage. To open such position, he or she requires 1% in balance or $1,000 USD. Of course it is not advisable to open a position with such limited funds in our trading balance. If the trade goes against our trader, the position is to be closed by the broker. This takes us to our next important term. Margin Call A margin call occurs when the balance of the trading account falls below the maintenance margin (capital required to open one position, 1% when the leverage used is 100:1, 2% when leverage used is 50:1, and so on.) At this moment, the broker sells off (or buys back in the case of short positions) all your trades, leaving the trader "theoretically" with the maintenance margin. Most of the time margin calls occur when money management is not properly applied. How are the mechanics of a Forex trade? The trader, after an extensive analysis, decides there is a higher probability of the British pound to go up. He or she decides to go long risking 30 pips and having a target (reward) of 60 pips. If the market goes against our trader he/she will lose 30 pips, on the other hand, if the market goes in the intended way, he or she will gain 60 pips. The actual quote for the pound is 1.8524/27, 4 pips spread. Our trader gets long at 1.8530 (ask). By the time the market gets to either our target (called take profit order) or our risk point (called stop loss level) we will have to sell it at the bid price (the price our broker is willing to buy our position back.) In order to make 40 pips, our take profit level should be placed at 1.8590 (bid price.) If our target gets hit, the market ran 64 pips (60 pips plus the 4 pip spread.) If our stop loss level is hit, the market ran 30 pips against us. It’s very important to understand every aspect of forex trading. Start first from the very basic concepts, then move on to more complex issues such as Forex trading systems, trading psychology, trade and risk management, and so on. And make sure you master every single aspect before adventuring in a live trading account

Wednesday, August 12, 2009

Overflow of Forex

On the opening of the market in Sydney (Australia) USD diverse the trade on pace cut anticipations. The currency of United States USD ($) was varied in slender varieties during the early hour of forex market of 11th September’07 trading as conjecture amplified the Federal. Wall Street increased piercingly on Tuesday when investors nurtured so as to the Federal Reserve determines inferior interest rates subsequently week.The market of United States deficit turn down to some extent in the month of July, assisted through record overseas export trades that counterbalance the largest foreign oil invoice in almost a year. However still an epidemic of remembers didn’t stop the shortfall with China as of hiking to the 2nd uppermost stage on record. Wall Street climbed piercingly Tuesday since investors grow supplementary convinced that the Federal Reserve will lesser its interest rates next week. But still chairman of Federal Reserve not gave any clues about the central bank & opposes targets.Forex Gold MarketGold rushed to a sixteen month elevated on previous day on bearish reaction in the direction of the US. Dollar and graph based buying expanding rock-solid profits from previous week. Director of Cite futures perspective (New York) Mr. David Rinehimer states that CFP cleaned several heights of the year involved stronger purchasing attention. Both the smudge gold and gold futures enjoyed nearly 30$ previous week, for the most part ambitious via wounded in the U.S. Dollar. On the closing day of last week, gold futures ended on their peak levels seeing as premature May subsequent a drab U.S. employment statement, although a close to 300 points beat in the U.S. benchmark .Gold is reacting constructively due to the information that the USD will plunge continuously added the unconfirmed interest exchange rates, manufacturing gold and striking substitute to paper support assets. Where as director of Gold & Silver Investments Ltd Mr. Mark O'Byrne states that Geo political threat, the recurrence of a video of Osama Bin Laden with jitters on the 11th September (world trade centre) anniversary is supposed to offer safe sanctuary shore up and proposition to gold.Forex Oil Market Stretched universal inventories as well as increasing command will make oil markets defenseless to unforeseen deliver disturbance throughout 2008, custody oil prices over USD 70 a barrel. According to the monthly statement of Energy Department the Energy Information Administration approaches association of Petroleum Exporting Countries are agreed as previous day to increased up to 500k barrels output of crude oil per day starting from November 1st, in an attempt to quiet the forex trading. Glow, charming crude for Oct. release chop down four cents - 77.45($) a barrel lying on New York Mercantile Exchange.

Updates about Asian Market of Forex

Today i want to tell you some updates about Asian Market of Forex Trading.Asian stocks cut down the most in a week; lead by ‘Mitsubishi UFJ Financial Group Inc’, after ‘Bank of America Corporation’. Said fall-out from U.S. sub-prime-mortgage wounded will hurt earnings. ‘Mitsubishi UFJ’ headed for the major drop in a month and ‘National Australia Bank Ltd’. Slid to a 6 week low on worry about the forex credit crisis, which has encouraged a run on funds at United Kingdom lender ‘Northern Rock Plc’, ‘Toyota Motor Corp’, refused on speculation the U.S. market will slow. Singapore Airlines Ltd. knocks down as the value of crude oil rose to a record.Mr. Shane Oliver, who helps manage about 83 ($) BL at ‘AMP Capital Investors’ (Sydney) states that U.K. has offered a token that the credit crunch remains in place so that the risks are still fairly high when it comes to financials.Financial Shares‘The Morgan Stanley Capital International Asia-Pacific’ Index slid 1.3 % to 149.65. Set for its leading drop since 10 Sept.’07. Financial shares were the major drags among the measure's ten industry liberalization groups, accounting for approximately half the benchmark's retreat.Oil, Gold Section. 'Singapore Airlines Ltd’, the most money-making training carrier in Asia, slid 1.1 % to Singapore Dollar 18.50. Petroleum accounted for more than 37 % of its operating expense for the year ended 31st March. ‘Korean Air Lines Co’, South Korea's largest, lost 2.8 %t to 58,500 won. Crude-oil in New York climbed above ($) 81 per barrel for the 1st time on speculation rising worldwide demand may hamper efforts to store fuel for the 4th quarter. Oil for October deliverance climbed to as much as ($) 81.18 in after-hours trading after gaining 1.9 % to ($) 80.57 on previous day. 'Inpex Holdings’ advanced 0.9 % and up to 1.14 ML JPY. ‘Cnooc Ltd’, China's leading off-shore oil explorer, included 1.2 % to HKD 10.44 in Hong Kong. Australia's largest gold mining company, ‘New-Crest Mining'.

Tuesday, August 11, 2009

Something about Forex trading

The investor's goal in Forex trading is to profit from foreign currency movements. Forex trading or currency trading is always done in currency pairs. For example, the exchange rate of EUR/USD on Aug 26th, 2003 was 1.0857. This number is also referred to as a "Forex rate" or just "rate" for short. If the investor had bought 1000 euros on that date, he would have paid 1085.70 U.S. dollars. One year later, the Forex rate was 1.2083, which means that the value of the euro (the numerator of the EUR/USD ratio) increased in relation to the U.S. dollar. The investor could now sell the 1000 euros in order to receive 1208.30 dollars. Therefore, the investor would have USD 122.60 more than what he had started one year earlier. However, to know if the investor made a good investment, one needs to compare this investment option to alternative investments. At the very minimum, the return on investment (ROI) should be compared to the return on a "risk-free" investment. One example of a risk-free investment is long-term U.S. government bonds since there is practically no chance for a default, i.e. the U.S. government going bankrupt or being unable or unwilling to pay its debt obligation.
When trading currencies, trade only when you expect the currency you are buying to increase in value relative to the currency you are selling. If the currency you are buying does increase in value, you must sell back the other currency in order to lock in a profit. An open trade (also called an open position) is a trade in which a trader has bought or sold a particular currency pair and has not yet sold or bought back the equivalent amount to close the position.
However, it is estimated that anywhere from 70%-90% of the FX market is speculative. In other words, the person or institution that bought or sold the currency has no plan to actually take delivery of the currency in the end; rather, they were solely speculating on the movement of that particular currency.

What is Forex

What is forex? Now a day we read and listen everywhere on tv,internet and newspapers about Forex. Tried to give a simple defination of Forex below.
The Forex market is a non-stop cash market where currencies of nations are traded, typically via brokers. Foreign currencies are constantly and simultaneously bought and sold across local and global markets and traders' investments increase or decrease in value based upon currency movements. Foreign exchange market conditions can change at any time in response to real-time events.

Saturday, August 8, 2009

Home Equity Loans

A home equity loan, also known as a second mortgage, allows homeowners to borrow money from their home's available equity. Home equity loans are commonly used for debt consolidation, home improvements, educational expenses, unplanned emergencies, vehicle purchases, and other gifts and purchases. Home Equity Benefits Home equity loans are a popular financing option for homeowners who need additional cash. These loans usually offer a lower interest rate than credit cards. In addition, the interest you pay may be tax deductible (consult a tax advisor).Fixed Loan vs. Line of Credit the two most popular types of home equity loans are a home equity line of credit (HELOC) and a home equity fixed loan. A HELOC offers you a revolving credit line with a variable rate, much like a credit card. You draw only what you need, when you need it. They normally have a lower monthly payment because your payments are interest-only. With a home equity fixed loan you receive the entire loan amount at once. A home equity loan offers the stability of a fixed rate and fixed payments over the life of the loan. Compare and Save If you do decide that a home equity loan is right for you, remember to do your homework. There are a variety of loan options available so it's important that you compare lenders and rates in order to find the best deal. We make it easy to compare home equity rates and save. Complete a simple online form and be matched with competing lenders. Compare offers and choose the loan that is right for you! Quicken Loans is the Nation’s #1 Online Retail Lender – According to National Mortgage News* Get a low mortgage rate with a 30-Year Fixed Rate Mortgage and the security your mortgage payment won’t change.* Can you refinance your FHA loan with no appraisal and the easiest qualification ever with an FHA Streamline Refinance? Get started today by calling our FHA Hotline at (866)-577-8425!* Mortgage rates on our 5-Year ARM are LOW. Ask us if you could benefit from an ARM or if you should stick with a fixed-rate mortgage.

Friday, July 31, 2009

Car Financing

In Pakistan car financing is a big help for middle class people. They can manage their car in affordable installments. Personal car is very important for middle class families, government employs in Pakistan.
They are many banks dealing in car financing in Pakistan for example askari bank Cite bank, meezan bank and many more.

Wednesday, July 29, 2009

Stock Market around the world

i have recently come to know that the current year will be the badest year in the history of world in economic crises. Economic crises are the serious issue which spoiled the buisness through out the world. Its main target is Stock markets through out the world which laid people to the wall relating stock market.
stock markets play an important role in the growth of the country and they are drowning.
people have become frostrated throughout the world and they dont know the person to blame. this economic crises put the world in serious troubles. These should be resolved

Tuesday, July 28, 2009

Banking system in Pakistan

Pakiostani government always invitd investers to be a part in rebuilding the country, in this regard a lot of investers from worldwide came up here and invested in a lo0t of fields especially telecommmunication and banking fileds are at the top most level.

Banking is now getting a lot of popularity among pakistani people because more and more competition among various banks brought awareness and changed the mind level of pakistani people.

Today more then 17 banks are working in the private, like Asakari Bank, Muslim cemmercial bank, Women Bank, Khyber Bank, Bank Al-falah, Faisal Bank, United Bank, Meezan Bank, Allied Bank, Bank Al-Habib, Arif-Habib Bank and Standardf Chartered Bank.

Most of the banks are from private bank, and thats why they are working under great competition environment.

All the banks are providing different profit rates.

The real facts about a credit card...

Credit cards are of various types which are categorized according to their usage and TOS.

People use creditcards according to their basic needs, like we have student credit card with lower limits, visa credit cards, and gold cards.

Credit cards are used for vaious purposes and due to credit cards a lot of crimes are been controlled, since a coin has two sides like tale and head the same is wit credit crds although they are playing a very positive role imn our day to day life, but at the same time they have some draw backs, like a big issue of credit card hacking.

Banks are trying to cover up all the drawe backs and it is hoped that they will control them up.