Market Overview
Dollar Buying Lost Momentum ahead of Key Resistance
The forex markets remain in rather indecisive mode for now. Dollar buying attempted to take off yesterday, but quickly lost momentum. The greenback pares back some of yesterday's gains in Asian session. Similarly, there was no follow through selling in Australian and New Zealand Dollar so far. Yen is...
Dollar Rises on Trade Pessimism and Trump Impeachment
Markets are generally in risk averse mode today, partly due to receding US-China trade optimism after hardline comments from US President Donald Trump at UN yesterday. Also, US House Speaker decided to lunch a formal impeachment inquiry on Trump. Nevertheless, while European markets are in red, DOW future is...
Sentiments Turned Sour after Trump’s Harsh Words on China
Sentiments turned sour again after US President Donald Trump's harsh words on China at UN. But reactions in the forex markets are relatively muted. Dollar is the stronger one for now. New Zealand Dollar is supported after RBNZ stands pat without hinting on another imminent rate cut. On the...
Sterling Surges of UK Supreme Court Ruling, Aussie Lifted by RBA Lowe
Sterling rises broadly today as MPs are expected to back to work on blocking no-deal Brexit after Supreme Court ruling. Meanwhile, Australian Dollar is lifted by RBA Governor's refrain from signaling an imminent rate cut next week. New Zealand Dollar follows higher too. On the other hand, Yen and...
US-China Trade Talks to Continue in Two Weeks, Euro Look into German Ifo
The forex markets are generally in tight range today. Risk sentiments improved slightly after US Treasury Secretary Steven Mnuchin indicated there would be a high-level trade talks with China in two weeks. New Zealand and Australian Dollars are trading mildly higher. On the other hand, European majors are generally...
Euro Plummets as Poor PMIs Point to More ECB Stimulus
Euro is sold off broadly today after shocking poor Eurozone and German PMIs. As Markit put, that data could put pressure on ECB to add to its recent stimulus package. Sterling is somewhat dragged down by Euro and is following as the second weakest. On the hand, Yen is...
Risk Appetite Turns Softer But Aussie Supported by Services PMI
The forex markets are trading in rather tight range today. Risk appetite turn weaker on renewed worries over US-China trade negotiations. Asian stocks responded by opening lower. Yen could extend the rebound started on Friday if sentiments worsen ahead. But for now, the risk aversion currency is trading slightly...
Yen Jumps as Trade Optimism Waned Suddenly after China Canceled Farm Trip
Yen and Swiss Franc ended as the strongest ones last week. They're partly supported by lack of clear indication of imminent easing from respective central banks. There was additional buying on a pessimistic turn on US-China trade talks. Dollar ended mixed after Fed's hawkish rate cut. Theorectically, Fed should...
Dollar Regains Ground after US Exempts Some Tariffs on China
Dollar regains some ground in early US session as US exempts tariffs on some Chinese products temporarily. It seems that both sides are keen to create the right mood for continuing negotiations, at least for now. Though, at this points, Swiss Franc and Yen remain the stronger ones for...
Sterling Surges as EU Juncker said a Brexit Deal is Possible by Oct 31
Sterling rises broadly today on optimism that a Brexit deal could finally be reached by the end of next month. For now, Swiss Franc and Yen are following as next strongest. On the other hand, Dollar turns soft as post-FOMC lift continued to fade, followed by New Zealand Dollar...
Focus Turning to Trade Talks after BoE, SNB and BoJ
Swiss Franc and Yen are trading as the strongest for today so far. Both like lifted by somewhat dovish yet balanced central bank decisions. There are no clear indication of imminent policy easing from SNB nor BoJ yet. On other hand, commodity currencies are generally lower as led by...
Dollar Lacks Follow Through Buying after Fed’s Hawkish Cut
The stock markets are mixed after the hawkish rate cut by Fed overnight but treasury yields are back under pressure. Dollar rose mildly after the announcement but there was no follow through buying. Yen surges broadly today, riding on falling yields, followed by Swiss Franc. Australian Dollar is the...
Markets in Tight Range and Fed Rate Cut Awaited
The forex markets are generally stuck in very tight range today, as markets await Fed's rate cut. Dollar is the stronger one as followed by Canadian and Yen. Australian Dollar is the weakest one so far. Sterling follows as second weakest after lower than expected consumer inflation reading. New...
Dollar Mildly Higher as Fed Cut Turned From Done Deal to Debatable
Dollar firms up mildly today as all eyes are on FOMC rate decision. A rate cut has turned from being a done deal to debatable, based on market pricing. While a cut is still generally expected, the greenback could be supported if Fed signals that the door for further...
Euro Recovers as German Economic Sentiment Rebounds, Dollar also Higher
Euro recovers mildly today as partly supported by strong rebound in German economic sentiment. Though, upside is capped for now as outlook for the country remains negative. Follows as the second strongest, then Yen. Fed is still widely expected to cut interest rate again tomorrow. And the question is...
Australian Dollar Turns Soft after RBA Minutes, on Mild Risk Aversion
Australian Dollar weakens broadly in Asian session after RBA minutes suggested more rate cuts ahead. Commodity currencies are also generally lower on mild risk aversion. There is little support from news of US-Japan trade agreement. on the other hand, Swiss Franc and Euro are trading generally stronger, followed by...
Euro & Sterling Weak after Johnson’s Meeting with Juncker Made No Progress
Euro drops broadly today on some dovish comments from ECB officials. Also, it's believed that surge in oil prices could hurt Eurozone's balance of payment. Sterling stays weak as meeting between Prime Minster Boris Johnson and EU Jean-Claude Juncker ended without any noticeable progress. Generally weaker sentiments also keep...
Canadian Dollar Rebounds on Strong Oil Prices, Yen Firmer on Mild Risk Aversion
Canadian recovers notably today following the strong rally in oil prices, after attack on Saudi Arabia's oil production. Yen follows as the second strongest on mild risk aversion, as sentiments are also weighed down by poor Chinese data. On the other hand, Sterling is the paring some of last...
Fed Might Cut Just Once More in Mid-Cycle Adjustment as Sentiments Improved
Threat of US-China trade war escalation receded last week after both sides offered some concessions. Further than that, there is increasing hope of de-escalation of some form as the idea of an "interim" trade deal floated around. Both sides seemed to be communicating well in preparation for the meeting...
Euro to End Firm as ECB Seen Done with Easing
European majors remain generally firm today. In particular, Euro is supported by the view that ECB has done with policy easing after yesterday's stimulus package. Such view is supported by rare open criticism on the measures by ECB officials. Commodity currencies are generally softer together with Dollar. Over the...