Nikkei Takes Hit from Japan’s Vigorous Yen Verbal Intervention, But Yen’s Gain Lacks Strength
Nikkei tumbled sharply in Asian session today, largely in response to Yen's rebound late yesterday, which followed strong verbal interventions by Japanese officials aimed at curbing the currency's recent weakness. Additionally, profit-taking activities could be another factor as markets gear up for an extended holiday weekend.
Yen's rebound,while notable, has...
Japan’s Financial Leaders Unite in Defense of the Yen, Sparking Rebound
Japanese Yen staged in a notable rebound in European session, triggered by heightened market vigilance towards market interventions. This reaction comes in the wake of a significant meeting between Japan's Ministry of Finance, Financial Services Agency, and Bank of Japan, marking the first such tripartite gathering since last May....
Verbal Intervention Heighten as Yen Stumbles, Kiwi Falls on Bleak Economic Projections
Japanese Yen breached its recent low against the broadly strong Dollar in Asian session today, but the selloff halted just before reaching 152 mark. The momentum of Yen's decline appears to be cushioned by Japan's heightened verbal intervention. Finance Minister Shunichi Suzuki issued a stern warning about Yen's depreciation,...
Swiss Franc Declines Persist as DAX Hits New Heights, Aussie Awaits CPI
Risk-on sentiment is pressuring e Swiss Franc and, to a lesser extent, Yen and Dollar today. DAX soared to new record highs, undeterred by the latest weak German consumer sentiment data, while CAC and FTSE are also marking gains. Similarly, the CAC and FTSE indices are registering gains, with...
Swiss Franc Dips in Muted Trade, Bitcoin Eyes Uptrend Resumption
Swiss Franc traded broadly lower in Asian session today, amidst a backdrop of general market inactivity with all other major pairs and crosses staying inside Monday's range. Still, it remains to be seen whether the Franc's sell-off could extend beyond last week's lows, a downturn initiated by SNB's unexpected...
Subdued Currency Movements, Cautious Stocks, Range Trading Gold
Mild risk-off mood is seen in the global financial markets today, starting from the the noticeable retreat in Japan's Nikkei, then the marginal declines across European stock indices, alongside soft US futures. However, this sense of caution has not significantly rippled through the currency markets, where activity remains largely...
Light Week Ahead with Dollar Rally Awaiting PCE Inflation Insights
The forex markets display a calm demeanor in the Asian session, with most major pairs and crosses gyrating in very tight ranges. Australian Dollar finds modest support from the state orchestrated rebound in Chinese Yuan. However, this lift hasn't translated into clear momentum for an extended rally in Aussie.
Meanwhile,...
Dollar Triumphs Following a Turbulent Week of Central Bank Shocks
The past week in the currency markets was a dramatic whirlwind, marked by pivotal moves from major central banks across the globe. From BoJ's unexpected hike to SNB's surprise cut, from Fed's hawkish leaning projections to BoE's dovish voting, they collectively orchestrated a much volatile than usual trading environment.
Amidst...
Yen Rebounds Amid Short-Covering, Dollar Rally Eases
Japanese Yen rebounds broadly today, likely driven by traders taking profits on short positions after a significant week of sell-off following BoJ's rate hike. This stabilization comes amidst speculations stirred by Japan's latest inflation data, raising the prospect of a second hike by BoJ in the second half of...
Dollar Strikes Back as Investors Reevaluate Global Central Bank Paths
Dollar mounted a significant comeback overnight, demonstrating resilience amidst surge in risk-on sentiment that propelled the three major US stock indexes to record highs. The greenback continued to extend gains in Asian session, surpassing pre-FOMC highs against European majors.
The shift in sentiment came in wake of SNB's unexpected rate...
Swiss Franc Tumbles on SNB Cut; Sterling Falters as Hawks Retreat
Swiss Franc is trading as the day's most significant loser in the wake of SNB's surprising decision to cut interest rates. This move, along with a substantial downward revision of inflation forecasts, is seen by some economists as a strategic effort by SNB to alleviate the burden of a...
Dollar Wanes as Fed Sticks to Three Cuts Projection; Aussie Jumps; BoE and SNB Next
Dollar took a nosedive overnight as investors were apparently relieved that Fed is still on track to cut interest rates three times this year. The odds for a June cut as indicated by fed fund futures also jumped back to above 70%. The positive sentiment shoot major US stocks...
Dollar Holds Strength Ahead of Fed Dot Plot Update
Dollar stands firm as the day's strongest currency, with the financial markets on edge for the Fed's impending announcement. While interest rate is widely anticipated to hold steady at 5.25-5.50%, the spotlight is on the potential adjustments to Fed's dot plot. December's projections hinted at three rate cuts for...
Yen Selloff Intensifies, Attention Shifts to UK CPI and FOMC
Japanese Yen's decline intensified today and it's on the verge of breaking to new historical low against the greenback. Japan's stock markets are on holiday today, but the strong rally in Nikkei yesterday, which surged 40k psychological mark again, was significant. The robust risk-on sentiment within Japan and its...
Canadian Dollar Dives on CPI Surprise, Market Eyes Earlier BoC Rate Cut
Canadian Dollar falls sharply in early US session, triggered by an unexpected decline in Canada's headline CPI and a more significant than anticipated slowdown in core inflation measures. This trend of disinflation is likely to reassure BoC that its efforts to curb inflation are bearing fruit, possibly at a...
BoJ’s Historic Hike Fails to Lift Yen, RBA’s Cautious Stance Weighs on Aussie
Yen declines broadly in a classic "sell-on-news" reaction following BoJ's landmark decision to exit its eight-year negative interest rate policy and announce its first rate hike in 17 years. Although the immediate economic impact of this move is considered minimal, its psychological and symbolic significance cannot be understated. This...
Yen on the Brink as Markets Await BoJ
Yen's continued weakness persists in today's subdued market, despite growing expectations for a BoJ rate hike in the upcoming Asian session—a move anticipated to conclude its longstanding negative rates policy. Although the anticipated adjustment from -0.10% to 0.00% may seem minor, its symbolic significance for the Japanese economy is...
Caution Prevails as Markets Brace for Central Bank Frenzy and Economic Data
Yen softened slightly in Asian session today, influenced by a robust rebound in strong rebound in Nikkei. Meanwhile, New Zealand Dollar received a modest boost, buoyed by an upturn in the country's services data. This was mirrored by the Australian Dollar, which, along with the Kiwi, found support in...
Dollar Rises on Fed Reassessment, But Reversal Pending Confirmation
Dollar ended the week as the strongest currency, boosted by the fresh round of inflation data that led markets to reassess expectations around Fed's rate cuts. This recalibration was also marked a pronounced rebound in treasury yields and a notably cautious sentiment pervading the stock market. Despite this rally,...
Yen Retreats Further as Dollar Sees Caution Among Traders
Yen's pull back continues today despite more positive news on wages negotiations in Japan. Remarkably, the currency has undone its gains from last week against all major counterparts, barring the even more beleaguered New Zealand Dollar. Expectations are still leaning towards an imminent interest rate hike by BoJ; however,...