Dollar Recovers Mildly, But Needs Fed Guidance for Next Move
Dollar recovers mildly in quiet Asian session today, but it's bounded inside Friday's range except versus Canadian. The greenback will most probably wait until Fed Chair Jerome Powell's comment, after another 75bps this week, before taking another firm move. As for today, Euro is so far the firmer ones,...
Yield Curve Inversion and Recession Risks, Dollar the Worst Performer of the Week
Dollar ended as the worst performing one last week. Selloff somewhat intensified on Friday after poor PMIs indicated that the US economy was already in contraction. Deep fall in benchmark treasury yields dragged down the greenback while traders were betting on a lower terminal rate in Fed's tightening cycle....
Yen Surges With Falling Yields, Euro Hammered by Poor PMIs
Yen surges broadly today, together with Swiss Franc, following resumed decline in benchmark yields in US and Germany. Euro is sold off broadly, as the ECB lift faded, and as pressured by poor PMI data. Sterling is following as the second worst. Dollar is also weak on yields. For...
Euro Rally Fades Quickly, Dollar Staying Weak Too
The lift from ECB rate hike to Euro was rather brief yesterday. The common currency remains range bound again most currencies and turns slightly softer today. Dollar, on the other hand, is regaining some ground with Canadian and Swiss Franc. Overall, the greenback is still the weakest one for...
Euro Rises after ECB’s 50bps Hike, But Momentum Not Too Convincing Yet
Euro rises broadly after ECB raising interest rate by 50bps, and front-loads the exit from negative deposit rate. The central bank also maintains tightening bias. Swiss Franc is taken up by Euro too. Meanwhile, New Zealand Dollar is the worst performing one for today, together with Canadian and Yen....
All About Euro as ECB Rate Hike Awaited, BoJ Stands Pat
The forex markets are generally steady in Asian session today, with all major pairs and crosses stuck inside yesterday's range. BoJ's decision to stand pat on policy triggered little reaction. Instead, focus will turn to ECB, with main question on whether a 25bps hike will be delivered as pre-committed,...
Canadian Dollar Softens after CPI Release, Dollar Recovering Slightly
Canadian Dollar softens mildly in early US session after consumer inflation data. While CPI hit another near four-decade high, the reading was far below market expectations. On the other hand, New Zealand and Australian Dollar remains generally firm. Dollar is recovering slightly but stays as the worst performer for...
Kiwi and Aussie Jump on Improving Sentiment, Dollar Correction Continues
New Zealand and Australian Dollar trade broadly higher on the back on improving market sentiment. Asia indexes are tracking US stocks higher. On the other hand, Dollar continues to extend its near term correction, in particular against commodity currencies. Yen is also under some pressure. Meanwhile, European majors are...
Dollar Continues to Correct Lower, Euro Lifted by ECB Talks
Dollar's correction continues today and falls broadly. US stocks point to stronger extended rebound. Yen is also weak. Kiwi is currently the strongest, followed by Australian. Euro and Swiss Franc are next. In particular, Euro is lifted by reports that ECB would consider both a 25bps and 50bps hike...
Aussie Mildly Higher After RBA Minutes, Dollar Continues to Soften
Australian Dollar trades mildly higher in Asian session, after RBA minutes affirmed that further tightening is underway. New Zealand is also supported by somewhat steady risk sentiment. Canadian Dollar is also limited after WTI crude oil rebounded and regained 100 handle. Euro and Dollar are the softer ones for...
EUR/USD Extending Rebound as Dollar Continues Pullback
Dollar, Yen and Swiss Franc are both under some selling pressure today, as overall risk sentiment improved. Sterling is currently the winner and Euro is not too far behind. Canadian Dollar leads commodity currencies, as Kiwi is somewhat lagging despite strong inflation data. The picture will depend on whether...
Dollar Extending Pull Back; ECB, BoJ and Lots of Data This Week
Risk sentiment is positive as another week starts, with major Asian indexes trading higher while Japan is on holiday. Dollar is extending its near term pull back while Yen and Swiss Franc are also soft. On the other hand, New Zealand Dollar is lifted slightly by stronger than expected...
Risk of Dollar Pull Back Growing, After Breaching Parity With Euro
Dollar was the strongest one for most part of the week, and even breached parity against Euro. But the greenback pared gains on late turn in market sentiment, and ended as the second best only. Swiss Franc was surprisingly the best performer, while Kiwi was the third. Yen was...
Dollar Paring Gains as Retail Sales Strong, But Not Materially Stronger Than Expected
Dollar is starting to pare back this week's gains in early US session, after retail sales data were not materially stronger than expectations. It looks like EUR/USD could close the week above parity, and may start to stabilize for the near term. US futures are trading higher after the...
Gold Breached 1700, EUR/USD Still Defending Parity
Dollar is staying is the strongest one for the week, as talks of a 100bps hike at the July FOMC meeting heat up. But upside momentum in the greenback hasn't been really too convincing, except versus Yen. EUR/USD is still trying hard to defend parity for now. Yen, on...
Dollar Buying Continues after Record PPI, EUR/USD Breaks Parity Again
Dollar stays strong in early US session after release of another record print of PPI inflation. Buying of Dollar is currently concentrated again Yen and Canadian. But the moves in Aussie and European majors are also picking up. Loonie is the worst performing one today, despite the mega 1%...
Yen Extends Decline Against Dollar and Canadian
Yen's selloff continues in Asian session today, on expectation of further divergence in BoJ's policy with other major central banks. BoC's mega 100bps hike overnight prompted talks that Fed could follow later in the month, given that headline consumer inflation is showing no sign of even plateauing. Dollar remains...
Dollar Rises as CPI Hits Another Four-Decade High
Dollar rises in early US session after data shows that headline consumer inflation accelerated once again in June, to the highest level since 1981. Yen is currently the worst performing one on rise in US and European benchmark yields. But there is prospect for recovery in Yen, except versus...
Sterling in Recovery Supported by GDP, Dollar Eyes CPI
Sterling is in recovery today, and it's supported by better than expected monthly GDP data. Yen is currently the softer one. But overall trading is quiet in the currency markets. RBNZ's rate hike doesn't give any lift to Kiwi. Canadian Dollar is range bound, awaiting BoC rate decision. Meanwhile,...
Dollar Breaches Parity Against Euro, But No Follow Through Buying
Dollar's rally continues today and breached parity against Euro for the first time in two decades. Nevertheless, the greenback seems to be losing some momentum since then, in particular against Yen. There is prospect of a deeper retreat for Dollar as 10-year yield is also weakening slightly. Yen is...