Market Overview
Dollar Weakens as PCE Inflation Surged by Missed Expectations
Dollar weakens in early US session, in particular against Yen. PCE inflation showed notable acceleration in May but fell short of expectations slightly. Nevertheless, Sterling is the worst performing ones for today, extending post BoE selloff. The Pound is also pressured by uncertainties over resurgence of coronavirus infections. Commodity...
Stocks Surge on Infrastructure Deal, Dollar and Yen Soften
Dollar and Yen are trading slightly softer in Asian session today, as markets are back on full risk-on mode. S&P 500 and NASDAQ hit new record after US President Joe Biden struck an infrastructure deal with a bipartisan group of senators. Asian stocks also trail higher. Commodity currencies rise...
Sterling Weakens as BoE Gives No Hawkish Surprise, Dollar Softer on Job and Durables
Sterling drops notably today after BoE delivered no hawkish surprise. While it sounded upbeat on the outlook, the MPC, except chief economist Andy Haldane, would prefer to wait until August to take any policy actions. Dollar is also soft after weaker than expected jobless claims and durable goods orders....
Fed Officials Shrugged by Markets, Focus Turns to BoE and US Data
The chorus of Fedspeaks overnight provided little inspirations to the markets. Some policy makers expected tapering in the coming months, followed by rate hike next year. Some remained more cautious on the outlook. That's what we already know from the Fed's dot plot already. Major US indexes closed mixed...
Yen Selloff Continues With Dollar, Commodity Currencies Strong
The forex markets continue to stay in sort of risk-on mode today, with weakness in Dollar and Yen, and strength in commodity currencies as led by New Zealand Dollar. Though, traders in other markets are not too committed yet. European indexes are just mixed while US futures point to...
Yen Extends Decline on Risk-On Markets, Completed Corrective Rebound
Yen dropped notably overnight and stays pressured in Asian session with markets back in risk-on mode. NASDAQ closed at new record high while DOW and S&P 500 also gained. Major Asian indexes follow with solid gains in Hong Kong. Dollar also extended this week's retreat but losses are so...
Dollar Awaits Fed Powell, Sterling Bulls Not Giving Up
Trading in the forex markets is rather subdued today, as in other financial markets. Dollar continues to consolidate recent rise while European stocks and US futures are treading water. Focus turns to Fed Chair Jerome Powell's testimony for fresh inspirations. . Sterling bulls hesitated in early part of European...
Sterling Firms Up While Dollar and Yen Consolidate
The forex markets are generally staying in consolidative mode today. Dollar and Yen pulled back slightly overnight, together with the notable rebound in stocks. But both are regaining some grounds while commodity currencies soften. Traders would likely be holding their bets on the next move first, waiting for some...
Dollar and Yen in Brief Retreat as Stocks and Yields Rebound
Dollar and Yen retreat as markets enter into US session. Stock markets are staging a mild rebound in Europe, while US futures also point to higher open. Treasury yields also recovered from earlier decline, with US 10-year yield back above 1.4 handle at the time of writing. New Zealand...
Yen Surges on Falling Stocks and Yields, Dollar Takes a Breather
Yen rises broadly today as risk aversion is dominating the overall financial markets. In particular, US 10-year yield dives through 1.4 handle in Asia, and we'd see if the weakness would persist. Though, selling focus is turning from Aussie and Kiwi to Canadian. Dollar is consolidating last week's strong...
Dollar Solidified Strong Near Term Rally, But Not in Long Term Reversal Yet
Dollar ended last week sharply higher as boosted by the surprisingly hawkish FOMC projections. Yen followed as second strongest on steep selloff in stocks, while Euro is a distant third. Commodity currencies were the worst performers, with Aussie leading the way, followed by New Zealand Dollar. Though, Swiss Franc...
Sterling Tumbles on Poor Retail Sales and Rise in Coronavirus Cases
Sterling is among the worst performing currency for today, together with commodity currencies. Poor retail sales data from the UK is weighing on the Pound. Additionally, the resurgence in coronavirus infections, now due to the delta variant, in the UK is concerning. Daily new cases jumped above 11k, after...
Dollar Consolidating Gains, Yen Also Firm after BoJ
Dollar is consolidating some gains in Asia session today but remains overwhelmingly the strongest for the week. Yen is following closely as second best. Yet, there is no one-sided risk aversion in the markets to help Yen against Dollar. US stock indexes ended mixed overnight only, while Asian markets...
Dollar Power Continues, But Yen Trying to Overtake
Dollar's post-FOMC strength continues to overwhelm the markets today. Though, Yen is also catching up as US futures point to a weak open. Selling in commodity Yen crosses is also helping the Japanese currency. Swiss Franc is currently the worst performing, as SNB sounded it's fully in inertia despite...
Dollar Soars on Hawkish FOMC, EUR/USD Breaks 1.2
Dollar surges overnight after much hawkish than expected Fed interest rate projections. The case of near term bullish reversal continues to build up and there is prospect of further rally before weekend. Markets are relatively mixed elsewhere though. Australian Dollar is lifted by strong job data while New Zealand...
Markets Await Fed, Canadian Dollar Shrugs Strong CPI
Dollar softens quite notably in early US session as markets await FOMC rate decision. Though, Swiss Franc and Euro appear to be slightly weaker. On the other hand, Kiwi and Aussie are strengthening mildly but Canadian Dollar shrugs off stronger than expected consumer inflation data. Sterling also firms up...
Dollar Awaits Fed’s Dots for More Rally
Dollar is maintaining much of this week's gains as focus now turns to FOMC statement and economic projections. There is prospect of further rally for the greenback should some policymakers pull ahead their rate hike expectations. But the overall reactions would more depend on interaction with other markets like...
Dollar Surges on Record PPI, Sterling Tumbles
Dollar jumps in early US session after strong, record making, PPI inflation data. The worse than expected retail sales and manufacturing data were shrugged off. Yen and Euro are following as next strongest for now. Sterling continues to be weighed down by delay in reopening and it's trading and...
Yen Crosses Rebound as NASDAQ and S&P 500 Made New Records
Yen trades broadly overnight on strong risk appetite, with NASDAQ and S&P 500 closing at new record highs. And it remains generally soft in Asian session. Some selling in seen in Australian Dollar after RBA minutes, but loss is very limited. Other commodity currencies are indeed trying to firm...
Sterling Softens on Possible Reopening Delay, Range Trading Continues
The forex markets continue to be generally quiet today, stuck inside Friday's range. Sterling is mildly lower on talks that UK Prime Minister Boris Johnson is going to delay easing of restrictions due to rise in the Delta variant infections. Yen is also trading lower together with Swiss Franc....