Market Overview
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...
European Majors Strong after Euro Survived ECB Stimulus
European majors are generally stronger today, after Euro survived yesterday's ECB monetary easing. Meanwhile, Canadian Dollar is broadly pressured following decline in oil prices. New Zealand Dollar is also weak after poor manufacturing data. Dollar is soft despite more positive news regarding US-China trade negotiations. Over the week, Sterling...
Euro Sold Off on ECB Easing With QE and Deposit Rate Cut
Euro drops broadly after ECB finally delivers and announced a package of stimulus. The cut in deposit rate and size of QE are somewhat smaller than expected. But the new economic projections remain decidedly dovish despite the easing package. At this point, Sterling is following closely as the second...
Sentiments Lifted by US-China Goodwill Gestures, ECB Stimulus Awaited
Market sentiments were given another strong lift after both US and China offered gestures of good will ahead of next month's trade meeting. Yen extended this week's pullback and remains generally soft in Asian session today. Swiss Franc follows as the second weakest naturally. Meanwhile, commodity currencies are generally...
Euro Lower as Traders Prepare for ECB, Dollar Shrugs Trump’s Tweets
Euro weakens broadly today, in relatively quiet markets, as traders are probably adjusting their positions ahead of tomorrow's ECB rate decision. A new package of stimulus is widely expected. Yet, opinions on the exact composition of the package is divided. Meanwhile, steady market sentiments is keeping Yen and Swiss...
Sentiments Lifted as China Exempt Some Tariffs on US, Removes QFII Quota
Market sentiments are generally lifted in Asia, by China's announcement to exempt some US imports from tariffs, ahead of next month's meeting. Also, while symbolic, investors also cheer China's move to remove quota for foreign institutional investors on the capital market. Yen and Swiss Franc are under selling pressure...
Sterling Lifted Mildly by Job Data, Markets Steady Overall
The financial markets are generally steady today, with stock and bond markets bounded in tight range. Most major currency pairs and crosses are also staying inside yesterday's range. Swiss Franc is currently the firmer one, followed by Sterling is mildly firmer on solid employment data, but upside is capped....
Yen Lower as Yields Recover, Aussie Falls on Business Confidence
Yen weakens broadly today following recovery in major treasury yields, as a sign of stabilization in sentiments. Most notably, German 10-year yield closed above -0.6% at -0.585, while US 10-year yield closed above 1.6% at 1.622. Australian Dollar is currently the second weakest, after poor business condition and confidence...
Sterling Extends Rally as GDP Data Suggests Receding Recession Risks
Sterling rises broadly today as recession risk recede after better than expected GDP data. While it's unsure whether growth could sustain, the Pound cheers the improved outlook anyway. At this point, Australian Dollar is second strongest, followed by New Zealand Dollar. On the other hand, Swiss Franc is the...
Sterling Mildly Lower in Quiet Trading, More Brexit Drama Ahead
Markets are generally quiet in a typical Monday. Sterling is trading generally lower. Prime Minister Boris Johnson's push for general election ahead of Brexit deadline will likely be voted down today. But it's reported that he's planning to block the parliament's attempts at enforcing Brexit extension. At this point,...
Risk Markets Surged on Receding Political and Trade Uncertainties
Risk aversion eased notably further last week as some of the imminent risks receded. New Italian government was sworn in as 5-Star Movement and bitter rival Democratic Party agreement to form a coalition. UK lawmakers passed a bill to force Prime Minister Boris Johnson to delay Brexit if no...
Dollar Lower on NFP Miss, Supported by Wage Growth
Dollar drops mildly in early US session after weaker than expected employment data. Yet, downside is limited as support by stronger than expected wage growth. At the time of writing, commodity currencies are the strongest one for today with help from China's RRR cut. Canadian Dollar is additionally supported...
Markets Remains Risk On as Focus Turns to Non-Farm Payrolls
The financial markets remain in risk on mode today. Yen, Swiss Franc and Dollar continue to feel tremendous selling pressure. Meanwhile, commodity currencies are generally the strongest. Euro and Sterling are mixed for now as it's still unsure where Brexit uncertainty is heading to. The common currency's rally attempt...
Risk Appetite Strong on Trade, Brexit and Italy
Risk appetite is general strong today on rather positive news. Firstly, US and China both confirmed that trade negotiations are continuing and both teams are in preparing for a high-level face to face meeting in October. There is no specific date for the meeting yet. But with new tariffs...
Sentiments Lifted as US-China Trade Talk Will Resume Next Month, Yen Weakens
Asian markets are generally lifted by confirmation that US-China trade talk is going to resume next month. Commodity currencies gain most as led by Australian Dollar. Swiss Franc and Yen are pressured in risk seeking environment naturally. But Sterling also turns softer on overnight condition. It's getting much more...
Yen Lower on Return of Risk Appetite, Sterling Support by Hope of No No-Deal Brexit
Yen drops broadly today, as stock markets rally on supposed easing tension in Hong Kong. After more than two months of continuing protests, Hong Kong leader Carrie Lam finally announced withdrawal of the controversial extradition bill today. HSI closed up 3.9% on rumors leading to the announcement while HK...
Australian Dollar Rebounds on GDP and Services, Sterling also Recovers
Australian Dollar rebounds notably today as GDP data met market expectations while services data showed improvement. Though, upside is capped so far as RBA is still on track to another rate cut later in the year. Sterling is the second strongest after lawmakers cleared a hurdle to block no-deal...
Sterling Stays Pressured on Brexit, Canadian Dollar Pressured Too
Sterling and UK treasury are the major focuses today as all eyes are on Brexit again. UK Prime Minister Boris Johnson has indicated that he will call an election on October if the MP's bill to seize control of the Commons timetable to force Brexit delay is passed. The...
Sterling Selloff Continues on UK Politics, GBP/USD Breaks 1.2
Sterling's selloff continues today as UK is entering into two crucial days regarding Brexit, and general election cold be called. Euro also follows as the second weakest on ECB easing expectations. On the other hand, Dollar is the strongest one as markets are awaiting more news on US-China trade...
Sterling Tumbles on Poor Manufacturing Data and Political Uncertainties
Sterling drops sharply today as after poor manufacturing data. Also, political and Brexit uncertainties remain in UK. There are "very strong" rumors that a general election could be called this week that could take place before Brexit date of October 31. Australian Dollar follows as the second weakest for...