Market Overview
Euro Rebounds after Initial Selloff, ECB Opens Door to Rate Cut But Seems Not Urgent
After initial selloff, Euro quickly rebounds as ECB Mario Draghi's press conference is not as dovish as the statement suggests. September ECB decision could be live, depending on upcoming economic projections. For now, Euro is the strongest one for today, followed by Sterling. Dollar is the third strongest, supported...
Euro Stays Weak as Markets Await Dovish ECB Hold
Monetary easing from central banks remain a major background theme in the markets. Euro is sold off this week as markets are preparing for dovishness from ECB today. While immediate policy action is not envisaged, President Mario Draghi is expected to explicitly set the stage for some announcement next...
Euro Dives as PMIs Solidify Case for ECB Easing
Euro tumbles sharply today as poor PMI data solidifies the case for ECB easing ahead. The central bank is not expected to act tomorrow yet, but some form of indications would likely be provided by President Mario Draghi, on what stimulus would be adopted. For now, Australian Dollar is...
Aussie Falls on RBA Rate Cut Expectations, Euro Soft ahead of PMIs
The financial markets somewhat decouple in Asian session today. Australian Dollar is sold off broadly while Yen strengthens, Yet it's has nothing to do with risk appetite with Asian equity indices generally higher. Aussie's weakness is mainly due to RBA rate expectations following poor PMIs. In particular, sharp deterioration...
Dollar Extends Rebound, Sterling Soft after Brief Recovery
Sterling has a very brief recovery today after Boris Johnson reaches the most important checkpoint to become the next UK prime minister. But the Pound quickly lost momentum and is back under pressure. Though, for now, New Zealand Dollar is the weakest one, followed by Euro, then Sterling. On...
Dollar Rises in Mixed Markets, Resumes Rally Against Euro
Dollar strengthens broadly today and breaks near term support against Euro. There is no clear sign of strength in other pairs yet. More is needed to the greenback to prove itself. Meanwhile, markets remain relatively mixed elsewhere. Canadian Dollar is the strongest yet New Zealand Dollar and Australian Dollar...
Dollar Lacks Direction While US-China Trade Meeting Said to Resume
The forex markets are generally mixed today in rather quiet trading. Dollar lacks a clear direction despite rumors that US and China trade teams are going finally meet to resume negotiations. Canadian Dollar is currently the weakest one, followed by Sterling, and then Yen. On the other hand, New...
Sterling in Focus in a Light Day, ECB and US GDP ahead
Asian markets are trading generally lower today as another weak starts. Though, weakness in stocks is relatively limited. Expectations on Fed and ECB easing remain generally firm. It looks like a matter of when and how much easing only. In the currency markets, Yen is trading mildly lower, followed...
Sterling Might Bottom While Euro Would Stay Pressured, Dollar Indecisive
Sterling, Dollar and Euro were the major focuses last week as they took turn in suffering selloffs. The Pound was pressured by increasing worries over no-deal Brexit. While it ended the week as the weakest one, late recovery argues that the worst could be past for Sterling for the...
Canadian Dollar Dives on Retail Sales Miss, Euro Also Weak
Canadian Dollar drops sharply in early US session after big disappointment from retail sales data. The Loonie is currently trading as the weakest one for today. Euro is following as the second weakest as markets increases bet on ECB rate cut. Money markets are pricing in around 60% of...
Dollar Dives as Dovish Fedspeaks Reinforce Rate Cut Bets
Dollar stabilizes in Asian session after steep decline overnight. Bets on Fed's rate cut this month jumped after dovish comments from some key Fed officials. It seems that Fed might choose not to listen to the solid economic data released recently, but opt for the path of insurance. Treasury...
Dollar Shrugs Solid Manufacturing and Job Data, Euro Even Worse
Manufacturing and job data released the US are pretty solid. But dollar shrugs off and stays soft. Though, Euro is even weaker on rumor that ECB is considering to revamp their inflation target, which could give policymakers rooms to pursue monetary stimulus for longer. Canadian Dollar is also among...
Dollar Back Under Pressure, Yen Jumps on Falling Yields
Dollar is back under pressure following weakness in US stocks and yields overnight. But it remains largely in range, except versus Yen. Indeed, Yen buying seems to be picking up momentum again, in tandem with steep decline in Nikkei in Asian session. But risk aversion is having little impact...
Markets Mixed as Inflation Data Provide No Guidance
The forex markets are generally locked in tight range today. Canadian Dollar is supported by largely expected consumer inflation data. While Loonie is the second strongest for today so far, USD/CAD is stuck in familiar range. The markets are indeed rather mixed, as seen in New Zealand Dollar being...
Dollar Maintains Gain as Focus Turns to CPI from UK, EZ and Canada
Dollar turns into consolidation in Asian session but it's able to maintain most of this week's gain. The greenback's fate remains heavily dependent on whether Fed will cut interest rates later in the month. Strong economic data so far argue against a move. Yet, it seems they're not strong...
Dollar Rebounds on Retail Sales, Sterling Shrugs Solid Job Data
Dollar rebound strongly in early US session, with support from strong retail sales data. Though, upside is somewhat capped by industrial production miss. Canadian Dollar is, instead, the strongest one. On the other hand, Sterling is the weakest one for today despite solid employment data. UK unemployment rate stayed...
UK Employment, German ZEW and US Retail Sales Watched
New Zealand Dollar strengthens broadly today after CPI picked up in Q2. On the other hand, Australian Dollar trades slightly softer after RBA minutes affirmed easing bias. Euro and Dollar strengthen mildly in Asian session. But both will face tests from economic data, including US retail sales and German...
Dollar Shrugs Solid Manufacturing Data, Sterling Leads Euro Lower
Commodity currencies remain the strongest ones for today with help from mild risk appetite. Dollar is trying to recover on stronger than expected manufacturing data, but no follow through buying is seen yet. The greenback will need more positive data release to offset recent selling pressure. On the other...
Australian Dollar Higher on China Data, More Important Global Data Ahead
Markets are in mild risk seeking mode in Asian session, following record run in the US. China's GDP data slowed to 27-year low in Q2, but strong June data offered glimpse of hope. New Zealand and Australian Dollar follow the trend and strength today. Yen and Swiss Franc soften...
Dollar Reversed, Stocks Made New Records on as Fed Cut Expectations Solidified
Dollar's fortune reversed again last week as expectations of Fed July rate cut re-intensified. Such expectations also pushed US equities to new record highs. However, global equities lagged behind, with major FTSE, CAC and Nikkei closed inside prior week's range. DAX even dropped sharply. Also, 10-year and 30-year US...