Market Overview
Canadian Dollar Firm after Trudeau’s Minority Win, Sterling Awaits Brexit Vote
Canadian Dollar rises slightly higher after Prime Minister Justin Trudeau cling on to power following election wing. His Liberal Party had won, or were leading in 155 out of 338 seats in the parliament. That was short of the 170 seats needed to take majority and the Liberal might...
Brexit and Trade Optimism, Sterling Firms Up While Yen Softens
Yen trades broadly lower today, following rally in treasury major global treasury yields. Investors are generally optimistic that, despite all the obstacles, UK Prime Minister Boris Johnson is able to deliver orderly Brexit eventually. Comments from China and US regarding trade negotiations were also affirmative. For now, Euro follows...
Sterling Just Mildly Lower on Brexit Drama, Aussie Firm US-China Trade Progress
Sterling opens the week mildly lower as Brexit uncertainty is dragging on. Nevertheless, selling pressure is weak so far because there is still enough time for the Commons to ratify the Brexit deal to even avoid another extension. At this point, Swiss Franc is following as second weakest, then...
Sterling Rally in Jeopardy after Johnson’s Defeat, Dollar Selloff Exaggerated
Sterling surged broadly last week after as UK Prime Minister Boris Johnson struck a new deal with EU on Brexit. It appeared that UK was on track to leave EU on October 31 in an orderly way. The development also took other European majors higher. However, uncertainty re-surfaced as...
Sterling Consolidates ahead of Crucial Brexit Votes, Dollar Soft
Sterling remains steady today as traders are all holding their bets ahead of tomorrow's crucial vote on the new Brexit withdrawal agreement. Canadian Dollar follows as second weakest as oil price recovery cannot gather momentum. On the other hand, New Zealand and Australian Dollars firm up mildly. Over the...
Markets Shrug Poor China GDP, Aussie and Kiwi Firm
Australian and New Zealand Dollar are slightly firmer in Asian session today despite Chinese GDP miss. The stronger than expected industrial production growth ease some concerns over worse slowdown in Q4. Meanwhile, Sterling continues to consolidation in tight range, digesting this week's strong gains. The Pound's fate will heavily...
Sterling’s Brexit Optimism Knocked Down by DUP Rejection, Dollar Drops on More Data Misses
Sterling is having a roller-coaster ride today. It's firstly boosted by news that EU and UK has finally agreed to a new Brexit deal. However, the Pound was then quickly knocked down as Northern Ireland's DUP expressed rejection to it. It seems Brexit drama is not going to end...
Australian Dollar Lifted by Fall in Unemployment Rate, Sterling Still Waiting for Brexit Deal
Australian Dollar rises broadly today as dip in unemployment rate should significantly lower the chance of another imminent RBA rate cut next month. Though, upside is so far limited as the central bank is still on easing course. Sterling is digesting recent gains as markets await a Brexit deal...
Dollar Shrugs Poor Retail Sales, Sterling Continues to Await Brexit Deal
Sterling is attempting to resume recent rally even though there is no clear break through in Brexit negotiations yet. European Council President Donald Tusk said it may take another seven to eight hours before knowing when Brexit may happen. As news and rumors come in, we may seen more...
Sterling Firm as Brexit Deal is Near, Inflation Data Watched
Pound stays generally firm in Asian session after yesterday's rally. UK and EU are getting closer to a Brexit deal and further progress could give Sterling another punch above. As for today, Yen and Swiss Franc are mildly firmer together with dollar. Meanwhile, Australian Dollar and New Zealand Dollars...
Sterling Firmer in Tight Range, Yen Mildly Higher as US-China Trade Deal Back in Question
Commodity currencies are generally softer today, as led by New Zealand Dollar. Euro also turned softer despite slightly better than expected German ZEW economic sentiment. US-China trade deal appears to be in question again, but reactions are so far mild. On the other hand, Sterling appears to be slightly...
Australian Dollar Steady after RBA Minutes, Markets Staying in Tight Range
The forex markets are staying in tight range in Asian session today. More clarity is needed regarding two of the biggest global risks, before traders commit more. It's unlikely for a Brexit deal to be reached at the EU summit this week. And it's reported that EU could hold...
Yen, Swiss and Dollar Higher as Markets Rethink US-China Deal in Holiday Trading
Yen, Swiss Franc and Dollar continue to regain some grounds today as markets reassess US-China trade negotiations developments. New Zealand Dollar, Sterling and Australian Dollar are generally softer too. But overall trading is rather subdued with Japan, US and Canada on holiday. Today's price actions are, for now, generally...
Markets Higher But Cautiously Await Brexit and US-China Trade Developments
Asian markets opened higher but there is no clear follow through buying so far. Investors are cautiously assessing the overall developments. Nothing is done until everything is done. Even if, unlike last time, China puts all agreed into texts, it just means no more tariffs escalations at best. Much...
US-China Trade Deal and Brexit Optimism Lifted Sentiments
Global markets were boosted strongly last week as there seemed to be resolution to two major risks finally. UK and Ireland appeared to have found the "pathway" to avoid no-deal Brexit. Meanwhile, US and China agreed an interim trade deal that would avert further tariffs escalation. The improvement in...
Sterling Skyrockets on Brexit Optimism, Canadian Jumps on Job Data
Sterling is overwhelmingly the strongest one on optimism that UK will finally reach a deal with EU for an orderly Brexit. EU Chief Brexit negotiator Michel Barnier is said to be given greenlight for tunnel discussions, paving the way for next week's crucial EU summit. Canadian Dollar is currently...
Sentiments Lifted by Optimism on Brexit and US-China Trade Talks
Sentiments had a drastic turn yesterday as both Brexit and US-China trade talks appeared to show some lights. Sterling rebounded strongly on hope there would finally be a deal to orderly Brexit on October 31. The Pound is set to end the week as the strongest one. Euro is...
Euro Jumps as ECB Accounts Showed Division on Stimulus, Dollar and Yen Weak
Dollar and Yen are generally softer today following notable rebound in German and US treasury yields. ECB meeting accounts confirmed the divided opinion among policy makers on the stimulus package, in particular QE. That gives a strong support in both Euro and German bund yields. Meanwhile, solid core CPI...
Markets Stay Cautious as US-China Trade Talks Awaited
Overall, the forex markets remain generally quiet in very tight range. Australian dollar edged higher in Asian session as lifted by stronger than expected consumer inflation expectations. Yet, there was on follow through buying. Yen and Dollar are both softer as sentiments remain cautious. Traders are very skeptical on...
Consolidation Continues as Markets Await FOMC Minutes and Trade Talks
Consolidative trading continues in the financial markets. US futures point to recovery despite uncertainties over US-China trade talks. Yet, markets are just paring some of yesterday's losses. The currency markets are also generally bounded inside yesterday's range. Dollar is slightly softer, awaiting FOMC minutes. Sterling had a rollercoaster ride...