Market Overview
Dollar Selloff Deepens as Weak Upstream Inflation and Job Data Push Euro to New Highs
Dollar's decline continues in early trading, fueled by weaker-than-expected upstream inflation and job data, pushing the greenback to its lowest level against Euro this year. The Swiss Franc emerges as today's biggest winner, bolstered by falling benchmark yields in Germany and the UK. Meanwhile, Euro benefits from hawkish remarks...
Aussie Lifted Slightly by Job Data, Dollar Loss Limited by Hawkish FOMC Minutes
Dollar remains somewhat soft in the Asian trading session, though it hasn't seen any follow-through selling. Hawkish FOMC minutes have partially offset the impact of consumer inflation data on the currency. The broader financial markets also lack a clear direction, as US stock indexes closed lower after initial rally....
US Inflation Data Spurs Market Optimism, Dollar Falls Broadly
The overall set of US consumer inflation reports appears to have been well received by investors. DOW futures jumped over 200 points following the release and maintained most of the gains before open, while treasury yields tumbled at both short and long ends. Although Fed is still on track...
Market Volatility to Pick Up With US CPI and BoC Decision Featured
Market volatility could see a significant uptick today with three heavyweight events on the schedule. US consumer inflation data for March has the potential to shift market expectations regarding the Fed's rate path. While headline CPI is expected to drop for the ninth consecutive month to 5.2%, core inflation...
European Majors in Spotlight as Eurozone Investor Confidence Improves
European majors are taking center stage today as markets reopen after holidays. Although not spectacular, Eurozone data revealed improvements in investor confidence, which has bolstered overall market sentiment. Major European indexes and benchmark treasury yields are trading slightly higher. In contrast, commodity currencies and Dollar are trading on the...
Aussie Gains on Improved Consumer and Business Confidence, Yen Under Pressure
Australian Dollar is having a broad recovery in Asian session today, bolstered by improvements in both consumer and business confidence data. While the rally's strength is still limited, Aussie appears to have some room for further upside before encountering near-term resistance levels. European majors follow as the next strongest,...
Subdued Trading Continues, Yen Down on Dovish New BoJ Governor
Today's trading remains relatively subdued, as many markets are still closed for holidays. Canadian and US Dollars are showing mild strength, while Yen struggles as the weakest currency, followed by New Zealand Dollar and Euro. Sterling, Australian Dollar, and Swiss Franc exhibit mixed performance. Most pairs and crosses stay...
Mild Risk-Off Sentiment Prevails as Markets Digest US Jobless Claims Data
Trading activity leans mildly toward risk aversion as US jobless claims data underscores concerns over a slowdown in the job market. Stock futures and treasury yields are trading modestly lower, but overall market movements remain limited, suggesting many traders may already be in a holiday mindset. Canadian Dollar also...
Yen Rises on Declining Benchmark Yields, Focus Turns to Canadian Job Data
Yen is extending this week's rebound in Asian session, with help from extended decline in US and European benchmark yields. Investors were showing signs of worries of a sharper slowdown in US economy after much weaker than expected economic data. Dollar is recovering on mild risk aversion too, but...
Dollar Remains Weak after Disappointing US ADP Data, Yen and Swiss Franc Rally
Disappointing US private job data doesn't trigger significant fresh selling in Dollar, but it's still maintaining its position as the week's weakest performer so far. Countervailing forces from declining US and European benchmark treasury yields are keeping the greenback's losses against Euro and Sterling in check. However, Swiss Franc...
Diverging Fortunes for Commodity Currencies; Gold Resumes Uptrend
New Zealand Dollar rises broadly after RBNZ surprised the market with a 50bps interest rate hike. In contrast, Australian Dollar is suffering from cross-selling, extending the post-RBA selloff. Canadian Dollar is taking a breather as oil prices plateau following an earlier surge this week, with WTI still struggling around...
Sterling Soars to 10-Month High Against Dollar, Brushing Off Dovish BoE Comments
Sterling surges to a 10-month high against Dollar today, as comments from a lone dove on the Bank of England's Monetary Policy Committee seem to have little impact. Pound's strength against Euro and Swiss Franc suggests a one-sided movement. Meanwhile, Australian Dollar remains the weakest performer following RBA's decision...
Australian Dollar Weakens Post-RBA Decision, Other Commodity Currencies Stay Firm
Australian Dollar finds itself on a broad-based downward trajectory following RBA's decision to maintain interest rates unchanged. Despite maintaining a tightening bias, RBA's announcement fell short of some speculations for a more hawkish outcome. In contrast, fellow commodity currencies, New Zealand Dollar and Canadian Dollar, continue to display strength....
Australian Dollar Rallies Amid RBA Rate Decision Speculations
Australian Dollar surges as markets approach the US session, with investors eyeing RBA rate decision tomorrow. Although it seems reasonable to expect a pause in interest rate hikes, some financial institutions, such as ANZ and NAB, predict a 25bps increase. The Aussie's rally could be driven by speculation of...
Dollar Rallies Amid Inflation Fears as Oil Prices Surge
In today's Asian trading session, Dollar witnessed a remarkable bounce as concerns over inflation reemerged, driven by a sudden upswing in oil prices. WTI crude oil fleetingly broke the 80 level after Saudi Arabia and other OPEC+ oil producers made an unforeseen announcement on Sunday, revealing additional oil output...
Banking Concerns Subside, Inflation Worries Ease, Dollar Lost Ground
Last week, investors appeared to view the banking crisis as well-contained, pushing it into the rearview mirror. Confidence saw a revival, resulting in significant gains for major global stock indexes. In tandem with the lower-than-anticipated inflation figures from the US, market sentiment underwent a notable shift, paving the way...
Inflation Data Fails to Stir Markets; Canadian Dollar Unmoved
The inflation data from Eurozone and the US has left traders somewhat disappointed, as it triggered minimal volatility in the markets. Eurozone headline inflation slowed more than anticipated, while core inflation aligned with consensus. In the US, both headline and core PCE inflation fell short of expectations. Canadian Dollar...
China’s Robust Services Data Boosts Markets; UK Joins CPTPP, Strengthening Sterling
As March comes to an end, strong services data from China has invigorated the markets, providing additional support to Australian and New Zealand Dollar. Sterling is further bolstered by the news that the UK has secured a deal to join the 11-country Comprehensive and Progressive Agreement for Trans-Pacific Partnership...
Rising Euro Lifts Sterling and Swiss Franc after German Inflation Data
Euro is on the rise today, pulling Sterling and Swiss Franc along with it. Slightly higher-than-expected German inflation data is sparking speculation of a potential upside surprise in Eurozone CPI tomorrow. This development, coupled with recent hawkish rhetoric from ECB officials, suggests further tightening are on the horizon, provided...
Canadian Dollar Shines in Quiet Markets, Traders Await Tomorrow’s Inflation Data
In the quiet Asian session, Canadian Dollar continues to outperform, while positive risk sentiment is providing a slight boost to Australian Dollar, though not New Zealand Dollar. Euro is drawing support from hawkish remarks by ECB officials but lacks strong follow-through buying. Yen, Swiss Franc, and Dollar remain the...