Sterling Rises on Trade Deal News, Dollar Soft
Sterling opens the week on firm footing as lifted by UK's trade deal with Canada. There's also report on increasing expectation of a deal with EU to be sealed this week. New Zealand Dollar is also firm after strong Q3 retail sales rebound. On the other hand, Dollar, Yen...
Markets Turned into Consolidation, With Conflicting Signals
Markets, including stocks, gold and currencies, were generally bounded in consolidative mode last week. News regarding coronavirus vaccines failed to give sentiments another boost. Instead, investors are waiting for fresh inspirations. Dollar ended as the worst performing one, but stayed inside prior week's range, except versus Kiwi. Euro, and...
CFTC Commitments of Traders – Net Short in GBP Futures could Trim on Signs of Resolving Brexit Deadlock
As suggested in the CFTC Commitments of Traders report in the week ended November 17, NET SHORT of USD Index futures dropped -154 contracts to 974. Speculative long positions increased +937 contracts and short positions gained +783 contracts. Concerning European currencies, NET LENGTH in EUR futures fell -1 327...
CFTC Commitments of Traders – Bets for Lower Crude Oil Price Trimmed Significantly
According to the CFTC Commitments of Traders report for the week ended November 17, NET LENGTH for crude oil futures jumped +17 273 contracts to 480 811 for the week. Speculative long position added +4 502 contracts, while shorts slumped -12 771 contracts. For refined oil products, NET LENGTH...
Strong Retail Sales Data from Canada and UK Ignored
Dollar would probably end as the worst performing for the week, followed by Yen and Swiss Franc. But they're generally staying familiar range, like other major pairs and crosses. Investors are struggling to decide on a direction, despite the news of vaccines, or the split between US treasury and...
Consolidations Continue in Mixed Markets, Dollar Downside Breakout in Favor
Consolidation trading continues with US stocks closing mildly higher overnight while Asian markets are mixed. Gold also lost some downside momentum just ahead of 1850 key support level. In the forex markets, range trading continues in general with Aussie and Sterling gaining some grounds today. Yen and Canadian are...
Dollar Still in Recovery Despite Rise in Initial Jobless Claims
Dollar rises mildly today despite the first rise in initial jobless claims in five weeks. Euro and Swiss Fran are following closely. Global markets are still engaging in consolidative trading, with mild weakness in European equities and US futures. Australian Dollar is leading New Zealand Dollar lower. Still, there...
Dollar Recovers in Consolidative Markets, Coronavirus Cases and Restrictions Weigh on Sentiments
Consolidative trading continue as Dollar rises in general in Asian session together, followed by Swiss Franc. On the the other hand, Sterling is reversing some of this week's gains together with Aussie and Kiwi. News on coronavirus vaccines are unable to give investor sentiments further lift. Instead, concerns are...
US Crude Inventory Increased for a Second Week
The report from the US Energy Information Administration (EIA) shows that total crude oil and petroleum products (ex. SPR) stocks plunged -10.16 mmb to 1354.91 mmb in the week ended November 13. Crude oil inventory gained +0.77 mmb (consensus: +1.65 mmb) to 489.48 mmb. Stockpile increased in 3 out...
Yen Mildly Higher in Subdued Markets, Dollar and Euro Soft
Dollar and Euro are both trading mildly lower in a relatively subdued, consolidative markets today. Yen and Kiwi are, on the other the stronger ones. There is no clear sing of range breakout yet. Pfizer provided another piece of upbeat news on coronavirus vaccines. The final results from late-stage...
Markets Turned into Consolidations, Gold Weakness Might Help Dollar
The financial markets generally turned into consolidation for now as vaccine boost faded. Commodity currencies are mildly softer in Asian session, together with Dollar. On the other hand, Swiss Franc and Yen are the firmer ones, together with Sterling. For the week, Dollar is the weakest one for now,...
Dollar Recovering as Stocks Digest Gains, But European Majors Stronger
Global stock markets are paring some of yesterday's strong gain, together with slight pull back in oil price. The development translates into mild weakness in commodity currencies. Yet Dollar is not gaining much for now, as it's overshadowed by the rally in European majors and Yen. But for now,...
CFTC Commitments of Traders – Bets for Lower GBP Increased. Brexit Back on Driver’s Seat as Transition Period Ends Soon
As suggested in the CFTC Commitments of Traders report in the week ended November 10, USD Index futures drifted to NET SHORT of 1 128 contracts. Speculative long positions increased +1 177 contracts and short positions gained +3 046 contracts. Concerning European currencies, NET LENGTH in EUR futures fell...
CFTC Commitments of Traders – Soaring market sentiment Increased Bets on Higher Commodity Prices, Except for Gold
With the exception of gold, commodities under our coverage saw net increase in long positions. Optimistic news about coronavirus vaccine lifted market sentiment, raising hopes that global economy could return to normal later next year. According to the CFTC Commitments of Traders report for the week ended November 10, NET...
Rebound in Crude Oil Price to be Short-lived as OPEC+ Cut Can Hardly Balance Market
Crude oil prices jumped amidst more optimistic news above coronavirus vaccine. The market also anticipates OPEC+ to extend the output cut deal until 1Q2021. For the latter, it appears that most OPEC+ producers agree to extend the cut as global oil demand should remain weak for the year ahead....
No Range Breakout in Dollar Yet Despite Vaccine Optimism
Vaccine optimism pushed DOW to new record high overnight and positive sentiment continues in Asian session. Dollar, Yen and Swiss Franc are the weaker ones, while commodity currencies are strongest. Though, major pairs and crosses are generally bounded inside last week's range. That is, Dollar and Yen are holding...
RBA Minutes Affirm that Future Monetary Policy will Rely on QE
The RBA minutes for the November contained little news. After cutting the policy to a new low of 0.1%, policymakers suggested the policy tool in the future will mainly be asset purchases. While the members remained reluctant to lower interest rates to negative, they might have to follow if...
Stocks Cheer Moderna’s Vaccine News, Dollar Mixed
Global investor sentiments are boosted by more good news on coronavirus vaccines. Moderna said it's vaccine was 94.5% effective in preventing COVID-19, based on interim data from a late stage trial. Major European indices are trading up while DOW future is gaining over 450 pts. In the background, solid...
Sentiments Supported by Solid Japan and China Data, Dollar and Yen Soft
Dollar, Yen and Swiss Franc are trading generally lower as the week starts with solid risk-on mode. In particular, Nikkei is up more than 2% after release on stronger than expected GDP data. A batch of solid Chinese data also provides support to overall sentiments. New Zealand and Australian...
China’s Economic Recovery and Less Policy Accommodation Lend Support to Renminbi
The latest set of economic data in China reflects that recovery continued in October. Growth was seen in both the supply and demand sides. However, while supply side continued to expand more than anticipated, the consumer spending did not perform as strong as market expectations. PBOC has recently mentioned...