Market Overview
Fed Cut Expectation Hammers Dollar, Lifts Stocks, But Yen Also Jumps
Now, after Fed Chair Jerome Powell's testimony, a July Fed cut is more like a done deal than not. Dollar tumbled broadly overnight and selloff continues today. Euro is the second weakest as ECB will likely be a step ahead of Fed to announce additional stimulus this month. June's...
Dollar Drops as Powell Said Uncertainties Continue to Weigh on Outlook, Testimony Awaited
Dollar drops notably in response to Fed Chair Jerome Powell's prepared remains for the two day Congressional testimony which starts today. The greenback is currently the weakest one for today, followed by Yen and the Canadian. On the other hand, New Zealand Dollar is the strongest one, followed by...
Dollar Stays Firm ahead of Fed Powell’s Testimony, UK GDP & BoC Watched Too
Dollar remains the strongest one for the week even though upside momentum is diminishing today. The single most important factor for Dollar's next move is whether Fed would cut interest rate at this month's meeting. A 50bps cut is basically priced out by the markets, but futures still indicate...
Dollar Stays Firm as Fed Powell Offers No Rate Clue Yet, Sterling Weak
Dollar, Swiss Franc and Yen remain the strongest ones for today. Risk aversion mode was turned on in European session and is carried forward to US session. Investors are turning cautious as expectation for Fed rate cut this month is being adjusted. Fed Chair Jerome Powell didn't comment on...
Australian Dollar Softer on Weak Business Confidence and Chinese Stocks
Following mild pull back in US equities overnight, Asian markets are mixed. Though, apparent weakness in China and Hong Kong stocks are dragging down Australian Dollar, which is the weakest one for today so far. Sterling is the next weakest as data showed retail sales suffered the worst June...
Euro Lower on Deteriorated Eurozone Investor Confidence
Euro trades broadly lower today as investor confidence deteriorated further despite slightly easing US-China trade tensions. German 10-year yield also weakens again following weaker investor sentiments, as German lender Deutsche Bank AG started its most aggressive restructuring and layoff. Sterling and Yen are also among the weakest ones. On...
Dollar Paring Gains as Focus Turns to Fed Powell’s Testimony and FOMC Minutes
Asian markets tumble broadly, partly as reactions to Japan's export controls on certain Korean semiconductor materials. Also, the weakness is partly due to adjustment in expectations on Fed's rate cut this month, after Friday's solid US job data. Though, the currency markets are steadily mixed. Yen is one of...
Markets Still Believe in a July Fed Cut, But Powell Has the Last Chance to Correct It
Major global treasury yield tumbled sharply last week on expectations of policy easing by central banks. In particular, ECB Governing Council member Olli Rehn issued panic call for further monetary stimulus "now". German 10-year bund yield hit as low as -0.407, below ECB's -0.40% deposit rate. UK 10-year gilt...
Dollar Rebounds as Strong NFP Puts Fed Cut into Question
Dollar rebound strongly today after much better than expected job data. 10-year yield also jumps sharply and is currently up 0.083 at 2.022, back above 2% level. DOW futures, on the other hand, tumble notably. Analysts reactions regarding to the data are divided. Some are more aligned with fed...
Dollar Recovers Mildly as NFP Awaited, Could It Deter Fed’s Cut?
Dollar recovers mildly today as US markets will be back from holiday. But understandably, upside momentum is rather weak so far as the crucial non-farm payroll report is awaited. Overall trading is mixed this week, as some technical level are not firmly take out, even breached. For example, Gold...
German 10-Yr Yield Hits Record Low on ECB Easing Expectations
Trading in the currency markets are relatively subdued today as US is on holiday. Major volatility is seen in the bond markets, as German 10-year yield hits another record low. Expectations on ECB easing continues to intensify, with an official explicitly calling for action now. Swiss Franc is currently...
Market Quiet in Holiday Mood, Aussie and Canadian Firm
The forex markets are generally steady in Asian session today. Trading is rather subdued with US markets on holiday. But volatility will definitely come back with job data tomorrow. For the week, Canadian Dollar is currently the strongest one but USD/CAD is still struggling take out last week's firmly....
Free Fall in Yields Continue, Dollar Softer as ADP Jobs Missed Expectations
Free fall in major treasury yields remain the main focus in the markets today. German 10-year bund yield hit another record low at -0.397 and is now back at -0.378, down -0.013. It closed at -0.324 last week. UK 10-year gilt yield also dropped to as low as 0.67...
Yen Surges on Falling Yields Again, Ready to Resume Up Trend
Yen surges broadly again today as major global treasury yield resumed recent free fall. US 10-year yield down -0.058 to 1.976 overnight and it's now trading further lower to 1.947. German 10-year bund yield opens lower and is down -0.025 at -0.390, continuing to make new record low. Japan...
Aussie Talked Up by RBA Lowe after Rate Cut, Yen Rises as German Yield Hits Record Low
Australian Dollar is trading as the strongest one for today in spite of RBA's second consecutive rate cut. Additionally buying is seen after RBA Governor Philip Lowe talked about four positive developments that could help the economy in a speech. Though, the Aussie is held in range against Dollar...
Australian Dollar Recovering Despite RBA Rate Cut, Dollar Maintains Gain
Dollar's rally extended overnight, following record close in S&P 500 and mild recovery in treasury yields. The greenback is retreating some gains for now. But with near term resistance against European majors broken, further rebound is now mildly in favor. Though, Dollar will still need to survives tests from...
Dollar Maintains Gain, But No Follow Through Buying Yet
Dollar continues to trade as the strongest one, riding on US-China agreement to put trade war escalation on hold. US stocks also follow global markets sharply higher, with DOW trading up over 1% at initial trading. Canadian Dollar follows closely as second strongest, with help from WTO oil's rally....
Dollar and Stocks Surge on as Fear of Trade War Escalation Eased
Dollar and stocks are give a strong boost after Trump-Xi meeting in Japan delivered what the markets expected. For now, the greenback is trading as the strongest ones while traders are revisiting the chance of Fed cut in July. Canadian Dollar is steadily firm, partly helped by rally resumption...
Focus Turn to US Data after Trump & Xi Delivered at G20
Expectations setting were rather well set for the highly anticipated Trump-Xi meeting at G20. Both sides agreed to stop raising tariffs further. But it's unsure whether they've closed the huge gap that led to collapse in trade negotiations. If the causes remain, the results would be the same no...
Dollar Mildly Lower in Quiet Markets, G20 Eyed
Dollar trades broadly lower in relatively quiet markets today. Trading is rather subdued firstly due to quarter end effect. More importantly, traders are awaiting the highly anticipated Trump-Xi meeting. It's cautiously optimistic that some form of agreement would be made to avert further tariff escalations. But this is far...