Market Overview
Dollar Softens in Quiet Markets, RBNZ and SNB to Meet This Week
The markets are rather quiet in Asian session with Japan on holiday. Some selloff is seen in Hong Kong stocks but others simply ignored. The forex markets are generally stuck inside Friday's range, with Dollar and Swiss Franc trading with a soft tone. On the other hand, Aussie and...
Yen Surged Again, Dollar Rally Failed, Sterling Pared Losses
Yen ended up broadly as the strongest one last week, extending this month's rebound. Domestically, political uncertainty was cleared with Yoshihide Suga took up the job of Prime Minister, ensuring continuity of Abenomics. Externally, geopolitical risks at the South China Sea and Taiwan Strait heightened while US-China relations deteriorated...
Yen Rises Further in Flip-Flopping Markets
Yen picks up some upside momentum again today while the forex markets continue to flip-flop elsewhere. Australian Dollar turn softer, followed by Canadian and Swiss Franc. Kiwi is the second strongest next to Yen, followed by Sterling and Dollar. For the week, Yen remains the strongest one. There is...
Dollar Rally Fades, Sterling Pares Losses, Yen Still Firm
Dollar is back trading as the weakest one for the week as it's earlier rally attempt faded quickly. Though, Euro and Swiss Franc are not too far behind as the next weakest. Yen is also paring some of this week's gain but remains generally firm. New Zealand Dollar is...
Sterling Plummets as BoE Hints on Negative Rates, Yen Surges
Sterling drops broadly today as BoE minutes indicated that the central bank is already discussing implementation negative interest rates. On the other hand, Yen is currently the strongest one, extending this week's strong rally. Risk aversion and falling treasury yields are both helping the Yen higher. Dollar lost some...
Dollar Surges as FOMC Risks Cleared, on Asian Risk Aversion
Dollar surges broadly today partly because FOMC announcement and projections overnight removed the risk of extra dovishness. Also, Hong Kong led decline in Asian stocks is providing extra support to the greenback. Yen is following closely as the second strongest for now. On the other hand, New Zealand Dollar...
Yen Surges as Traders Look Forward to FOMC Projections
Yen rises broadly today as markets are awaiting Fed policy decision. The strength in Yen since last week seems to be related to inflation expectations. It first followed comments from an ECB official that the pandemic impact impact would eventually be demand dominate, and thus deflationary. Such view could...
Dollar Softens Mildly as Focus Turns to FOMC Statement and Projections
Dollar trades generally soft in Asian session but losses are so far limited. The greenback is actually still staying above last week's low against all but Yen and Kiwi. Major focus will turn to FOMC today and traders could finally commit to a direction, after getting Fed's new economic...
Yen Surges Broadly, Dollar and Euro Weak
Dollar trades broadly lower today but there seems to be no clear unified theme in the financial markets. Stocks are in risk-on mode, lifting the Australian Dollar. But Yen is also generally higher despite some mild recovery in treasury yields. Sterling's recovery is understandable as it's digesting some of...
Aussie Rallies as Chinese Data Gives Sentiment Additional Boost
Investors seemed to have put last week's selloff in stocks behind already. Asian markets, except Japan, trade generally higher following the rebound in the US overnight. Additional, upside surprises in data from China boost optimism that it's back on track for stronger rebound for the rest of the year....
Sterling Recovers Mildly ahead of an Eventful Week, Dollar Treads Water
Trading in the forex markets remain generally subdued for now. While US stocks are set for a rebound, currency traders are not to bothered with that. Sterling is so far the stronger one for today, as traders take profits on shorts, ahead of of the string of UK data,...
NZD Mildly Higher on Lockdown Exit, Yen Awaits Breakout
New Zealand Dollar trades generally higher in otherwise quiet markets today. The news of lockdown exit is lift sentiments on Kiwi, even though upside is relatively limited. Other major forex pairs and crosses are bounded inside Friday's range though. Trading could remain subdued due to a light calendar today....
No-Deal Brexit Could Push Sterling Back into Medium Term Down Trend
Sterling's selloff was the most decisive move last week. UK-EU negotiations seemed heading to a dead-end as UK published the so-called internal market bill, which violates part of the Brexit Withdrawal Agreement. WTO style of trade relationship after Brexit looks more likely than ever. Technical developments in Sterling pairs...
Markets Steady ahead of Weekend, USD Shrugs CPI
The markets are generally rather steady today, awaiting weekly close. Major European indices are mixed in tight range. US futures point to mildly higher open, arguing that yesterday's selloff might not extend for now. Commodity currencies are generally firmer today while Dollar and Yen are the weakest. Stronger than...
Euro Rebound Fades Quickly, Sterling Decline Continues
Sterling weakness remains the unified theme in the markets this week. The Pound remain under pressure in Asian session today while recovery attempt was brief and weak. As for the week, Canadian Dollar is currently the second weakest, in tandem with the sharp decline in oil price. Swiss Franc...
Euro Surges as ECB Gives No Red Light to Appreciation
Euro jumps notably as ECB insist that it doesn't target the exchange rate, despite recent appreciation, suggesting that they're still comfortable with the current level. The common currency also takes Swiss Franc higher with it. On the other hand, Sterling is left behind as European majors. The Pound suffers...
Euro Awaits ECB for Next Move, Sterling Weakness Persists
Sterling remains the weakest one for the week, without a doubt in the otherwise mixed forex markets. Overall risk sentiments stabilized with the overnight rebound in US stocks. Dollar has pared back much of this week's gains together with Yen. Euro is currently the stronger one for today, as...
Pound Selloff Continues, Risk Sentiments Stabilized
The Pound's selloff continues today as the UK government's so called internal market bill draws wide criticism, from EU to Scotland and Wales. Traders continue to off-load Sterling on no-deal Brexit risks. European markets, though, somewhat stabilized and recovered from yesterday's selloff. US stocks futures also point to recovery...
Euro Vulnerable Against Dollar and Yen as Risk Aversion Intensifies
Yen remains generally firm as Asian session as deep risk aversion carries forward from US markets. Concerns over coronavirus vaccine development was a major factor weighing on sentiments. Dollar turns softer, digesting yesterday's gains, but remains generally firm. Sterling continues to trade as the weakest one and selloff is...
Risk Aversion Comes Back on Tech Rout, No-Deal Brexit
Risk aversion is back in the markets today. On the one hand, US stocks are set to open sharply lower as they return from holiday. Tech rout is continuing with NASAQ futures down more than -3% at the time of writing. On the other hand, no-deal Brexit worries intensify...