Market Overview
USD/JPY’s Battle for 150 Still On
Dollar softens slightly today after failing to have a decisive rally against Yen. Nevertheless, the battle for 150 is still on. Sterling is lifted slightly by news of UK Prime Minister Liz Truss's resignation, but there is no follow through buying. Commodity currencies are trading mildly higher as risk...
Dollar Rising on Risk-off Sentiment and Stronger Yields
Risk-off sentiment and rising treasury yields are giving Dollar some support again. The greenback's strengthen is more apparent against commodity currencies, which is reasonable. European majors are mixed for now, with Euro a touch more resilient. Meanwhile, Yen is indeed trying to recover against everyone but Dollar. There is...
USD/JPY Marching to 150 as Dollar Rises With Yields
Dollar rises broadly today, with help from bonds as 10-year yield tops 4.1% in pre-market. Canadian Dollar is also slightly firmer after CPI report. Other parts of the markets are mixed. Yen is dropping towards 150 with Dollar, but recovers elsewhere. Swiss Franc is weakening against both Euro and...
Yen Selloff Slowing Slightly after Intervention
Yen remains the worst performer for the week but selling appears to have slowed after Japan's intervention yesterday. Dollar is following as next weakest, as risk sentiment stabilized. Also, Dollar bulls are clearly on guard against sudden volatility in Yen. Australian Dollar is the strongest one together with New...
USD/JPY Holding Firm Despite Japan Intervention
Japan appeared to have intervene in the currency markets again today. But USD/JPY is holding its head up, staying resilient around 32-year high. Both Dollar and Yen are among the worst as the financial markets are basically trading with solid risk-on sentiment. New Zealand and Australian Dollar ride on...
Kiwi Rebounds On CPI, Dollar and Yen Weak on Risk Sentiment
Commodity currencies are generally stronger today following the rebound in risk markets. New Zealand Dollar is leading the way as additionally supported by stronger than expected consumer inflation reading. There are some talks that RBNZ would opt for a larger than before hike at the upcoming meeting. Dollar, Euro,...
Sterling Supported by UK Tax Measures Reversal, Yen Weakness Continues
Sterling is trading as the strongest one for today so far, even though there is not clear follow through buying except versus Yen. The Pound is supported by UK Finance Minister Jeremy Hunt's decision that the government will reverse "almost all" the tax measures in the Growth Plan announced...
Dollar Loses Momentum in Quiet Trading, Except Versus Yen
The forex markets are rather steady in quiet Asian session today. Dollar is paring some gains while Euro and Yen are soft too. Sterling is leading the way higher, followed by commodity currencies. But overall, almost all major pairs and crosses are bounded inside Friday's range. The economic calendar...
USD/JPY Closing in 150 as Traders Pricing in Two More 75bps Fed Hike This Year
There were so many important headlines last week. USD/JPY surged to new 32-year high with support from stronger than expected CPI, and as 10-year yield broke 4% handle. Japan maintained their stance that they will act resolutely on market volatility, without actual intervention. DOW staged a historic 1500pts U-turn...
Dollar Makes New 32-yr High Against Yen, Will Japan Intervene?
Dollar regains some growth today, and even rises to new 32-year high against Yen. Momentum is somewhat weak, however, as traders are guarding against intervention by Japan. Meanwhile, markets are mixed elsewhere. Sterling dips after UK Finance Minister Kwasi Kwarteng announced his resignation ahead of Prime Minister Liz Truss's press...
Dollar Fell as Sentiment Reversed, Yen Staying Weakest Despite Unconfirmed Sign of Intervention
Dollar's post-CPI rally faltered quickly, as risk sentiment staged a historic U-turn. For now, Sterling is the strongest one for the week on rumors that UK Prime Minister Liz Truss is going to reverse the mini-budget. New Zealand Dollar is the second strongest, followed by Euro. Yen remains the...
Dollar Soars On Strong CPI Again, But Sterling Overwhelms
Dollar soars broadly in early US session after stronger than expected consumer inflation reading. Futures tumble while 10-year yield is back pressing 4% handle. Nonetheless, the greenback is overwhelmed by Pound on rumors that UK Prime Minister Liz Truss is going to further backtrack on the mini-budget. The eventual...
Dollar Struggling for Momentum, Await CPI for Guidance
The markets are generally steady in Asian session today, as traders await US consumer inflation data. FOMC minutes released overnight basically provided nothing to counter the expectation of a 75bps hike by Fed in November. Today's data might further affirm such expectations. While Dollar is firm, it's struggling to...
USD/JPY Accelerates after BoJ Kuroda Drops No Hint on Intervention
Dollar surges further in early US session against Yen, after BoJ Governor Haruhiko Kuroda dropped no hint on intervention despite today's Yen selloff. Indeed, he noted that Yen depreciation could be could for the economy as a whole, just that speculation driven move is bad. But the greenback is...
Dollar Resuming Rally Against Yen and Sterling
Dollar is trying to extend recent rally again but buying is mostly seen against Yen and Sterling. The Yen finally broke out and fell to new 24-year low against the greenback, and it's on track to take on the level seen back in 1998. Sterling, on the other hand,...
Majority of Dollar Bulls Staying on the Sideline
The majority of Dollar bulls appear to be staying on the sideline today. Despite earlier rally attempt, the greenback starts to pare back some gains into US session. US futures are also trading flat in very tight range. Investors are holding their bet ahead of a wave of speeches...
Dollar Breaking Out Against Commodity Currencies
Dollar extends its near term rally in Asian session, with support from risk-off sentiment, while US 10-year yield is flirting with 4% handle. Yen is also firm, and has the potential to overwhelm the greenback if Japan steps into the markets again. Commodity currencies are the weakest one so...
Aussie Down on Risk Aversion, Poor Service Data
Asian markets trade broadly lower today, extending the risk-selloff late last week. Dollar, Yen and Swiss Franc are trading higher on risk-aversion, as usual. Aussie is currently worst performer, while Kiwi and Sterling are trailing. Euro is mixed for now, but looks vulnerable too.
Technically, one focus is whether EUR/USD...
Rising Oil and Yields, Falling Stocks, Stronger Dollar Ahead
After a brief recovery, risk sentiment turned sour again towards the end of the week. Solid data from the US that solidify expectation for continuous aggressive Fed actions was a factor. Strong rebound in oil price also raised concern of a second wave in inflation. The overall development suggests...
Dollar Jumps as Robust NFP Gives Greenlight to Aggressive Fed
Dollar rises broadly after US published another set of robust non-farm payroll job data. As Fed got a nod from the report for continuing its aggressive tightening, US stock futures are trading knocked down while treasury yields jump. Canadian Dollar is also lifted slightly by solid employment data too....