Market Overview
Euro Supported by Improving Investor Confidence; USD, JPY and CHF Mildly Lower
Dollar, Yen and Swiss Franc turned slightly weaker in quiet markets today. Euro is supported by better than expected investor sentiment data, while Sterling also recovers. New Zealand Dollar is also trading higher but Australian and Canadian Dollar are lagging behind. Gold is back above 1800 handle but has...
Yen Retreating in Quite Markets, But More Upside Still Likely
The financial markets are rather quiet today. Commodity currencies are paring back some of last week's losses while Yen is retreating. But there is no change in the overall outlook, with the decline in Yen crosses more likely to continue than not. Trading could remain subdued first in European...
Yen and Franc Followed Bonds Higher, Ignored Record Running Stocks
The developments last week were a bit confounding, as both stocks and bonds rallied notably. Yen and Swiss Franc followed the path of falling yields and rose as the biggest winner of the week.
Dollar was not much helped by Fed's tapering and solid job data. Australia Dollar ignored broad...
Dollar Surges after NFP, Breaking Out Against Euro
Dollar rises in early US session after better than expected employment data. It's now attempting a breakout against Euro. Canadian Dollar is also firmer after job data. On the other hand, Sterling remains one of the weakest for the week, as post BoE selloff continues. But Euro and Swiss...
Yen and Franc Strong on Falling Global Yields, Dollar Looks into NFP
Yen and Swiss Franc are currently the strongest ones for the week and remain generally firm. Falling global benchmark treasury yields seem to be supporting both "safe-haven" currencies. Germany 10-year bund yield is back below -0.22, UK 10-year gilt yield is below 0.95 while Japan 10-year JGB yield is...
Sterling Dives as BoE Refrains from Rate Hike, Yen and Franc Firm
Sterling drops sharply after BoE stands pat, disappointing those who expected a hike. Euro is currently following as the second weakest for the day. On the other hand, Yen and Swiss Franc rise broadly, supported by falling benchmark yields in Germany and UK. Dollar is also firm as general...
Stocks Surged, Dollar Mixed after Fed Tapering, BoE Next
US stocks surged to new records overnight despite Fed's tapering announcement. Positive sentiments also continued in general in Asia. Dollar remains mixed for now and traders are probably awaiting tomorrow's non-farm payroll report before taking a commitment. Focus will now turn to BoE rate decision, as Sterling is trading...
Dollar Shrugs Strong ADP Job Data, Fed Tapering Next
The markets are generally quiet as FOMC tapering announcement is awaited. Major European indexes tread water while US futures are mixed. Global benchmark yields are trading lower for now. In the currency markets, Canadian and Dollar are both weakening mildly today. Stronger than expected ADP job report gives little...
Dollar Mixed as Markets Turn Cautious ahead of FOMC Tapering
Overall markets are quite mixed for now. While US indexes surged to new record highs overnight, positive sentiment was not carried forward to Asia. Major pairs and crosses are also stuck in range. It seems that traders and investors have turned into cautious mode, awaiting Fed's tapering decision. For...
Yen Extended Rebound as German Yield Dives, But Lacks Follow Through Buying
Yen extended rebound in European session following the sharp fall in benchmark Germany yield. But struggling to extend gain as markets enter into US session. Overall markets are mixed as investors are probably turning cautious ahead tomorrow's FOMC policy decision. As for today, Aussie remains the worst performing one...
Aussie Tumbles after RBA, Yen Staging a Rebound
Australia Dollar tumbles broadly today as markets are dissatisfied with RBA's dovish stance, even though yield curve control is abandoned. Commodity currencies are also trading generally lower. On the other hand, Yen is staging a strong rebound after Japanese Finance Minister Shunichi Suzuki said he's keeping an eye on the...
Swiss Franc Rallies Against Euro and Sterling, Dollar Mixed
Swiss Franc is strengthening notably today, but selling focus has somewhat shifted from Euro to Sterling. Still, the franc is outshone by New Zealand Dollar, which is overwhelming the strongest. On the other hand, Yen is the weaker one following extended risk-on sentiments from Japan to Europe. Sterling is...
Nikkei Surges on LDP’s Election Win, Yen Trades Lower
Japan's Nikkei index surges sharply by over 2% in Asian session, in very positive response to the easy win of the Liberal Democratic Party in Sunday's election. Prime Minister Fumio Kishida's LDP retained comfortable majority in the House of Representatives, ensuring continuity of the economic policies. While other Asian...
Euro Selloff to Continue, At Least in Some Crosses
Euro ended as the worst performing one after the post ECB rally faded quickly. It's clear that ECB would lag behind other major central banks in stopping to add stimulus, not to mention raising interest rate. The selloff in Euro also dragged down Sterling, as both were sold off...
Dollar Rebounding after Strong PCE Inflation Data
Dollar is trying to rebound broadly in early US session, partly on strong inflation data, and partly on month end flow. But overall, the greenback is just mixed for the week. For week Aussie and Swiss Franc are the strongest ones, with the latter lifted by strong buying against...
Dollar and Yen Dropped Again on Risk On Markets
Dollar and Yen dropped sharply overnight on strong risk-on market, as NASDAQ finally caught up and made new record high. The greenback is additionally pressured by the delayed buying in Euro after ECB post-meeting press conference. For now, Canadian Dollar is the third weakest, following the retreat in oil...
Euro Mildly Higher after ECB, Dollar Dips Slightly on GDP Miss
Major pairs and crosses are stuck inside yesterday's range so far, as consolidative trading continues. Euro appears to be lifted slightly by ECB's press conference but there is no follow through buying. Dollar also looks just a touch weaker after worse than expected Q3 GDP data. Overall, commodity currencies...
Markets Staying in Consolidation after BoC and BoJ, ECB Next
Consolidative trading continues in the forex markets in general. Canadian Dollar spiked higher after more hawkish than expected BoC overnight, but there was no follow through buying. BoJ's decision to stand pat triggered little reactions. Expectation of an earlier RBA rate hike intensified after the central bank let target...
Yen Recovers as Markets Extend Corrective Pattern
The forex markets are extending near term corrective moves today, with Yen turning slightly stronger, followed by Swiss Franc. Canadian Dollar and Sterling are the weaker ones, followed by Dollar. The Loonie will look into BoC policy decision for guidance. Meanwhile, broader markets will look at development in overall...
AUD Mildly Higher after CPI, CAD Consolidates as BoC Awaited
Australian Dollar rises broadly today with support from strong inflation data. But upside is capped by mildly negative investment sentiment in Asia. While DOW and S&P 500 made new records overnight, there is no follow through in risk-on sentiment. Overall currency markets are mixed, with Yen as second strongest...