Mon, Oct 25, 2021 @ 13:39 GMT
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Yen Selloff Accelerated on Strong Energy and Commodity Rallies

Yen's selloff accelerated rather steeply last week, on the back of surging commodity and energy prices. Dollar was also pressured this time, as treasury yields retreated and on late rally in stocks. Euro was not to far away, as pressured by selloff in crosses. On the other hand, commodity...

CFTC Commitments of Traders – Energy Prices Remain Strong as Power Shortage Persists

According to the CFTC Commitments of Traders report for the week ended October 12, NET LENGTH of crude oil futures rose +6 469 contracts to 404 776. Speculative longs jumped +15 440 contracts while shorts increased +8 971 contracts. For refined oil products, NET LENGTH for heating oil added...

CFTC Commitments of Traders – Risk Currency Rebounded on Bargain-Hunting

As suggested in the CFTC Commitments of Traders report in the week ended October 12, NET LENGTH of USD index futures rose +3 306 contracts to 35 062. Bets increased modestly on both sides. Concerning European currencies, NET SHORT of EUR futures dropped -3 936 contracts to 18 398....

Sterling Powers Up While Yen Accelerates Lower, Dollar Shrugs Retail Sales

Sterling steals the show today breaking through key resistance levels the Japanese Yen, and a near term low against Euro too. Dollar is trying to strengthen against Euro and Swiss Franc on strong retail sales, but momentum is sluggish elsewhere. There is no change in the selloff in Yen,...

Yen Selloff Looks Unstoppable as Global Stocks Surge

Yen's selloff continues to look unstoppable as global markets are set to end the week on a strong note. Asian stocks are trading broadly higher following the solid rebound in the US overnight. Dollar is also weak, partly weighed down by the extended retreat in treasury yields, but Euro...

CAD, AUD, NZD Rise in Risk-on Markets, JPY Selling in Force

Commodity currencies rise broadly today on the back on risk-on sentiments. Major European indexes are trading up while US futures also point to higher open. Yen is extending recent broad based decline since though treasury yields are in retreat. Dollar and Euro are following as next weakest. Sterling and...

Yen Selloff Resumes, Aussie Shrugs Weak Job Data

Yen's decline resumes in Asian session today, with selling focusing against commodity currencies. Aussie shrugs off slightly weaker than expected job data, and strengthen together with Kiwi and Loonie. On the other hand, Dollar turns slightly softer even though FOMC minutes affirmed tapering to start in November. Euro is...

FOMC Minutes: QE Tapering can Come in As Soon As Mid-November

At the FOMC minutes for the September meeting, the members sent more hints about QE tapering. It is highly likely a formal announcement will  be made in November, barring abrupt deterioration of pandemic condition and power shortage problems. On economic developments, the Fed acknowledged that “economic activity had continued to...

Dollar Firms Up Slightly after CPI, But No Follow Through Buying Yet

Dollar firms up mildly in early US session as headline CPI was back at multi-decade high, which core CPI remains stubbornly strong. The gain in the greenback is so far limited. Overall markets continue to trade in consolidative mode, with mild weakness seen in commodity currencies while Swiss Franc...

Markets in Consolidation as US CPI and FOMC Minutes Awaited

The markets are trading in consolidative mode in Asia today. Dollar attempted to resume near term rally against Euro overnight, but quickly lost momentum. While Yen remains generally weak, selloff slowed, along with slight retreat in US 10-year yield, and retreat in stocks. Traders will turn their focuses firstly...

Euro Softens on Weak Economic Sentiment, Yen Selloff Remains the Main Theme

There is basically no change in the Yen selloff theme in the markets. But buying focus has shifted to commodity currencies, as led by Aussie and Kiwi, as well as Sterling. Euro is turning a touch weaker after poor German sentiment data, while the Pound is supported by job...

OPEC+ Under-produced Despite Energy Crisis

OPEC+ produced less than promised despite global energy shortage. The alliance comprised of 10 OPEC members, 9 non-OPEC producers and 3 OPEC members exempted from quotas produced a total of 40.73M bpd in September, compared with 40.26M bpd a month ago. Output from OPEC-10 and non-OPEC aggregated to 36.57M...

Focus Turns to UK and Germany Data, as Yen Pares Loss

The forex markets turn into consolidative mode in Asian session. Yen recovers mildly, digesting the recent steep selloff. But there is no clear sign of bottoming in the Japanese currency yet. Commodity currencies are also retreating mildly, following some mild selloff in stocks. Euro and Dollar are mixed while...

CAD Supported by Energy Price Strength. Strong Job Market and Inflation Lifted Yields

Falling to the weakest level since August, USDCAD was the worst performer amongst majors (CAD best performer against USD). Loonie’s rebound was driven by energy prices and strong job data. Elevated inflation also has again heightened speculations about BOC’s rate hike. The major driver of loonie’s strength was energy price....

Yen Stays Pressured, Euro Sluggish on ECB Comments

Overall outlook in the financial market is unchanged, with Yen selloff as the main theme, as major global treasury yields continue to march higher. Euro is second weakest after ECB officials talked down the threat of inflation. Australian Dollar is trading broadly higher, followed by Kiwi. Dollar, Sterling and...

Yen Selloff Continues on Strong Stocks and Yields, Sterling Lifted by Hawkish BoE Comments

Yen's selloff continues as another week starts, backed by rebound in Asian stocks and Japanese yield. Indeed, 10-year JGB yield, currently at 0.093, is on track to 0.1 handle. Sterling is currently the strongest one, as lifted by hawkish comments from BoE officials over the weekend. Australian Dollar is...

CFTC Commitments of Traders – Energy Prices Rallied amidst Concerns of Prolonged Power Shortage

Energy prices rallied across the board as the problem of energy shortage across the globe has exacerbated. According to the CFTC Commitments of Traders report for the week ended October 5, NET LENGTH of crude oil futures rallied +24 493 contracts to 398 307. Speculative longs jumped +21 038...

CFTC Commitments of Traders – Bets on Lower European Currencies Accelerated amidst Power and Supply Chain Crisis

As suggested in the CFTC Commitments of Traders report in the week ended October 5, NET LENGTH of USD index futures rose +5 565 contracts to 32 026. Bets were trimmed on both sides. Concerning European currencies, EUR futures drifted to NET SHORT  of 22 334. Speculative shorts rallied...

Yen Crosses Followed Yields Higher Against, Loonie Rode on Oil

Yen was once again sold off broadly last week, following late rally in treasury yields despite disappointing US job report. Resilience in overall risk appetite also kept the Japanese currency pressured. Meanwhile, Euro followed as as distant second worst on selloff in crosses, as well as Dollar. New Zealand...

Dollar Tumbles after Huge NFP Miss, CAD Surges

Dollar tumbles in US session after another huge non-farm payroll miss. On the other hand, Canadian Dollar surges notably after solid employment data. As for the week, the Loonie is now in a pole position to end as the strongest. Yen is still the worst performing, but we'd see...