Asian markets opened higher earlier today following the strong close in US markets. China appeared to be backing down on further tariff retaliation, and there's hope for continuation in US-China trade negotiation. But sentiments turned sour quickly on escalating...
Stock markets stage a strong rebound today after China appears to be backing down from its hard line stance in trade war with US. Yen and Swiss Franc turn soft while commodity currency regain reverse earlier losses. Euro is...
Commodity currencies remain generally pressured on risk aversion today. In particular, New Zealand Dollar is weighed down by poor business confidence data. Australian is not much better after contraction in private capital spending. On the other hand, Yen and...
Global economic slowdown, escalations of US- China trade war and further Fed funds rate cut have heightened speculations that BOC would have to lower its policy rate in coming months. We agree on this assessment but expect that the...
The report from the US Energy Information Administration (EIA) shows that total crude oil and petroleum products (ex. SPR) stocks soared +4 mmb to 1315.23 mmb in the week ended August 23. Crude oil inventory slumped -10.03 mmb to...
Sterling is back in focus today as UK is heading into constitutional with Prime Minister Boris Johnson's move to suspend the government. Risk aversion return of risk aversion also keep commodity currencies generally soft. On the other hand,Yen is...
Dollar, Euro and Sterling are trading as the stronger ones today while commodity currencies are generally weaker. Dollar somewhat shrugs offer weaker treasury yields as markets await the next move in US-China trade war. Euro is underpinned by possible...
Sterling rises broadly today as UK opposition lawmakers are moving to seek Brexit delay. Swiss Franc weakens broadly at the same time, partly due to the same reason. The forex markets are otherwise mixed, staying in tight range as...
PBOC has recently made some changes in its interest rate policy. Following the move to link the loan prime rate (LPR) to open market operations, the medium lending facility (MLF) rate, the central bank over the weekend announced the...
Yen strengthens broadly today again as the pull back lost momentum. After all the words and rhetorics, US-China trade war is still in progress for escalation. Yesterday's early selloff in risk markets might be overdone. But current recovery doesn't...
Sentiments stabilized a lot after US President Donald Trump toned down his rhetoric on trade war with China. There appears to be some conversations going on for resolutions. But recovery in stock markets is so far refrained, as tensions...
Yen surges broadly as Asian markets tumble sharply on US-China trade war escalation. Gold also resumed recent up trend and hit as high as 1555. But traders turn a bit more cautious as mixed messages came out of China....
Last week started with anticipation of Fed Chair Jerome Powell's Jackson Hole speech, but ended with shocked escalation of US-China trade war. Risk aversion should continue to dominate the markets this week, as hard-line rhetorics are expected from both...
According to the CFTC Commitments of Traders report for the week ended August 20, NET LENGTH for crude oil futures jumped +32 491 contracts to 414 635 for the week. Speculative long positions declined -18 071 contracts and shorts...
As suggested in the CFTC Commitments of Traders report in the week ended August 20, NET LENGTH in USD Index slipped -343 contracts to 29 499. Speculative long positions gained +1 189 contracts while short positions rose +1 532...
Dollar weakens mildly after the rather uninspiring speech of Fed Chair Jerome Powell. The highly anticipated is slightly on the dovish side as Powell mentioned a number of new "events after July's rate cut. Though, sell off in the...
Ongoing massive protests in Hong Kong against extradition to China have raised concerns about a rapid deterioration in the city’s economy and, more importantly, the collapse of the HKD-USD linked exchange rate system (LERS). This report suggests that the...
Sterling pares back some gains in Asian session today, but remains the strongest one for the week. It's lifted by hope that an Irish border solution could finally be reached before October 31 to avoid no deal Brexit. Dollar...
Sterling rebounds strongly after German Chancellor Angela Merkel expressed her optimism that Irish border backstop solution could be achieved before Brexit date. The Pound is currently the strongest one, followed by Canadian Dollar. On the other hand, cautious risk...
Yen and Swiss Franc attempt for rally again today as risk sentiments turned cautious. Dollar is also mildly firmer after FOMC minutes reaffirmed that last month's rate cut was just a mid-cycle adjustment. Though, upside in the greenback is...