Market Overview
Trade War Fears Pressure Euro Stocks as EU Retaliation Risks Grow
European Markets are increasingly uneasy over signs that the EU is preparing serious retaliatory measures ahead of the August 1 US tariff deadline. The Anti-Coercion Instrument is increasingly in the spotlight, as EU leaders weigh how to respond to US President Donald Trump’s threat of sweeping 30% import tariffs....
RBA Signals More Cuts, Trade Risk Looms Across Asia
Aussie edged lower in Tuesday’s Asian session after minutes from the RBA’s July meeting confirmed a dovish bias, despite the surprise interest rate hold. The Board remains inclined to ease further, with the debate centered around timing rather than direction. Markets are leaning heavily toward an August rate cut,...
Short-Covering Continues to Lift Yen, EU Said to Brace for Tariff Fight
Yen continues to lead the currency markets today, with fresh buying emerging in the early US session, particularly against Dollar. However, the rally appears more technical than structural, largely driven by short covering after Japan’s weekend election delivered no major surprises. Prime Minister Shigeru Ishiba’s Liberal Democratic Party lost...
Yen Stabilizes Post-Election, But BoJ Hike Could Be Further Away
Yen showed modest gains to start the week, but the broader forex markets stayed quiet with all major pairs and crosses confined to Friday’s ranges. Traders were largely unfazed by Japan’s upper house election, which delivered no shocks. The muted reaction suggests markets had priced in the LDP’s setback...
Dollar Stays Top as Resilient Data Overshadows Tariff and Political Risks
Markets showed surprising composure last week as equities climbed and Dollar dominate FX rankings. NASDAQ’s relentless ascent and a fresh record for the S&P 500 highlighted investor confidence despite growing political noise and tariff tensions.
Elsewhere in FX, Euro and Sterling held firm, along with Loonie but were largely lifted...
Muted Dollar Pullback Leaves Weekly Gains Intact
Dollar is seeing a modest pullback in today's trading, yet it remains the strongest performer for the week. Market activity has been relatively subdued in the absence of major data or headlines. Traders now turn their attention to the University of Michigan's consumer sentiment and inflation expectations data due...
Dollar Holds Weekly as Markets Ignore Fed Waller’s Dovish Push, Ethereum Breaks Higher
Dollar eased slightly in today's Asian session but remains firmly in the lead as the top-performing currency for the week. Fed Governor Christopher Waller reignited the debate over rate cuts, calling for easing as soon as this month. But his comments — timed just ahead of the Fed’s blackout...
Dollar Holds Firm on Solid Data, Aussie Lags After Jobs Miss, Japan Steps Up Tariff Talks
Dollar remains broadly firm in early US session after a round of stronger-than-expected data reaffirmed the resilience of the US economy. However, gains are being capped as traders digest lingering political risks, including uncertainty over the status of Fed Chair Jerome Powell, and wait for further clarity from upcoming...
Greenback Recovers from Powell Firing Whipsaws, Aussie Crushed by Jobs Shock
Dollar swung sharply overnight as speculation swirled around the fate of Fed Chair Jerome Powell. Reports surfaced that US President Donald Trump was preparing to fire Powell imminently, with one claim suggesting a dismissal letter had already been drafted and shown to lawmakers during a meeting on cryptocurrency legislation....
Calm FX Session Sees Franc Slips, Yen Recovers
Forex markets are trading with a relatively subdued tone as the US session gets underway, with limited broad-based momentum among major currencies. The most notable move is a selloff in the Swiss Franc, which appears largely technical, led by a bullish bounce in EUR/CHF.
Meanwhile, Yen is seeing a modest...
Sterling Inches Up on UK CPI; US Tariff Deals and Crypto Politics Share Spotlight
Sterling edged modestly higher today after UK inflation surprised to the upside, though gains were restrained. CPI and core CPI both accelerated in June, with goods inflation jumping sharply. The move raises questions about tariff passthrough effects and complicates the BoE's path ahead.
While a BoE rate cut is still...
Markets Calm as US CPI Leaves Fed Outlook Unchanged, Yen Slides Continue
Markets shrugged off the latest US CPI release, with muted reactions across assets. While annual core inflation ticked slightly higher, the modest rise appears to be a relief for Fed and investors alike. Overall, the data does little to shift expectations around the Fed’s easing path.
The July FOMC meeting...
Bond Market Signals Deepening Japan Risk , But Yen Finds No Lift from Surging Yields
Japanese bond markets are flashing warning signs ahead of a politically uncertain weekend. The 10-year JGB yield surged to its highest level since March and is on the cusp of breaking 1.6% for the first time since 2007. Long-dated yields have moved even more aggressively: the 30-year hit a...
Markets Cautious But Not Panicked, Hope for US-EU Deal Remains
The reaction to US President Donald Trump’s latest tariff salvo has been relatively muted so far. Germany’s DAX and France’s CAC opened mildly lower, but losses remain limited. In currency markets, Euro is holding steady, trading largely inside Friday’s ranges without triggering major downside momentum. The market appears to...
Euro Steady as EU Holds Fire After Trump’s 30% Tariff Blow
Risk sentiment turned mildly negative in Asia on Monday following US President Donald Trump’s announcement of 30% tariffs on imports from the EU and Mexico, starting August 1. While US futures turned lower, equity markets in Asia were more muted, digesting the move in context of still-holding EU retaliation.
The...
Investors Brush Off Tariffs, Dollar Rebounds Near Long-Term Channel Support
Global markets brushed aside the latest escalation in the US-led trade war last week, with equities rallying to fresh record highs and risk appetite proving remarkably resilient. Overall, the muted investor response suggested markets were pricing in the tariff headlines as more bark than bite, at least for now.
Aussie...
Loonie Rebounds on Strong Jobs Data, Sterling Hit by GDP Miss
Canadian Dollar staged an impressive rebound after June’s employment report far outpaced expectations, reviving hopes that BoC can stay on hold despite mounting trade pressures. The release comes just after US President Donald Trump announced sweeping 35% tariffs on Canadian imports, which initially drove the Loonie lower.
With interest rates...
Dollar Climbs as Trump Targets Canada, But Aussie Outshines
Dollar advanced broadly after US President Donald Trump escalated trade war again with a fresh 35% tariff on Canadian imports. The announcement cited Canadian retaliation and the fentanyl crisis as justification, while threatening even steeper duties if Ottawa imposes further countermeasures.
Trump’s sweeping tone extended beyond Canada. While 22 countries...
Mining Rally Lifts FTSE; Markets Shrug Off Expanding US Tariffs
Risk appetite remains solid in Europe, with the FTSE 100 hitting a fresh record high as traders look through escalating US trade actions. US equity futures are holding steady too, and markets are showing little fear that the widening scope of tariffs will derail global growth. The upbeat mood...
Trade War Spreads to Brazil, Dollar Reversing, Bitcoin Hits Record
Risk appetite has remained firm across global equities this week, with NASDAQ hitting a fresh record high overnight and S&P 500 and DOW also closing in the green. These gains followed similar moves in Europe, where Germany’s DAX notched another record. However, the mood in Asia has been less...