Sunday , September 20 2020
Home / Tag Archives: Australian Outlook

Tag Archives: Australian Outlook

NZD Soars to 5 Month Highs as NZ Beats Out COVID Twice!

NZD Soars to 5 Month Highs as NZ Beats Out COVID Twice! Daily FX Market Roundup September 18, 2020 The US dollar fell to fresh lows against euro, the Japanese Yen and New Zealand dollar on Friday. This morning’s US economic reports were mixed. Consumer sentiment improved in the month September but the current account deficit ballooned in the second quarter. The uptick in sentiment is a a surprise considering that stocks declined and extra unemployment benefits expired for many...

Read More »

Stocks Sell Off, Dollar Follows

Stocks Sell Off, Dollar Follows Daily FX Market Roundup September 17, 2020 Twenty four hours after the Federal Reserve pledged to keep interest rates at zero until 2023, the US dollar extended its losses against all of the major currencies. The greenback fell the most against euro and the New Zealand dollar and was the most resilient versus Aussie and Sterling. The day started with very little consistency for the greenback but by the end of the NY session, despite losses in stocks, it...

Read More »

Fed Says No Rate Hikes Until 2023 – Dollar Buyers Unfazed

Fed Says No Rate Hikes Until 2023 – Dollar Buyers Unfazed Daily FX Market Roundup September 16, 2020 The US dollar traded higher on the back of the Federal Reserve’s monetary policy announcement. Although the main takeaway from today’s FOMC meeting is no rate hikes for the next 3 years, the greenback strengthened, just like it did after Jackson Hoke because none of this was a surprise. As expected, the Federal Reserve left monetary policy unchanged and pledged to keep interest rates on...

Read More »

Will FOMC be Good or Bad for the Dollar?

Will FOMC be Good or Bad for the Dollar? Daily FX Market Roundup September 15, 2020 Wednesday’s Federal Reserve monetary policy announcement is the most important event risk on this week’s calendar but many investors are wondering how much impact it will have on the US dollar. On Monday, the greenback traded lower against all of the major currencies on the expectation for dovishness but today, the price action is mixed. The dollar extended its slide against the Japanese Yen but...

Read More »

Busy Week Ahead – How are FX Traders Positioned?

Busy Week Ahead – How are FX Traders Positioned? Daily FX Market Roundup September 14, 2020 With three monetary policy announcements, labor market numbers, New Zealand Q2 GDP, retail sales and a number of inflation reports scheduled for release this week, it should be a busy one for currencies. Volatility is on the rise with USD/JPY breaking an 8 day long consolidation to end the day at its weakest level in more than 2 weeks. The greenback traded lower across the board as investors...

Read More »

Euro Fails to Hold Gains Despite ECB Optimism

Euro Fails to Hold Onto Gains Despite ECB Optimism Daily FX Market Roundup September 10, 2020 Euro soared above 1.19 on the back of the European Central Bank’s monetary policy announcement. The ECB was less dovish than anticipated but the single currency failed to hold onto its gains as Brexit risks mounted and US stocks staged an early reversal. Central Bank President Lagarde was far more nonchalant than investors feared as she urged the market not to overreact to euro gains. She...

Read More »

ECB Preview: Could they Cut Rates? No Way.

ECB Preview: Could they Cut Rates? No Way. Daily FX Market Roundup September 9, 2020 The European Central Bank’s monetary policy announcement is the most important event risk this week. Based on the persistent weakness of the euro, investors are bracing for ECB dovishness. According to the rates markets, ECB dated Eonias are pricing in a 10bp rate cut in 2021. Could the central bank lower interest rates next year? Possibly but a rate cut this week is certainly not on the table. The...

Read More »

China, Brexit, COVID – Bank of Canada Next

China, Brexit, COVID – Big Headaches for FX Daily FX Market Roundup September 8, 2020 With no major US economic reports scheduled for release this week, the dollar is set to take its cue from political and pharmaceutical headlines. President Trump was busy this Labor Day weekend throwing out threats to decouple from China. China toughened its pressure on Australia by accusing an Australian journalist of carrying out illegal activities. Currencies and equities sold off in response as...

Read More »

FX: Drop in US Unemployment Rate Sparks Mild Optimism

FX: Drop in US Unemployment Rate Sparks Mild Optimism Daily FX Market Roundup September 4, 2020 Job growth in the US slowed in the month of August but instead of falling, the dollar traded higher against the euro and yen. US companies added approximately 1.37 million people to payrolls, down from 1.73 million in July. However, the unemployment rate improved dramatically, falling to 8.4% from 10.2% and most importantly average hourly earnings rose 0.4%. With the increase in the...

Read More »

800 Point Drop in Dows Sends Risk FX Lower

800 Point Drop in Dows Sends Risk FX Lower Daily FX Market Roundup September 3, 2020 With less than 24 hours to go before the next US jobs report, it was finally time for investors to take profits on overstretched equity positions. The fragile US recovery fails to justify heady stock market valuations and investors now fear that with slower service sector growth, non-farm payrolls could fall short of expectations. If the labor market is weak, the economy is weak and therefore stocks...

Read More »