Wednesday , October 16 2019
Home / Tag Archives: Canada / New Zealand

Tag Archives: Canada / New Zealand

Brexit Deal in Sight. Which Currencies are Set to Rally?

Brexit Deal in Sight. Which Currencies are Set to Rally? Daily FX Market Roundup October 16, 2019 With 16 days to go before the UK is scheduled to leave the European Union, a Brexit deal is finally in sight but its still important for investors to tread cautiously because of the inevitable resistance from the DUP and reports from “senior EU officials” that its “way too premature” to assume that a Brexit deal is imminent. Nonetheless sterling and many other major currencies traded...

Read More »

What Does US-China Phase 1 Deal Mean?

What Does US-China Phase 1 Deal Mean? Daily FX Market Roundup October 11, 2019 The sentiment in the markets shifted from gloom to hope this week on the prospect of breakthroughs in US-China trade and Brexit negotiations. Currencies and equities surged as policymaker tease the possibility of a deal and by the end of the week USD/JPY rose to its strongest level in 2 months and GBP/USD rose to its highest level since June. On Friday President Trump announced a “Phase 1 Deal” with China and...

Read More »

Dollar, Risk Soars as Trump Trade Tease

Dollar, Risk Soars as Trump Trade Tease Daily FX Market Roundup October 10, 2019 It’s been a rollercoaster ride in FX this week with currencies reacting to every positive and negative headline. Overnight, investors were worried that the Chinese delegation would leave after only one day of talks and even in early morning every one was unclear as to how the primary talks would go. The uncertainty is so high that market watchers resorted to dissecting the body language of every one...

Read More »

Dollar Rallies but No One is Betting on a China Deal Just Yet

Dollar Rallies but No One is Betting on a China Deal Just Yet Daily FX Market Roundup October 8, 2019 As China’s delegation arrives in the US for trade talks, the greenback extended its gains against all of the major currencies. This is the largest and broadest team that China has sent in the 13 rounds of trade negotiations since 2018. Investors saw this as a strong commitment on behalf of the Chinese to secure a deal before they return to Beijing. But don’t bet on a China deal just...

Read More »

Dollar Pops, China is Ready to Deal. Is the Rally Durable?

Dollar Pops, China is Ready to Deal. Is the Rally Durable? Daily FX Market Roundup October 7, 2019 There are 3 events that could trigger a major rally for the US dollar this week. US-China trade talks, the FOMC minutes and comments from Federal Reserve Chairman Jay Powell. This morning, investors were skeptical about trade because Vice Premier He suggested that China would not relent on their industrial policy and state subsidies. While that remains the case, by the end of the day, the...

Read More »

Dollar Heads Lower. Don’t be Fooled by Jobs Report

Dollar Heads Lower. Don’t be Fooled by Jobs Report Daily FX Market Roundup October 4, 2019 Don’t be fooled by the September jobs report. The unemployment rate may have dropped to its lowest level in 50 years but the labor market is weakening and not improving. While the data suggests that the economy is at full employment, hence the moderation in job growth, the slowdown in the services and manufacturing poses a major risk to hiring in the months ahead. Only 136K jobs were created last...

Read More »

Will Non-Farm Payrolls Send Stocks & Dollar Crumbling Lower?

Will Non-Farm Payrolls Send Stocks & Dollar Crumbling Lower? Daily FX Market Roundup October 3, 2019 The hope for a recovery in the last quarter of 2019 disappeared with today’s non-manufacturing ISM report. Investors can no longer fool themselves into thinking that the US can escape the global slowdown. After learning that manufacturing activity contracted at its fastest pace in 10 years, ISM reported the weakest service sector activity index since 2016. American businesses are...

Read More »

Dollar Demand Vanishes on Ugly Data

Dollar Demand Vanishes on Ugly Data Daily FX Market Roundup October 1, 2019 With the exception of euro and sterling, all of the major currencies traded lower today against the greenback with the Australian dollar lead the slide. The Reserve Bank of Australia cut interest rates for the third time this year to a record low of 0.75% but the big story is the near term top in greenback. The US dollar started the NY session firm against all major currencies and at multi-year highs versus the...

Read More »

RBA 25bp Cut – Yes or No?

RBA 25bp Cut – Yes or No? Daily FX Market Roundup Sept 26, 2019 September has been a rocky month for the US dollar. The trade weighted Dollar Index climbed to its strongest level in nearly 2 years, but on a relative basis the dollar’s gains were limited to the Japanese Yen, New Zealand dollar, Swiss Franc and euro. Sterling, the Canadian and Australian dollars outperformed the greenback as position adjustments (short-covering) drove those currencies higher. There were two big...

Read More »

Euro Hits 2 Year Lows, is 1.08 Next?

Euro Hits 2 Year Lows, is 1.08 Next? Daily FX Market Roundup Sept 26, 2019 The biggest story in the world right now is the whistle blower’s complaint on President Trump but the biggest story in the forex market is the persistent decline in the euro. Most of the major currencies traded higher against the greenback today with the euro being one of the few exceptions. The decline began shortly after the US equity market open and accelerated into the London close. Comments from ECB Chief...

Read More »