The Japanese yen gained today, rising more than 1 percent against the US dollar, even though the nation’s central bank made changes to its asset-purchase program. The changes were not that significant, though, explaining why the currency reacted positively to the news. The Bank of Japan was holding its policy meeting during the Friday’s trading session. The central bank announced that it is going to start buying exchange-traded … “Yen Jumps After BoJ Makes Tweaks to Asset Purchase Program”
Month: December 2015
NZD Demonstrates Limited Rally vs. USD, Drops vs. JPY
The New Zealand dollar was attempting to rise against its US peer on the back of positive domestic economic data. The rally was very limited, though, and the currency actually dropped versus the Japanese yen. The ANZ Business Confidence climbed to 23.0 in December from 14.6 in the previous month. Earlier, this week Statistics New Zealand reported that nation’s gross domestic product expanded 0.9 percent in the third quarter of this year … “NZD Demonstrates Limited Rally vs. USD, Drops vs. JPY”
Interest Rate Hike Fails to Support Mexican Peso
The Mexican peso was volatile today after yesterday’s interest rate hike from the nation’s central bank that has boosted the currency for a little while. The Bank of Mexico announced an interest rate hike by 25 basis points to 3.25 percent yesterday. Most market analysts were not surprised by this, saying that such move was inevitable after the US Federal Reserve hiked its own interest rates. The announcement … “Interest Rate Hike Fails to Support Mexican Peso”
The Fed Awakens and what’s next? – MM #81
In this concise episode we have one topic on the agenda, but quite an important one: the historic Fed hike. We dive into the details of the move and what’s next. You are welcome to listen, subscribe, provide feedback and pledge support on Patreon. Not a dovish hike: We explain the accompanying statement and charts, as well as … “The Fed Awakens and what’s next? – MM #81”
3 More Fed Hikes In 2016 – Credit Agricole
The Federal Reserve hiked and it was not dovish. The dot plot even implies 4 hikes next year. Is that really so? The team at Credit Agricole sees 3 hikes: Here is their view, courtesy of eFXnews: The FOMC raised the Fed funds target range by 25bps to 0.25% to 0.50% effective December 17th in line … “3 More Fed Hikes In 2016 – Credit Agricole”
GBP/USD: Into Previous Lows; EUR/USD: Make Or Break At
The Fed hike certainly moved markets and helped the dollar. What’s next for the pound and the euro? The team at SocGen weighs in: Here is their view, courtesy of eFXnews: Undercurrent in GBP/USD continues to remain weak, notes SocGen. “The pair has confirmed a H&S recently and is now approaching towards previous lows at … “GBP/USD: Into Previous Lows; EUR/USD: Make Or Break At”
Euro Struggles Against Major Currencies as Traders Assess
Euro is struggling today against major currencies, but not as much as many thought it would be. Even though the Fed’s rate hike yesterday weighed on the 19-nation currency, it’s not the rout many expected. Euro is mostly lower against major currencies today, but it’s not as low as many expected. In fact, today appears to be a day of assessment. Yesterday’s Federal Reserve decision sent the US … “Euro Struggles Against Major Currencies as Traders Assess”
EUR/USD: The Dollar Rally Has Legs, May Stumble Occasionally
Following the rate hike and the resulting USD rally, the team at SocGen sees more potential, even if this may occasionally see bumps. Here is their take: Here is their view, courtesy of eFXnews: “The focus will now be on the timing of the next Fed move, the pace thereafter, and the implications for commodity … “EUR/USD: The Dollar Rally Has Legs, May Stumble Occasionally”
USD: The Bottom-Line Post-FOMC – BofA Merrill
The Fed made history with a rate rise and the world didn’t collapse. What’s next for the greenback? The team at Bank of America Merrill Lynch gives us the bottom line: Here is their view, courtesy of eFXnews: The USD’s experience of strengthening the 3-6 months into the first Fed hike, only to selloff in … “USD: The Bottom-Line Post-FOMC – BofA Merrill”
‘They Hiked It And They Liked It’; Buy USD/JPY –
Following the historic rate hike, which wasn’t so dovish (and enables a sell opportunity in EUR/USD in our opinion), the team at Goldman Sachs explains the move. They also see a buy opportunity on dollar/yen: Here is their view, courtesy of eFXnews: In a note to clients, Goldman Sachs discusses its FX view and strategy … “‘They Hiked It And They Liked It’; Buy USD/JPY –”