EUR/USD is on a roll following the Fed meeting. This may be the right direction, but not instantly. Here is their view, courtesy of eFXnews: Arguments for a 1-3M dip in EUR/USD… A key argument for a EUR/USD dip near term is the potential for a temporary revival of relative rates, not least due to … “EUR/USD To Dip N/T; Buy The Dip For A Continued”
Month: April 2016
Greenback Drops on GDP Data
Yesterday’s Federal Reserve announcement and the recent GDP data are putting a damper on the US dollar today. Greenback is heading lower as Forex traders mull the implications of a slowing economy. US dollar is lower today, thanks in part to concerns about a slowing economy. While the economy is still growing, it is doing so at a slower pace. Yesterday, Janet Yellen issued the Fed’s most recent policy announcement and indicated that policymakers … “Greenback Drops on GDP Data”
Japanese Yen Jumps as BOJ Stays the Course
Japanese yen is gaining ground against its major counterparts after the Bank of Japan surprised markets by keeping its benchmark rate the same, and staying the course on the current stimulus package. Many analysts and Forex traders had expected the Bank of Japan to loosen monetary policy and increase stimulus, considering the challenges that have been plaguing the Japanese economy. However, when BOJ Governor Haruhiko Kuroda announced the central bank’s decision, … “Japanese Yen Jumps as BOJ Stays the Course”
Higher Oil Prices Help Canadian Dollar
Canadian dollar is getting a boost today, reaching its highest level against the US dollar in about nine months, and gaining against some of its other counterparts as well. Higher oil prices are providing support to the loonie today. Loonie is getting help as oil prices rise today. Oil touched $45 earlier in the session, and although it is back below that level, oil is still higher … “Higher Oil Prices Help Canadian Dollar”
Euro Maintains Strength in Forex Trading
The euro continues to show strength in currency trading on the FX market, even though stimulus is in effect, and there could be more stimulus on the way for the eurozone. Signs that stimulus efforts are having an impact are providing support for the 19-nation currency, as is the fact that the Federal Reserve has yet to truly commit to policy divergence and raise rates again. Last month, the ECB cut interest rates and expanded the asset purchase … “Euro Maintains Strength in Forex Trading”
EUR/USD: Trading the US Advance GDP
US Advance GDP is a measurement of the production and growth of the economy. Analysts consider GDP one the most important indicators of economic activity, and publication of Advance GDP could have a significant impact on the movement of EUR/USD. A reading which is better than the market forecast is bullish for the dollar. Here are all … “EUR/USD: Trading the US Advance GDP”
New Zealand Trade Balance Misses Expectations, NZD Down
The New Zealand dollar weakened today after the release of the underwhelming trade balance report. The trade surplus of New Zealand shrank from $367 million to $117 million in March. It was nowhere near the reading of $405 million predicted by analysts. This led to a drop of the New Zealand dollar, which followed its Australian peer in decline, despite the rally of gold and crude oil that should have been supportive for commodity-related currencies. … “New Zealand Trade Balance Misses Expectations, NZD Down”
Australian Dollar Sinks After CPI Disappoints
The Australian dollar sank today as inflation data was unexpectedly weak, leading to speculation about a possible interest rate cut from the Reserve Bank of Australia. Australia’s Consumer Price Index fell 0.2% in the March quarter from the previous three months while experts had predicted an increase by 0.3%. The Trimmed Mean CPI rose 0.2% on a seasonally adjusted basis — the slowest growth on record. Cash rate futures showed that chances … “Australian Dollar Sinks After CPI Disappoints”
FOMC and the USD – what to watch out for
It’s Fed Day. Will Yellen and her colleagues change the course for the US dollar? Here are two previews: Will The FOMC Use April Statement To Set The Stage For Action In June? – RBS The FOMC meets this week. No action is expected. The question facing market participants is whether the FOMC will use … “FOMC and the USD – what to watch out for”
GBP/USD: En-Route To 1.46-1.48 – Nordea
The British pound is showing extraordinary resilience and continues marching forward despite Brexit fears. This could extend: As oil prices recovered and equity prices rose, the GBP appreciated as expected. Thus the thesis that global factors predominate has been justified so far. Note that during the same period the Brexit chance has not diminished – … “GBP/USD: En-Route To 1.46-1.48 – Nordea”