In an interview with FXStreet, we discussed the frustrating range of EUR/USD and what could make it break out. We also discussed the next direction for the US dollar, the BOJ’s moves and more. You can read the original publication here or below: When do you expect the EURUSD to break out from its current range? EUR/USD, … “US Elections, an opportunity for a move in the EURUSD”
Month: September 2016
Dollar Ends Week Soft as Fed Stays Passive
The US dollar was hurt by the monetary policy decision of the Federal Reserve, ending the week relatively soft. Yet there were even weaker currencies — the Great Britain pound and the New Zealand dollar, which suffered from the monetary policy outlook. The Federal Reserve made no changes to its monetary policy and revised the projected path of interest rates lower. That made the dollar weaker, though the currency regained some strength by the weekend … “Dollar Ends Week Soft as Fed Stays Passive”
Pound Ends Trading Lower as Boris Johnson Hints at Brexit Timing
The Great Britain pound ended trading lower against its major peers, being dragged down by comments from British Foreign Secretary Boris Johnson, who signaled that the process of Britain’s exit from the European Union may start earlier than it was previously anticipated. Specialists were saying that it may take up to two years for the United Kingdom to initiate its breakaway from the EU. Yet … “Pound Ends Trading Lower as Boris Johnson Hints at Brexit Timing”
Canada’s Inflation & Retail Sales Miss Expectations, CAD Suffers
The Canadian dollar dropped against its rivals today as consumer prices and retail sales reports failed to reach market expectations, suggesting that Canada’ economy does not feel particularly well. The Consumer Price Index fell 0.2% in August (not adjusted for seasonal variations, the seasonally adjusted drop was 0.1%) versus the analysts’ expectations of 0.1% growth. The core components of the index showed no change whereas markets were counting … “Canada’s Inflation & Retail Sales Miss Expectations, CAD Suffers”
Euro Trades Higher After Markit Releases PMIs
The euro was trading higher against its most-traded peers today after Markit released a bunch of Purchasing Managers’ Indexes for the major countries of the eurozone as well as for the whole region. Markit released data for manufacturing and services industries in France, Germany, and the whole eurozone. Most indexes were above expectations, painting a decent picture of the European economy. The only exceptions were the services indicators for Germany and the eurozone, which were below forecasts. But even … “Euro Trades Higher After Markit Releases PMIs”
South African Rand Steady After Central Bank Maintains Policy Stable
The South African rand was almost flat against the US dollar after the South African Reserve Bank kept its monetary policy intact but signaled that the monetary tightening cycle may come to an end soon. The bank’s Monetary Policy Committee decided to keep the main interest rate at 7%. The central bank updated its forecast, reducing the inflation projections to target 3%-6% range and boosting the outlook for economic growth. Governor … “South African Rand Steady After Central Bank Maintains Policy Stable”
NZ Dollar Lower as RBNZ Continues to Talk About Stimulus
The New Zealand dollar declined against the US dollar and the euro today after the nation’s central bank left monetary policy unchanged but maintained its easing bias. The Reserve Bank of New Zealand kept its main interest rate at 2% at today’s policy meeting. Nevertheless, the central bank was dovish in its statement and continued complain about the strength of the currency: The high exchange rate continues to place pressure on the export and import-competing … “NZ Dollar Lower as RBNZ Continues to Talk About Stimulus”
Considerable USD/JPY Upside Ahead on Divided Fed, Resolute BoJ
After a busy September 21st, we had the FED show a hawkish hold and the BOJ targeting the yield curve. The initial result is a weaker USD/JPY, but the team at Goldman Sachs sees a lot of upsides and explains: Here is their view, courtesy of eFXnews: The FOMC kept the fund’s rate unchanged while signalling a … “Considerable USD/JPY Upside Ahead on Divided Fed, Resolute BoJ”
Sep FOMC: 2 Important Changes; What’s Next For USD? –
The Fed left rates unchanged and eventually, the dollar is falling, with a nice swing up in EUR/USD. What does this mean going forward? Here are two takeaways from Bank of America Merrill Lynch: Here is their view, courtesy of eFXnews: Fed signals December hike The FOMC clearly signaled a hike before the end of the … “Sep FOMC: 2 Important Changes; What’s Next For USD? –”
USD/CAD: Trading the Canadian Core Retail Sales
The Canadian Core Retail Sales indicator measures retail sales, excluding automobile sales, which tend to be very volatile and distort underlying trends. A reading which is higher than the market forecast is bullish for the Canadian dollar. Here are all the details, and 5 possible outcomes for USD/CAD. Published on Friday at 12:30 GMT. Indicator Background The … “USD/CAD: Trading the Canadian Core Retail Sales”