The Australian dollar held its ground against some rivals (like the US dollar) and managed to gain on the others (like the euro) during the Friday’s trading session. The rally of crude oil has likely played at least some part in the currency good performance. While the Aussie is not as strongly tied to moves of crude as the Canadian dollar, the Australian currency is still considered to be a commodity currency and thus depends on swings of prices for raw … “Australian Dollar Holds Ground During Friday’s Session”
Month: October 2016
EUR/USD: A ‘Head & Shoulders’ Top & 9 Other Reasons
EUR/USD continued the downwards path, reaching a new 7 month low under 1.09. The team at Citi lists 10 reasons for extended falls: Here is their view, courtesy of eFXnews: The pattern on the daily chart of EURUSD clearly looks like a head and shoulders top. The neckline of this pattern at 1.1010 has given way … “EUR/USD: A ‘Head & Shoulders’ Top & 9 Other Reasons”
Lira Little Changed After Turkish Central Bank Refrains from Rate Cut
The Turkish lira was little changed today after the nation’s central bank made a surprise decision to keep interest rates unchanged. The Central Bank of the Republic of Turkey left its interest rates without change during today’s policy meeting, including the benchmark Marginal Funding Rate that remained at 8.25%. Almost all analysts polled by Reuters predicted another rate reduction after seven consecutive months of cuts. Additionally, Turkish … “Lira Little Changed After Turkish Central Bank Refrains from Rate Cut”
Australian Dollar Falls vs. US Dollar After Six Sessions of Gains
The Australian dollar went down today, falling for the first time in seven sessions against its US counterpart, after the release of macroeconomic data from Australia. While reports were mixed, markets apparently preferred to pay more attention to the bad part of the data. Australian employment shrank by 9,800 in September, surprising analysts who were expecting a solid increase. At the same time, the unemployment rate ticked down from 5.7% to 5.6%, which … “Australian Dollar Falls vs. US Dollar After Six Sessions of Gains”
Oct ECB: 5 Scenarios: How Will EUR React? – Nomura
EUR/USD has settled under 1.10 ahead of the all-important ECB meeting, in which no news could be bad news for the euro. Here is the view from Nomura, providing 5 scenarios: Here is their view, courtesy of eFXnews: Market expectations for an immediate policy change by the ECB are muted as we approach the meeting … “Oct ECB: 5 Scenarios: How Will EUR React? – Nomura”
US Dollar Loses Ground to Yen Amid Depressing Housing Starts Data
The US dollar appeared bearish against the Japanese yen after the US Census Bureau published the housing starts data, which came out at 1.05 million against the forecast of around 1.18 million. Housing starts represent the annualized number of residential buildings that initiated construction work during the previous month. It has a direct impact on the overall US economy because housing construction creates demand for a number of products and services. Although … “US Dollar Loses Ground to Yen Amid Depressing Housing Starts Data”
Great Britain Pound Flat as Employment Data Gives No Direction
The Great Britain pound was little changed today as the employment report released from the United Kingdom during the current trading session was mixed, giving the currency no compelling reason to go either up or down. October’s employment data showed that the number of people seeking unemployment benefits rose by just 700 in September from August. But the August value got a big revision from 2,400 up to 7,100, which … “Great Britain Pound Flat as Employment Data Gives No Direction”
Australian Dollar Struggles to Keep Rally After China’s Data
The Australian dollar rallied after China released a bunch of macroeconomic reports, though the currency struggled to keep gains and actually slipped below the opening level against the Japanese yen. China’s gross domestic product rose 6.7% in the third quarter of 2016, year-on-year. It was in line with expectations and the same rate of growth as in the previous quarters of this year. On a negative side, industrial production missed expectations, rising 6.1% in September (also year-on-year) … “Australian Dollar Struggles to Keep Rally After China’s Data”
GBP: Sterling Is ‘Not Yet Cheap’; It’s Still 10%
GBP/USD never fully recovered from the devastating flash crash but the team at Goldman Sachs sees further room to the downside: Here is their view, courtesy of eFXnews: Since we reiterated our 3-month target of 1.20 for GBP/$, Cable has fallen sharply to within striking distance of our forecast*. Given how much Sterling has now fallen, … “GBP: Sterling Is ‘Not Yet Cheap’; It’s Still 10%”
AUD/USD: Trading the Australian Employment Change
Australian Employment Change, which is released monthly, provides a snapshot of the health of the Australian labor market. A reading which is higher than the market forecast is bullish for the Australian dollar. Update:Australia loses 9.8K jobs – AUD/USD erases gains Here are the details and 5 possible outcomes for AUD/USD. Published on Thursday at … “AUD/USD: Trading the Australian Employment Change”