The US dollar declined against the Japanese yen and failed to rise against other major peers on Monday. Traders had no appetite for risk following a decision from US President Donald Trump to ban travel from a number of countries, which caused protests and raised fears of his protectionist approach. The ban, which prevents citizens of seven countries with a Muslim majority from entering the United States for 90 days, increased tradersâ … “US Dollar Drops as Trump’s Ban Raises Demand for Safety”
Month: January 2017
Japanese Yen Strong as Market Sentiment Averse to Risk
The Japanese yen demonstrated a strong performance today amid risk aversion caused by uncertainty about future policies of US President Donald Trump. Indeed, his immigration ban has already caused big confusion and uproar. The President ordered to prevent entry to the United States of all refugees for 120 days and citizens of seven Muslim-majority countries for three months. It looks like implementation of the order was seriously botched as authorities themselves had … “Japanese Yen Strong as Market Sentiment Averse to Risk”
Euro Declines After Release of German CPI Data, but Later Recovers
The euro traded lower against its major competitors today after CPI data from Germany was released at a lower than expected figures. The euro’s performance was also affected by the weakening of other currencies such as the US dollar and the British pound, which minimized its decline, but the currency later recovered. The euro lost almost once cent against the dollar and also lost significant ground against the British pound. The currency … “Euro Declines After Release of German CPI Data, but Later Recovers”
Great Britain Pound Falls for Third Session
The Great Britain pound dropped today, extending its decline against the US dollar for the third consecutive trading session, as traders were waiting for the so-called Super Thursday. On Thursday, the Bank of England will announce its first policy decision this year, release the Inflation Report, while BoE Governor Mark Carney will speak at a press conference. No changes to the existing monetary policy are expected, but traders are worried … “Great Britain Pound Falls for Third Session”
USD: Once This ‘Market Vacuum’ Is Over, USD will Head
The US dollar began the week on the back foot on Trump’s Muslim ban. However, this greenback weakness may not last too long. Here is their view, courtesy of eFXnews: Year-to-date, the Dow Jones is up 1.71%, US 10Y yields are up 8bp and EUR/USD is 1 1/2 figure higher. Uncertainty is extraordinarily high given … “USD: Once This ‘Market Vacuum’ Is Over, USD will Head”
USD/CAD: Trading the Canadian GDP
Canadian GDP is a measurement of the production and growth of the economy. Analysts consider GDP one the most important indicators of economic activity. A reading which is better than the market forecast is bullish for the Canadian dollar. Here are all the details, and 5 possible outcomes for USD/CAD. Published on Tuesday at 13:30 … “USD/CAD: Trading the Canadian GDP”
EUR/USD: To Rally Towards 1.10 Short-Term; Sell Into This
EUR/USD enjoyed a relatively stable week. The team at SEB sees a selling opportunity on a rally: Here is their view, courtesy of eFXnews: EURO NOT READY FOR A SUSTAINABLE RALLY. The outlook for the euro remains negative, consensus projects EUR/USD to trade lower near parity during H1 2017. We agree, but the market is also clearly positioned … “EUR/USD: To Rally Towards 1.10 Short-Term; Sell Into This”
Great Britain Pound Ends Week Strong
The Great Britain pound ended the week as the strongest major currency thanks to the UK Supreme Court ruling about the Parliament’s involvement in the Brexit process. The court ruled that Britain’s government should consult the Parliament before initiating the exit from the European Union. It is a widely held belief among market participants that the Parliament will push for softer Brexit, easing the impact of the event on the nation’s economy. While markets reacted negatively … “Great Britain Pound Ends Week Strong”
Yen Trades Broadly Lower as Inflation Doesn’t Impress
The Japanese yen traded broadly lower on Friday due to unimpressive inflation data released from Japan during the trading session and the outlook for monetary policy of the Bank of Japan. The BoJ increased its JGB purchases, and analysts interpreted that as a sign that the central bank does not intend to taper its asset-purchase program. Meanwhile, Japan’s core Consumer Price Index fell 0.2% in December from a year ago, and Tokyo core CPI … “Yen Trades Broadly Lower as Inflation Doesn’t Impress”
Economic Data Leads US Dollar During Friday’s Trading
The US dollar bounced after the intraday decline, trimming its losses versus the euro and gaining on the Great Britain pound and the Japanese yen. Friday’s economic data played at least some part in the currency’s moves. The dollar declined initially as US economic growth slowed from 3.5% in the third quarter of 2016 to 1.9% in the fourth quarter, falling below the consensus forecast. Durable goods orders were not helpful either, declining unexpectedly by 0.4% … “Economic Data Leads US Dollar During Friday’s Trading”