ECB President Mario Draghi referred to the recent moderation in growth but expressed confidence that the recovery remains solid. The EUR/USD is bouncing after touching the lowest levels since January 12th. The ECB left all its policy measures unchanged and did not touch the statement as expected. ECB President Mario Draghi did not drag the Euro … “ECB Analysis: Draghi was not dovish and the euro likes it”
Month: April 2018
Rising Import Prices Give Little Help to Australian Dollar
Macroeconomic data released in Australia today was much better than expected, but that had little impact on the Australian dollar. The currency was mixed intraday and is trading virtually flat as of now. The Australian Bureau of Statistics reported that import prices rose 2.1% in the March quarter of 2018 from the previous three months following the 2.0% increase in the December quarter. That was a noticeably faster pace of growth than 1.3% … “Rising Import Prices Give Little Help to Australian Dollar”
Krona Drops as Sweden’s Central Bank Postpones Rate Hike
The Swedish krona fell today, touching the lowest level since June against the US dollar, as the nation’s central bank postponed the planned date of an interest rate hike from the third quarter of this year to the fourth quarter. The Riksbank left its main interest rate at -0.5% today. The central bank voiced concern about inflation: Underlying inflation has been somewhat lower than expected recently, which raises questions regarding … “Krona Drops as Sweden’s Central Bank Postpones Rate Hike”
Dollar Domination unlikely deterred by slower GDP – Preview
The first estimate for first-quarter GDP growth is expected to show a slowdown amid seasonal factors. Slower growth is unlikely to derail the Fed from remaining upbeat on the economy. Barring a total shock, the US Dollar is unlikely to lose its upward momentum. The US publishes its first read of GDP growth for Q1 … “Dollar Domination unlikely deterred by slower GDP – Preview”
EUR/USD Declines As US Treasury Yields Continue to Rise
EUR/USD declined today ahead of tomorrow’s European Central Bank meeting. The US dollar also rallied against other most-traded currencies, supported by rising US Treasury yields. Wednesday was light on macroeconomic reports, therefore traders turned their attention to other fundamental factors. In particular, they focused on rising US Treasury yields, with the 10-year note hanging above 3% at the highest level in three years. As higher yields reflect … “EUR/USD Declines As US Treasury Yields Continue to Rise”
Kuroda gets a low yen for his 5th anniversary at the BOJ – no policy change likely
The Bank of Japan makes its rate decision as Governor Kuroda completes five years to the massive QQE program. The BOJ is expected to keep its ultra-loose monetary policy and provide more details in its quarterly report. The recent fall in the value of the Yen is encouraging for the Bank. Why this meeting is … “Kuroda gets a low yen for his 5th anniversary at the BOJ – no policy change likely”
Bank Indonesia May Intervene to Support Falling Rupiah
The Indonesian rupiah fell today, prompting speculations that the nation’s central bank will intervene to defend the currency. The rupiah was under pressure from rising US Treasury yields and strengthening US dollar, which were sapping appeal from assets of emerging markets. The central bank was trying to hold off depreciation of the currency, but had little success so far. That resulted in speculations that the Bank Indonesia may … “Bank Indonesia May Intervene to Support Falling Rupiah”
Yen Continues to Fall After Economic Data Disappoints
The Japanese yen has started a decline at the end of the previous trading session and continued to move lower during today’s session. Japan’s macroeconomic data was somewhat disappointing, meaning that it could not stop the currency’s fall. The Indices of All Industry Activity rose 0.4% in February from the previous month. While the reading was better than the drop by 1.1% registered in January, it still managed to miss the median forecast of a 0.6% … “Yen Continues to Fall After Economic Data Disappoints”
EUR/USD Rallies Higher Despite Weak German IFO Survey Data
The EUR/USD currency pair today rallied higher despite the release of the disappointing German IFO business climate index early in the European session. The pair maintained its uptrend into the early North Americans session despite the release of positive US macro data. The EUR/USD currency pair today rallied by over 55 points from a low of 1.2184 to trade at a high of 1.2243 at the time of writing. The release of the German IFO Business Climate data triggered … “EUR/USD Rallies Higher Despite Weak German IFO Survey Data”
EUR/USD: A Cautious ECB To Keep A Lid On EUR – Barclays
The European Central Bank convenes on Thursday to make its decision. Will Draghi drag the euro down? Here is the view from Barclays: Here is their view, courtesy of eFXdata: Barclays Research discusses the EUR outlook around the ECB meeting on Thursday and expects a cautious tone from President Draghi which could keep the EUR contained for … “EUR/USD: A Cautious ECB To Keep A Lid On EUR – Barclays”