The British pound today rallied higher after the release of the UK Services PMI for May by IHS Markit, which beat expectations by a significant margin. The positive PMI data served to raise expectations of a rate hike by the Bank of England in the near future as the country’s GDP growth rebounds in the current quarter. The GBP/USD currency pair today rallied from a low of 1.3301 to a high of 1.3393 gaining over 90 points after the PMI release. The currency pair … “British Pound Rallies Higher on Upbeat UK Services PMI Data”
Month: June 2018
Australian Dollar Lower After RBA, Macroeconomic Data
The Australian dollar retreated against its most-traded peers today after the monetary policy meeting of the Reserve Bank of Australia. Mixed macroeconomic data did not provide support to the currency. The RBA left its main interest rate at 1.5%, surprising no one with such a decision. The statement remained largely unchanged, giving no hints at plans for monetary tightening in the foreseeable future. The Australian Bureau of Statistics reported that the current account … “Australian Dollar Lower After RBA, Macroeconomic Data”
Cryptocurrency: Have We Entered a Seller’s Market?
Or, are we just in a period of consolidation where newcomers can expect a future rise and old-hands can make a more significant profit? The hype surrounding Bitcoin and all of its derivative cryptocurrency siblings has been huge. Dubbed as “the future of currency” and a “new economy” Bitcoin was hyped up to extreme highs … “Cryptocurrency: Have We Entered a Seller’s Market?”
Pound Rallies on Construction Data, Loses Gains Later
The Great Britain pound started the week strong, rallying on the back of favorable construction data. Yet by now, the currency has lost gains versus most of its major peers. The IHS Markit/CIPS UK Construction Purchasing Managers’ Index was unchanged at 52.5 in May, while forecasters had predicted a decline to 52.0. The report said: The figure was indicative of a moderate increase in total activity, albeit one that was subdued in the context of historical … “Pound Rallies on Construction Data, Loses Gains Later”
Euro Rises as Fears About European Politics Wane
The euro rallied today as fears about Europe’s political problems receded, while optimism caused by the last week’s inflation data continued to support the currency. Concerns about political turmoil calmed down as Italy got a new government after all, while the no-confidence vote in Spain resulted in a new prime minister. Experts remained worried, though, that the Italian government is populist and euro-skeptic, which is likely to cause clashes between … “Euro Rises as Fears About European Politics Wane”
Swiss Franc Retreats vs. Euro, Gain on Other Majors
The Swiss franc gained on some of its major peers today, including the US dollar, but fell versus the euro as concerns about European politics receded. As for news from Switzerland itself, the manufacturing Purchasing Managers’ Index released on Friday showed a drop from 63.6 to 62.4 in May, in line with market expectations. Several other reports are scheduled for the current week, including inflation data on Wednesday and the unemployment rate on Thursday. USD/CHF … “Swiss Franc Retreats vs. Euro, Gain on Other Majors”
Australian Dollar Gets Boost from Retail Sales
The Australian dollar rose sharply today. Analysts explained the rally by a better-than-expected retail sales report. The Australian Bureau of Statistics reported that retail sales increased 0.4% in April from March. That is compared to the predicted increase of 0.3% and the no-change reading registered in March. This week will be eventful for the Aussie, with the Reserve Bank of Australia policy meeting and several important macroeconomic reports. AUD/USD climbed from 0.7559 to 0.7656 … “Australian Dollar Gets Boost from Retail Sales”
US Dollar Ends Volatile Week Soft
The currency market was a roller coaster this week as currencies were swinging up and down on political turmoil in various parts of the world. The US dollar ended the week as one of the weakest currencies despite the very positive employment report. The main theme at the start of the week was political turmoil in Europe. Later, concerns about the situation eased and a trade war between the United States and their allies grabbed attention of traders. As for this week’s macroeconomic … “US Dollar Ends Volatile Week Soft”
Non-Farm Payrolls Lift US Dollar
The US dollar rallied against most major peers today after employment data showed better-than-expected readings for all major indicators. The Great Britain pound managed to outperform the greenback, though, thanks to the positive report about Britain’s manufacturing. Nonfarm payrolls showed a healthy growth of 223,000 in May, which was far bigger than 189,000 promised by economists. The unemployment rate unexpectedly fell by 0.1 percentage point to 3.8%. Average hourly … “Non-Farm Payrolls Lift US Dollar”
Sterling Gets Boost from Britain’s Improving Manufacturing
The Great Britain pound dipped at the start of the current trading session but halted its decline later and attempted to rally. The currency got additional boost from the better-than-expected manufacturing report. The seasonally adjusted IHS Markit/CIPS Manufacturing Purchasing Managers’ Index edged up to 54.4 in May from 53.9 in April. That is compared to a drop to 53.5 predicted by analysts. It is important to note, though, that the April’s reading was the lowest … “Sterling Gets Boost from Britain’s Improving Manufacturing”