The Indonesian rupiah rose a bit against the US dollar today after Indonesia’s central bank raised interest rates to stop the drop of the currency. The Bank Indonesia announced that it is increasing its interest rates, including the benchmark 7-Day Reverse Repo Rate, which was hiked by 25 basis points to 5.5%. The action was a response to the recent drop of the rupiah to the lowest level in three years as the Turkish crisis hurt currencies … “Indonesian Rupiah Stable After Central Bank Raises Interest Rates”
Month: August 2018
Turkish Lira Continues to Recover, Boosted by Qatar Investment
The Turkish lira continued to recover, rising for the third straight trading session against the US dollar and the euro today. The currency got support from the news that Qatar will invest $15 billion in Turkey. While that will certainly be helpful, economists doubt that it will be enough to alleviate Turkey’s economic woes. The conflict with the United States and the inability of the government to tackle economic problems made market participants … “Turkish Lira Continues to Recover, Boosted by Qatar Investment”
Chinese Yuan Hovers Around Lowest Level Since May 2017
The Chinese yuan is hovering around its lowest level since May 2017 on Wednesday as the equities market plunged, US-China trade tensions escalated, and investors continued to sell off their yuan holdings this week. Is this a sign that the worst may be behind the currency? These are factors that may already be priced in … “Chinese Yuan Hovers Around Lowest Level Since May 2017”
Australian Dollar Dips Intraday, Rebounds Later
The Australian dollar dipped intraday during the Wednesday’s trading session but has bounced against most of its rivals by now and is trading near the opening level. Today’s macroeconomic data released in Australia was mixed. The Australian Bureau of Statistics reported that the Wage Price Index rose 0.6% in the June quarter from the previous three months on a seasonally adjusted basis. The actual increase was in line with market expectations and accelerated … “Australian Dollar Dips Intraday, Rebounds Later”
Euro Trades at 13-Month Lows on High Market Volatility
The euro today traded at 13-month lows as it was driven lower by market volatility in emerging markets led by Turkey resulting in a strong US dollar. The EUR/USD currency pair traded lower due to the selloff in emerging market currencies, which increased the demand for the greenback at the expense of its peers including … “Euro Trades at 13-Month Lows on High Market Volatility”
British Pound Trades at 14-Month Lows Despite Higher UK Inflation
The British pound today hit new record lows against the US dollar in the Asian session due to the risk-off sentiment in the markets, which favored the greenback. The GBP/USD currency pair retraced some of its losses after the release of the latest UK CPI data, which was in line with expectations. The GBP/USD currency … “British Pound Trades at 14-Month Lows Despite Higher UK Inflation”
US Dollar Holds Ground Despite Improving Market Sentiment
In general, safer currencies found little demand today as markets were recovering from the shock caused by the Turkish financial crisis. But the US dollar avoided losses for the most part, rising to the highest level in more than a year against the basket of major currencies. The Dollar Index rallied 0.36% today. Analysts speculated that it was because the Turkish crisis was not resolved, and investors were still buying the greenback as a hedge … “US Dollar Holds Ground Despite Improving Market Sentiment”
Japanese Yen Soft As Turkish Fears Ease
The Japanese yen was soft today as markets calmed after fears of the Turkish financial crisis eased. With that said, the currency trimmed losses against some of its rivals and erased them against the euro completely. The yen was the strongest currency during the height of risk aversion, therefore it is reasonable for the currency to demonstrate the biggest pullback when the market sentiment improved. It is important to remember that the crisis is … “Japanese Yen Soft As Turkish Fears Ease”
Canadian Dollar Strengthens on Booming Real Estate, Higher Energy Prices
The Canadian dollar strengthened on Tuesday thanks to positive real estate market numbers and higher energy prices. The loonie also bounced back against its US counterpart on the threat of an economic collapse in Turkey that could seep into other emerging markets. Crude oil prices surged after Saudi Arabia, one of the worldâs biggest energy producers and recent foe of Ottawa, announced it would be cutting output levels, leaving … “Canadian Dollar Strengthens on Booming Real Estate, Higher Energy Prices”
Euro Struggles to Rally on Upbeat Eurozone Data Amid Turkish Crisis
The euro today struggled to rally higher despite the release of upbeat data from across the Eurozone such as the German GDP report. The EUR/USD currency pair was largely weighed down by the ongoing currency crisis in Turkey, which has negatively affected the global financial markets. The EUR/USD currency pair today traded between a high of 1.1429 … “Euro Struggles to Rally on Upbeat Eurozone Data Amid Turkish Crisis”