The US dollar ended the trading week strong thanks to the hawkish policy statement of the Federal Reserve. But the strongest currency was the Canadian dollar due to the better-than expected economic growth. The euro was weak, dragged down by the Italian budget. The Fed raised its main interest rates by 25 basis points to 2%-2.25% as was largely expected. While initially the market could not decide how to interpret the policy statement, leading to volatile … “US Dollar Ends Week Strong After Fed Interest Rate Hike”
Month: September 2018
Chinese Yuan Gains Amid Bearish Economic Forecasts
The Chinese yuan is gaining at the end of the trading week despite several bearish forecasts pertaining to the short-term outlook of the national economy and the currency. This comes one day after the yuan extended its losing streak to six months, the longest in 26 years, after shedding 4% against the greenback in the third quarter. On Sunday, the Caixin Purchasing Mangersâ Index (PMI) for the nationâs manufacturing sector will be released and the market is anticipating it … “Chinese Yuan Gains Amid Bearish Economic Forecasts”
BTC/USD Forecast: $6,800 is a key upside level
The BTC/USD had a roller coaster week and ended on top. A collection of developments was mostly positive for cryptocurrencies. The technical picture is improving but Bitcoin needs to break above downtrend resistance. The price of Bitcoin had a bad start to the week, but things quickly improved. Bitcoin Cash, that forked out of the primary digital … “BTC/USD Forecast: $6,800 is a key upside level”
Canadian Dollar Weakens to One-Week Low on Trump-NAFTA Spat
The Canadian dollar weakened to its lowest level in a week as traders are doubtful that Ottawa can reach a new trade deal with the US. Trade negotiations hit a roadblock midweek after President Donald Trump weighed in on the talks and revealed he rejected a meeting with Prime Minister Justin Trudeau. The escalating trade tensions could lead to Canada sitting on the sidelines of a US-Mexico bilateral agreement. Speaking at a news conference in New York … “Canadian Dollar Weakens to One-Week Low on Trump-NAFTA Spat”
NZ Dollar Down After RBNZ Keeps Monetary Policy Unchanged
The New Zealand dollar was down against most major currencies today after the uneventful policy meeting of the nation’s central bank. The Reserve Bank of New Zealand kept its main interest rate at 1.75% as was widely expected. The central bank predicted that it will leave its monetary policy without change in the foreseeable future: We expect to keep the OCR at this level through 2019 and into 2020. The RBNZ … “NZ Dollar Down After RBNZ Keeps Monetary Policy Unchanged”
Canadian Dollar Plunges on Fed Rate Hike, NAFTA Uncertainty
The Canadian dollar is plunging midweek after the Federal Reserve raised interest rates and on growing uncertainty regarding a new North American Free Trade Agreement (NAFTA). Without any upcoming Canadian economic events, traders will look ahead to key US numbers later this week. On Wednesday, the Federal Open Market Committee (FOMC) voted unanimously to boost a key US interest rate by a quarter-point, from 2% to 2.25%, the highest … “Canadian Dollar Plunges on Fed Rate Hike, NAFTA Uncertainty”
USD could recover if markets understand what removing “accommodative” means
The Fed raised rates and left the dot-plot unchanged. The removal of the “accommodative policy” wording hit the US Dollar. This is not necessarily dovish as it seems. The Federal Reserve raised interest rates as expected. They also maintained the dot-plot as is, thus indicating another increase in December, concluding 2018 with four hikes. The … “USD could recover if markets understand what removing “accommodative” means”
Higher Interest Rates Don’t Help Czech Koruna
The central bank of the Czech Republic raised interest rates today, but that did not prevent the Czech koruna from falling against the US dollar. The Czech National Bank announced today: At its meeting today, the CNB Bank Board increased the two-week repo rate (2W repo rate) by 25 basis points to 1.50%. At the same time, it increased the Lombard rate to 2.50% and the discount rate to 0.50%. The new interest … “Higher Interest Rates Don’t Help Czech Koruna”
US Dollar Trades Sideways in Anticipation of Fed Interest Rate Hike
The US dollar was little changed today, though rose versus most European currencies as markets were waiting for the monetary policy decision of the Federal Reserve and accompanying forecasts that should reveal Fed’s outlook for the future. The Fed will conclude its two-day meeting today and will announce the decision at 18:00 GMT. It is widely expected that the US central bank will raise its main interest rate by 25 … “US Dollar Trades Sideways in Anticipation of Fed Interest Rate Hike”
NZD Rallies on Improving Business Confidence Despite Record Trade Deficit, Unable to Keep Gains
The New Zealand dollar behaved similar to its Australian counterpart, rising intraday but trimming gains later. New Zealand’s macroeconomic data released over the trading session was mixed, though the currency paid more attention to the good part. On the positive side, the ANZ business confidence index improved to -38.3 in September from -50.3 in August. It was the highest reading since May. The positive report was largely responsible for the kiwi’s … “NZD Rallies on Improving Business Confidence Despite Record Trade Deficit, Unable to Keep Gains”