The Sterling pound today traded sideways immediately after the Bank of England announced its interest rate decision, which was in line with expectations. The GBP/USD currency pair headed lower afterwards even as investors adjusted to the rate decision while looking forward to other fundamental triggers. The GBP/USD currency pair today traded in ranged between a … “Sterling Pound Trades Sideways on BoE Rate Decision, Later Declines”
Month: September 2018
EUR/USD: ECB may react to growing signs of weakness
Euro-zone growth may remain robust, but the engine is slowing down. The ECB may exercise its conditionality and prolong the exit. The EUR/USD may lose more ground on growing divergence. The euro-zone grew at a pace of 0.4% QoQ in Q1 and also in Q2 2018. Forecasts for the third quarter are positive, and the … “EUR/USD: ECB may react to growing signs of weakness”
Chinese Yuan Strengthens Despite Banks Making Fewer Loans
The Chinese yuan is making gains against its US counterpart midweek, despite new economic numbers that show weaker corporate loan demand and a Bank of England (BOE) warning that China threatens the global economy. The yuan has strengthened over the last week, but it is still down 1% since August against the greenback. According to the Peopleâs Bank of China (PBOC), financial institutions extended fewer loans … “Chinese Yuan Strengthens Despite Banks Making Fewer Loans”
Australian Dollar Bounces After Intraday Decline
The Australian dollar dipped today following the release of a negative macroeconomic report in Australia but bounced later, trading near or above the opening level against its most-traded rivals by now. The Westpac Melbourne Institute Index of Consumer Sentiment declined 3% in September from the previous month after falling 2.3% in August. As a result, the index touched the lowest level since November. The report explained the weak reading citing the following reasons: The detail suggests … “Australian Dollar Bounces After Intraday Decline”
Canadian Dollar Strengthens on Renewed NAFTA Talks, Capped by Housing Data
The Canadian dollar is strengthening against its US counterpart on Tuesday after officials confirmed that they are extending talks to renegotiate the North American Free Trade Agreement (NAFTA). The latest reports suggest that American trade representatives are encouraging Ottawa to open up its market and modify its protectionist systems that have been in place for decades. On Monday, Canadian Foreign Affairs Minister Chrystia Freeland met … “Canadian Dollar Strengthens on Renewed NAFTA Talks, Capped by Housing Data”
Australian Dollar Falls with Business Confidence
The Australian dollar fell against its most-traded rivals after the release of mixed domestic macroeconomic data. Surprisingly, the Aussie managed to gain on the Japanese yen. The business confidence reported by the National Australia Bank fell from +7 to +4 in August. At the same time, the business conditions improved from +13 to +15. Markets were in a risk-off mode today, favoring safer currencies and putting pressure on riskier ones, therefore it is surprising to see … “Australian Dollar Falls with Business Confidence”
Rising Risk Aversion Helps Swiss Franc to Rebound
The Swiss franc rose against its most-traded peers today amid rising risk aversion on the Forex market. Traders became more nervous after China threatened to retaliate in response to the US tariffs. China and the United States are the world’s biggest economies, therefore a trade war between them can have a very significant negative impact on the global economic growth. Earlier, the Swissie declined as Italian-German yield spread narrowed after concerns … “Rising Risk Aversion Helps Swiss Franc to Rebound”
Sterling Pound Drops on Risk Aversion Despite Positive UK Jobs Data
The Sterling pound today declined against the US dollar following the release of the latest UK jobs report in the early European session. The GBP/USD currency pair’s decline was largely due to risk aversion among investors reacting to the latest headlines in the Sino-US trade war. The GBP/USD currency pair today declined from an Asian … “Sterling Pound Drops on Risk Aversion Despite Positive UK Jobs Data”
Japanese Yen Holds Steady Amid Booming Q2 Economic Data
The Japanese yen is holding steady on Monday as the national economy grew at its fastest pace in two years during the second quarter. Japanâs economic outlook for the rest of 2018 might be gloomy because of recent natural disasters and potential trade tensions with the US. According to a Cabinet Office data report, the April-to-June gross domestic product (GDP) grew at an annualized 3%, beating market forecasts of 2.6%. This is the fastest growth … “Japanese Yen Holds Steady Amid Booming Q2 Economic Data”
Draghi can down the Euro even on the eve of QE tapering
The ECB is set to provide fresh forecasts ahead of the planned QE tapering. The recent slide in inflation implies a dovish tone from President Draghi. The EUR/USD may see choppy trading due to many moving parts in the presser and beyond. The European Central Bank will deliver its rate decision on Thursday, September 13th, … “Draghi can down the Euro even on the eve of QE tapering”