The Thai baht was little changed against the US dollar today following yesterday’s interest rate hike from the nation’s central bank. In fact, the baht was little changed versus the greenback for the whole year, being one of the most stable Asian currencies. The Bank of Thailand raised its main interest rate from 1.5% to 1.75 at yesterday’s meeting. Five members of the Monetary Policy Committee voted in favor of such change while … “USD/THB Little Changed After Thai Central Bank Hikes Interest Rates”
Month: December 2018
US Dollar Resumes Decline After Bouncing on FOMC Projections
The US dollar was moving lower ahead of the policy meeting of the Federal Open Market Committee but bounced sharply afterwards. Yet coming into the Thursday’s Asian session, the currency resumed its decline. As was widely expected, the FOMC hiked the target range for its federal funds rate by 25 basis points to 2.25%-2.5%. What was really interesting to market participants, were the economic projections and the accompanying statement. According to projections, US … “US Dollar Resumes Decline After Bouncing on FOMC Projections”
Chinese Yuan Posts Modest Gains As Beijing Begins Stimulus
The Chinese yuan is posting modest gains against some of its currency rivals after the federal government started to launch several aspects of its stimulus program this week. Experts do believe that the yuan will rebound next year, especially if the US and China are able to reach a new trade deal during the 90-day truce. Chinaâs chief economic planner, the National Development and Reform Commission (NDRC), has … “Chinese Yuan Posts Modest Gains As Beijing Begins Stimulus”
Canadian Dollar Recovers Against US Peer Despite Weak CPI Data
The Canadian dollar today rallied against the US dollar despite the release of weak Canadian inflation data in the early American session. The USD/CAD currency pair started reversing its earlier gains and extended its losses on the back of negative investor sentiment towards the US dollar. The USD/CAD currency pair today dropped from a high of 1.3483 in … “Canadian Dollar Recovers Against US Peer Despite Weak CPI Data”
Indonesian Rupiah Climbs vs. US Dollar As Crude Oil Prices Drop
The Indonesian rupiah climbed against the US dollar today. Market analysts explained the rally by falling prices for crude oil. Specialists explained that falling prices for crude reduce inflationary pressure. The strengthening currency can also allow Indonesia’s central bank to keep interest rates unchanged at the policy meeting on Thursday. The weakness of the dollar itself also helped the rupiah to gain against the US currency. USD/IDR declined 0.43% to 14,438.8 as of 12:08 GMT … “Indonesian Rupiah Climbs vs. US Dollar As Crude Oil Prices Drop”
Australian Dollar Strong Despite Negative Fundamentals
The Australian dollar was strong today, rising against almost all of its major rivals with the exception of the euro, shrugging of negative fundamentals. The Leading Economic Index in Australia fell 0.1% in November after rising at the same rate the month before. Together with the risk-negative market sentiment, it looked like fundamentals should drag the currency down. Yet it was not the case as the Aussie demonstrated surprising resilience. AUD/USD advanced … “Australian Dollar Strong Despite Negative Fundamentals”
British Pound Drops Despite In-Line Inflation Data Ahead of Fed Decision
The British pound today declined against the US dollar in the early European session despite the release of November inflation data, which met expectations. The GBP/USD currency pair continues to trade in a tight range for the week against the weak US dollar largely due to the prevailing uncertainty regarding Brexit. The GBP/USD currency pair today … “British Pound Drops Despite In-Line Inflation Data Ahead of Fed Decision”
Yen Mixed on Japanese Trade Balance, Market Sentiment
The Japanese yen traded mixed today, rising against such currencies as the US dollar and the Swiss franc, but falling versus others, like the euro. Japan’s macroeconomic data released over the session was poor, with the trade balance deficit widening sharply from ¥0.29 trillion in October to ¥0.49 trillion in November. Analysts had expected a much smaller increase to ¥0.31 trillion. The Thomson Reuters/INSEAD Asian Business Sentiment … “Yen Mixed on Japanese Trade Balance, Market Sentiment”
USD/JPY: Set to get a reminder of what dovishness is from the BOJ
The BOJ is set to keep its policy unchanged at the last meeting of the year. The decision comes after the Fed, putting any dovishness into proportion. Any hint of future changes may boost the Yen, but the chances are meager. The Bank of Japan will announce its last rate decision of 2018 on Thursday, … “USD/JPY: Set to get a reminder of what dovishness is from the BOJ”
Canadian Dollar Sinks Alongside Crude Oil
The Canadian dollar sank today, falling to the lowest level since June 2017 versus the US dollar. The main reason for the decline was likely the slump of prices for crude oil, though surprisingly poor macroeconomic data played its part as well. Crude oil posted big losses today, with the North American grade tumbling as much as 5% before reducing losses later. Concerns about global economic growth and oversupply made … “Canadian Dollar Sinks Alongside Crude Oil”