The Canadian dollar today rallied higher against its US counterpart following the release of upbeat Canadian jobs data, versus the disappointing US nonfarm payrolls data. The USD/CAD dropped to new weekly lows on the jobs data as well as the higher global crude oil prices, which also favored the loonie. The USD/CAD currency pair today … “Canadian Dollar Rallies on Upbeat Canadian Jobs Data Amid Weak NFP Data”
Month: December 2018
US Dollar Declines amid Falling Treasury Yields, Disappointing Employment Data
The US dollar declined against its major peers today despite the risk-negative sentiment. Market analysts explained the drop by falling Treasury yields and disappointing employment data. Thursday’s macroeconomic data disappointed market participants, with employment rising less than was expected while unemployment claims being above forecasts. Meanwhile, 10-year US Treasuries slumped 1.85%. As a result, bets for an interest rate hike from the Federal Reserve in December … “US Dollar Declines amid Falling Treasury Yields, Disappointing Employment Data”
Canadian Dollar Weakens on Falling Oil Prices, Bearish BOC Warning
The Canadian dollar is tumbling on Thursday as the price of oil plunges and the Bank of Canada (BOC) issues another bearish warning about the national economy. The loonie has performed poorly against the greenback, sliding nearly 1% over the last week and 7% so far this year. On Wednesday, the central bank left its main interest rate unchanged at 1.75%, contributing to the dovish tone that continues to surprise markets. After months of being … “Canadian Dollar Weakens on Falling Oil Prices, Bearish BOC Warning”
Euro Rallies Against US Dollar on Weak ADP Jobs Data, Later Declines
The euro today rallied higher against the US dollar following the release of the latest US employment change data in the early American session. The euro was also bid higher by the sell-off in global equity markets due to fears relating to the US-China trade truce and the recent arrest of the Huawei CEO in … “Euro Rallies Against US Dollar on Weak ADP Jobs Data, Later Declines”
Yen Gains as Risk Aversion Allows to Ignore Comments from BoJ Chief
The Japanese yen gained on its most-traded rivals today, propelled higher by risk aversion. The general negative market sentiment allowed the currency to ignore dovish comments from the central bank’s chief. Bank of Japan Governor Haruhiko Kuroda dismissed possibility of an interest rate hike in the near future. He said today: Raising interest rates now to create policy space for future economic downturns may risk delaying achievement of our inflation … “Yen Gains as Risk Aversion Allows to Ignore Comments from BoJ Chief”
Australian Dollar Tanks, Falling for Fourth Session
The Australian dollar tanked today, falling for the fourth consecutive trading session. Domestic macroeconomic data was mixed, but it was overshadowed by global news that was negative to the market sentiment. The big news on Thursday was the arrest of Huawei CFO Meng Wanzhou in Canada. The chief financial officer of the Chinese tech giant will be extradited to the United States to face charges of dealings with Iran that violate US sanctions. … “Australian Dollar Tanks, Falling for Fourth Session”
Separating the risky from the safe currencies
Risk sentiment is the name of the game in recent days and will likely continue for quite a while. What currencies should we focus on? Here is their view, courtesy of eFXdata: SEB Research discusses the relationship between FX markets and risk sentiment in 2018. “The USD has outperformed all other G10 currencies in 2018, although … “Separating the risky from the safe currencies”
Japanese Yen Weakens on Mixed Economic Data
The Japanese yen is weakening midweek against its American counterpart on mixed economic data. The yen, which has lost against the greenback so far this year, is finding direction on solid services data and a reduction in business spending. This comes as many experts suggest that the fourth-quarter may actually rebound from the disappointing third-quarter. On Wednesday, the Markit/Nikkei Japan Services Purchasing Managers Index (PMI) was shown to stand … “Japanese Yen Weakens on Mixed Economic Data”
Canadian Dollar Tanks on Dovish BoC
The Canadian dollar sank today following the release of a surprisingly dovish policy statement from the Bank of Canada. The currency traded at the lowest level since September against most of its major rivals, while against the US dollar the loonie touched the lows not seen since June 2017. The BoC left its main interest rate at 1.75%. While it was not unexpected, the dovish tone of the bank’s statement surprised markets. Among … “Canadian Dollar Tanks on Dovish BoC”
Euro Rallies Higher Boosted by Positive Italy and Brexit Expectations
The euro today rallied higher against the US dollar during the European session as market sentiment stabilized on positive developments in the Italian budget standoff. Positive PMI releases by IHS Markit from across the eurozone also contributed to the EUR/USD currency pair’s rally as did the latest Brexit developments. The EUR/USD currency pair today rallied … “Euro Rallies Higher Boosted by Positive Italy and Brexit Expectations”