The Japanese yen is strengthening against its American counterpart midweek as the worldâs third-largest economy is on track for its longest expansion since the Second World War. On the data front, there were plenty of positives to whet the appetite of Japanese investors. With the US-Japan trade negotiations on the horizon, markets may be rallying ahead of the economic storm clouds. In September 2017, the Japanese economy surpassed the 57-month expansion (November 1965 to July 1970), … “Japanese Yen Strengthens As Longest Expansion Since WWII Nears”
Month: January 2019
Euro Spikes Higher on Dovish Fed Comments Before FOMC Minutes
The euro today spiked higher in the early American session following dovish comments by Atlanta Fed President Raphael Bostic, which drove the US dollar lower. The EUR/USD currency was range bound for most of today’s session despite the release of several macro prints from across the eurozone. The EUR/USD currency pair today spiked from a … “Euro Spikes Higher on Dovish Fed Comments Before FOMC Minutes”
Brexit vote -5 scenarios and GBP/USD reactions after May loses
The UK government delayed the vote that was scheduled for December due to prospects of a defeat. PM Theresa May toured Europe in an attempt to secure concessions about the Irish backstop issue, but her counterparts were only willing to provide clarifications but no changes to the legal text. She was hoping that the ticking … “Brexit vote -5 scenarios and GBP/USD reactions after May loses”
Chinese Yuan Sideways As Investors Weigh Economy
The Chinese yuan is trading sideways on Tuesday as investors continue to weigh the economy. Beijing has attempted to ease tradersâ minds by confirming reports that US-China trade talks are improving and that the government and central bank are employing stimulus measures to spur growth. But some experts believe that the worldâs second-largest economy is worse than officials are saying. While the Peopleâs Bank of China (PBOC) is forecasting … “Chinese Yuan Sideways As Investors Weigh Economy”
CAD: Has Some Wood To Chop Into BoC Targeting USD/CAD At 1.32 – TD
The Canadian dollar traded in a choppy manner amid significant volatility in oil prices. The focus now shifts to the rate decision by the Bank of Canada. What will the BOC do? Here is their view, courtesy of eFXdata: TD Research discusses USD/CAD outlook into tomorrow’s BoC policy meeting and likes more downside through the … “CAD: Has Some Wood To Chop Into BoC Targeting USD/CAD At 1.32 – TD”
Germany at risk of recession and this weighs on EUR/USD
Germany suffered yet another month of drops in its industrial output. The ECB may be forced to cut its forecasts and delay its rate hike. EUR/USD could come under pressure regardless of a dovish twist by the Fed. German Industrial Production dropped by a whopping 1.9% in November, far worse than an increase of 0.3% … “Germany at risk of recession and this weighs on EUR/USD”
Euro Drops on Weak German Industrial Data and Strong US Dollar
The euro today dropped against the US dollar from the start of today’s session as the greenback rebounded on investors’ hopes about the outcome of the US-China trade talks. The rebound in US Treasury yields also boosted the greenback, which was under intense selling pressure since Friday last week following dovish Fed comments. The EUR/USD currency … “Euro Drops on Weak German Industrial Data and Strong US Dollar”
USD: Stretched USD Set For A Weak Path Coming Months; Where To Target? – MUFG
The US Dollar is now attempting to recover from the blow it received from Jerome Powell’s dovish speech. What can we expect down the road? Here is their view, courtesy of eFXdata: MUFG Research discusses the USD outlook and maintains a structural bearish bias through the year. MUFG current DXY-related currency forecasts imply a 6.3% dollar depreciation … “USD: Stretched USD Set For A Weak Path Coming Months; Where To Target? – MUFG”
Canadian Dollar Seeks Direction Ahead of Major News This Week
The Canadian dollar is trying to find direction at the start of the trading week ahead of several major news events in the coming days. The loonie is trying to keep up the momentum from last week on the better-than-expected jobs report and rallying energy prices. On Friday, Statistics Canada reported that the economy added 9,300 jobs, beating median estimates of 5,000 jobs. This sent the unemployment lower from 5.7% in November to 5.6% last month. … “Canadian Dollar Seeks Direction Ahead of Major News This Week”
Euro Rallies on Risk-On Sentiment Amid Mixed Geman Data
The euro today rallied higher against the much weaker US dollar largely driven by positive market sentiment and the upbeat German retail sales data. The improved market risk sentiment was supported by investors’ optimism regarding the 2-day high level US-China trade talks, which kicked off today. The EUR/USD currency pair today rallied from an opening … “Euro Rallies on Risk-On Sentiment Amid Mixed Geman Data”