The Australian dollar rallied today due to the unexpected increase of the trade surplus. The currency has lost gains against some of its rivals by now, while keeping them versus others. The Australian Bureau of Statistics reported that the trade balance logged a surplus of A$4.55 billion in January, up from A$3.77 billion in November. That is instead of a drop to A$2.85 billion predicted by economists. Moreover, it was the second largest surplus on record. … “Aussie Rallies on Near-Record Trade Surplus, Retreats Later”
Month: March 2019
Japanese Yen Surges Despite Fears of Recession
The Japanese yen is rallying against a basket of currencies towards the end of the trading week, despite fears that the latest data might be signaling that Tokyo is in a recession. This has the central bank calling for additional stimulus should the national economy fall even further, which is applying more pressure on the federal government ahead of the important US-Japan trade talks. On Thursday, the Cabinet Office released the latest findings of its … “Japanese Yen Surges Despite Fears of Recession”
EUR/USD levels to watch after Draghi’s 5 downers
The ECB and President Draghi went fully dovish sending the euro down. There are five significant moves that will continue reverberating. It is time to look at the next significant downside levels as EUR/USD falls out of balance. Here are the factors, followed by the levels: 1) Forward guidance: The ECB moved its pledge regarding low … “EUR/USD levels to watch after Draghi’s 5 downers”
Canadian Dollar Falls After Dovish BoC Rate Decision and Statement
The Canadian dollar today fell drastically against its US counterpart following the Bank of Canada‘s dovish interest rate decision. The USD/CAD currency pair today rallied to new 2-month highs following the BoC’s cautious statement in the early North American session. The USD/CAD currency pair today rallied from a low of 1.3351 to a high of … “Canadian Dollar Falls After Dovish BoC Rate Decision and Statement”
Chinese Yuan Weakens As State Stimulus, Bearish Forecasts Revealed
The Chinese yuan is weakening against several major currency rivals midweek. As the federal government unveiled its multi-layered stimulus to boost the economy, new forecasts show that economists believe growth could plunge to 2% in the next decade, but not before growing 6% this year. China unveiled a major tax cut package on Tuesday, opening … “Chinese Yuan Weakens As State Stimulus, Bearish Forecasts Revealed”
Australian Dollar Tumbles After GDP Misses Expectations
The Australian dollar sank versus other most-traded currencies today as Australia’s economic growth missed expectations, leading to speculations that the central bank may cut interest rates later this year. The Australian Bureau of Statistics reported that gross domestic product rose 0.2% in the December quarter from the previous three months on a seasonally adjusted basis. That is a slowdown from the previous quarter’s rate of growth of 0.3%. Analysts had … “Australian Dollar Tumbles After GDP Misses Expectations”
EUR/USD: Staying Short; ECB To Retain A Decisively Dovish Tone- Barclays
The European Central Bank is unlikely to change its policy but its tone will make a difference. What does this mean for EUR/USD? Here is their view, courtesy of eFXdata: Barclays Research discusses its expectations for the EUR around the ECB March policy meeting on Thursday. Barclays maintains a tactical bearish EUR/USD bias, expressing that via holding … “EUR/USD: Staying Short; ECB To Retain A Decisively Dovish Tone- Barclays”
Swiss Franc Loses Gains, Rising CPI Unable to Help
The Swiss franc attempted to rally during the Tuesday’s trading session on risk aversion caused by bad news from China. The Swissie failed to hold onto gains, though, and retreated against all other most-traded currencies by the end of the trading session. Positive domestic data was unable to support the currency. Switzerland’s Federal Statistical Office reported that the Consumer Price Index rose 0.4% in February from the previous month, matching market expectations … “Swiss Franc Loses Gains, Rising CPI Unable to Help”
Canadian Dollar Weakens to Five-Week Low Ahead of BOC Decision
The Canadian dollar weakened to its lowest level against its American counterpart in five weeks. The multi-week low comes ahead of the central bank announcing its intentions on interest rates, and the worldâs second-largest economy potentially striking a blow to the slowing Canadian economy. The loonie was lifted by a modest bump in energy prices. On Wednesday, the Bank of Canada (BOC) is expected to leave its benchmark rate at 1.75%, after raising rates 125 basis … “Canadian Dollar Weakens to Five-Week Low Ahead of BOC Decision”
British Pound Declines on Brexit Cloud Amid Strong US ISM Data
The Sterling pound today fell against the US dollar despite the release of an upbeat fundamental print from the UK docket. The GBP/USD currency pair was weighed down by the looming Brexit deadline, which is just 24 days away with little sign of a deal being signed within the time left. The GBP/USD currency pair today rose to a high of 1.3198 in the … “British Pound Declines on Brexit Cloud Amid Strong US ISM Data”