The euro rallied against other most-traded currencies today after the German business climate improved unexpectedly this month. The rally was nowhere near big enough to erase Friday’s big losses, though. The Ifo Business Climate Index for Germany rose from 98.7 to 99.6 in March, seasonally adjusted. Analysts had expected the index to stay unchanged. That was the first increase following six consecutive months of decline. Looking deeper … “Euro Rises with German Ifo Business Climate Index”
Month: March 2019
US Dollar Ends Week Mixed on Dovish Fed, Fears of Recession
The US dollar ended the past trading week mixed, gaining on some currencies and falling versus others. While the unexpectedly dovish Federal Reserve hurt the currency strongly, it had some support from risk aversion. The same risk-off sentiment made other safe-haven currencies, like the Japanese yen and the Swiss franc, clear winners for the week. The Fed held a monetary policy meeting this week. While the central bank left monetary … “US Dollar Ends Week Mixed on Dovish Fed, Fears of Recession”
USD/JPY: How low can it go? Many factors in play
USD/JPY dropped as the Fed went dovish but never went too far. US GDP, housing figures, and more events could rock the boat. The technical picture is bearish for the pair. Experts are bearish in the short term. This was the week: Dovish Fed, Brexit drama The Federal Reserve took another dovish twist. After pledging … “USD/JPY: How low can it go? Many factors in play”
Chinese Yuan Mixed As Market Weighs PBOCâs Overhaul to Interest Rates
The Chinese yuan is mixed at the end of the trading week as the market weighs the Peopleâs Bank of China (PBOC)âs long-postponed measure to overhaul interest rates. Investors might also be anxious over new data that found soaring debt levels and rising unemployment in the worldâs second-largest economy could threaten stimulus initiatives. Other reports … “Chinese Yuan Mixed As Market Weighs PBOCâs Overhaul to Interest Rates”
Japanese Yen Gains, Ignoring Poor Domestic Data
The Japanese yen gained against its most-traded rivals today despite worse-than-expected domestic macroeconomic data. Japan’s core Consumer Price Index rose 0.7% in February from a year ago, while analysts had expected the same 0.8% rate of growth as in January. The Nikkei Flash Japan Manufacturing PMI remained unchanged at 48.9 in March, while experts had predicted an increase to 49.2. USD/JPY dropped from 110.84 to 110.25 as of 13:26 GMT … “Japanese Yen Gains, Ignoring Poor Domestic Data”
Australian Dollar Mixed After PMI Releases
The Australian dollar was mixed, falling against some rivals but gaining on the euro. Markit released PMIs for manufacturing and services industries today, which were not particularly good. The Commonwealth Bank Flash Manufacturing PMI dropped to 52.0 in March from 52.9 in February, demonstrating a slower rate of expansion. The Commonwealth Bank Flash Services Business Activity Index rose to 49.8 from 48.7. The index remained slightly below the neutral 50.0 … “Australian Dollar Mixed After PMI Releases”
Euro Crashes on Disappointing Eurozone PMI Prints
The euro today crashed against the US dollar in the early European session following the release of disappointing PMI data from across the eurozone by IHS Markit. The EUR/USD currency pair’s crash was triggered by the release of disappointing German and eurozone PMI prints, which came in at record lows painting a bleak picture for most eurozone economies. The EUR/USD currency pair today fell … “Euro Crashes on Disappointing Eurozone PMI Prints”
Sterling Pound Drops on BoE Rate Decision and Brexit Headlines
The Sterling pound today fell to new lows against the US dollar as it was buffeted by negative Brexit headlines from the early London session. The GBP/USD currency pair later fell to new record lows on rumors that the EU will allow an extension of Article 50 up to May 22, which is quite short. The GBP/USD currency pair today fell from a high of 1.3228 to a low of 1.3004 in the American session following … “Sterling Pound Drops on BoE Rate Decision and Brexit Headlines”
Norwegian Krone Gains After Norges Bank Hikes Interest Rates
The Norwegian krone managed to gain on the US dollar even though the greenback was generally strong today, rebounding after yesterday’s losses. The most likely reason for that was the interest rate hike by Norway’s central bank. The Norges Bank raised its main interest rate by 25 basis points to 1% at today’s monetary policy meeting. The central bank mentioned strength of the domestic economy: The Norwegian economy is expanding at a solid pace, … “Norwegian Krone Gains After Norges Bank Hikes Interest Rates”
Swiss Franc Gains Despite SNB Keeping Negative Interest Rates
The Swiss franc rallied against most major currencies today, with the exception of the US dollar, which was rebounding after yesterday’s losses. Markets largely ignored the monetary policy meeting of the Swiss National Bank. As was expected, the SNB kept its interest rates in the negative territory, with interest on sight deposits staying at â0.75% and the target range for the three-month Libor at between â1.25% and â0.25%. While the central bank admitted that “the Swiss … “Swiss Franc Gains Despite SNB Keeping Negative Interest Rates”