The euro today rallied from multi-year lows in the American session after key US data disappointed and US Treasury yields dropped to multi-year lows. The EUR/USD currency pair had fallen to lows last seen in May 2017 following the release of multiple weak releases from Germany and the eurozone earlier today. The EUR/USD currency pair … “Euro Rallies From Multi-Year Lows as US Data Disappoints”
Month: May 2019
Icelandic Krona Crashes As Wow Air Bankruptcy Triggers Recession
The Icelandic krona is continuing its slide against a basket of currencies midweek as the bankruptcy of a budget airline has triggered a recession, prompting the central bank to spring into action. The latest financial crisis comes roughly a decade since the island nation was on the brink of insolvency following the collapse of several major banks that contributed to the global catastrophe. Wow Air, the nationâs budget airline, recently filed for bankruptcy. Joining a plethora of other European … “Icelandic Krona Crashes As Wow Air Bankruptcy Triggers Recession”
Pound Hits New 4-Month Lows As PM May Is Pressured to Resign
The British pound today hit new 4-month lows against the US dollar as U.K. leaders criticized Theresa May‘s new proposed Brexit deal, which she outlined yesterday. The GBP/USD currency pair hit new lows as news reports indicated that multiple factions within the Conservative Party were planning to force the Prime Minister to resign. The GBP/USD … “Pound Hits New 4-Month Lows As PM May Is Pressured to Resign”
EU elections could turn EUR positive unless Merkel moves
The EU holds elections to its parliament as populism is on the rise across the continent. Low expectations may be followed by a euro-positive surprise. The greater risk may be if Angela Merkel quits. Many Europeans are not happy with the system ten years after the crisis, may vent their anger in the European elections, … “EU elections could turn EUR positive unless Merkel moves”
Japanese Yen Flat amid Directionless Trading
The Japanese yen was largely flat today as trading was somewhat directionless during the current trading sessions, and markets were in a consolidation mode. Over the longer-term, though, the currency should be well-supported by factors that are negative to the risk sentiment. The continuing trade war between the United States and China gave investors ample reasons for seeking out safe haven, and the yen is a logical choice for those seeking safety. With the USA … “Japanese Yen Flat amid Directionless Trading”
Australian Dollar Shows Resilience Facing Adverse Fundamentals
The Australian dollar was surprisingly strong today despite adverse fundamentals, which were including poor macroeconomic data, the negative market sentiment, and the dovish monetary policy outlook. The six month annualized growth rate in the WestpacâMelbourne Institute Leading Index, which suggests the likely pace of economic activity relative to trend three to nine months into the future, fell from â0.13% in March to â0.47% in April. The report commented on the result: The Index growth … “Australian Dollar Shows Resilience Facing Adverse Fundamentals”
Bulls Still Wonât Give Up on GBP/AUD
The ascending trend on the Great Britain pound versus the Australian dollar currency pair ended, but the bulls still guard their gains. Long-term perspective At the beginning of December 2019, the pair started an ascending trend that was halted by 1.8742. The apparent correction that started from this level managed to extend beyond the double support made up by the trendline of the ascending trend and 1.8757, reaching 1.8178. But 1.8178 served the bulls by facilitating … “Bulls Still Wonât Give Up on GBP/AUD”
Chinese Yuan Strengthens As Beijing Talks Up Currency
The Chinese yuan is strengthening on Tuesday as the federal government continues to talk up the currency, despite bearish sentiment from foreign investors surrounding the worldâs second-largest economy. As the US-China trade war escalates, there are fears that not only will the Chinese economy continue to spiral downwards, but also the global economy will contract. Speaking in an interview with the Peopleâs Bank of China (PBOC)âs Financial News, Pan Gongsheng, … “Chinese Yuan Strengthens As Beijing Talks Up Currency”
Sterling Rallies As PM May Offers Second Referendum, Later Falls
The British pound today rallied higher after news emerged that the British Prime Minister Theresa May would offer MPs a chance to vote for a second referendum. The GBP/USD currency pair rallied from news 3-month lows triggered earlier in the day after the opposition Labour Party confirmed that it would vote against PM May’s latest … “Sterling Rallies As PM May Offers Second Referendum, Later Falls”
Turkey Attempts to Defend Lira, Currency Remains Soft
The Turkish lira remains soft despite attempts of policy makers to prop up the currency. Turkey introduced a requirement for banks to postpone retail transactions of at least $100,000 value by one day instead of processing them the same day as it was before. The attempt to slow down currency transactions was made in an effort to trim speculative bets on the currency. The move will likely draw fresh criticism from economists and market participants, who were … “Turkey Attempts to Defend Lira, Currency Remains Soft”