The Sterling pound today rallied higher against the US dollar in the early London session driven by the upbeat investor risk appetite and the greenback’s weakness. However, the GBP/USD currency pair could not hold on to its gains as the American markets opened and headed lower as investor sentiment shifted in favour of the dollar. … “Sterling Pound Rallies Against the Dollar, Later Gives Up Its Gains”
Month: August 2020
RBNZ Preview: Ending NZD/USD’s recovery attempt? Dovish stance on QE and coronavirus may weigh
The Reserve Bank of New Zealand is set to leave interest rates unchanged at its August meeting. COVID-19’s comeback in the country may trigger a dovish stance. Hints about the bond-buying scheme or negative rates may weigh on the kiwi. Over 100 days without any coronavirus case have come to an end – and the … “RBNZ Preview: Ending NZD/USD’s recovery attempt? Dovish stance on QE and coronavirus may weigh”
US Dollar Struggles to Hold One-Week High on PPI, Falling Business Optimism
The US dollar is struggling to hold onto its best level in one week as higher producer prices and falling business optimism affected the greenback. After a near 7% slide in three months, the greenback has been holding steady so far this month amid uncertainty in the post-coronavirus global economy. But is the dollar oversold, or could inflation threaten its strength in international forex markets? In July, the producer price index … “US Dollar Struggles to Hold One-Week High on PPI, Falling Business Optimism”
UK GDP Preview: Three reasons why 20% contraction estimates are too low, GBP/USD may rise
Economists expect a contraction of over 20% in the UK’s economic output in Q2, worse than other developed economies. Figures for April and May suggest a more moderate decline. Recent UK labor statistics point to the role of the government in propping up the economy. One fifth lower – that is what the economic calendar … “UK GDP Preview: Three reasons why 20% contraction estimates are too low, GBP/USD may rise”
Euro Falls, Rallies, Then Falls Again While Trading Against the Dollar
The euro today fell against the US dollar driven by the risk-off investor sentiment, which fueled the greenback’s resurgence coupled with Friday’s upbeat US non-farm payrolls. The EUR/USD currency pair later found support and rallied higher amid improving sentiment as investors hoped for a resolution of the impasse on the US stimulus bill in Congress. The EUR/USD today fell from a … “Euro Falls, Rallies, Then Falls Again While Trading Against the Dollar”
Chinese Yuan Advances As PBoC Pledges Targeted Policy
The Chinese yuan is strengthening to kick off the trading week as the central bank vowed to adopt a more targeted and appropriate monetary policy in the post-coronavirus economy. With Beijing ostensibly winding down its ultra-aggressive stimulus and relief efforts on the monetary side, investors will be watching to see if Chinese investments will remain on an upward trajectory. The yuan is also testing 6.9 against the US dollar on the latest inflation data. Speaking … “Chinese Yuan Advances As PBoC Pledges Targeted Policy”
New Zealand Dollar Weaker During Monday’s Subdued Trading
The New Zealand dollar traded largely lower against its most-traded peers but, surprisingly, demonstrated resilience versus safer currencies, such as the Japanese yen and the Swiss franc. Macroeconomic reports in China, New Zealand’s biggest trading partner, were decent but data in New Zealand itself was not good. Trading was subdued today, especially during the Asian session, as markets in Japan and Singapore were closed for a holiday. ANZ … “New Zealand Dollar Weaker During Monday’s Subdued Trading”
UK Jobs Preview: Feeble figures still furloughed? Another robust report may boost BOE-fueled rally
Britain’s unemployment rate for June and jobless claims for July will likely remain upbeat. The UK’s labor market has been holding up thanks to the government’s successful furlough scheme. GBP.USD has room to extend the BOE-fueled gains. Pandemic, what pandemic? That may the reaction for anyone looking at the UK’s unemployment rate – a remarkable … “UK Jobs Preview: Feeble figures still furloughed? Another robust report may boost BOE-fueled rally”
GBP/USD: Bear takeover? Upbeat UK GDP may be insufficient amid growing fears
GBP/USD has failed to hold onto the highs amid the BOE decision and Sino-American tensions. The UK jobs report, GDP, the US consumer, and geopolitics are all eyed. Early August’s daily chart is still pointing to overbought conditions. The FX Poll is pointing to short-term gains and falls afterward. The Bank of England’s “glass-half-full” approach … “GBP/USD: Bear takeover? Upbeat UK GDP may be insufficient amid growing fears”
NFP Quick Analysis: Slow hiring downbeat for the dollar, good for gold, no silver lining
The US economy gained 1.763 million jobs in July and the unemployment rate stands at 10.2%. Coronavirus’ impact has proved devastating, pointing to a painful recession. Urge to add stimulus could be countered by another reason to worsen Sino-American relations. A V-shaped recovery? White House adviser Larry Kudlow still touted a rapid bounce as late … “NFP Quick Analysis: Slow hiring downbeat for the dollar, good for gold, no silver lining”