The Bank of England hiked its main interest rate for the first time in a decade as was widely expected, but markets considered the hike to be a dovish one. The Great Britain pound crashed as a result, falling more than 1% against its most-traded peers. The BoE increased its key interest rate from 0.25% to 0.5%, leaving the size of the asset purchase program unchanged at £435 billion. While it was considered a historical … “Pound Crashes After Dovish Hike by BoE”
Author: admin_mm
Swiss Franc Shrugs Off Poor Domestic Data
Economic data released in Switzerland today was rather poor, but that did not prevent the Swiss franc from rising against its most-traded peers during the current trading session. The possible reason for the good performance was risk aversion ahead of today’s important events. SECO consumer sentiment was at -2 in October, almost unchanged from -3 in the previous quarter, whereas analysts had expected an increase to 0. Retail … “Swiss Franc Shrugs Off Poor Domestic Data”
Positive Domestic Macroeconomic Data Lifts Australian Dollar
The Australian dollar rose during the Thursday’s trading session, lifted by positive domestic macroeconomic data. Australia’s trade balance widened from $0.87 billion in August to $1.75 billion in September, exceeding the median forecast of $1.42 billion. Building permits increased by 1.5% in September from the previous month on a seasonally adjusted basis. That is instead of a 0.9% drop predicted by analysts. AUD/USD rose from 0.7675 to 0.7703 as of 10:19 GMT today, touching … “Positive Domestic Macroeconomic Data Lifts Australian Dollar”
GBP/USD: Vulnerable To A Pullback On A Sell-The-Fact Reaction
In our preview of the Bank of England, we suggested that the recent rise may trigger a sell-off as the news comes out. Here is a similar view from TD: Here is their view, courtesy of eFXnews: TD FX Strategy Research discusses GBP outlook ahead of the BoE November policy meeting on Thursday. “We expect … “GBP/USD: Vulnerable To A Pullback On A Sell-The-Fact Reaction”
USD/JPY: Will It Break Free? What’s The Trade? – SocGen
Dollar/yen is moving higher, trading close to the cycle highs. Can it make the break? Here is the view from SocGen: Here is their view, courtesy of eFXnews: Societe Generale Cross Asset Strategy Research discusses USD/JPY outlook, noticing that real yield differentials are back in the driver’s seat. “Bond markets are showing every sign of … “USD/JPY: Will It Break Free? What’s The Trade? – SocGen”
US Dollar Rises as Strong Labor Data Outweighs Low Manufacturing Activity
The US dollar climbed against the euro on Wednesday in the wake of the strongest job gain in the United States since March. However, the greenback erased most of the gains it had made earlier in the day as manufacturing activity in October disappointed expectations. The ADP Research Institute, which publishes a monthly report on employment change in the United States two days ahead of government data, said that the labor market improved in October. The US nonfarm private sector … “US Dollar Rises as Strong Labor Data Outweighs Low Manufacturing Activity”
British Pound Erases Early Gains Despite Highest Manufacturing Activity in Two Months
The British pound erased earlier gains against the US dollar and other major peers on Wednesday, despite the best reading for manufacturing activity since September. A separate report on housing prices in the United Kingdom revealed a healthy increase, however, the British currency failed to maintain its gains. A fresh report from IHS Markit, a research institute that releases monthly updates on manufacturing activity within major economies, showed that manufacturing activity … “British Pound Erases Early Gains Despite Highest Manufacturing Activity in Two Months”
Canadian Dollar Gains Against US Dollar on Strong Oil Prices
The Canadian dollar was largely stronger against the US dollar for most of today’s session boosted by a rally in global oil prices as tracked by the West Texas Intermediate. The release of the US ADP employment change report boosted the USD/CAD currency pair slightly higher, but the loonie rallied again to erase most of the pair’s gains. The USD/CAD currency pair today traded within a 43-point range by hitting a daily high of 1.2910 and a low of 1.2867, as at the time … “Canadian Dollar Gains Against US Dollar on Strong Oil Prices”
Australian Dollar Gains, Getting Boost from China Manufacturing PMI
The Australian dollar rose against its major rivals today. Perhaps, decent economic data from Australia’s biggest trading partner, China, helped the currency as domestic reports were far from good. China’s manufacturing sector continued to growth with marginal pace as the Caixin Purchasing Managers’ Index remained at 51.0 in October, unchanged from September. Meanwhile, the Manufacturing Index reported by Australian Industry Group fell from 54.2 in September … “Australian Dollar Gains, Getting Boost from China Manufacturing PMI”
Amazing Jobs Data Allows NZ Dollar Overcome Negative Fundamentals
The New Zealand dollar rallied against its most-traded peers today thanks to amazing jobs data. It allowed the currency to overcome negative fundamentals, which could have weighed on the kiwi otherwise. The report for September quarter showed that the number of employed people climbed by 2.2% from the previous three months, demonstrating a far bigger increase than predicted 0.8%. The unemployment rate slipped form 4.8% to 4.6%. It was not … “Amazing Jobs Data Allows NZ Dollar Overcome Negative Fundamentals”