The Federal Reserve has countered its rate cut with a confident message. Fed Chair Jerome Powell has extended the dollar gains with three critical comments. EUR/USD has fallen to the lowest in two years and eyes critical levels below. The confident message in the Fed statement – expressing confidence on inflation, employment and the two … “EUR/USD levels to watch after Powell’s powerful performance”
Category: Opinions
3 reasons why the USD can continue higher after the hawkish Fed cut
The Federal Reserve has cut its interest rates for the first time in a decade as expected. The Fed also signaled it is unlikely to reduced rates anytime soon. The USD has been advancing ahead of the release and the move may further extend. The Fed finally did it – cutting rates for the first … “3 reasons why the USD can continue higher after the hawkish Fed cut”
EUR/USD may retreat ahead of the Fed with EZ inflation and GDP figures
Euro-zone July inflation and second-quarter GDP are set to show a slowdown. The European Central Bank will be using this data to construct its monetary stimulus package. The figures due out hours before the critical Fed meeting may weaken the euro. “The economic outlook is getting worse and worse” – said Mario Draghi, President of … “EUR/USD may retreat ahead of the Fed with EZ inflation and GDP figures”
5 scenarios for GBP/USD on the BOE’s Super Thursday
The Bank of England is set to hold its rates but publish new projections on “Super Thursday.” The darkening clouds around the global economy and Brexit may cause a rethink. There are five scenarios for the decision and pound reaction. The disconnect between the Bank of England’s upbeat assessment and markets’ dim views is unlikely … “5 scenarios for GBP/USD on the BOE’s Super Thursday”
After the plunge, these GBP/USD levels are eyed
GBP/USD has hit 1.2247 – the lowest in two years on fears of a hard Brexit. PM Boris Johnson has rejected the claim that the government is assuming no-deal. GBP/USD may challenge levels last seen in late 2016 / early 2017. How low can the pound go? The pound’s plummet has turned into an avalanche as the new … “After the plunge, these GBP/USD levels are eyed”
USD/JPY set to rock on the explosive mix of the Fed and the NFP
USD/JPY has been rising as upbeat data supported the greenback. The Fed’s first rate cut since the crisis and the US jobs report stand out. Late July’s technical chart paints a mixed picture. The FX Poll shows short-term rises followed by declines later on. What just happened: Mixed data, fresh trade talks The US and … “USD/JPY set to rock on the explosive mix of the Fed and the NFP”
GBP/USD bracing for the BOE after Boris
GBP/USD has been suffering from the Brexit impasse and USD strength. The Bank of England’s “Super Thursday” stands out. Late July’s daily chart points to further falls. Experts are neutral in the short term and bullish afterward. What just happened: PM Boris Johnson meets reality Boris Johnson, PM – a headline that many had waited … “GBP/USD bracing for the BOE after Boris”
US GDP should encourage the Fed – and the dollar
US GDP has come out at 2.1%, above expectations. The Federal Reserve is watching the data very closely. The USD has room to rise ahead of the central bank’s decision. The US economy is alive and kicking – hardly justifying the planned Fed rate cut next week – and certainly not a pre-announcement about a … “US GDP should encourage the Fed – and the dollar”
Draghi masters the long term downfall of the euro
The ECB left its policy unchanged but opened the door to act in September. The euro has fallen on prospects of action. Draghi has prepared EUR/USD to extend its falls on the Fed decision. Mario Draghi is Super Mario once again. The European Central Bank has left its interest rate unchanged but still sent the … “Draghi masters the long term downfall of the euro”
Powell five punches and where next for EUR/USD
Fed Chair Powell has opened the door to rate cuts and weighed on the USD. Five critical dovish points accumulate to a bleak picture. EUR/USD has jumped from the lows and faces a new technical setup. Markets have been expecting the Federal Reserve to cut rates for several weeks – and Federal Reserve Chair Jerome Powell more than confirmed … “Powell five punches and where next for EUR/USD”