Surprise Rate Hike Pushes Norway’s Krone Up

The Norwegian currency climbed today versus most of 16 main traded currencies after the nation’s central bank rose its benchmark interest rate surprising analysts and attracting traders to krone-priced assets. The Norges Bank contradicted most of forecasts today raising by a quarter-point its interest rates to 1.75 percent alleging it should prevent the Nordic economy to overheat, as the inflation is near the central bank target of 2.5 percent. Norway’s central … “Surprise Rate Hike Pushes Norway’s Krone Up”

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Aussie Dollar Drops on Monetary Policy Change

The Australian dollar has been one of the best performers in currency markets during the past few months as it was the first country to raise interest rates among the wealthy nations, today the sentiment towards the Aussie changed after surprising statements from the country’s financial authorities. The Aussie fell today versus virtually all of the 16 main traded currencies after the Reserve Bank of Australia Deputy Chairman of the Board Ric Battellino affirmed … “Aussie Dollar Drops on Monetary Policy Change”

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Dollar Down on Fed Frustrating Statement

The dollar declined versus a number of currencies today after the Federal Reserve signaled interest rates will remain low for a longer period, declining attractiveness for the U.S. currency in foreign exchange markets. After 2 weeks rallying versus most of the currencies, the dollar cooled down today after a Federal Reserve statement reiterating the position of leaving borrowing costs at a record low for an undefined period, affecting negatively speculations that rate hikes could … “Dollar Down on Fed Frustrating Statement”

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Fed Decision – No Middle Ground

There is no consensus about the outcome of the FOMC Meeting. This makes any decision a market major market mover. The option of a calm reaction in the forex market doesn’t exist. Here’s a preview for the upcoming FOMC meeting. Image credit: Gage Skidmore There is a consensus about the unchanged interest rate. It won’t … “Fed Decision – No Middle Ground”

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Euro to Tumble Further on Market Sentiment Shift

The euro has been falling steadily since the beginning of the month when it touched the highest rate in 15 months versus the dollar, as speculations emerged in the U.S. that interest rates will be hiked from an all time low, declining attractiveness for the European bloc’s currency. A shift in market sentiment has been punishing the euro towards the end of the year as the outlook for the U.S. economy improved, helping the dollar to gain versus most of the 16 … “Euro to Tumble Further on Market Sentiment Shift”

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Swedish Krona Down on U.S. Optimism

The Swedish krona has been losing terrain versus the dollar as the U.S. economy signals of recovery has been leaving space for speculations regarding interest rate hikes, declining attractiveness for the Swedish currency. The krona has been suffering from another blow this time coming from North America as the appeal for less tradeable currencies declined, affecting the Swedish currency which already faced problems this semester as Nordic loans in the Baltic … “Swedish Krona Down on U.S. Optimism”

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Inflation Growth Helps Pound to Gain

The pound gained today versus several important currencies and specially versus the euro after a report showed an increase in the U.K.’s inflation, helping speculations that interest rates will be raised in the country to grow. Even if inflation is still below Bank of England‘s target of 2 percent reaching 1.9 percent in the annualized figures for the past month, it beat forecasts and added confidence that interest rates will rise in Britain … “Inflation Growth Helps Pound to Gain”

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Canadian Dollar Rallies Fueled by Oil Performance

The Canadian dollar managed to climb versus most of the 16 main traded currencies as its main export, the crude oil, advanced today after posting its sharpest fall this year in the beginning of this week’s session. The loonie, as its widely known in currency markets, rose today versus the majority of currencies as a report in the nation showed that leading economic indicators rose significantly in the country last month, beating estimates by more than … “Canadian Dollar Rallies Fueled by Oil Performance”

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Dollar on Record High Before Reports

The U.S. dollar reached the highest rate in more than 2 months as a speculations regarding a series of reports to be released today indicate that favorable numbers will help the Federal Reserve to lift stimulus measures raising attractiveness for assets in the world’s wealthiest nation. Speculations regarding interest rates continue to fuel a dollar rally that made it climb from the lowest rate in 15 months two weeks ago to the highest price … “Dollar on Record High Before Reports”

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Dollar Down Slightly on Temporary Risk Appetite

After several days gaining versus most of the 16 main traded currencies, the dollar dropped since risk appetite provided strength for currencies to gain versus the greenback, erasing partially gains earned on previous sessions. The U.S. dollar had its rally halted today as optimism surged regarding the Dubai financial situation, as its brother Emirate, Abu Dhabi, started a bail out process essential for avoiding chaos in financial markets world … “Dollar Down Slightly on Temporary Risk Appetite”

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