Tag Archive: $JPY

FX Daily, November 21: Flattish Consolidation Hides Dollar Strength

2016-11-21

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2016-11-21

FX Performance, November 21 2016 Movers and Shakers
The news over the weekend is primarily political in nature. Sarkozy is going to retire (again) after taking a drubbing in the Republican Party primary in France. Fillon, the self-styled French Thatcher unexpected beat Juppe, but without 50% and therefore the results set up the run-off this coming weekend. It is as if, knowing their candidate will likely face Le Pen in the final round next spring, the Republican Party might as well chose the most...

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If TPP is Dead…

2016-11-20

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2016-11-20

Tpp
TPP may be dead, but China is spearheading an alternative regional free trade deal. It is not as ambitious as the US-led TPP. China and Russia are eager to re-establish spheres of influence.

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FX Daily, November 17: Consolidation Gives Dollar Heavier Tone

2016-11-17

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2016-11-17

FX Performance, November 17 2016 Movers and Shakers
The US dollar is trading with a heavier bias today as its recent run is consolidated. The euro is trying to snap the eight-day slide that brought it to nearly $1.0665 yesterday, the lows for the year. It is almost as if participant saw the proximity of last year's lows ($1.0460-$1.0525) and decided to pause, perhaps to wait for additional developments, such a Fed Chief's Yellen's testimony before the Joint Economic Committee of Congress.

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FX Daily, November 16: The Greenback Remains Resilient

2016-11-16

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2016-11-16

FX Performance, November 16 2016 Movers and Shakers
The US dollar remains bid. It is at its year high against the euro and five-month highs against the Japanese yen. Sterling, which has performed better recently, remains in the trough around 30-year lows. It surge since the election reflects three considerations. The first is December Fed hike. Prior to the election, the market was assessing around a two-thirds chance. Now both the CME and Bloomberg's WIRP estimate the odds above 90%....

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FX Daily, November 15: Investors Catch Breath, Markets Consolidate

2016-11-15

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2016-11-15

FX Performance, November 15 2016 Movers and Shakers
After a dramatic run since the US election, the capital markets are consolidating today. It is a bit too restrained to such a Turn Around Tuesday is unfolding. The euro is struggling to sustain corrective upticks through $1.08, and after a pullback is, the greenback pushed back above the JPY108 level like a beach ball held under water.

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FX Daily, November 14: Dollar Steps Up to Start Week

2016-11-14

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2016-11-14

FX Performance, November 14 2016 Movers and Shakers
The US dollar rally that moved into a higher gear in the second half of last week has begun the new week with a bang. It is up against nearly all the major and emerging market currencies. Even sterling, which last week, managed to eke out modest gains against the greenback is under pressure today.

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Great Graphic: Shifting Trade-Weighted Exchange Rates

2016-11-12

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2016-11-12

The dollar's trade-weighted index is firming and a couple percentage points from the year's high set in January. The yen's trade-weighted index is at several month lows, but remains dramatically higher ear-to-date. The euro's trade-weighted index has begun falling amid concerns that it is the next focus for the anti-globalization/nationalism movement. Sterling's trade-weighted index is extending its recovery as a softer Brexit is anticipated, the...

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FX Daily, November 11: Ramifications of Trump’s Election Continue to Drive Markets

2016-11-11

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2016-11-11

FX Performance, November 11 2016 Movers and Shakers
The forces unleashed by the US election results continue to drive the capitals markets. The combination of nationalism, reflation and deregulation are seen as good for US equities and the US dollar. It has not been so kind to US Treasuries, where the 10- and 30-year yield has risen about 32 bp this week coming into today's federal holiday that closes the bond market, while the stock market is open.

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Rising US Premium Lifts Dollar-Yen

2016-11-11

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2016-11-11

US 10-year rate premium is the largest in 2.5 years. US 2-year premium is the most since Q4 2008. Japanese investors likely will be buying foreign bonds, while foreigners may see opportunities in Japanese stocks after being large sellers in the first 9 months of the year.

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FX Daily, November 09: Mourning in America?

2016-11-09

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2016-11-09

FX Performance, November 09 2016 Movers and Shakers
Global capital markets have been roiled by Trump's stunning victory Swiss National Bank's Andrea Maechler promised interventions for the case that Trump wins the elections. It was probably not necessary. Only the EUR/CHF fell to 1.0753. Strangely the dollar and markets recovered.

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FX Daily, November 08: Consolidation Featured as Market Catches and Holds Breath

2016-11-08

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2016-11-08

FX Performance, November 08 2016 Movers and Shakers
The equity markets snapped their losing streak yesterday and are consolidating today. The US dollar is narrowly mixed. The euro and sterling are slightly firmer, but well within yesterday's ranges. The dollar-bloc is a bit lower, and once again the Australian dollar is struggling to sustain moves above $0.7700.

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FX Daily, November 07: Dollar Stabilizing After Bounce

2016-11-07

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2016-11-07

FX Performance, November 07 2016 Movers and Shakers
The DAX also gapped lower before the weekend and gapped higher today. It is stalling just ahead of the earlier gap from last week (10460-10508). It is up about 1.6% in late-morning turnover. The strongest sector is the financials, up 2.5%, with the banks up 3.4%. Deutsche Bank is snapping a five-session drop. It fell 9.1% last week. It has recouped more than half of that today.

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FX Daily, November 03: Political Angst Drives Markets

2016-11-03

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2016-11-03

FX Performance, November 03 2016 Movers and Shakers
GBP/CHF rates are trading below 1.20 on the exchange, providing those clients holding CHF with some of the best rates they’ve seen in the past six years. The Pounds woes have been well documented but with a key day of economic data releases ahead, is it all about to change?

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FX Daily, November 02: Standpat FOMC Trumped by US Political Jitters

2016-11-02

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2016-11-02

FX Performance, November 02 2016 Movers and Shakers
The single biggest driver in the capital markets is the continued narrowing of the US election polls. The prospect of a Trump presidency and the dramatic changes that could entail is rattling investors and spurring position squaring.The dollar is broadly lower as are stocks. The surge in global yields has been arrested.

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FX Daily, November 01: Dollar and Yen Slip in Quiet even if Eventful Turnover

2016-11-01

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2016-11-01

FX Performance, November 01 2016 Movers and Shakers
The US dollar is posting minor losses against most of the major currencies today.The Japanese yen is the exception, as the greenback continues to straddle JPY105. There have been several developments today, and the US also has a full economic calendar today. The most important of the developments was the upbeat message from the Reserve Bank of Australia.

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FX Daily, October 31: Respite for Market Nerves Lifts Peso, Rand, and US Dollar

2016-10-31

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2016-10-31

FX Performance, October 31 2016 Movers and Shakers
he latest US political news before roiled thin pre-weekend markets, but cooler heads and more of them are prevailing today. Trump's fortune in the polls had bottomed prior to the re-opening of the investigation into Clinton's emails and the national polls have narrowed.

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Are Foreign Investors Done Selling Japanese Equities?

2016-10-31

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2016-10-31

Foreign investors have sold more than JPY8 trillion of Japanese equities through September. Nikkei technicals have improved and the yen has softened. Foreign investors have been net buyers for the past four weeks.

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FX Daily, October 28: Dollar Sidelined, Krona Stabilizes, Rates Firm

2016-10-28

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2016-10-28

FX Performance, October 28
The main development here in the last full week of October is the sharp rise in bond yields. US 10-year yields rose nine bp this week coming into today's session, which features the first look at Q3 GDP. The two-year yield is up four bp. European 10-year benchmark yields mostly rose 11-17 bp. UK Gilts were are the upper end of that range. Two-year yields are 3-5 bp higher.

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FX Daily, October 27: Rising Yields Continue to be the Main Driver

2016-10-27

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2016-10-27

FX Performance, October 27 2016 Movers and Shakers
The euro remains pinned near the seven-month low it recorded two days ago near $1.0850. It approached $1.0950 yesterday and has been confined to about a 15-tick range on either side of $1.0905 today. Against the yen, the dollar remains near the three-month high (~JPY104.85) also seen two days ago. New dollar buying emerged yesterday near JPY104.

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