Tag Archive: U.K. Trade Balance

FX Daily, September 08: US Dollar Tracks Yields Lower

The US dollar has been unable to find any traction as US yields continue to move lower. The US 10-year year is slipping below 2.03% in European turnover, the lowest level in ten months. The risk, as we have noted, is that without prospects of stronger growth and inflation impulses, the yield returns to where was before the US election (~1.85%). The two-year note yield, anchored more by Fed policy than the long-end,  is also soft. It yielded 1.25%...

Read More »

FX Daily, August 10: Tensions Remain Elevated, Dollar Firms

It is difficult to walk back the saber-rattling rhetoric. US Secretary of State Tillerson tried to defuse the situation, which had appeared to ease nerves in North America yesterday. However, references to the modernization of US nuclear forces, a multi-year project begun last year, spurred a fresh threat by North Korea to fire four intermediate range missiles near Guam in week's time.

Read More »

FX Daily, July 07: Taper Tantrum 2.0 Dominates

Taper Tantrum 2.0, emanating from Europe rather than the United States continues to overshadow other developments. Yesterday, the yield on the 10-year German Bund pushed through the 50 bp mark that has capped the occasional rise in yields in recent months. The record of the ECB meeting was understood as indicating that the official assessment had surpassed the actual communication in order try to minimize the impact.

Read More »

FX Daily, June 09: Sterling Shocked, Dollar Broadly Firmer

What looked like a savvy move in late April has turned into a nightmare. Collectively, voters have denied the governing Conservative party a parliamentary majority. The uncertainty today does not lie yesterday with the known unknown, but with the shape of the next government and what it means for Brexit.

Read More »

FX Daily, March 10: US Jobs Data: Deja Vu All Over Again?

A week ago, after nine Fed officials had spoken, the market widely expected Yellen and Fischer to confirm that the table was set for a rate hike later this month. They did, and the dollar and US interest rates fell. Now, after a strong ADP jobs report (298k), everyone recognizes upside risk to today’s national report, and the dollar has lost its upside momentum against most major currencies, but the Japanese yen.

Read More »

FX Daily, January 11: Dollar Comes Back Bid

The pound has seen a sharp fall following the interview that Theresa May gave with Sky news on Sunday although there has been a small rebound this afternoon. GBP CHF exchange rates are hovering around 1.2350 for this pair.

Read More »

FX Daily, December 09: Euro Chopped Lower before Stabilizing

The euro has stabilized after extending yesterday's ECB-driven losses. The euro's drop yesterday was the largest since the UK referendum to leave the EU. Ahead of the weekend, there may be some room for additional corrective upticks, but they will likely be limited, with the $1.0650 area offering initial resistance. In the larger picture, this week's range, roughly $1.05 to $1.0850 likely will confine the price action for the remainder of the...

Read More »

FX Daily, September 9: Ahead of the Weekend

The US dollar is lower against all the major currencies this week as North American participants close it out. On the day, the dollar is consolidating swings yesterday and is narrowly mixed.Bond yields are higher and equities are mostly lower. The euro has finished lower the last three Fridays. The streak may end today. The euro has found support nearly $1.1260, and the intraday technicals favor a move higher in the US morning.

Read More »

FX Daily, August 09: Sterling Slips to a Four-Week Low, EUR/CHF still trending up

In an otherwise uneventful foreign exchange market, sterling's slide for its fifth consecutive session is the highlight. It was pushed below $1.30 for the first time since July 12. Initial resistance for the North American session is seen near $1.3020, while the $1.2960 area corresponds to a minor retracement objective.

Read More »

Towards Freedom: Will The UK Write History?

Every freedom loving person on the planet has their eyes fixed on this referendum. A clear majority voting for Brexit and therefore for more decentralization, would show that the British realized they can break free from their self-imposed nonage, and reclaim individual liberty.

Read More »