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Tag Archive: USD/CHF

FX Daily, September 18: FOMC Meets Amid Money Market Pressures

2019-09-18

by Marc Chandler

2019-09-18

Overview: News that Saudi Arabia was able to restore 40%-50% of the oil capacity lost by the weekend strike coupled with the Fed's efforts to offset the squeeze in the money markets are allowing the global capital markets to trade quietly ahead of the conclusion of the FOMC meeting. Equities are little changed with a lower bias that has been seen in the first few sessions this week.

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FX Daily, September 17: Markets Calm(er)

2019-09-17

by Marc Chandler

2019-09-17

Overview: Oil prices have stabilized after yesterday's surge. Both Brent and WTI are holding on to around $7-$8 a barrel gain. Equity markets are mixed. Some are attributing the losses in Asia Pacific outside of Japan (Nikkei rose its highest level since late April), Korea and Australia to the rise in oil prices. European shares opened lower are straddling unchanged levels.

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FX Daily, September 16: Oil Surge Pared, Markets Remain on Edge

2019-09-16

by Marc Chandler

2019-09-16

Overview: Oil prices surged in the initial reaction to the unprecedented drone attack on Saudi Arabia facilities. Saudi Arabia may be able to restore around half of the lost production in a few days. Saudi Arabia and other countries, including the US, prepared to tap strategic reserves, oil prices have seen the initial gains halved. Brent is trading near $65 after finishing last week near $60.

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FX Daily, September 13: Bonds and the Dollar Remain Heavy Ahead of the Weekend

2019-09-13

by Marc Chandler

2019-09-13

Overview: The markets are digesting ECB's actions and an easing in US-Chinese rhetoric. Next week features the FOMC meeting and three other major central banks (Japan, Switzerland, and Norway). The US equity rally that saw the S&P 500 edge closer to the record high set in late July spilled over to lift Asian markets. Chinese and Korean markets were closed for a mid-autumn holiday.

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FX Daily, September 12: Focus on the ECB, while the Dollar Slips below CNY7.09

2019-09-12

by Marc Chandler

2019-09-12

Overview: Some gestures in the US-China trade spat have given the market the reason to do what it had been doing, and that is taking on more risk. Equities are higher in Asia Pacific and opened in Europe higher before slipping. The MSCI Asia Pacific and the Dow Jones Stoxx 600 are advancing for the fourth consecutive week.

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FX Daily, September 11: Dollar is Firm as ECB is Awaited

2019-09-11

by Marc Chandler

2019-09-11

Overview: Global equities are extending their recent gains while bonds remain on the defensive. The dollar is firm. There is a degree of optimism that is prevailing. There are some more overtures in terms of US-Chinese trade. In Hong Kong, developers and banks led an equity rally on ideas that the political tensions may ease. South Korea reported better trade data for the first ten days of September.

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FX Daily, September 10: Turn Around Tuesday

2019-09-10

by Marc Chandler

2019-09-10

Overview: The momentum from the end of last week carried into yesterday's activity, but the momentum began fading. Today, equities were mixed in Asia Pacific and weaker in Europe. The Dow Jones Stoxx 600 reversed lower yesterday and is slipped further today. The S&P 500 may gap lower at the open.

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FX Daily, September 9: Market Sentiment Still Constructive

2019-09-09

by Marc Chandler

2019-09-09

Overview: The improvement of investor sentiment seen last week is carrying over into the start of the new weeks. Global equities are firm as are benchmark yields. Asia Pacific equities advanced, except in Hong Kong, where Chief Executive Lam's promise to formally withdraw the controversial extradition bill failed to deter protests.

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FX Daily, August 23: Market has Second Thoughts on Magnitude of Fed Cuts Ahead of Powell

2019-08-23

by Marc Chandler

2019-08-23

Powell speech at Jackson Hole stands before the weekend. Equities in Asia and Europe are finishing the week on a firm tone. Most markets in the Asia Pacific region closed higher today, and the MSCI Asia Pacific Index snapped a four-week slide. European bourses are edging higher, and the Dow Jones Stoxx 600 is poised to end its three-week air pocket.

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FX Daily, August 22: Tick Up in EMU PMI Does Little, Waiting for Powell

2019-08-22

by Marc Chandler

2019-08-22

Overview: Soft data in Asia and the continued decline in the yuan (six days and counting) prevented Asian equities from following the US lead from yesterday when the S&P 500 advanced by 0.8%. European shares are paring yesterday's 1.2% advance despite an unexpected gain in the EMU flash PMI. US shares are little changed in the European morning.

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FX Daily, August 21: European Stocks Snap Back, Market Hopeful Italian Election can be Delayed

2019-08-21

by Marc Chandler

2019-08-21

The end of the US equity three-day advance yesterday weighed on Asia Pacific shares today. Most benchmarks fell. Better than expected trade data helped Thailand buck the trend. A firmer tone emerged in the European morning, and the Dow Jones Stoxx 600 has recouped yesterday's losses and more. It was led higher by consumer discretionary, energy, and industrials.

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FX Daily, August 20: Marking Time Ahead of PMI and Powell

2019-08-20

by Marc Chandler

2019-08-20

Overview: Global equities and bonds are firmer in quiet turnover, and the dollar is narrowing mixed in narrow ranges. The big events of the week, the eurozone flash PMI and Powell's speech at Jackson Hole still lie ahead. The MSCI Asia Pacific Index rose for the third consecutive session, led by Korea and Australia's 1%+ gains.

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FX Daily, August 19: China’s Rate Reform Helps Markets Extend End of Last Week Recovery

2019-08-19

by Marc Chandler

2019-08-19

Overview: China announced some changes in its interest rate framework that is expected to lead to lower rates. This helped lift equity markets, which were already recovering at the end of last week from the earlier drubbing. Chinese and Hong Kong shares led the regional rally with 2-3% gains. The Nikkei gapped higher for the third time in six sessions, and the first two were followed by lower gaps.

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FX Daily, August 16: Markets Take Collective Breath Ahead of the Weekend

2019-08-16

by Marc Chandler

2019-08-16

Overview: The global capital markets are ending the tumultuous week calmly, but it is far from clear that is will hold long. Next week's flash PMIs have potential to disappoint, and there is risk of new escalation in the US-China trade conflict as the PRC threatens to take action to countermeasures to the new US tariffs.

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FX Daily, August 15: Animal Spirits Lick Wounds

2019-08-15

by Marc Chandler

2019-08-15

Overview: It took some time for investors to recognize that the scaling back of US tariff plans was not part of a de-escalation agreement. There was an explicit acknowledgment by US Commerce Secretary Ross that there was no quid pro quo. The US tariff split was more about the US than an overture to China.

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FX Daily, August 14: Markets Paring Exaggerated Response to US Blink

2019-08-14

by Marc Chandler

2019-08-14

The US cut its list of Chinese goods that will be hit with a 10% tariff at the start of next month by a little roe than half, delaying the others until the mid-December. This spurred a near-euphoric response by market participants throughout the capital markets. However, as the news was digested, it did not seem as much of a game-changer as it may have initially.

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