Tag Archive: #USD

FX Daily, September 24: Darkest Before Dawn

The two recent market developments, push lower in stocks, and higher in the dollar is continuing. Tuesday's gains in the S&P 500 and NASDAQ were unwound on Wednesday and this is helping drag global markets lower. The MSCI Asia Pacific Index fell for the fourth consecutive session today and many markets (India, Shenzhen, Taiwan, and Korea) fell more than 2% and most others were off more than 1%.

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FX Daily, September 23: Trying to Find Solid Ground

A more stable tone is evident in the capital markets after the S&P 500, and NASDAQ rose more than one percent yesterday.  Japan returned from a two-day holiday, and local shares slipped fractionally, while China, Hong Kong, South Korea, and Australian shares rallied.  India and Taiwan fell.

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FX Daily, September 21: Risk Appetites Join Tokyo on Vacation

Global equity markets are off to a poor start to the week, and the dollar appears to be enjoying a safe-haven bid. Tokyo markets are closed until Wednesday, while Asia-Pacific stocks tumbled, and the regional index is unwinding last week's gains. The Dow Jones Stoxx 600  is off around 2.7% near midday in Europe.

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FX Daily, September 18: When Every Thing is Said and Done, More is Said than Done

Asia Pacific equities have taken the march on the US.  Led by a 2% rally in Shanghai, most regional markets but Australia closed the week with gains.  A two-week fall in the MSCI Asia Pacific Index has been snapped.  European stocks are little changed, and the Dow Jones Stoxx 600 is holding on to its second week of gains.

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FX Daily, September 17: Powell Lets Steam Out of Equities and Spurs Dollar Short-Covering

Profit-taking after the FOMC meeting saw US equities and gold sell-off. The high degree of uncertainty without fresh stimulus did not win investors' confidence. The Fed signaled rates would likely not be hiked for the next three years, and without additional measures, that appears to be the essence of the switch to an average inflation target.

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FX Daily, September 16: Dollar Eases Ahead of the FOMC

Overview:  The dollar has been sold against nearly all the world's currencies ahead of what is expected to be a dovish Federal Reserve, even if no fresh action is taken. The Scandis and Antipodean currencies are leading the majors. 

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FX Daily, September 15: The Dollar Softens Ahead of the FOMC

The capital markets are relatively quiet so far today as the FOMC meeting gets underway. Equity markets in the Asia Pacific region, but Japan and Australia advanced, and the regional benchmark rose for the fourth consecutive session. European stocks are a little firmer. 

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FX Daily, September 14: UK Presses Ahead, China Strikes Out at German Pork Producers, and Moody’s Weighs on Turkey

A flurry of deals, including the still-evolving Oracle-TikTok tie-up, helped lift equity markets in the Asia Pacific region. South Korea's Kospi, and Indonesia, which had been battered last week, led the advance. The MSCI Asia Pacific Index rose for the third consecutive sessions. European bourses are little changed while US stocks are firmer.

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FX Daily, September 11: Still Reluctant to take Euro above $1.19 but Sterling Remains Unloved

Yesterday's roller-coaster price action has not had much impact on today's activity.  The slide in US equities after early gains failed to prevent Japanese, Chinese, and Hong Kong equities from advancing, though other markets in the region were not as resilient.

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FX Daily, September 10: ECB and Beyond

Overview:  A strong recovery in US stocks, a softer dollar, and higher gold and oil prices may signal the end of the brief though dramatic correction, but the market is in a bit of a holding pattern ahead of the ECB meeting.  Most of the major equity markets in the Asia Pacific region stabilized, except for Hong Kong and China.

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FX Daily, September 09: Investor Anxiety Continues to Run High Despite Some Stability in the Capital Markets

News that the AstraZeneca Phase 3 test had to be stopped to study the adverse reaction of one subject added to the uncertainty of investors amid one of the more significant reversals of risk appetites since March. Equities continued to slump in the Asia Pacific region, with many large markets off more than 1%, led by Australia's more than 2% decline.

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FX Daily, September 8: US Threats to Decouple from China and the Greenback Strengthens

The markets remain on edge. US-China tensions are escalating. Strained Brexit talks are set to resume today. Profit-taking in the tech space has continued. The ECB meeting is around the corner. The MSCI Asia Pacific Index snapped a three-day slide today with most markets moving higher, led by a 1% gain in Australia. 

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FX Daily, September 4: Markets Look for more Solid Footing, but Need to Get Passed US Jobs Data

The dramatic sell-off of US shares yesterday is the main focus, capturing the limelight from other forces, including today's US employment report.  It was the third-worst session for the S&P 500 since the March 23 bottom, and the other two did not see follow-through selling. 

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FX Daily, September 3: Corrective Forces Maintain Grip

The US dollar is continuing to recover after hitting new lows earlier in the week. It is lower against all the major currencies and most of the emerging markets. A report in the Financial Times suggesting that there is a concern about the euro's recent strength at the ECB has added a bit more fuel to the move, and the euro, which had pushed above $1.20 earlier in the week, briefly traded below $1.18. 

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FX Daily, September 2: Corrective Pressures Give the Greenback a Reprieve

After poking above $1.20 for the first time in more than two years, the euro reversed lower yesterday and is continuing to succumb to profit-taking pressures today.  Comments from ECB's Lane appeared to trigger a reversal yesterday throughout the currency markets.

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September Monthly

The US dollar's rally in the initial phases of the pandemic has been unwound, and sentiment appears to be the most negative since the Great Financial Crisis.  New lows for the year against the euro, Swiss franc, the British pound, Swedish krona, and the Australian dollar were recorded in recent weeks.

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FX Daily, September 1: Dollar Lurches Lower

The US dollar has been sold-off across the board. The euro approached $1.20, and sterling neared $1.3450. The greenback traded below CAD1.30 for the first time since January. Most emerging market currencies but the Turkish lira, are also advancing today.

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FX Daily, August 31: Month-End Gyrations and the Fed’s Ad Hocery

Markets are searching for direction at month-end. Asia Pacific shares outside of Japan lower. Berkshire Hathaway confirmed taking a $6 bln stake in Japanese trading companies over the past year, and the pullback in the yen helped lift shares.  The MSCI Asia Pacific Index rose 2% last week. 

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FX Daily, August 28: Powell and Abe Drive Markets

After a confused and volatile reaction to the Federal Reserve's formal adoption of an average inflation target, it took Asian and European traders to embrace the signal and take the dollar lower. It is falling against nearly all the currencies and has slumped to new lows for the year against sterling and the Australian dollar.

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FX Daily, August 27: After much Build-Up, Could Powell be Anti-Climactic?

The strong rally in US equities yesterday, with the fifth consecutive gain in the S&P 500 and a big outside up day in gold, failed to spur follow-through buying today. Asia Pacific equities were mixed. China, Australia, and India rose while most of the rest of the regional markets fell.

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