Tag Archive: #USD

FX Daily, May 17: Drama In Washington Adds To Dollar Woes

2017-05-17

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2017-05-17

The US dollar has drifted lower against most of the major currencies as the culmination of news from Washington, escalating already rising concerns about the economic agenda that was to bolster growth with dramatic tax reform, infrastructure initiative, and re-orienting trade.

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FX Daily, May 16: Greenback and Dollar Bloc Lose Ground to Europe and Yen

2017-05-16

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2017-05-16

Dollar selling pressure emerged at the end of last week, partly in response to disappointing US economic data. This selling pressure carried over into yesterday's activity. It appeared to have been trying to stabilize yesterday in the North American session.

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FX Daily, May 15: Softer Dollar and Yen to Start the Week

2017-05-15

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2017-05-15

The US dollar has opened the week softer against the major currencies, except for the Japanese yen. The disappointing US inflation and retail sales data before the weekend have not been shrugged off, even though the US 10-year yield is a little higher and expectations for a Fed hike next month continue to be elevated.

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Yen is the Weakest Currency in the World over the Past Month

2017-05-15

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2017-05-15

Yen was the strongest currency in the world from mid-March to mid-April. Yen has been the weakest currency over the past month. US rates have risen relative to Japan. Japan has shifted away from QE and toward targeting interest rate.

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FX Weekly Preview: Two Known Unknowns

2017-05-15

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2017-05-15

The Trump Administration seems to be trying to cast the US as a revisionist power. Or perhaps it is like Roman emperors long ago trying to draw greater tribute from others. The outlook of US interest rates is critical to the outlook of the dollar.

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Great Graphic: Trade-Weighted Dollar

2017-05-13

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2017-05-13

US TWI has appreciated a little since the end of Q1. The euro and sterling's strength are exceptions to the rule. The dollar has edged up against the currencies of the US top four trading partners here in Q2.

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FX Daily, May 12: Markets Becalmed Ahead of US data and Weekend

2017-05-12

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2017-05-12

The foreign exchange market is becalmed, and the major currencies are little changed. The US dollar is mixed, but mostly a little lower. Sterling is the weakest of the majors, off 0.3%, near $1.2850, having been rebuffed by offers in front of $1.30 several times. It has not recovered from the quarterly inflation report and Carney's press conference.

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FX Daily, May 10: Markets Adjust to North Korean Threat, Fifth Fall in US Oil Inventories and Trump Drama

2017-05-10

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2017-05-10

Investors absorbed a few developments that might have been disruptive for the markets with little fanfare. North Korea's ambassador to the UK warned that his country would go ahead with its sixth nuclear test, as South Korea elected a new president who wants to reduce tensions on the peninsula.

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FX Daily, May 09: Dollar Firms amid Position Adjustments

2017-05-09

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2017-05-09

The election of Macron as French President has set off a bout of position adjustment that has seen the euro push back into the $1.0850-$1.0950 range that had confined activity for the two weeks between the first and second rounds of the French presidential election.

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FX Daily, May 08: Euro Bought on Rumor, Sold on Fact

2017-05-08

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2017-05-08

The euro initially opened higher in Asia following confirmation that Macron was elected the next president of France, but quickly fell below $1.0960 before bouncing back toward $1.10 only to be sold again in early Europe below the pre-weekend low near $1.0950. A break now of $1.0930 could signal a return to the lower end of the range seen since the first round of the French election near $1.0850-$1.0870.

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FX Weekly Preview: Dollar Drivers

2017-05-08

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2017-05-08

US retail sales and CPI should help bolster confidence that the Fed was right about the transitory nature of Q1 slowdown. Bank of England meets; Forbes will likely continue with her dissent, but likely failed to convince her other colleagues of the merit of an immediate rate hike. French politics are center stage, but German state election and South Korea's national election are also important.

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FX Daily, May 05: Mixed Dollar Ahead of US Jobs Data and Fed Talk

2017-05-05

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2017-05-05

The US dollar is narrowing mixed as the employment data, and Fed speeches are awaited. Six Fed officials speak today, including Yellen and Fischer. Regional Presidents Williams, Rosengren Evans and Bullard also speak. It will be the first flurry of speeches since the FOMC meeting.

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FX Daily, May 04: Greenback Struggles to Sustain Upticks, Though Odds of June Hike Rise

2017-05-04

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2017-05-04

The US dollar is struggling to maintain even modest upticks against the euro and sterling despite the recognition of the increased likelihood of a June Fed hike. Bloomberg sees current pricing in the Fed funds as making a hike in June a near certainty (97.5%), while the CME and our own calculation estimates the market is discounting around 70%-75% chance of a hike.

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FX Daily, May 03: Marking Time

2017-05-03

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2017-05-03

The global capital markets are relatively calm. Japan, South Korea, and Hong Kong markets are closed for national holidays. Investors await the FOMC statement, though expectations could not be much lower. The disappointing US auto sales, and poor Apple sales figures reported yesterday have had little impact on the broader investment climate.

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FX Daily, May 02: Dollar and Yen Heavy, Equities Trade Higher and Bonds Lower

2017-05-02

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2017-05-02

The US dollar is sporting a softer profile against most of the major and emerging market currencies. The Japanese yen is the main exception. The greenback is rising against the yen for the fourth session and the sixth of the past seven. The dollar's gains against the yen coincide with the 10-12 bp recovery in the US 10-year yields over the past ten sessions.

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FX Daily, May 01: May Day Calm

2017-05-01

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2017-05-01

Many financial centers are closed for May. Japanese markets were open today, but will be closed for three sessions beginning Wednesday for the Golden Week celebrations. The US dollar is narrowly mixed.

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FX Weekly Preview: Looking Through the FOMC Meeting as it Looks Past Poor Q1 GDP

2017-05-01

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2017-05-01

US jobs and auto sales data may be more important than the FOMC meeting. Norway and Australia's central bank meets. Neither is expected to change policy. All three large countries that reported Q1 GDP figures last week - US, UK, France - disappointed expectations.

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FX Daily, April 28: Markets Limp into Month End

2017-04-28

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2017-04-28

Equity markets are stalling into the end of the month. MSCI Asia-Pacific Index is snapping a six-day advance, and the week's gain was sufficient to extend the advancing streak for the fourth consecutive month. The Dow Jones Stoxx 600 is trading off for the second consecutive session, after rallying for six consecutive sessions.

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FX Daily, April 27: Several Developments ahead of the ECB meeting

2017-04-27

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2017-04-27

The ECB meeting and the press conference that follows it is the main event. However, it has had to compete with the Bank of Japan and Riksbank meetings, as well as the further reflection of the tax reform proposals by the Trump Administration yesterday.

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