AUD/USD – Australian Dollar US Dollar
AUD/USD – Australian Dollar US Dollar The Australian dollar is in negative territory, after posting huge gains last week. In the European session, AUD/USD was trading at 0.6690, down 0.22%. US Dollar took a nasty spill last week, and the Australian dollar made the most of it, gaining 3.6%. The US dollar was slammed after […]
United Kingdom Inflation Rate
United Kingdom Inflation Rate The UK GDP revealed that the economy shrank by only 0.2% in 3rd Quarter, which means that a contraction of more than 0.55% may be needed in the last three months of the year for the BoE’s forecast of a 0.75% contraction during H2 2022 to materialize. Yet, investors dragged their […]
How to Profit From US Inflation: Investment Options
How to Profit From US Inflation: Investment Options US inflation is expected to soften slightly – as markets have positioned themselves for it to do so. But that also presents opportunities for traders. The inflation prints as a proxy for Fed policy. Another hot report decreases the odds of a slower pace of Fed tightening, […]
Australian Business and Consumer Sentiment
Australian Business and Consumer Sentiment Business reported another strong month of sales and profitability, although a dip in new orders and rising costs weighed on sentiment. Whilst consumer-driven demand remains high, National Australian Bank’s chief economist noted that forms appear wary that the current pace of consumption will continue. PMI survey’s for Australia continue to […]
Federal Reserve issues FOMC statement
Federal Reserve issues FOMC statement Last week passed without any major movement. The main event was FOMC meeting of the US Federal Reserve at which it was unanimously decided to raise the key rate by 75 basis points to 4.00%. The highest level since 2008. Such a move was quite expected. Therefore, the subsequent press […]
The RBA with a 25bp hike Expected
The RBA with a 25bp hike Expected The RBA is set to hold their November meeting tomorrow and whilst the consensus is for a 25bp hike, it doesn’t mean they won’t do a 50bp one instead. Economists favor a 25bp hike, although money markets estimate a 51% chance of a 50bp hike tomorrow. It may […]
EUR USD | Euro US Dollar News
EUR USD | Euro US Dollar News EUR/USD continues to power forward and has breached the parity line for the first time since 20th September. The euro is red hot, having gained 2.1% this week, as the USD has hit a dump in the road and is lower against all major currencies. In the North […]
Upcoming Market Updates: JPY, EUR, GBP, USD
Upcoming Market Updates: JPY, EUR, GBP, USD JPY: BOJ Core CPI y/y, it measures Change in the price of goods and services purchased by consumers, excluding food and energy. EUR: German ifo Business Climate, it measures Level of a composite index based on surveyed manufacturers, builders, wholesalers, services, and retailers. GBP: MPC Member Pill Speaks, […]
Upcoming Market Updates: AUD, JPY, EUR, GBP, USD
Upcoming Market Updates: AUD, JPY, EUR, GBP, USD AUD: Flash Manufacturing PMI, it measures Level of a diffusion index based on surveyed purchasing managers in the manufacturing industry. AUD: Flash Services PMI, it measures Level of a diffusion index based on surveyed purchasing managers in the services industry. AUD: RBA Assist Gov Kent Speaks, He’s […]
Canadian Inflation Higher than Expected
Canadian Inflation Higher than Expected Canadian CPI for September was 6.9% YoY vs and expectation of 6.8% YoY and an August reading of 7%. The headline number was higher than expectations, it was the third straight month the inflation reading has declined since reaching a 39 year high in June. However, the core CPI increased […]
NZ CPI Review: OCR Now Expected to Peak at 5%
NZ CPI Review: OCR Now Expected to Peak at 5% It is expected that the official Cash Rate to reach a peak of 5% for this cycle and also a 75 basis point hike to 4.25% at the upcoming November Monetary Policy Statement, a step up from the 50 basis point increases in the last […]
FOMC Minutes show Fed is serious about inflation
FOMC Minutes show Fed is serious about inflation The September 21st FOMC meeting chose to hike the Fed Funds rate by 75bps for the third consecutive meeting to bring the key rate to 3%-3.25%. The Minutes from that meeting noted that the cost of doing too little outweighed the cost of doing too much. They […]
A Turning Point for Policy
A Turning Point for Policy The RBA surprised markets this week by slowing the pace of rates increase, opting for a 25bp move against expectations of a 50bp increase. Meanwhile, the RBNZ continued to show a heavy hand against domestic inflation pressures, having delivered a fifth consecutive 50bp rate hike. In explaining their decision to […]
U.S. Dollar Index Overview
U.S. Dollar Index Overview The USD was the most strongest currency yesterday, supported by rising US yields and softer import/export data. And whilst the prices paid component of the ISM services PMI softened to a 20-month of 68.8, it remains historically high relative to its long-term average of 59.8- which suggests the aggressive Fed tightening […]
Oil Prices Mixed as Markets Digest OPEC+ Supply Cut
Oil Prices Mixed as Markets Digest OPEC+ Supply Cut OPEC meeting tomorrow to determine what should be done about the amount of crude oil that is supplies to the market. Two weeks ago, the talk looked like to be whether the countries should do anything at all. However, as the price of oil continues to […]
Recession Fears: The Ukraine war is affecting markets
Recession Fears: The Ukraine war is affecting markets The Ukraine ware is affecting markets around the world and generating extreme volatility. Worries over inflation in Europe have been brewing even before Russia war with Ukraine in February. While some considered it was temporary, others warned that it was a sign of a deeper crisis. Now, […]
EUR/USD Climbs on German CPI and BoE Lead
EUR/USD Climbs on German CPI and BoE Lead The Bank of England’s intervention has clamed the bond markets somewhat with production coming down not just in UK, but eurozone and US too. As a result, we are seeing bearish speculators eased off the gas a little, and this is providing some relief for beaten-down currencies […]
NZ business sentiment is less dire, RBNZ hint at rate cycle high
NZ business sentiment is less dire, RBNZ hint at rate cycle high Business outlook is now -37.6, up 25.9 points higher than the June low. Business outlook rose for a third month and at its fastest m/m pace since December 2020. Activity outlook rose from-4 to -1.8. Import intentions expanded for a second month. A […]