FX

Executive Board member of the European Central Bank (ECB) Isabel Schnabel hit the wires late on Friday noting that a single cut from the ECB doesn’t necessarily guarantee follow-up cuts, and that inflation in the EU, particularly services inflation, is proving a tricky beast to slay. Key highlights The first cut doesn’t automatically lead to

The US Dollar (USD) is expected to trade in a range between 152.80 and 154.80. Weakness in USD appears to be stabilizing; a breach of 155.00 would indicate that USD is not declining further, UOB Group FX analysts Quek Ser Leang and Peter Chia note. A breach of 155.00 to indicate USD has stabilized 24-HOUR

GBP/USD slid below 1.2860 on Thursday as GBP softens. Markets see roughly-even odds of a BoE rate cut. Lopsided US data bolstered the Greenback slightly, adding to Cable losses. GBP/USD floundered on Thursday, chalking in a third straight trading day in the red and declining below 1.2860 as market expectations of a Bank of England

The United States Gross Domestic Product is seen expanding at an annualized rate of 2% in Q2. The current resilience of the US economy bolsters the case for a soft landing. Markets expect the US Federal Reserve to start its easing cycle in September. The US Bureau of Economic Analysis (BEA) will publish the first

The Dow Jones shed over 500 points in the midweek market session. Investors balked after US PMIs came in firmly mixed and key earnings missed. US Manufacturing set to slow further, but Services PMIs expanded. The Dow Jones Industrial Average (DJIA) fell over 500 points on Wednesday after US Purchasing Managers Index (PMI) figures came

Gold is trading higher as stagflation fears bite, suggesting inflation may remain elevated amid slower growth.  The nomination of Kamala Harris as the Democrat presidential candidate further aids Gold as her policies are seen as less inflationary.  Gold is potentially unfolding a down-leg within a widening sideways trading range.  Gold (XAU/USD) recovers for a second

The Dow Jones failed to make meaningful headway on Tuesday. A trio of US data prints loom overhead throughout the week’s back half. With hopes of a September rate cut pinned, traders will be hoping for easing data. The Dow Jones Industrial Average (DJIA) went nowhere fast on Tuesday, sticking close to the day’s opening

The Pound Sterling falls against the US Dollar as BoE rate-cut bets surge. Weak UK Retail Sales lift bets supporting BoE rate cuts in August. Investors await the preliminary US/UK S&P Global PMI data for July. The Pound Sterling (GBP) continues to hold the key support level of 1.2900 against the US Dollar (USD) in

The FX universe traded mostly within a range bound theme, as investor assessed the political front in the US, while cautiousness kicked in ahead of important data releases due later in the week. Here is what you need to know on Tuesday, July 23: The USD Index (DXY) saw its recent uptick somewhat curtailed, faltering

There is scope for the Australian Dollar (AUD) to drop below 0.6660; it is too early to determine if 0.6640 is within reach, UOB Group FX strategists Quek Ser Leang and Peter Chia note. Is set to test 0.6640 24-HOUR VIEW: “We indicated last Friday that AUD could dip below 0.6680. We also indicated that

Friday’s trading session saw the NZD/JPY pair resuming its losses, exacerbating the bearish momentum. Cross ends the week with a near 2% loss. Sellers are pointing towards the 100-day SMA. In Friday’s trading session, the NZD/JPY pair extended its losses and slumped to 94.65, marking a 0.50% decline. Even though a slight rebound occurred on

AUD/USD registered a significant drop on Friday, slipping below 0.6700. Employment data continues to shape possible RBA and Federal Reserve decisions. The Aussie’s downside is limited by the hawkish RBA stance which hasn’t shown signs of embracing cuts. In Friday’s session, The Australian Dollar (AUD) saw considerable losses against the USD, falling by 0.30% to

NZD/USD trudges below the 0.6070 level, marking its worst week since January. The pair closed at 0.6010, indicating a weekly loss of approximately 1.80%. NZD/USD remains under the key SMA of 20, 100, and 200 days, pointing to a sustained bearish bias. In Friday’s session, the NZD/USD sustained its downward momentum, dropping by 0.65% to

RMB markets were not excited at the conclusion of China’s Third Plenum, and USD/CNH is likely to consolidate around 7.25-7.30, DBS FX & Credit Strategist Chang Wei Liang notes. USD/CNH to consolidate within 7.25-7.30 “RMB markets were not excited at the conclusion of China’s Third Plenum, and USD/CNH is likely to consolidate around 7.25-7.30. The communique

EUR/USD dips slightly under 1.09. ECB kept rates on hold as expected and left a September rate decision ‘wide open’ and data dependent, DBS FX & Credit Strategist Chang Wei Liang notes. ECB to lean towards caution “EUR/USD dipped slightly under 1.09, with the ECB keeping rates on hold as expected and leaving a September

The Euro (EUR) is expected to trade sideways between 1.0885 and 1.0935. Should EUR break below 1.0885, it would mean that the EUR strength from two weeks ago has come to an end, UOB Group FX analysts Quek Ser Leang and Lee Sue Ann note. Below 1.0885 the EUR to become weak 24-HOUR VIEW: “Our

Thursday’s session witnessed the NZD/JPY pair rebounding, counterbalancing part of the bearish momentum. Despite the small rise, the cross still registers a weekly loss of 1.50%. Though corrective actions take place, technical indicators still depict a negative outlook. In Thursday’s session, the NZD/JPY pair managed to record a slight upsurge and landed at 95.15. Despite

Gold price appreciates due to the high likelihood of a rate-cut decision by the Fed in September. Fed Governor Christopher Waller stated that the central bank is ‘getting closer’ to an interest rate cut. Gold may limit its upside as US Treasury yields rebound. Gold price (XAU/USD) edges higher to near $2,470 per troy ounce