FX

Share: EUR/USD keeps the upside bias near the 1.0800 region. ECB Lagarde said underlying inflation dynamics remain strong. The Fed is expected to hike rates by 25 bps at its meeting later. The buying interest around the European currency remains well and sound and pushes EUR/USD to the boundaries of the 1.0800 neighbourhood, or 5-week

Share: USD/JPY gains ground, as the rising US Treasury yields boost the currency pair. FOMC meeting takes center stage with markets converging on a 25 bps rate hike consensus. Banking development and diplomatic developments supporting USD/JPY resurgence. USD/JPY finds some respite on the back of rising US Treasury (UST) bond yields. U.S. Treasury Secretary Janet

Share: Germany’s ZEW Economic Sentiment deteriorated in March. EUR/USD bulls remain unperturbed by the downbeat ZEW surveys, near 1.0750. The German ZEW headline number showed that the Economic Sentiment Index worsened in March, arriving at 13.0 from 28.1 in January, missing the market expectation of 16.4. Meanwhile, the Current Situation Index came in at -46.5

Share: USD/CAD is likely to deliver a fresh downside below 1.3650 amid a weaker USD Index and oil price recovery. Led by the declining US inflation, Fed Powell might look for achieving the terminal rate with the least pace. Further softening of Canadian inflation would delight the Bank of Canada. The USD/CAD pair is demonstrating a

Share: Ever since the SVB and Credit Suisse banking woes have rippled through global markets interest rate expectations have rapidly changed. However, one potential upside from these shocks is that interest rate expectations are now sharply lower for the Fed. So, if the Fed signals a pause or a pivot on Wednesday will that surprise

Share: AUD/USD cheers risk-on mood, cautiously optimistic comments from RBA’s Kent. RBA’s Kent conveys soundness of Aussie banks, defends rate hike moves. Hopes that UBS buyout of Credit Suisse could tame bond market rout favor the sentiment. RBA Meeting Minutes, preliminary PMIs for March and FOMC Meeting are the week’s key events to watch for

Share: Next Thursday, the Bank of England (BoE) will announce its decision on monetary policy. A 25 basis point rate hike to 4.25% is expected. Analysts at Rabobank also see a quarter-point rate increase and warn that such scenario is not fully priced in the interest market, “which indicate that the chance of a hold

Share: On Wednesday, the Federal Reserve will announce its decision on monetary policy. Analysts at Danske Bank see the Fed raising rates by 25 basis points despite recent turmoil amid banking sector jitters.  Fed cannot afford to stop tightening monetary policy “This week, the ECB emphasized that there is no trade-off between inflation and financial

Share: GBP/USD declined toward 1.2100 during the European trading hours but regained its traction amid renewed US Dollar (USD) weakness. The pair seems to have stabilized at around 1.2150 in the American session and remains on track to end the week in positive territory. Read More… The GBP/USD pair builds on the previous day’s strong move

Share: Financial turmoil weighs on investors’ mood and drags black gold lower. WTI bounced modestly after posting a fresh 2023 low of $65.22 a barrel. The barrel of West Texas Intermediate fell to $65.22 on Friday, its lowest since November 2022. It currently trades at around $67.30 a barrel, breaking lower amid financial turmoil weighing

Share: There is still some chances that USD/JPY could weaken further in the near term, comment UOB Group’s Markets Strategist Quek Ser Leang and Senior FX Strategist Peter Chia. Key Quotes 24-hour view: “We highlighted yesterday that the outlook is mixed and we expected USD to trade in a choppy manner between 132.30 and 134.30.

Share: Here is what you need to know on Friday, March 17: The stock market stole volatility on Thursday. Wall Street indexes opened in the red to finish in the green with a gain of more than 1%. The Nasdaq led with a rally of 2.48%. Systemic risk fears eased, helping the market’s mood. Contributing

Share: The selling pressure around USD/CNH is expected to mitigate on a breakout of 6.9300, said UOB Group Quek Ser Leang and Senior FX Strategist Peter Chia. Key Quotes 24-hour view: “We highlighted yesterday that USD ‘appears to have moved into a consolidation phase and it is likely to trade between 6.8650 and 6.9050’. USD

Share: Here is what you need to know on Thursday, March 16: Wall Street indexes finished far from the lows on a wild session that included moments of panic. The Nasdaq scratched a 0.05% gain while the Dow Jones lost 0.80%. Expectations of central bank tightening continue to ease, boosting government bonds. The banking crisis

Share: The selling pressure in USD/JPY is expected to alleviate once the pair surpasses the 135.10 level, comment UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang. Key Quotes 24-hour view: “Yesterday, we expected USD to trade in a range between 132.70 and 134.50. USD subsequently dipped to 133.02 before rebounding to

Share: Here is what you need to know on Wednesday, March 15: The US Dollar dropped again on Tuesday, but it held above Monday’s lows. The Greenback remained weak despite US Consumer Price Index (CPI) numbers and a rebound in US Treasury yields. US stocks rose significantly, with the Dow Jones up by more than

Share: NZD/USD needs to clear the 0.62754 level to allow for a potential move to 0.6315 in the near term, suggest UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang. Key Quotes 24-hour view: “We did not expect the strong rise in NZD to 0.6263 yesterday (we were expecting NZD to trade

Share: GBP/USD has run up towards an area of potential resistance area on the daily chart as the following will illustrate. This gives rise to the prospects of a significant correction over the coming week. Read More… The GBP/USD broke above 1.2150, reaching the highest level since mid-February, boosted by a sharp decline of the US Dollar Index (DXY). A sharp drop