FX

Economists at Commerzbank explain why JGBs are yielding around 0.50% – and what that tells us about the BoJ. Born yesterday? “Because the impression arises that the BoJ’s YCC is changing along the lines of a ‘leaning against the wind’, selling pressure for JGBs does increase. The BoJ has to meet this pressure with increasing

USD/CHF retraced earlier gains after printing a daily high of 0.9316. Upbeat US economic data is bad for the greenback as the US Dollar weakens. USD/CHF Price Analysis: A break / daily close below 0.9300 would expose the pair to further selling pressure. The USD/CHF is trading below its opening price, though it failed to

NZD/USD finished the week with solid gains of 0.6700%, spurred by softer US CPI data. Consumer inflation expectations in the US edged lower and weighed on the US Dollar. NZD/USD Technical Analysis: Failure at 0.6400, cheered by sellers, eyeing a fall to 0.6300. The NZD/USD retraced after testing the current week’s high of 0.6417, dropped

USD/CAD finished Friday’s session with gains, though it faltered to clear 1.3400. USD/CAD Price Analysis: Exposed to selling pressure below 1.3400. The USD/CAD prolonged its weekly losses and tumbled for the fourth consecutive week, losing 0.36%, but on the day, the USD/CAD is up 0.22%. After the University of Michigan (UoM) Consumer Sentiment release showed

According to analysts at MUFG Bank, the Japanese Yen is set to gain further ground on the back of monetary policy expectations from the Bank of Japan. They consider possible a slide under 120.00 for later in 2023. Key quotes: “USD/JPY has fallen further still today and is now 15.5% down from the peak on

Analysts at MUFG Bank have a bullish outlook for the EUR/CHF cross, considering it could benefit from a further scaling back of fears over recession in the Eurozone. Key quotes: “After trading within a narrow range between 0.9800 and 0.9950 throughout most of Q4, the pair has broken higher in recent days as it first

The index attempts a tepid rebound just above 102.00. Investors keep pricing in a 25 bps rate hike by the Fed in February. Advanced Michigan Consumer Sentiment only due later in the docket. The greenback, when tracked by the USD Index (DXY), advances marginally on Friday following a marked drop to the 102.00 neighbourhood in

AUD/USD breakout traders target 0.70 the figure and above. Failures to hold in 0.7000 could lead to the capitulation of the bulls.  As per the prior analysis, AUD/USD Price Analysis: Distribution could be playing out into US CPI critical event, a thesis for the downside was illustrated leading up to the US Consumer Price Index event

The Bank of Korea (BoK) will hold its Monetary Policy Committee (MPC) meeting on Friday, January 13 at 01:00 GMT and as we get closer to the release time, here are the expectations as forecast by the economists and researchers of five major banks.  BoK is expected to hike rates by 25 basis points to

XAG/USD is under pressure after breaking short-term support levels during the American session. The metal is under pressure, approaching the $23.00 level. US Dollar mixed as equity prices rises modestly. Silver is under pressure during Wednesday’s American session, trading at the lowest level since Friday, near $23.20. The white metal is falling by 1.25%, getting

Extra gains could encourage GBP/USD to revisit the 1.2330 region in the next few weeks, comment Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group. Key Quotes 24-hour view: “We held the view yesterday that ‘there is room for one more push higher in GBP before the risk of a pullback

Reuters reported that the European Central Bank’s governing council member Mario Centeno said on Tuesday the current process of interest rate increases is approaching its end. ”The central banker, who was answering Portuguese legislators during a committee hearing in Lisbon, added even though inflation may have some resistance in January and February it will resume

Here is what you need to know on Tuesday, January 10: Pressured by the improving market mood and dovish Fed bets, the US Dollar continued to weaken against its major rivals at the beginning of the week. The US Dollar Index touched its lowest level in seven months at 102.94 but managed to stage a

AUD/USD climbs due to traders’ speculations that the US Federal Reserve would shift dovish. US 10-year Treasury bond yield continues to edge lower, eyeing the 3.50% threshold and weighing on the USD. AUD/USD Price Analysis: A daily close above 0.6900 can exacerbate a rally to 0.7000. The AUD/USD soars sharply above the 0.6900 figure on

Here is what you need to know on Monday, January 9: The US Dollar struggles to find demand at the beginning of the week with the US Dollar Index falling toward multi-month lows near 103.50 after having lost more than 1% on a daily basis on Friday. The market mood remains relatively upbeat after the

The GBP/USD soared close to 1.50% on disappointing US ISM Services data. Hawkish Fed speaking failed to weigh on the GBP/USD. Next week’s economic calendar would feature UK GDP, and US CPI reports. The Pound Sterling (GBP) extended its gains against the US Dollar (USD), surging more than 160 pips on Friday, following a disappointing

WTI is set to end the week with substantial losses of 8.40% The jobs report showed a slowdown in wages, while the labor market remains resilient. WTI failed to capitalize on US Dollar weakness after the US Services PMI shrinkage Western Texas Intermediate (WTI), the US crude oil benchmark, hovers at around $73.70s, almost flat,

Albeit the USD/CHF fell 1% on Friday, the pair finished the week with gains of 0.45%. USD/CHF remains sideways, though slightly tilted downwards, and it could test the 0.9200 mark. If the USD/CHF reclaims 0.9300, that could pave the way to 0.9400. The USD/CHF plunged after hitting fresh weekly highs around 0.9408, plummeting beneath the