New Zealand Dollar rises broadly after RBNZ surprised the market with a 50bps interest rate hike. In contrast, Australian Dollar is suffering from cross-selling, extending the post-RBA selloff. Canadian Dollar is taking a breather as oil prices plateau following an earlier surge this week, with WTI still struggling around 80 handle. This divergence in commodity
News
The first quarter is over but it will take awhile to tally up the economic data. However the tracker from the Atlanta Fed does a decent job and certainly shows which way the wind is blowing. It was above 3% not long ago but is now down to 1.5% from 1.7% earlier this week. “After
Disappointing US private job data doesn’t trigger significant fresh selling in Dollar, but it’s still maintaining its position as the week’s weakest performer so far. Countervailing forces from declining US and European benchmark treasury yields are keeping the greenback’s losses against Euro and Sterling in check. However, Swiss Franc and Yen seem to be making
OPEC+ commands 80% of the world’s proven oil reserves and 40% of the world’s supply and this announcement comes at a time when markets were bottoming out and pricing in a shade of positive developments. Global institutions are now forecasting Brent crude prices at $100 per barrel by the end of 2024, if this is
Gold futures on MCX were trading flat in Wednesday’s early trade at Rs 60,964 per 10 grams after hitting all-time high during the holiday-shortened trading session on Tuesday,riding on the weakness in the dollar index. The greenback sank to its two-month low on Tuesday on poor economic data emerging in the US. The June gold
The Reserve Bank of New Zealand raised its cash rate target by 50bp today, to 5.25%. A +25bp was the consensus expected, and very widely at that. The RBNZ blew that out of the water. Governor Orr is hell-bent on driving inflation down in the country. There is more detail in the bullets above. NZD/USD
Australian Dollar finds itself on a broad-based downward trajectory following RBA’s decision to maintain interest rates unchanged. Despite maintaining a tightening bias, RBA’s announcement fell short of some speculations for a more hawkish outcome. In contrast, fellow commodity currencies, New Zealand Dollar and Canadian Dollar, continue to display strength. Kiwi is bracing for the upcoming
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not
HOUSTON: Oil prices were little changed in choppy trading on Tuesday as investors debated OPEC+ plans to cut more production and weak economic data from the United States and China that could hurt oil demand. Brent crude futures were down 30 cents, or 0.3%, to $84.63 a barrel by 11:05 a.m. ET (1505 GMT). U.S.
Sterling surges to a 10-month high against Dollar today, as comments from a lone dove on the Bank of England’s Monetary Policy Committee seem to have little impact. Pound’s strength against Euro and Swiss Franc suggests a one-sided movement. Meanwhile, Australian Dollar remains the weakest performer following RBA’s decision to hold interest rates steady. With
In today’s Asian trading session, Dollar witnessed a remarkable bounce as concerns over inflation reemerged, driven by a sudden upswing in oil prices. WTI crude oil fleetingly broke the 80 level after Saudi Arabia and other OPEC+ oil producers made an unforeseen announcement on Sunday, revealing additional oil output cuts of around 1.16 million barrels
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not
Surprise new cuts to the OPEC+ group’s output targets could push oil prices towards $100 a barrel, setting the scene for another clash with the West grappling with higher interest rates, analysts and traders said on Monday. The decision signals unity within OPEC+ despite Washington’s pressure on its Gulf allies to weaken their ties with
Australian Dollar surges as markets approach the US session, with investors eyeing RBA rate decision tomorrow. Although it seems reasonable to expect a pause in interest rate hikes, some financial institutions, such as ANZ and NAB, predict a 25bps increase. The Aussie’s rally could be driven by speculation of a hawkish surprise, but the situation
Headlines: Markets: AUD leads, JPY lags on the day European equities mostly higher; S&P 500 futures down 0.1% US 10-year yields up 1 bps to 3.50% Gold up 0.4% to $1,975.93 WTI crude up 6.5% to $80.66 Bitcoin down 0.5% to $28,243 The session started off with the dollar in a decent spot, holding gains
Gold prices fell on Monday as the strength of the greenback weighed on the prospects of the yellow metal. The Dollar Index (DXY) breached the 103 mark and was up 0.5% amid the statements made by top US Federal Reserve’s officials expressing concern over the credit conditions and economic headwinds. As the movement in DXY
CAD is higher against the USD with the oil price. Apart from that the US dollar is up. EUR/USD is on approach to 1.0800 while AUD, NZD, GBP are all lower also. USD/JPY is higher on the day so far after a move to circa 133.50 earlier, the yen weakened on the oil news :
Gold has been the best performing asset class in FY23 and a robust outlook on bullion remains intact for FY24, as well. As fears of global slowdown and high inflation loom, the yellow metal is expected to give returns of 10-15% in the base case scenario and 15-20% in the bull case scenario. “On the