The USDJPY pair is extending gains on Tuesday with the price has refreshed a one-month high of 113.44 before a partial retracement. The risk-on sentiment is prevailing in the global financial markets, which caps the safe haven yen demand. Investors are rather cautious ahead of midterm elections in the US. The base case scenario implies that Republicans...
The volatile pound rose decently last week, though the gains were still modest as compared to the decline a week earlier. GBPUSD regained the 1.30 handle and keeps above this level on Monday but struggles to proceed with the recent rally amid the conflicting signals. The optimism was capped by another disappointing UK economic data. October’s service PMI fell...
Dollar dropped dramatically yesterday and remains under the selling pressure on Friday. The risk-on environment coupled with pound strength and weaker US economic data fuelled a more aggressive sell-off in the buck across the board. Today, the greenback may get a chance for a recovery. The US NFP employment report could serve as a catalyst for bulls should...
The greenback has eased across the board yesterday and remains under a heavy pressure on Thursday. Against this backdrop, gold prices managed to bounce from three-week lows and trim weekly losses. As such, the precious metal is back above the $1,215 handle and is targeting the $1,230 level again. Earlier this week, the bullion retreated heavily amid some...
USDJPY refreshed three-week high of 113.33 on Wednesday and stays above 113.00 due to a combination of a generally stronger dollar, dovish Bank of Japan, and risk-on sentiment. As expected, the Japanese central bank left its monetary policy unchanged and reiterated that rated will remain ultralow for an extended period. The regulator has also said that risks...
Crude oil prices are making shallow recovery attempts on Tuesday after the yesterday’s decline. Despite the general risk sentiment has improved somehow, commodity traders refrain from buying due to some conflicting signals. Investors seem to believe that the threat of supply shortfall has abated. Some economic signals point at the prospects of slowing global...
EURUSD is trading marginally higher today after finding a bottom at 1.1335 on Friday. The pair is clinging to the 1.14 handle but still lacks the impetus to stage a more robust and stable rebound. Over the weekend, S&P revised the Italy’s outlook to ‘negative’ but kept the country’s credit rating unchanged. Meanwhile, Italy’s officials hinted at the...
The pound remains under a heave selling pressure with the short-term outlook has deteriorated after attempts to break the 1.28 handle yesterday. GBPUSD has settled marginally above this level on Friday but more challenges will likely come in the days ahead. First, Brexit issues continue to discourage the GBP bulls. The fact that Prime Minister Theresa May has...
The Aussie dollar makes some recovery attempts on Thursday after yesterday’s rejection from the 0.71 figure. The local corrective rebound is due to some pickup in risk sentiment capping the USD demand. However, despite the selling pressure has eased, the wider picture shows that AUDUSD still vulnerable to further declines. The AUD rallies still look...
Crude oil prices plunged 5% yesterday after Saudi Arabia highlighted that OPEC+ countries were ready to pump more oil in order to meet any supply shortfalls due to sanctions on Iran. Despite traders have already heard sim-ilar hints from some exporters, the reaction was rather painful for the market. The relatively strong dollar and widespread risk-off tone have...
The market optimism over the Chinese officials’ comments on stimulus has evaporated on Tuesday and gave way to renewed political fears. As a result, the risk-off sentiment is driving stock markets lower, while the Japanese yen safe-haven demand has surged significantly. The US-Saudi tensions, Italian budget issues, Brexit woes and trade-war fears propel the...
Gold has registered the third consecutive weekly gain and continues to hover close to the July highs, although buyers’ enthusiasm seems to be abating gradually. However, the precious metal could still retain the bullish tone down the road as global risk sentiment remains somehow unsteady. A good sign for gold bulls is the fact that the metal stays afloat...
Canadian Dollar is the star of the day, as it managed to rise to 1.3027 area in the morning, and then to lose all the gains in an hour touching 1.5-month low at 1.3119. Canadian Retail Sales and CPI Data are to blame. Retail sales ex autos decreased by 0.4% in August compared to a 0.1% rise forecasted. CPI also fell down by 0.4% m/m compared to a 0.1% rise...
AUDUSD had a hard time trying to break above 0.7140, but it was rejected on Thursday again losing almost 50 pips during the day. While US-China wars are still on the agenda putting the Australian currency under pressure, there is a light in the end of the tunnel. The Australian employment data posted early in the morning continued to show underlying strength....
There is something interesting going on in Canada. And it may become a serious argument in favor of future CAD appreciation. This Monday Business Outlook Survey was out confirming the robust business prospects even before the NAFTA deal was finalised. It means that we would see even more optimistic outlook within the report next month. What does it mean? It...
While EURUSD stays under pressure, GBPUSD managed to show an amazing appreciation – it adds around 100 pips a day two days in a row. Positive UK data only supported the move, as average wages increased to 2.7% from 2.6% forecasted reaching the highest level in 9 years. However, there was a fly in the ointment - claimant count number climbed to 18.5K from...
Every day is full of new food for thoughts. We saw another day of US Dollar sale due to risk aversion flows and profit-taking after long-term bullish trend. We strongly believe that most part of the move was related to investors who decided to get out of the market and sit on the fence, or in some safe heaven like yen. Another reason of USD sell-off is...
While stock market selloff triggered a wave of speculations about the possible stock bubble burst, investors were in no rush to buy safe havens and to dump risky assets. NZDUSD and AUDUSD actually became the outperformers among the major currency pairs. Does it mean the market stopped loving USD, or it’s just a temporary correction of the most oversold...