Tag Archives: 4) FX Trends

Swiss Franc The Euro has fallen by 0.10% at 1.108 EUR/CHF and USD/CHF, July 15(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The new record highs in US equities ahead of the weekend coupled with Chinese data that suggested the economy was gaining some traction as Q2 wound down is helping underpin risk appetites to start the week. Japanese markets were closed...

There is little doubt after the Federal Reserve Chairman Powell’s testimony last week and the FOMC minutes that a rate cut will be delivered at the end of the month. Similarly, after comments by several ECB officials and the record of their recent meetin.g confirms it too is prepared to adjust policy. The timing of the ECB’s move is more debatable, an adjustment at the July 25 meeting appears to have increased. While a...

Swiss Franc The Euro has fallen by 0.48% at 1.1086 EUR/CHF and USD/CHF, July 12(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: Higher than expected US CPI and the second tepid reception to a US bond auction this week pushed US yields higher and helped stall the equity momentum. Asia Pacific yields, especially in Australia and New Zealand jumped 8-10 bp in...

Swiss Franc The Euro has fallen by 0.06% at 1.1123 EUR/CHF and USD/CHF, July 11(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: Fed’s Powell confirmed a Fed rate cut at the end of this month by warning that uncertainties since the June FOMC had “dimmed the outlook” and that muted price pressures may be more persistent. It ignited an equity and bond market rally...

Swiss Franc The Euro has risen by 0.03% at 1.1135 EUR/CHF and USD/CHF, July 10(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The US Treasury market is retreating for the fourth consecutive session ahead of Fed Chairman Powell’s testimony before Congress. It is the longest losing streak in six months, and the 10-year yield has risen 15 bp over the run.  This is...

Swiss Franc The Euro has fallen by 0.13% at 1.1128 EUR/CHF and USD/CHF, July 09(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: Global equity benchmarks are headed for their third consecutive loss today as caution prevails at the start of Q3 after a strong first half. Ten-year benchmark yields are edging higher after a soft start in Asia. Italian bonds continue to...

Swiss Franc The Euro has risen by 0.05% at 1.1135 EUR/CHF and USD/CHF, July 08(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The capital markets have begun the week in a mixed note. Asia Pacific equities tumbled, led by 2%+ losses in China and South Korea, but European shares are edging higher, and a positive close would be the seventh in the past eight...

Our hypothesis that the market had reached peak dovishness toward the Fed remains intact after the employment data. Job growth was the strongest since January. The participation rate and the unemployment rate ticked up. Average hourly earnings edged 0.2%  higher, and, with revisions, maintained a 3.1% year-over-year pace, which is a bit disappointing. United States The jobs report trumps the PMI/ISM data and suggests...

Swiss Franc The Euro has risen by 0.10% at 1.1126 EUR/CHF and USD/CHF, July 05(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The dovish response to news that Lagarde was nominated to replace Draghi was extended by the dismal German factory order report that has pushed the euro to new two-week lows and kept bond yields near record lows. The focus ahead of the...

Swiss Franc The Euro has fallen by 0.05% at 1.112 EUR/CHF and USD/CHF, July 03(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: Interest rates are lurching lower. The US 10-year yield is at new two-year lows, but the driver is European bonds where peripheral yields are 6-7 bp lower, though Italy’s benchmark is off 12 bp, while core yields are down 2-3 bp to new...