Tag Archives: 4) FX Trends

The Trump Administration argues that other countries have been taking unfair advantage of the US on trade for years, and what many are calling a trade war is really only the US finally saying enough. The US has taken many several countries, including China, to the WTO for trade violations and wins the vast majority of cases it has brought. It has become fashionable to talk about reciprocity and intuitively has much...

Swiss Franc The Euro has risen by 0.18% to 1.1532 CHF. EUR/CHF and USD/CHF, August 07(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The US dollar is pulling back today after yesterday’s advance. All the major currencies are higher and even the Turkish lira, which plunged nearly 5% yesterday to cap a six-day slide, is trading firmer today ([email protected]). The dollar’s...

Swiss Franc The Euro has risen by 0.13% to 1.1522 CHF. EUR/CHF and USD/CHF, August 06(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The US dollar edged higher against most of the major currencies, and emerging market currencies are heavier. Sterling’s quarter percent drop makes it the weakest of the majors in slow turnover and it was sufficient to record a new...

United States With most of the major central bank meetings and important economic data out of the way, the dog days of August are upon us. In terms of drivers, it means that players will have to look elsewhere for inspiration and it means that market liquidy is likely not at its best. That said, there are a few economic reports that will grab investors’ attention, even if briefly. Among them will be the US July CPI....

Oil prices are weaker for the third straight day and are off in four of the past five sessions, the poorest run in two months. Supply considerations may threaten a year-old trend line. OPEC and non-OPEC, essentially Saudi Arabia and Russia are making good on their commitment to boost output, and US oil inventories unexpectedly rose. Saudi output appears to have risen by about 230k barrels per day. Production in Nigeria...

Swiss Franc The Euro has fallen by 0.19% to 1.1503 CHF. EUR/CHF and USD/CHF, August 03(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The US dollar is trading at the upper end of its recent ranges against the euro and sterling. The euro finished below $1.16 yesterday for the first time since the end of June and has not been able to resurface that level so far today. We...

There was little doubt in the market’s collective mind that the Federal Reserve, which hiked rates in July, would stand pat today. It did not disappoint. The statement itself was almost identical. Growth was said to be “strong” instead of “solid,” for example, a nuance to be lost on most observers. It recognized that the unemployment rate stabilized after falling. Most notable is what is not included. The June minutes...

Swiss Franc The Euro has fallen by 0.14% to 1.1548 CHF. EUR/CHF and USD/CHF, August 02(see more posts on EUR/CHF and USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The Bank of England meeting concludes a run of major central bank meetings over the past fortnight. The BOE is widely expected to join the Bank of Canada in raising rates. The Federal Reserve and the ECB were content to do and say...

Swiss Franc The Euro has risen by 0.11% to 1.1588 CHF. EUR/CHF and USD/CHF, August 01(see more posts on EUR/CHF and USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Investors recognize the risks to growth posed by the tariffs and counter-tariffs being imposed, but the way the US is going about it is also disconcerting. Within a few hours of signals that the US and China were looking to re-engage...

Chinese officials do not seem to appreciate the extent of its isolation. The disruption from the US as Trump positions the US as a revisionist power-one that wants to alter the world order, which it was instrumental in constructing, may have obscured the fact that China’s practices are a source of frustration and animosity broadly and widely. Chinese officials do not seem to understand why Europe, for example, does not...