Tag Archives: EMU

Overview:  Stronger than expected eurozone GDP strengthened the sense that a nascent recovery may be taking hold and has given the euro a bid in the European morning. The dollar, though, is enjoying a firmer tone against the other G10 currencies today. Australia's unexpected weakness in retail sales has weighed on the Antipodean currencies. The Aussie and Kiwi are off slightly more than 0.5% today. Japanese data were mixed (a recovery in industrial production but...

Overview:  The FOMC meeting, the US employment report, and eurozone CPI were to be the highlights of the week, but the Japanese yen stole the march to start the week. The dollar soared to almost JPY160.20 before falling sharply to JPY154.55 and then rebounding to almost JPY156.00. Intervention has not been confirmed and BOJ data will not cover it until next month. On balance, it appears that most think it was algo-trading in thin markets given the Japanese holiday....

Overview: The focus is squarely on the US employment report. At the risk of oversimplifying, given the position adjustment in the past 48 hours, a solid report can see the greenback recover, while a disappointing report will likely see it deepen the correction of the rally that began with the February jobs report. The dollar recovered in the North American afternoon yesterday and many observers attributed it to the bevy of Fed comments. Yet, the interest rate market...

Overview: The dollar neared JPY152, setting a new 34-year high. This appeared to spur a senior official meeting in Tokyo, ostensibly to talk about the response. Previously, we suggested that Friday, when most markets outside of Asia will be closed, could provide an interesting opportunity for intervention. The implicit threat was enough to take the dollar to JPY151.10 in the European morning. Most of the G10 currencies are softer against the dollar but the yen. A...

Overview: The US CPI has become one of the most important high-frequency economic reports for the capital markets. The dollar is going into the report narrowly mixed against the G10 currencies. Comments by BOJ Governor Ueda about the weakness in consumption of non-durable goods was seen by some as reducing the likelihood of a change in policy next week. The greenback is threatening to snap a five-day drop against the yen. Most of the G10 currencies are in narrow...

Overview: The dollar is narrowly mixed against the G10 currencies to begin the week that features a Bank of Canada and ECB meetings, US jobs data, Federal Reserve Chair Powell's two-day testimony before Congress, and US President Biden's State of the Union address. Most emerging market currencies are firmer. The Turkish lira is a notable exception. Higher than expected took a toll, knocking it down by around 0.5%. On the other hand, the Malaysian ringgit is up...

Overview: The US dollar is mixed today. The dollar-bloc currencies and the Scandis are enjoying a slightly firmer tone, while the euro and sterling are edging higher in European turnover. The Swiss franc is softer, and the yen has given back most of yesterday's gains after BOJ Governor Ueda acknowledged that central bank seeks further confirmation that sustainable price goal is within reach. We see it as a further signal of an April move on rates rather than this...

Overview: Most of the G10 currencies are trading quietly in narrow ranges today. After a slightly firmer than expected national CPI reading, which still moderated, and a pullback in US yields, the Japanese yen is the strongest of the major currencies. The dollar has pulled back from almost JPY151 to nearly JPY150. The New Zealand dollar is the weakest, off about 0.2% ahead of tomorrow's central bank meeting. After selling $127 bln of coupons yesterday, the US...

Overview: The dollar is beginning the new week mixed. The dollar-bloc currencies and Japanese yen are softer while the European currencies enjoy a firmer today. Among emerging market currencies, central European currencies are trading with higher. The Turkish lira is the notable exception. It is the weakest currency today, off about 0.65%. The Chinese yuan is a little softer, but the dollar continues to be capped near CNY7.20. Last week, more often than not, the...

Overview: Amid a light news stream, the dollar is mostly in narrow ranges against the G10 currencies. Leaving aside the Norwegian krone, the others in a +/- 0.15% against the dollar today. We note that the technical tone of the euro and sterling have improved withe the five-day moving averages crossing above the 20-day moving averages. On the other hand, the dollar is approaching the year's low set last week near JPY150.90. Emerging market currencies are mostly...