Swiss Franc The Euro has fallen by 0.17% at 1.1275 . FX Rates Overview: There is a sense of optimism among investors today that may be tested as the session progresses. News that China may reconsider its “Made in China 2025” initiative as an apparent concession to the US while reports suggest it has bought 1.5-2.0 mln tons of soy is easing trade tension fears. UK Prime Minister May survived a vote of confidence...
Read More »FX Daily, December 12: Markets Calm on May Day
Swiss Franc The Euro has risen by 0.36% at 1.1279 EUR/CHF and USD/CHF, December 12(see more posts on EUR/CHF and USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The US S&P 500 failed to sustain the early upside momentum, but global equities are moving higher today, and there is some optimism on the trade front. Emerging market equities and currencies are also doing well today. Canada...
Read More »FX Daily, December 11: Fragile Calm Threatens to Break Out
Swiss Franc The Euro has fallen by 0.17% at 1.1226 EUR/CHF and USD/CHF, December 11(see more posts on EUR/CHF and USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: Indications that US and Chinese trade talks are proceeding, coupled with a dramatic reversal in the S&P 500 yesterday is helping stabilize the capital markets today. Asian equities were mixed, but the Greater China (China,...
Read More »FX Daily, December 10: Lack of Closure Weighs on Sentiment
Swiss Franc The Euro has fallen by 0.01% at 1.1267 EUR/CHF and USD/CHF, December 10(see more posts on EUR/CHF and USD/CHF, ) - Click to enlarge FX Rates Overview: Investors angst over trade tensions and Brexit continue remains elevated, and poor Chinese and Japanese economic news played on global growth fears. Equities continue to slog lower. Bond yields are little changed, and the dollar is lower against most...
Read More »FX Weekly Preview: The Week Ahead: Don’t Skip Steps on Escalation Ladders
United States The drop in US yields and disappointing economic data weighed on sentiment and the dollar last week. Even weakness in equities, which had seemed to lend the greenback support, failed to do so at the end of last week. With the real Fed funds rate (adjusted for inflation) below zero, employment at 50-year lows, and some fiscal stimulus still in the pipeline, the doom and gloom cant of a recession next year...
Read More »FX Daily, December 07: A Couple More Events before Seeing the End of Difficult Week for Investors
Swiss Franc The Euro has risen by 0.09% at 1.13 EUR/CHF and USD/CHF, December 07(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: Global equities have stabilized after US equities recovered yesterday, with the NASDAQ 100 staging its biggest reversal in eight months and the S&P 500 recouped almost three percent to close 0.15% lower. Asia Pacific equities were...
Read More »FX Daily, December 06: New Spanner in US-China Relations Weighs on Risk Appetites
Swiss Franc The Euro has fallen by 0.15% at 1.13 EUR/CHF and USD/CHF, December 06(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The global capital markets were fragile amid trade uncertainty and economic slowdown fears. News that Canada arrested the CFO of Huawei on behalf of the US, ostensibly for violating the embargo against Iran triggered an almost immediate...
Read More »FX Daily, December 05: US Market Closure may be a Firebreak
Swiss Franc The Euro has risen by 0.06% at 1.132 EUR/CHF and USD/CHF, December 05(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The 3%+ drop in the S&P 500 yesterday kept global equities under pressure today, though losses in Asia and Europe were milder. In Asia, only Hong Kong and Taiwan benchmarks lost more than 1%. In Europe, the Dow Jones Stoxx 600 is...
Read More »The Dollar and Its Rivals
I was in graduate school, studying American foreign policy when I stumbled on Riccardo Parboni’s “The Dollar and Its Rivals.” This thin volume showed how the foreign exchange market was the arena in which capitalist rivalries were expressed. More than any single book, it set me on a more than 30-year path. The dramatic world of foreign exchange that Parboni depicted changed in a significant way in the mid-1990s. Led by...
Read More »FX Daily, December 04: Stock Rally Arrested, but Bond and Oil Advance Continues, leaving Dollar in a Lurch
Swiss Franc The Euro has risen by 0.12% at 1.1339 EUR/CHF and USD/CHF, December 04(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: Equity markets are unable to build on yesterday’s advance, but bonds and oil are extending gains. The dollar remains on the defensive and is off again all the major currencies. The lack of a joint statement over the weekend by the US...
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