Tag Archives: JPY

Swiss Franc The Euro has fallen by 0.06% to 1.081 EUR/CHF and USD/CHF, December 4(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: After wobbling late yesterday on what appears to be old news from Pfizer about a disruption of the vaccine’s supply chain, equity markets have recovered, and risk appetites remain intact. With more than 1% gains in South Korea’s Kospi and Taiwan’s Taiex, the MSCI Asia Pacific...

Why are there still outstanding dollar swap balances? It is the middle of September, for cryin’ out loud, and the Federal Reserve reports $52.3 billion remains on its books as of yesterday. Six months after Jay Powell conducted what he called a “flood”, with every financial media outlet reporting as fact this stream of digital dollars into every corner of the world, how can there be anything greater than zero in overseas liquidity swaps? Six months is an eternity....

Japan’s yen is backward, at least so far as its trading direction may be concerned. This is all the more confusing especially over the past few months when this rising yen has actually been aiding the dollar crash narrative while in reality moving the opposite way from how the dollar system would be behaving if it was really happening. A dollar crash, or even just a true reflationary dollar drop, would be JPY negative (like 2017). Ever since the last one, during...

We have argued that the road to an orderly Brexit remains arduous and that sterling had entered an important technical area ($1.2500-$1.2530). At the same time, see the dollar as having approached the upper end of its broad trading range against the yen. One of the important drivers lifting the dollar was the dramatic rise in US yields. We thought that move is counter trend and that yields are headed lower again. These views could be expressed in a short-sterling...

Swiss Franc The Euro has fallen by 0.11% to 1.0851 EUR/CHF and USD/CHF, August 13(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The confrontation in Hong Kong and the fallout from the Argentine primary over the weekend join concerns the conflict between the two largest economies and slower growth to force the animal spirits into hibernation. Global equities remain under pressure. Japan’s Topix joined several...

There is little doubt that the Federal Reserve will ease monetary policy at the conclusion of the FOMC meeting on July 31. We never thought the chances of a 50 bp move were anything but negligible, though even at this late stage, the market appears to be pricing in about a one-in-five chance. Although a minority, and maybe worth a dissent or two (Rosengren? George?), we are sympathetic to those Fed officials that do not...

Poor economic data and soft inflation saw several central banks, including the Federal Reserve and European Central Bank, take a dovish turn in March. Contrary to expectations that interest rates would rise as the G3 central banks were no longer adding to their balance sheets on a combined basis. The sharp drop in interest rates and the flattening of curves in March is one of the key factors shaping the investment...

Swiss Franc The Euro has keep position 0.00% at 1.1194 EUR/CHF and USD/CHF, March 29(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The global growth scare may be subsiding. It had been fanned by the ECB and Fed statements and projections. Poor US jobs growth reported in early March and the poor flash EMU PMI late in the month contributed. The slowdown in China...

Swiss Franc The Euro has risen by 0.07% at 1.1192 EUR/CHF and USD/CHF, March 28(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The lurch lower in global interest rates continue. The US 10-year yield is at new 15-month lows, five basis points through the average effective Fed funds rate. Late yesterday, it appeared that 10-year German Bund yields slipped below...

Swiss Franc The Euro has fallen by 0.05% at 1.1194 EUR/CHF and USD/CHF, March 27(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: The US 10-year yield is trading below the Fed funds target. The two-year yield is trading below the lower end of the Fed funds target range. A warning by New Zealand that the next rate move could be a cut sent New Zealand and Australian...