Tag Archives: USD

Swiss Franc The Euro has risen by 0.29% to 1.606  CHF. EUR/CHF and USD/CHF, October 30(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The markets are mixed, mostly responding to idiosyncratic developments, as the week’s large events loom ahead. These BOJ, BOE, and FOMC meetings, eurozone flash CPI and US jobs reports. In addition, US President Trump is expected to...

Summary Busiest week of Q4. Fed, BOJ, and BOE, only the last is expected to change policy. Flash EMU CPI and US jobs. Positive developments in Italy, less so in Spain. The week ahead will be among the busiest in Q4. In this note, we provide a brief sketch of the different events and data points that will shape the investment climate. Given the importance of initial conditions, we will begin with an overview of the...

Swiss Franc The Euro has risen by 0.51% to 1.1627 CHF. EUR/CHF and USD/CHF, October 24(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The US dollar is narrowly mixed in mostly uneventful turnover in the foreign exchange market. There is a palpable sense of anticipation. Anticipation for the ECB meeting on Thursday, which is expected to see a six or nine-month extension of...

Summary: Divergence between US and Canada’s two-year rates is key for USD-CAD exchange rate. Canada’s 2 hikes in Q3 were not part of a sustained tightening sequence. Policy mix considerations also favor the greenback if US policy becomes more stimulative. Many observers saw Canada as one of the canaries in the coal mine, warning that the divergence theme was over.  The Bank of Canada did hike rates twice in...

Swiss Franc The Euro has fallen by 0.04% to 1.1578 CHF. EUR/CHF and USD/CHF, October 23(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The US dollar is enjoying modest gains against most currencies as prospects of both tax reform and additional monetary tightening by the Fed carry over from last week. The strong showing of the Liberal Democrats in Japan, where the...

Summary: Busy week of economic data and central bank meetings, and reaction to Spanish developments and Japan and Czech elections. Focus below is on the Bank of Canada and ECB meetings and tax reform in the US. The biggest challenge to tax reform is unlikely on the committee level but on the floor votes, especially in the Senate, in a similar way the stymied health care reform. US and German 2-year rates are...

Summary: Busy week of economic data and central bank meetings, and reaction to Spanish developments and Japan and Czech elections. Focus below is on the Bank of Canada and ECB meetings and tax reform in the US. The biggest challenge to tax reform is unlikely on the committee level but on the floor votes, especially in the Senate, in a similar way the stymied health care reform. US and German 2-year rates are...

Swiss Franc The Euro has fallen by 0.19% to 1.1589 CHF. EUR/CHF and USD/CHF, October 20(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates The US Senate approved a budget resolution that is a necessary step toward using a parliamentary maneuver that prevents the Democrats to block tax reform by filibuster. This has helped spur dollar gains against all the major currencies...

Summary: Risk that NAFTA collapses weighs on CAD and MXN. Yen is slightly firmer despite US yields edging higher and weekend polls suggesting LDP could nearly secure a 2/3 majority of its own. The sterling is consolidating after sharp moves at the end of last week. (Greetings from San Francisco, where I will be speaking at a CFA seminar on currencies tomorrow. The rebuilding from destruction of the of...

Summary: Rise in paper asset prices, including so-called cyber currencies, reflects the abundance of capital. Have we forgotten what Minski taught again? Political considerations may dominate ahead of the ECB meeting later this month. Why should we think there is anything amiss by looking at the global capital markets? The S&P 500 and the German Dax are at record levels. The Japanese market is at 20-year...