Tag Archives: USD

Swiss Franc EUR/CHF - Euro Swiss Franc, April 18(see more posts on EUR/CHF, ) - Click to enlarge FX Rates The US dollar is consolidating the gains scored late in the US session yesterday in response to a Financial Times interview with US Treasury Secretary Mnuchin who seemed to play down the strategic importance of Trump’s recent complaint about the greenback’s strength.   Mnuchin spun Trump’s comments to be...

Swiss Franc EUR/CHF - Euro Swiss Franc, April 17(see more posts on EUR/CHF, ) - Click to enlarge FX Rates Financial centers in Europe are closed for the extended Easter holiday.  Australian and New Zealand markets were also closed.   The drop in US 10-year Treasury yields in early Asia, with a brief push below 2.20%, appears to have kept the dollar under pressure.    As the North American market prepares to...

Summary: Monetary policy is off the table for at least the next two months. Several fiscal issues are coming to a head. Despite the GOP majority in Congress and White House, brinkmanship cannot be ruled out. The Federal Reserve hiked rates in March.  Whatever gradual hikes mean, it seems to preclude moves in back-to-back meetings.  There are two chances of a May hike:  Slim and none and Slim left town. June...

Many observers misunderstood US President Trump’s “American First” rhetoric. Trump’s earlier writings show that this is not a reference to the 1940s effort to keep the US out of WWII, with its isolationist tint. Rather, Trump’s use goes back to the original use by President Harding in the 1920s. It was a rejection of the Wilsonian multilateralism (e.g. League of Nations) and a robust defense of unilateralism. That...

Summary: The euro has fallen for 11 consecutive sessions against the yen. Interest rates, US and German in particular, seem to be the main driver. Technicals are stretched, but have not signaled a reversal yet. Looking for a trend in the foreign exchange market? The euro is weaker against the yen for the 11th consecutive session today, which is the longest streak in the euro’s natural life. Since March 17, the...

Swiss Franc EUR/CHF - Euro Swiss Franc, April 14(see more posts on EUR/CHF, ) Source: Investing.com - Click to enlarge FX Rates The holiday-induced calm in the capital markets conceals a high degree of anxiety. The investment climate has been challenged by heightened geopolitical risk and unusual complaints about the US dollar’s strength from the sitting US President. While sending an “armada” toward the Korean...

Swiss Franc Switzerland Producer Price Index (PPI) YoY March 2017(see more posts on Switzerland Producer Price Index, ) Source: investing.com - Click to enlarge FX Rates The US dollar slid after US President Trump complained about its strength.  The sell-off extended into early Asian activity, before stabilizing.  It is mixed in late morning European turnover, which is already lightening up due to the extended...

Swiss Franc EUR/CHF - Euro Swiss Franc, April 12(see more posts on EUR/CHF, ) - Click to enlarge FX Rates Markets are calmer today.  The significant movers yesterday have stabilized.  The dollar has been unable to resurface above JPY110, but after plumbing to new lows near JPY109.35 in Asia, the dollar has recovered back levels since in North America late yesterday.   The decline in the US 10-year yield was...

Summary: FOMC minutes increased likelihood that Fed will begin reducing its balance sheet late this year. There does not seem to be a consensus on other issues. The strength of the ADP report contrasts with softness seen in the ISM and PMI non-manufacturing surveys. The FOMC minutes were clear that officials are contemplating beginning address the balance sheet, which is another sign of confidence in the...

Swiss Franc EUR/CHF - Euro Swiss Franc, April 11(see more posts on EUR/CHF, ) - Click to enlarge GBP/CHF The Swiss Franc could be in for a particularly volatile with the recent developments in Syria and now North Korea. Both the Swiss Franc and US dollar generally perform very well in times of global economic and political uncertainty as their status as safe haven currencies becomes apparent once again. The...