08/ 02/ 2018

The BoE and FED Talk to Drive the GBP and USD

The greenback continued this week's gain and was higher across the board on Wednesday as calmer stock markets and rising U.S. Treasury yields prompted further liquidation in recent short US Dollar positions. The euro tumbled to fresh 2-week low on market concern despite a German grand coalition deal was finally struck. 

Looking ahead, macro calendar for Europe also remains eventful, the German trade report on the cards ahead of the Bundesbank President Weidmann’s speech titled "Monetary Policy in the European Context". Also, the speech by the RBA Governor Lowe will be closely eyed for fresh insights on the monetary policy outlook.

BoE rate decision and Inflation Report will be the biggest focus of today. There are rising speculations that BoE could pull ahead the next rate hike, to as soon as May. Traders will be very eager to get any hints on that.

07/ 02/ 2018

Dollar Makes a Comeback thanks to Stocks

The dollar steadied against a basket of currencies on Wednesday as calmness returned to global financial markets with investors partially reversing their rush to safe haven assets and moving back into stocks. The greenback rose against currencies like the euro as investors sought shelter amid the rout in global equities seen at the start of the week.

The economic calendar is light today. German industrial production and Swiss foreign currency reserves will be released in European session. Canada will release building permits later in the day.

06/ 02/ 2018

All Eyes on USD

The global sell-off in the equities markets continued early Tuesday with shares in Asia tumbling in response to massive losses in the major U.S. indexes the previous session. The sell-off in the U.S. markets on Monday was a continuation of Friday’s weakness as investors headed for the exits in the wake of rising interest rates.

Looking ahead, day will begin with the Interest Rate Decision from Reserve Bank of Australia, followed by International Merchandise Trade from Canada, Trade Balance from US will also be released with FOMC member Bullard speech that may have more influence later today.

05/ 02/ 2018

The Week Ahead | Central Banks to Dominate the Market

Dollar pares back some of Friday's gain. And the greenback is still looking bearish against Europeans. It's believed the current risk aversion is driven by the increasing expectation of global monetary stimulus withdrawal. And, such expectation intensified after the strong employment data from US.

Three central banks will meet this week, RBA, RBNZ and BoE. All are expected to keep monetary policies unchanged. BoE will be the major focus with quarter Inflation Report featured. There are also some important economic data to watch, including UK PMI services and productions, US ISM services, Australia retail sales, New Zealand employment; Canada employment and China trade balance, CPI.