07/ 03/ 2017

European Politics Vs US Federal Reserve Rate Hike for March

The Euro Declined after rising to a 2 Week High earlier in the session after France’s Juppe stated he will not run in the French presidential Race.  Regardless of all the Data released the focus of Euro Currency will heavily depend on Netherlands, French & German Elections to be held this year along with US Federal Reserve Rate Hike Decision to be held on March 15th.

05/ 03/ 2017

Week Ahead | Jobs Report to Guide Dollar

Despite the strong signals toward a rate hike, the greenback lost momentum and pulled back, after Yellen’s speech on Friday where she mentioned they will increase the interest rates if the economy evolves as expected. The US dollar trimmed weekly gains and even turned negative against the euro. The European currency was the top performer among the most traded.

However, Dollar remains supported by Trump’s announcements and expectations of a rate hike from the Fed in March, that rose sharply during the week. The US dollar ended Friday on a weak tone amid a recovery in US bonds.

This week markets will keep a close eye on Australian and Euro Zone Interest Rate decisions while ECB President Draghi in expected to give a press conference. From US, key focus will be on Non-farm payrolls and ADP Employment change reports.

02/ 03/ 2017

Dollar Surges at 80% Rate Hike Probability

Euro and Sterling declined against the dollar on Wednesday as the greenback strengthened after hawkish comments from two Federal Reserve officials late on Wednesday increased expectations that Feds are closer to raising interest rates. 

President Trump stuck to the script in his first speech to Congress yesterday, promising deregulation, tax cuts and higher infrastructure spending without any of those pesky details that could spoil the fun. U.S. treasury yields rose broadly on Wednesday on increased expectations that the Federal Reserve will raise U.S. interest rates at its march meeting which is now at 80% probability.

01/ 03/ 2017

Optimistic Trump Boosts US Dollar

Trump's speech faced a high bar in the way of the US dollar rally preceding the address as a result of several Fed comments and, indeed, Trump managed to lift the USD back towards those levels as the speech confirmed the $1 trillion in infrastructure spending, while staying away from attacking US trading partners and the media.

It was the most optimistic speech since the start of the Trump presidency which resulted in decline of rival currencies. Today is a busy day in the markets as key data will come out from Australia, Euro zone, UK and USA while a rate decision awaits in Canada.