DXY Falls Under 103.00 Amid Varied Sentiment, Anticipates Fed Minutes, US NFP
DXY Falls Under 103.00 Amid Varied Sentiment, Anticipates Fed Minutes, US NFP The US Dollar Index (DXY), a measure of the US dollar’s strength against a group of other major currencies, has seen a significant drop, touching an intraday low of around 102.90. This downward shift continues the retreat from a three-week high observed the […]
FOMC Skips June, But Signals Hikes Not Done Yet
FOMC Skips June, But Signals Hikes Not Done Yet As widely expected, the FOMC decided unanimously to refrain from raising rates at today’s meeting. However, the Committee continued to say that “additional policy firming” may be appropriate. Furthermore, the median dot for 2023 shifted up by 50 bps. That is, most FOMC members believe that […]
Today’s FOMC Will be a Key Focus for China and Hong Kong Stocks
Today’s FOMC Will be a Key Focus for China and Hong Kong Stocks China proxies; Hang Seng Index, Hang Seng TECH, and Hang Seng China Enterprises have outperformed S&P 500 & MSCI All Country Asia ex Japan since 31 May. This outperformance has been reinforced by more impending monetary policy easing measures from China’s central […]
A Busy Week for Central Banks
A Busy Week for Central Banks Sentiment is cautiously bullish into the next US CPI figure, due tomorrow, and the next FOMC decision due Wednesday. U.S. inflation is expected to have fallen to 4.1% in May from 4.9%, and core inflation is estimated to be lower at 5.3% from 5.5% published the previous month earlier. […]
EUR/USD flat-lines around mid-1.0700s, traders await US CPI and FOMC decision this week
EUR/USD flat-lines around mid-1.0700s, traders await US CPI and FOMC decision this week The EUR/USD pair recovers a few pips from the Asian session low and for now, seems to have stalled its retracement slide from over a two-week high touched on Friday. Spot prices currently trade just below mid-1.0700s, nearly unchanged for the day, […]
Gold Gets its Groove as Markets Consolidate across the Board
Gold Gets its Groove as Markets Consolidate across the Board The gold price is oscillating around US$ 1,980 again today as markets reassess the landscape with China looking to stoke some growth and next week’s Fed meeting coming into view. It is being reported that China wants the domestic big banks to lower deposit rates […]
Fed Minutes Depict Uncertainty Surrounding Future Rate Hikes
Fed Minutes Depict Uncertainty Surrounding Future Rate Hikes The minutes from the May 2-3 Federal Open Market Committee (FOMC) meeting reiterated that curtailing inflation remains the principal objective of the Fed. On the current state of the economy, the Committee members noted that “economic activity had expanded at a modest pace in the first quarter. […]
RBA Board to Pause Again at its May Meeting
RBA Board to Pause Again at its May Meeting The Reserve Bank Board meets next week on May 2. Following the release of the March quarter inflation report Westpac now expects the Board to extend the pause it instigated at its April meeting to the May meeting. This decision comes despite the likelihood that the […]
FOMC Hikes Rates and Signals More to Come
FOMC Hikes Rates and Signals More to Come As universally expected, the FOMC raised its target range for the federal funds rate by 25 bps at the conclusion of its policy meeting today. But the tightening cycle likely is not over yet as the FOMC noted that it “anticipates that ongoing increases in the target […]
Upcoming Market Updates: JPY, EUR, CHF, GBP, CAD, USD
Upcoming Market Updates: JPY, EUR, CHF, GBP, CAD, USD JPY: Average Cash Earnings y/y, it measures Change in the total value of employment income collected by workers. EUR: German Factory Orders m/m, it measures Change in the total value of new purchase orders placed with manufacturers. EUR: German Retail Sales m/m, it measures Change in […]
The Federal Reserve’s Open Market Committee Preview
The Federal Reserve’s Open Market Committee Preview The Federal Reserve’s Open Market Committee will complete its two-day meeting tomorrow. The committee will release its monetary policy statement and Summary of Economic Projections at 2:00pm ET, with Fed Chairman Jerome Powell’s press conference starting 30mins later at 2:30pm ET. Most traders expect the central bank to […]
Powell’s Brooking November 2nd FOMC Press Conference
Powell’s Brooking November 2nd FOMC Press Conference In Fed Chairman Powell’s press conference after the FOMC meeting on 2nd November, he said that incoming data suggests that the ultimate level of rates will be higher than previously anticipated. In addition, he noted that, how high rates rise is more important than the pace of tightening. […]
This week’s currency pair, USD/CNH
This week’s currency pair, USD/CNH This week will bring a lot of US macroeconomic data and speech from US Fed Chairman Powell, which should give the markets a clearer direction of where the Fed may be headed next regarding monetary policy. Powell speaks at the Brookings Institute on Wednesday. The topic is the economy and […]
FOMC Minutes, Fed Hiking Rates slowly
[vc_row full_width=”stretch_row”][vc_column][vc_column_text] FOMC Minutes, Fed Hiking Rates slowly At the November 2nd FOMC meeting, members unanimously agreed to hike the Fed Funds rate by 75bps to bring the key rate to 3.75%-4.0%.The statement from the meeting said members agreed that ongoing rate hikes were necessary until rates were “sufficiently restrictive”. In addition, the statement noted […]
Policy Makers Views on Risks Begin to Diverge
Policy Makers Views on Risks Begin to Diverge Last week has seen a flurry of central bank communications as the RBA, FOMC and BoE all met deliberate on policy. Evident in their decisions and commentary is a growing divergence in expectations around inflation and the risks to the policy outlook. The RBA delivered only a […]
Upcoming Market Updates: NZD, USD, GBP, JPY, AUD, EUR, CHF, USD
[vc_row full_width=”stretch_row”][vc_column][vc_column_text] Upcoming Market Updates: NZD, USD, GBP, JPY, AUD, EUR, CHF, USD NZD: FPI m/m, it measures Change in the price of food and food services purchased by households. USD: FOMC Member Bowman Speaks, Federal Reserve FOMC members vote on where to set the nation’s key interest rates and their public engagements are often […]
How Much FOMC Interest Rate Hike By Fed?
How Much FOMC Interest Rate Hike By Fed? The Federal Reserve Open Market Committee lifted the federal funds rate to the 3.0% to 3.25% range and reaffirmed a continuation of its balance sheet runoff. The Fed updated its language stating the “recent indicators point to modest growth in spending and production. Job gains have been […]