Author: finadmin

British Pound trims losses against US Dollar after NFP-driven volatility

GBP/USD recovers part of its initial drop on Friday after stronger-than-expected United States (US) employment data briefly lifts the US Dollar (USD). The pair fell to an intraday low of 1.3482 immediately after the release before rebounding. At the time of writing, GBP/USD trades around 1.3512. US Nonfarm Payrolls (NFP) increased by 162K in August, […]

BoE’s Bailey defends central bank flexibility, flags guidance risks

Bank of England (BoE) Governor Andrew Bailey said on Friday that monetary policymakers have some discretion over how quickly they bring inflation back to target, while stressing that returning inflation to the target remains imperative. Bailey also addressed central bank communication, saying that Federal Reserve (Fed) Chair Kevin Warsh is right to identify some dangers […]

RBI inflows and reduced tail risks – MUFG

MUFG’s Michael Wan notes strong Indian Rupee (INR) outperformance driven by larger-than-expected US Dollar (USD) inflows from Reserve Bank of India’s (RBI) FCNR(B) measures, which now exceed US$130bn. Wan still expects USD/INR to trend higher over time but argues that RBI’s FX measures have reduced left-tail depreciation risks. MUFG also sees scope for higher Indian […]