Australian Dollar holds losses against Japanese Yen following China’s Trade Balance data
AUD/JPY halts its three-day winning streak, trading around 111.30 during the Asian hours on Friday. The currency cross depreciates as the Australian Dollar (AUD) loses ground, driven by a surge in global safe-haven demand. Escalating tensions in the Strait of Hormuz have rattled market stability, sparking widespread skepticism over whether this vital shipping route will […]
Upside risk capped against US Dollar – UOB
United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann note USD/SGD stayed broadly flat on Wednesday, trading between 1.2804 and 1.2825 and closing at 1.2810. Their Singapore Dollar (SGD) Nominal Effective Exchange Rate (NEER) model suggests the basket will remain 1.5–2.0% above its mid-point, implying a 1.2756–1.2820 range. Near term, downside risk persists […]
Banxico keeps interest rates unchanged at 6.50% as expected
The Bank of Mexico, also known as Banxico, held rates unchanged at 6.50% for the third consecutive meeting, unanimously as expected by most analysts, after ending its easing cycle in May. In the monetary policy statement, the Governing Board revealed that the balance of risks on inflation is tilted to the upside, and that “Looking […]
Core CPI momentum seen returning in July – TD Securities
TD Securities economists expect United States (US) July Core Consumer Price Index (CPI) to return to trend after June’s one-off weakness. They forecast Core CPI at 0.20% m/m and 2.4% y/y, with Headline CPI at 0.15% m/m and 3.4% y/y, and see upside risks if June’s soft categories bounce more strongly. July CPI expected to […]
Policy shifts weigh on JPY against US Dollar – Rabobank
Rabobank’s Senior Macro Strategist Bas van Geffen discusses renewed Japanese Yen (JPY) weakness following recent joint US-Japan FX intervention that briefly pushed USD/JPY below 156. He highlights Japan’s planned food sales tax cut and household handouts, noting funding uncertainties and criticism from markets and politicians. He stresses that these measures do not structurally improve Japan’s […]
XAG/USD hesitates at $62.00 after a two-day rally
Silver (XAG/USD) consolidates gains in the $61.70 area after being rejected ahead of $63.00. The pair is trimming gains on Thursday, after following a nearly 7% rally over the last two days, but downside attempts remain limited so far, as lower Oil prices and a weak US Dollar keep providing support. US macroeconomic data released […]
Swiss Franc receives support as US Dollar weakens on easing risk aversion
USD/CHF extends its losses for the third consecutive day, trading around 0.8060 during the Asian hours on Thursday. The pair depreciates as the US Dollar (USD) faces headwinds from declining safe-haven demand. Market sentiment shifted following reports that Iran and Oman have reached an agreement on a shipping route through the Strait of Hormuz, boosting […]
British pound holds steady as Iran hopes, Fed repricing undermine USD
The GBP/USD pair is seen consolidating its gains recorded over the past two days and trading around the 1.3470 region during the Asian session on Thursday. Nevertheless, spot prices remain confined within Monday’s broader range as traders opt to wait for further developments surrounding the Middle East crisis before placing fresh directional bets. Iran’s Foreign […]
Repricing risk as policymakers resist weakness – DBS
DBS Group Research economist Philip Wee argues that Asian currencies may face repricing risk as global policymakers increasingly resist competitive depreciation. He highlights US support for Japanese Yen stabilization as a signal to curb broader Asian currency weakness and notes European Union concerns over Chinese Yuan undervaluation. Wee concludes investors should focus more on Asian […]
Daily momentum improves, but weekly outlook stays bearish
Silver (XAG/USD) jumps more than 4% on Wednesday as weaker-than-expected US ADP employment data and easing energy-driven inflation prompt traders to scale back expectations for Federal Reserve (Fed) rate hikes. At the time of writing, XAG/USD trades around $62.30, near its highest level in a month. From a technical perspective, the latest leg higher has […]
