Gains eye 1.3981 against US Dollar – Scotiabank
Scotiabank strategists Shaun Osborne and Eric Theoret report USD/CAD is flat after the Bank of Canada (BoC) left policy unchanged and maintained a cautious tone on growth and inflation. Governor Macklem downplayed the Canadian Dollar (CAD) in policy decisions, while Scotiabank’s fair value estimate for USD/CAD has slipped to 1.3974. They see scope for further […]
British Pound eases against Yen after hitting highest level since 2007
GBP/JPY trades with a mild negative bias on Thursday, taking a breather after climbing to its highest level since December 2007 the previous day, as the British Pound benefited from easing political uncertainty and expectations of greater fiscal discipline. At the time of writing, the cross trades around 219.00, down 0.25% on the day. The […]
Gains near key projections against Euro – Societe Generale
Societe Generale’s Kenneth Broux highlights that EUR/GBP has extended its decline after breaking a Head and Shoulders neckline at 0.8610, with the move now seen as stretched. The cross has dropped to a 0.84 handle, its lowest since June last year, a 4.5% fall since November. Next technical projections are flagged near 0.8435, while 0.8545 […]
Indian Rupee extends decline amid elevated oil prices
The Indian Rupee (INR) opens lower against the US Dollar (USD), extending its losing streak for the third trading day on Thursday. The USD/INR pair rises to near 96.32 as elevated crude oil prices have renewed fears of higher foreign outflows. The continued military aggression between the United States (US) and Iran in the Middle […]
United States Dollar Index struggles near 100.50/multi-week low
The US Dollar Index (DXY), which tracks the Greenback against a basket of currencies, is seen consolidating around the 100.50 region during the Asian session on Thursday, close to the nearly four-week low touched the previous day. Receding US Federal Reserve (Fed) rate hike expectations favor USD bears, though energy-driven inflation fears and escalating US-Iran […]
Range trading persists with strong performance against US Dollar – Commerzbank
Commerzbank’s Moses Lim highlights that USD/SGD fell 0.3% to 1.2910 on Dollar weakness, with the pair consolidating in a 1.29–1.30 range since mid-June. Singapore’s strong growth backdrop and benign inflation support the Singapore Dollar, which is the third-strongest Asian currency this year. The Monetary Authority of Singapore could consider tightening policy if inflation pressures rise. […]
Limited gains as Oil stays elevated – OCBC
OCBC’s Sim Moh Siong and Christopher Wong note that USD/THB fell after the post-US Consumer Price Index (CPI) decline in US Dollar (USD) but quickly retraced, signalling limited follow-through in Thai Baht gains. Elevated Oil prices, uneven tourism recovery and Bank of Thailand’s (BoT) tolerance for orderly Thai Baht (THB) weakness suggest some policy acceptance […]
WTI hovers near one-month highs as Hormuz supply risks remain in focus
West Texas Intermediate (WTI) crude Oil consolidates modest losses on Wednesday but stays close to a one-month high as escalating Middle East tensions keep supply risks around the Strait of Hormuz in focus. At the time of writing, WTI trades around $78.70, up roughly 10% so far this week. Traders also digest the latest US […]
Canadian Dollar weakness not a factor in rate decisions
The Bank of Canada (BoC) left its policy rate unchanged at 2.25% on Wednesday, as widely anticipated. Governor Tiff Macklem leaned hawkish in the press conference that followed the announcement, as policymakers seem confident about growth and inflation perspectives. Macklem noted that the biggest risks are conflicts in the Middle East and the trade relationship […]
Tentative flow reversal before BoC – BNY
BNY’s Geoff Yu highlights that selling of Canadian Dollar (CAD) accounts has eased ahead of the Bank of Canada (BoC) meeting, allowing light CAD purchases after prolonged pressure. He notes USD/CAD selling by CAD-based investors and sees valuations and positioning as supportive, but warns that domestic selling and weak Canadian asset flows still cap upside, […]
