Weekly Market Update
Post date: 24/10/2022 There is definitely a feel in FX markets that the dollar rally has run its course for now. US Treasury yields and Fed expectations rose to fresh record highs, but the dollar failed to benefit and in fact ended the week down against every other G10 currency. International interest rates now […]
Weekly Market Update
Post date: 17/10/2022 The pound stole the spotlight in yet another volatile week of FX trading. Sterling rallied on news that Prime Minister Truss had fired Kwasi Kwarteng from his Chancellor of the Exchequer position, with UK assets reacting positively to the government U-turning on almost all the tax cuts promised just three weeks […]
Weekly Market Update
Post date: 03/10/2022 The past week has been another extraordinary one in the foreign exchange market, with many currencies hitting new lows and volatility levels spiking to multi-year highs. The relentless rally in the US dollar, which saw it rise to a fresh two decade high on Wednesday, came to a halt in the […]
Weekly Market Update
Post date: 12/09/2022 The ECB massive 75bp hike, followed up by hawkish comments from the usual “sources”, sent the common currency soaring against most of its global peers, dragging along all other European currencies, while the Japanese yen ended up again at the bottom of the rankings, dragged down by the Bank of Japan […]
Weekly Market Update
Post date: 05/09/2022 The euro seemed to be about to lock in a decent performance last week, buoyed by expectations of a hawkish ECB and a labour market report in the US that signalled to the Fed that pressures there may be easing. However, the announcement by Gazprom that it was cutting off gas supplies […]
Weekly Market Update
Post date: 30/08/2022 The world’s central bankers annual meeting at Jackson Hole delivered an unmistakably hawkish message, led by Fed´s chair Powell in a very short and clear speech. However, currency markets seem to have priced this development in, and the reaction was relatively subdued. All G10 currencies are now within 1% of […]
Weekly Market Update
Post date: 22/08/2022 US bond yields have now retraced the fall that followed the positive inflation report from the week prior. Federal Reserve officials talked up the prospects of another jumbo interest rate hike in September, and markets are now equally split between a 50-basis point and a repeat of the previous meeting 75bp […]
Weekly Market Update
Post date: 01/08/2022 The US economy now meets the barest technical definition of a recession, and Federal Reserve hikes are now fully dependent on inflation and labour data meeting to meeting. This realisation brought down yields in the US sharply and they in turn knocked down the dollar against nearly every major currency worldwide, […]
Weekly Market Update
Post date: 25/07/2022 Signs of US slowdown slam dollar, euro mixed on ECB hawkish surprise. Disappointing economic data out of the US brought yields down worldwide and removed any chance of a 100-basis point interest rate hike from the Federal Reserve this week. The surprise 50bp hike from the ECB had surprisingly little immediate […]
Weekly Market Update
Post date: 18/07/2022 The peak in US inflation has been getting pushed into the future for some time, and June was no exception. The unpleasant surprise sent the dollar soaring generally, but the euro put up a spirited defence of the psychologically important parity level and, after breaching it briefly, managed to end the […]