Weekly Market Update
Last week’s currency rankings had an unusual couple on top: the Chinese yuan and the Swiss franc. The former was buoyed by the increasing signs that China is moving away from its zero-covid lockdown policy, whereas the latter appears to have finally caught a break after a few weeks of improving risk sentiment, as traders […]
Weekly Market Update
A relatively dovish speech from Fed chair Powell, and the prospect of a pivot away from zero-COVID in China, put some fuel into the risk asset rally last week. The US dollar was once again one of the worst performing currencies in the world, having suffered its worst monthly performance since September 2010 in November, […]
Weekly Market Update
Risk assets rose worldwide last week as the backdrop turned more supportive. Recession fears seem to be easing worldwide, particularly in the Eurozone, but interest rates are not rising in tandem, the best combination possible for stock markets, credit, and commodity currencies. The dollar underperformed against every currency in G10, and the biggest winners were […]
Weekly Market Update
The news that markets had been desperately hoping for finally arrived last week. Inflation in the US came out lower than expected, US rates dropped the most since the pandemic era and risk assets worldwide soared in jubilation. The dollar experienced one of the sharpest two-day falls in history, falling anywhere from nearly 6% (against […]
Weekly Market Update
Currency market volatility continues to rise, and signs are emerging that the dollar rally is running out of steam. The Federal Reserve delivered a massive hike and a more hawkish than expected message, while other central banks begin to fret about the impact of higher rates on their respective economies. However, the dollar failed to […]
Weekly Market Update
Risk assets were steady to higher worldwide last week, as markets price in a modestly lower terminal rate from central banks and yields fall. Markets seem to be giving UK Prime Minister Sunak the benefit of the doubt on his promises to stabilise government finances, and the pound outperformed all its G10 peers to end […]
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 […]