Apac markets mixed await China GDP

In currencies, the dollar was mostly flat after being dented by weaker-than-expected inflation data last Friday. The dollar index, which measures the dollar against a basket of currencies, traded at 95.096 at 7:55 a.m. HK/SIN. The dollar index traded as low as 95.088 in the Friday session compared to a high of 95.834.

Against the yen, the greenback was steady at 112.42 after sinking last Friday. The dollar had traded around the 113 handle for most of last week.

As the main hurdle to more tightening from the Federal Reserve, inflation is expected to play a decisive role in central bank policy and influence macro market direction this year, said OANDA senior trader Stephen Innes in a Monday morning note.

“With less than a 50 percent December rate hike probability priced in and with no supportive Fed speak on the calendar before July 26, the dollar could struggle,” Innes added.

CNBC

 

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Stephen Innes

Stephen Innes

Senior Currency Trader and Analyst at OANDA
Stephen has over 25 years of experience in the financial markets and specializes in Asian currencies at OANDA. After having started his trading career with NatWest Bank, he is currently based in Singapore as a Senior Currency Trader and Analyst with OANDA, focusing on the movement of the Aussie Dollar and ASEAN Currencies. Stephen has an extensive trading experience in Interest Rate Futures, Money Markets and Precious Metals. Prior to joining OANDA, he worked with organizations like Cambridge Mercantile, Nat West, Garvin Guy Butler, Sumitomo Mitsui Banking Corporation. Stephen was born in Glasgow, Scotland, and holds a Degree in Economics from the University of Western Ontario.
Stephen Innes
Stephen Innes

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