Forex: All News & Analysis

USD/JPY: Hovering around 150 as Japanese bond yields steadily rise

Japan 10-year bond yields rose 1.5bps to 0.852% Odds of a yield curve control adjustment are growing for next week's BOJ meeting Dollar-yen vulnerable to a surge above 150 on a robust US Q3 GDP print The pressure is building on the Bank of Japan. As the global bond market selloff resumes, Japan's ultra-easy monetary policy stance has allowed excessive yen weakness.

25-10-2023 13:52 GMT by Edward Moya

USD/CAD: BOC's hawkish hold provides little relief for loonie

Bank of Canada holds rates steady at 5.00% for a second straight meeting; keeps door open for future hikes Canadian dollar initially falls to a 7-month low against the greenback Easing war fears keep oil prices remain heavy but they are off session lows The Bank of Canada kept rates on hold at 5.00% for a second straight time. The bank upgraded their inflation forecast, which means they are maintaining a tightening bias going forward. The BOC statement noted that the council is “concerned that

25-10-2023 12:09 GMT by Edward Moya

USD/JPY tiptoeing just shy of 150

Japanese yen remains close to 150 US GDP expected to accelerate to 4.5% Dollar-yen is unchanged on Wednesday, trading at 149.91 in the North American session. Will yen break past 150? Like an acrobat on a tightrope, the yen has been hovering within a whisker of the 150 level. This has continued for almost two weeks, with investors keeping peeled eyes on the yen, waiting for it to breach the symbolic 150 line.

25-10-2023 10:35 GMT by Kenneth Fisher

Australian dollar falls despite CPI rise

Australia's CPI accelerates US PMIs show slight improvement The Australian dollar rose about 40 basis points on Wednesday after Australia's CPI surprised to the upside, but has reversed directions and is in negative territory. In the European session, AUD/USD is trading at 0.6335, down 0.32%. Australia's CPI accelerates Australian inflation was hotter than expected in the third quarter and that could translate into the Reserve Bank of Australia hiking rates after four consecutive pauses. Aus

25-10-2023 06:05 GMT by Kenneth Fisher

EUR/AUD bearish breakdown supported by additional China fiscal stimulus and AU inflation

Weak PMI readings from the Eurozone, an increase in China’s budget deficit ratio, and renewed inflationary pressures in Australia may trigger a persistent bearish sentiment loop in EUR/AUD. Watch the key short-term resistance at 1.6700 for EUR/AUD. A break below 1.6250 key medium-term support on the EUR/AUD may trigger a multi-week bearish impulsive down move. The Euro (EUR) tumbled overnight throughout the US session as it erased its prior gains against the US dollar recorded on Monday, 23 Oc

24-10-2023 21:25 GMT by Kelvin Wong

USD/JPY: Dollar unfazed by in-line two year auction

Two-year auction demanded a 5.055% yield, lower than prior auction yield of 5.085% Bid-to-cover 2.64x vs 2.73x prior (lower than 1-year average) Flattening trade remains: 2-year yield +3.2bps; 5-year +0.2bps; 10-year -1.9bps; 30-year -2.7bps With US debt becoming a focal point for traders, Wall Street is now paying close attention to Treasury auctions. The early afternoon two-year Treasury auction went relatively smoothly. Demand came in-line with the 1-year average with this breakdown: indir

24-10-2023 13:55 GMT by Edward Moya

EUR/GBP - ECB probably done hiking as the economy edges toward recession

Weak eurozone PMIs point to further economic deterioration UK data roughly in line but downside risks remain EURGBP threatens to break above range resistance It's been another mixed session on Tuesday with investors potentially eyeing important events later in the week. The PMIs across Europe earlier in the day didn't get things off to a great start and further backed the view that the region is heading for a recession if it isn't already in one.

24-10-2023 13:27 GMT by Craig Erlam

EUR/USD: King dollar is back on US economic exceptionalism

US October Flash Services PMI rose to 50.9 vs 49.9 expected, highest reading since July 2023 Eurozone October Flash Services PMI fell to 47.8 vs 48.6 eyed, lowest reading since Feb 2021 Eurozone October Flash PMI fell to 43.0 vs 43.7 eyed, 16th straight month of contraction The US dollar rose on both resilient economic data as non-tech earnings impress across the board. The US flash PMIs came in better-than-expected, clearly outperforming what we saw earlier from Europe. The data is vindicati

24-10-2023 12:47 GMT by Edward Moya

AUD/USD extends gains, employment report next

Australia's inflation expected to decline The Australian dollar has extended this week's gains. In the North American session, AUD/USD is trading at 0.6357, up 0.36%. Australia's inflation expected to continue falling Australia releases inflation on a quarterly basis, which magnifies the significance of each release.

24-10-2023 10:03 GMT by Kenneth Fisher

British pound edges lower as employment market cools

UK labour market cools UK Manufacturing and Service PMIs decline The British pound is slightly lower on Tuesday, after climbing 0.68% a day earlier. In the European session, GBP/USD is trading at 1.2218, down 0.23%. UK job growth, unemployment rises The UK has released "experimental" employment data on Tuesday, replacing the standard labour market survey due to falling response rates.

24-10-2023 08:03 GMT by Kenneth Fisher

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Podcast - ECB's upcoming rate pause, AU and US inflation data to monitor

OANDA Senior Market Analyst Kelvin Wong joins Jonny Hart to discuss several key highlights and events for this week; ECB monetary policy meeting (consensus is expecting a pause on interest rates in the Eurozone after ten consecutive rate hikes), Australia's Q3/monthly (Sep) inflation data, and US PCE inflation data (Sep). https://open.spotify.com/episode/3U27ENSLyHyLSVjYD6Vntn

24-10-2023 04:39 GMT by Kelvin Wong

Japanese yen shrugs after PMI releases

Japanese PMI point to softness in manufacturing and services Speculation rises that BoJ could tweak yield control policy The Japanese yen has edged higher on Tuesday. In the European session, USD/JPY is trading at 149.44, down 0.18%. Japan posts soft PMIs Japanese Flash PMIs for October failed to impress, but the impact on the Japanese yen was muted.

24-10-2023 04:28 GMT by Kenneth Fisher

USD/JPY bullish momentum seems to be fading

USD/JPY’s current year-to-date outperformance has started to dissipate based on a shorter-term one-month rolling basis. A disappointing Japan Services PMI (flash) for October has failed to ignite an intraday bullish movement in USD/JPY. Three main factors that are likely to be the cause; intervention risk, inter-market expectations, and momentum. Watch the key 20-day moving average on the USD/JPY, now acting as support at 149.30. The major uptrend phase of the USD/JPY in place since mid-January

24-10-2023 02:27 GMT by Kelvin Wong

BTC/USD: Is Bitcoin Back?

Bitcoin hits $31,000, highest levels since July Michael Saylor's MicroStrategy Bitcoin position turns positive (average $29,582 purchase price) Major bond market yield reversal keeps cryptos broadly supported (Eth up 3.4%, Solana up 2.4%, and Dogecoin up 4.9%) Bitcoin is rallying alongside tech stocks as the bond market has a major reversal. Today's rally that took prices to a three-month high is not about spot Bitcoin ETF optimism but about a significant reversal in the dollar and 10-year Tre

23-10-2023 14:57 GMT by Edward Moya

EUR/USD: Dollar drops as Treasury yields reverse initial surge to 5.00%

10-year Treasury tested 5.00% for the first time since 2007 This latest bond market selloff could lead to a harder-hitting economic slowdown Strategists don't believe the recent data support this bond market move; strong buying emerged once yields hit 5.00% Wall Street is trying to understand how the US economy will be able to deliver a soft landing as Treasury yields trade at cycle highs. A fourth quarter slowdown is here but that is only happening from a high baseline, which will probably be

23-10-2023 13:26 GMT by Edward Moya

Euro extends rally, German and Eurozone PMIs next

Euro rally continues Germany, eurozone PMIs to be released on Tuesday The euro has started the week with strong gains and has pushed above the 1.06 line. In the North American session, EUR/USD is trading at 1.0624, up 0.45%.

23-10-2023 13:24 GMT by Kenneth Fisher

GBP/USD drifting, UK employment report next

UK retail sales slide in September UK releases employment data on Tuesday The British pound is showing very limited movement on Monday. In the North American session, GBP/USD is trading at 1.2154, down 0.07% UK employment expected to slide The UK delayed has delayed the release of employment and unemployment data until Tuesday, after releasing wage growth last week.

23-10-2023 09:58 GMT by Kenneth Fisher

Japanese yen flirts with 150, PMIs next

USD/JPY briefly pushes below 150 Japan releases PMIs on Tuesday The Japanese yen is trading quietly on Monday. In the European session, USD/JPY is trading at 149.98, up 0.07%. The yen showed little movement last week, hovering just shy of the symbolic 150 line.

23-10-2023 07:05 GMT by Kenneth Fisher

GBP/USD - UK consumer activity cools in the run-up to the festive season

UK retail sales -0.9% in Setember (-0.3% expected) UK Gfk consumer confidence -30 in October (-20 expected) GBPUSD losing momentum near recent lows UK consumers are reining in spending in the run-up to the festive season and the latest survey from Gfk suggests it's not just the weather that's driving it. Retail sales fell 0.9% in September, far exceeding expectations of a 0.3% decline as unseasonably warm weather weighed on sales of Autumn clothing. While that's not a new phenomenon, weather is

20-10-2023 08:49 GMT by Craig Erlam

Canadian dollar calm ahead of retail sales

Canada to release retail sales later today Fed's Powell says inflation still too high, lower growth needed The Canadian dollar has edged higher on Friday. In the European session, USD/CAD is trading at 1.3688, down 0.23%.

20-10-2023 07:50 GMT by Kenneth Fisher

Forex: all news & analysis