We continue to see significant volatility from the Australian dollar. Last week, AUD/USD plunged 2.51%, its worst week since mid-August.
31-01-2022 04:46 GMT
by Kenneth Fisher
Forex: all news & analysis
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After a rollercoaster January, Wall Street is now expecting the Fed to aggressively raise interest rates over the course of the year as they scramble to control inflation. The US dollar is once again king as most economists are now expecting the Fed to deliver anywhere between 3-7 rate hikes this year.
The upcoming week is filled with a few big rate decisions from the RBA, BOE, and ECB.
28-01-2022 16:29 GMT
by Edward Moya
New Zealand dollar slides to 4-month low
The New Zealand dollar is in trouble. NZD/USD is down 0.57% on Friday, after posting losses for six consecutive days.
28-01-2022 07:53 GMT
by Kenneth Fisher
The US dollar is running roughshod over the Swiss franc this week. USD/CHF has shot up 2.16% this week, rising to its highest level since November.
28-01-2022 04:34 GMT
by Kenneth Fisher
Market volatility is not going away anytime soon as the ‘buy the dip’ crowd has a new motto, ‘sell the rally’. Today’s stock market rally did not last as corporate America reminded us that supply chain troubles persist, and profit forecasts are not providing any reasons to be optimistic. Many traders are still processing what happened yesterday with the Fed and the reality is that they missed an opportunity. It is hard to aggressively maintain a bullish stance with equities when you know the
27-01-2022 16:35 GMT
by Edward Moya
The US dollar has posted strong gains against the majors on Thursday, and GBP/USD has fallen 0.64% on the day, trading below the 1.34 line. It has been a dismal week for the pound, which has lost 1.29% in value.
Powell powers the US dollar upwards
The FOMC didn't make any changes to policy at Wednesday's meeting, but what the Fed said and didn't say was enough to cause more volatility in the fragile financial markets.
27-01-2022 12:38 GMT
by Kenneth Fisher
What started off as a calm week has turned into a rout. The euro is down 0.83% in the North American session and has fallen into 1.11 territory for the first time since June 2020.
27-01-2022 09:23 GMT
by Kenneth Fisher
USD/CAD has edged higher on Thursday and briefly pushed above the 1.27 line for the first time in three weeks. The Canadian dollar continues to lose ground and is down 1% this week.
Wednesday was a busy day on the central bank watch, with both the Bank of Canada and the Federal Reserve holding meetings. The BoC meeting was live, with analysts split as to whether the bank would raise rates.
27-01-2022 07:18 GMT
by Kenneth Fisher
The New Zealand dollar is in negative territory on Thursday, after posting five straight losing sessions. In the Asian session, NZD/USD fell below the 0.66 line for the first time since November 2nd and is down 0.40% on the day.
New Zealand CPI hits 5.9%
New Zealand consumer inflation surged to 5.9% in Q4, up from 4.9% in the third quarter.
27-01-2022 05:34 GMT
by Kenneth Fisher
Fed Day:
US stocks gave up earlier gains as Treasury yields surged after Fed Chair Powell signaled they will use their tools to make sure inflation does not become entrenched, paving the way for a March liftoff. Earlier, the stock market may have gotten too pessimistic and priced in too much of a slowdown that was going to come from an aggressive Fed tightening cycle.
26-01-2022 16:04 GMT
by Edward Moya
No breakout yet, though
The pound has been range-bound against the Canadian dollar for the last week and that remains the case so far today, despite the Bank of Canada holding off on raising interest rates.
It had been expected to start the tightening cycle today, with the market's pricing in up to five more over the course of the year after inflation hit a 30-year high and the labour market improved.
But with the central bank taking a more patient approach and instead laying the foundations
26-01-2022 11:58 GMT
by Craig Erlam
The British pound has ticked higher, trading just above the 1.35 line in the North American session. We could see stronger movement from GBP/USD later today, after the release of the FOMC policy decision. The British pound is sensitive to risk, so a strong reaction from the financial markets will likely be reflected in the pound's movement as well.
Investors are keeping both eyes on the FOMC policy meeting, although policy makers are not expected to make any changes in monetary policy.
26-01-2022 11:44 GMT
by Kenneth Fisher
It has been a quiet week for the New Zealand dollar, but that could change later in the day, with two key releases. The Federal Reserve holds a policy meeting and New Zealand releases CPI for the fourth quarter.
The currency markets have been steady this week, in contrast to the equity markets, which have seen sharp drops ahead of today's FOMC meeting, the first in 2022.
26-01-2022 09:46 GMT
by Kenneth Fisher
The Canadian dollar is usually sleepy before the North American session. Today has been unusual, with the currency showing recording steady gains in the Asian and European sessions.
26-01-2022 05:53 GMT
by Kenneth Fisher
The euro continues to have a quiet week and is trading just shy of the 1.13 level.
All eyes on FOMC
It has been a calm week for the euro, but that could change later today when the FOMC releases its policy decision. Fed policy makers are in an unenviable position, as they strive to find that proper balance between responding to the inflation threat while also being careful not to be overly aggressive in raising interest rates. If the markets feel that the Fed has not achieved this delicate ba
26-01-2022 04:08 GMT
by Kenneth Fisher
Gold/FX
Gold is rallying as investors run to safety over fears the Fed will aggressively tighten policy and as the list of geopolitical risks continues to grow: The Russian-Ukraine standoff will remain a tense situation for the foreseeable future, North Korea may resume nuclear tests, and Iran nuclear talks are approaching a decisive moment. The dollar edged higher as the Treasury steadied into the start of the two-day FOMC policy meeting.
Oil rises over Russia/Ukraine jitters
Geopolitical r
25-01-2022 15:21 GMT
by Edward Moya
The euro has fallen below the 1.13 level in Tuesday trade. EUR/USD is trading at 1.1266 in the North American session, down 0.55% on the day.
Risk appetite down, greenback up
The US dollar is higher against all the majors except for the yen, as risk sentiment has taken a tumble.
25-01-2022 10:31 GMT
by Kenneth Fisher
Fundamentals remain bullish for oil
Oil got caught up in the sell-everything panic at the start of the week, sliding more than 3% at one stage before recovering a little. There wasn't much sense behind the move, but the fact that the dollar was strengthening and crude was already seeing profit-taking after peaking just shy of USD 90, probably contributed to it.
The market remains fundamentally bullish and conflict with Russia does nothing to alleviate supply-side pressures.
25-01-2022 09:25 GMT
by Craig Erlam
The Swiss franc is down sharply on Tuesday, with USD/CHF climbing above the 92 line for the first time in two weeks. In the North American session, USD/CHF is trading at 0.9184, up 0.58% on the day. Investors will be keeping an eye on Swiss Economic Expectations which will be released on Wednesday.
25-01-2022 09:15 GMT
by Kenneth Fisher
The Japanese yen is slightly lower, as USD/JPY is trading at the 114 line in the European session.
BoJ Core CPI rises
After years of deflation, Japanese inflation indicators continue to point upwards. The latest gauge to confirm the upswing was BoJ core inflation for December, which rose from 0.8% to 0.9% y/y, above the consensus of 0.7%.
25-01-2022 07:33 GMT
by Kenneth Fisher