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ECB raises rates by 25-basis points EUR settles down after soaring over 1% on Thursday EUR/USD is trading at 1.0948 in Europe, almost unchanged on the day. On Thursday, the euro surged 1.05% in the aftermath of the ECB rate hike. ECB hikes and signals more rate increases coming The ECB raised rates by 25 basis points on Thursday, bringing the benchmark rate to 3.50%, the highest level since 2001.

16-06-2023 09:08 GMT by Kenneth Fisher

USD/JPY rises as BoJ stays the course

Bank of Japan maintains interest rate and yield curve control policy Japanese yen falls below 141 The Japanese yen is under pressure and has lost ground on Friday. In the European session, USD/JPY is trading at 141.01, up 0.53%. Bank of Japan maintains policy The Bank of Japan made no changes to its policy settings at its policy meeting.

16-06-2023 08:11 GMT by Kenneth Fisher

Welcome to a bipolar world of monetary policies

Monetary policies and guidance of the 4 major central banks are moving in the opposite direction. US Fed and Eurozone ECB are in the hawkish camp while Japan BoJ and China PBoC are still in accommodating mode. K-shaped performance in USD against key G-20 currencies; JPY remained weak and CNH sideways, in contrast, the rest has strengthened against the USD. G-10 JPY crosses are bursting up. We have concluded three plus one monetary policy decisions outcome from four major G-20 central banks for

16-06-2023 02:22 GMT by Kelvin Wong

Oil still volatile near lows, gold recovers early losses, bitcoin slips further

Oil volatile near lows Oil prices remain volatile after inventory data published by EIA reported a substantial 7.9 million barrel build last week. Brent saw its gains on the day wiped out while WTI slipped back below $70.

15-06-2023 12:26 GMT by Craig Erlam

EUR/USD - ECB hikes interest rates and warns at least one more is coming

Should we take them for their word? The ECB raised interest rates by another 25 basis points today and signaled there's more to come as it significantly revised up its core inflation forecasts for this year and next. Prior to the meeting, markets were pricing in a hike today but perhaps no more after, something President Lagarde sought to actively discourage. During the press conference, Lagarde stated that "barring material change, very likely that we will continue to raise rates in July".

15-06-2023 12:12 GMT by Craig Erlam

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Video - Gold wobbled by hawkish Fed pause

OANDA Senior Market Analyst Craig Erlam discusses the Fed decision in detail and what it means for gold.

15-06-2023 11:39 GMT by Craig Erlam

Oil finds support, Gold crushed on global central bank tightening, Cryptos waver

China's oil demand stood at 14.6 million bpd, +17% y/y, but down from a month ago Strong dollar killing gold as more rate hikes penciled in by Fed Global crypto market barely holds onto the $1 trillion level, down 3.5% to $1.02T Oil Crude prices are trying to find support as the global growth outlook remains vulnerable to further shocks from aggressive rate hiking campaigns. The Fed will keep the short-term outlook volatile as they are eyeing further rate hikes, while China rushes to deliver s

15-06-2023 10:30 GMT by Edward Moya

Stocks suffering from a Fed hangover, ECB signals a July hike

ECB hikes rates by 25bps and hot inflation outlook sends euro higher Wall Street starts to doubt Fed hiking pledge Fed swap futures suggest a 62% chance of a rate hike at July 26th meeting US stocks are wavering after a data dump didn’t really give a clear signal about the economy. Wall Street is suffering from a Fed hangover that won’t go away anytime soon as the economy will remain vulnerable as further tightening seems likely.

15-06-2023 10:02 GMT by Edward Moya

USD/JPY - Yen slides to 7-month low after Fed, BOJ meeting next

Fed delivers a hawkish pause Bank of Japan meets on Friday Japanese yen falls sharply The Japanese yen has taken a tumble on Thursday. In the European session, USD/JPY is trading at 141.24, up 0.81%.

15-06-2023 04:49 GMT by Kenneth Fisher

USD/JPY Technical: Bullish breakout from 4-week range ahead of BOJ

Higher interest rates for longer periods from Fed’s latest monetary policy stance reinforced USD/JPY strength. USD/JPY staged a bullish breakout from its recent 4-week range. The next key intermediate resistances stand at 142.25 and 142.80 ahead of BoJ’s monetary policy decision tomorrow.

15-06-2023 04:38 GMT by Kelvin Wong

New Zealand dollar dips after soft GDP report

New Zealand GDP declines by 0.1% Fed takes a pause, but sends hawkish message The New Zealand dollar is in negative territory on Thursday, after surging 0.9% higher on Wednesday. In the European session, NZD/USD is trading at 0.6171, down 0.57%.

15-06-2023 03:29 GMT by Kenneth Fisher

Nikkei 225 Technical: Overstretched rally

Nikkei 225 has hit a 33-year high with a 2023 YTD return of +29%. Its 3-month up move has reached overstretched condition, more than two standard deviations above its 20-day moving average for three consecutive days. At the risk of a corrective pull-back with short-term bullish momentum dissipating. Fig 1: Japan 225 short-term trend as of 15 Jun 2023 (Source: TradingView, click to enlarge chart) Since its 16 March 2023 low, the Japanese benchmark cash stock index, Nikkei 225 has staged a ma

15-06-2023 00:28 GMT by Kelvin Wong

Euro strength headed into ECB policy meeting

The euro survived a hawkish Fed pause and now faces an ECB rate decision that should contain a rate hike and a promise for more. The ECB is expected to raise all three of its key rates by 25bps, which would bring the main refinancing rate to 4.o0%. The ECB will also update their staff projections, which should show some weakness and potentially signal they are nearing the end of their tightening cycle.

14-06-2023 16:32 GMT by Edward Moya

Powell tried to have a very hawkish Fed day

Fed held interest rates steady after 10 straight increases Fed Dot plots show two more small rate hikes are expected but swap futures only price in one rate increase Hawkish FOMC statement and projections undone as Powell was unable to convince markets that 2 more increases will likely happen US stocks initially tumbled after the Fed tried to deliver a very hawkish skip. A unanimous vote to pause the Fed’s rate hiking campaign also included a very hawkish dot plot.

14-06-2023 16:03 GMT by Edward Moya

All eyes on the Fed, bitcoin struggling

The big day has finally arrived and investors are seemingly in quite an upbeat mood going into the Fed interest rate decision. The inflation data on Tuesday appears to have settled any remaining Fed nerves with markets now pricing in more than a 90% chance that the central bank leaves rates unchanged. That seems a little overconfident given the data as a whole still paints quite a resilient and stubborn picture which could result in markets being caught out by a final hike, especially following

14-06-2023 12:08 GMT by Craig Erlam

Oil rebound continues, gold tentatively higher

Oil rebound continues but it remains in the middle of its lower range Oil is continuing to rebound today as technicals combined with promising developments in the US and China lift it off its lows. Brent was treading close to its 2023 lows, where it has fallen on a few occasions in recent months prior to this week.

14-06-2023 12:04 GMT by Craig Erlam

New Zealand dollar soars ahead of expected Fed pause

Fed is widely expected to hold off increasing rates New Zealand GDP is expected to decline marginally NZD/USD jumps 1.3% The New Zealand dollar has surged today as the markets anxiously await the Fed rate decision later in the day. In the North American session, NZD/USD is trading at 0.6229, up 1.36%. Will Fed pause as expected? All eyes are fixated on the Federal Reserve, which is widely expected to pause its rate hikes after increasing rates ten straight times.

14-06-2023 11:50 GMT by Kenneth Fisher

AUD/USD rally continues, Fed decision looms

Fed expected to pause rates Australian dollar powers higher Australia releases employment report on Thursday The Australian dollar continues to gain ground and is trading at 0.6795, up 0.42%. The Aussie has been red-hot in June, gaining 4.4%. Australia releases the May employment report early Thursday.

14-06-2023 08:36 GMT by Kenneth Fisher

British pound extends gains, Fed decision looms

US inflation dips Federal Reserve expected to pause rates BoE feels pressure after sizzling UK jobs report The British pound is in positive territory on Wednesday. In the European session, GBP/USD is trading at 1.2645, up 0.27%.

14-06-2023 07:42 GMT by Kenneth Fisher

Today’s FOMC will be a key focus for China and Hong Kong stocks

China proxies; Hang Seng Index, Hang Seng TECH, and Hang Seng China Enterprises have outperformed S&P 500 & MSCI All Country Asia ex Japan since 31 May. This outperformance has been reinforced by more impending monetary policy easing measures from China’s central bank, PBoC. The key risk to derail the current bout of animal spirits in China and Hong Kong stocks will be a further upward trajectory of the USD/CNH (offshore yuan). China’s top policymakers are now in a “heightened state of alert” m

14-06-2023 03:02 GMT by Kelvin Wong

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