All Articles

US dollar soars on Fed tightening nervousness, weak euro The euro and yen have tumbled since Thursday, and US bond yields have noticeably firmed once again as Fed rate hike fears increase the closer we get to May’s FOMC. That has combined to punish the dollar index substantially higher, rising 0.50% to 100.33 on Thursday.

18-04-2022 05:51 GMT by Jeffrey Halley

Fed hike concerns weigh on Asia

Asia equity markets tumble on China/US fears Equity markets finished weaker in the US on Thursday as investors took risk off the table ahead of the long weekend, and Fed rate hike fears pushed US yields sharply higher, spiking equity prices. The S&P 500 fell 1.21%, the rate-sensitive Nasdaq tumbled by 2.14%, while the Dow Jones retreated by 0.32%, backstopped by firm oil prices.

18-04-2022 05:23 GMT by Jeffrey Halley

China GDP beat reveals cracks

With most of Europe, as well as Hong Kong, Australia, and New Zealand on holiday today, the focus of the day has been on this morning’s tier-1 data releases from China. China GDP YoY for Q1 beat expectations, rising by 4.80% (4.50% exp), and rising 1.30% QoQ (0.60% exp).

18-04-2022 04:47 GMT by Jeffrey Halley

Aussie under pressure from Fed, China

The Australian dollar has extended its losses today, as AUD/USD trades just above the 0.74 line in the European session. It has been a rough stretch for the currency, which has managed just one winning session since April 5th. The Australian dollar has been hurt by the Fed-powered US dollar as well as concerns about China's growth, as the country grapples with an outbreak of Covid. The Federal Reserve has embarked on a rate-tightening cycle, which began with a 0.25% hike at the March meeting.

15-04-2022 08:57 GMT by Kenneth Fisher

USD/JPY - up, up and away

The Japanese yen can't seem to buy a break, as the currency has been pummelled by the US dollar, and is down by a massive 9% this year. Earlier today, USD/JPY hit 126.68, its highest level since May 2002.

15-04-2022 07:35 GMT by Kenneth Fisher

Euro slides after ECB meeting

The euro has steadied on Friday, as EUR/USD trades slightly above the key 1.0800 line. Euro falls to April 2020 lows ECB policymakers didn't have much to say at the policy meeting on Wednesday, and the lack of any action was the rub that bothered investors and sent the euro lower by over 1% to 1.0757, its lowest level since April 2020. For those keeping track, it has been a miserable month of April, with EUR/USD down 2.23%. What did we learn from the ECB meeting?

15-04-2022 05:51 GMT by Kenneth Fisher

Week Ahead -The bond market selloff continues

The bond market selloff did not ease up heading into the long holiday weekend and traders will have to soon decide if they decide to sell in May and go away. The upcoming week is filled with another round of earnings, major economic data out of China, a French debate, and a wrath of commentary from finance ministers and central bankers at the IMF/World Bank spring meetings.

14-04-2022 16:32 GMT by Edward Moya

US Close: Retail Sales weighed by energy price surge, Musk’s calculated Twitter offer, Commodities hit hard by strong dollar, Bitcoin below $40k

Wall Street is ready for a long weekend and stocks are struggling here after mixed bank earnings and a retail sales report that showed the consumer is spending more money on essentials. The second act of bank earnings rewarded Goldman and Morgan Stanley for strong trading revenues, while Citigroup was hampered by their exposure to Russia and Wells Fargo posted disappointing revenue and net interest income.

14-04-2022 14:27 GMT by Edward Moya

Australian dollar falls on US retail sales

The Australian dollar is in negative territory today, as it trades slightly above the 0.74 line in the North American session. Australia's employment report was respectable, and the Australian dollar's reaction was muted. The economy created 17.9 thousand new jobs in March, down from 77.4 prior and shy of the estimate of 40.0 thousand. The unemployment rate remained at a sizzling 4.0%, the lowest since 2008. Today's numbers are unlikely to shed much light on the timeline for the RBA's expecte

14-04-2022 11:55 GMT by Kenneth Fisher

ECBs unhelpful ambiguity

European stocks are edging higher ahead of the long bank holiday weekend, ending the week not far from where they started as investors mull the latest policy decisions, inflation data and earnings. There's been a number of interest rate hikes this week, some more expected than others, while the ECB has instead opted for the usual cocktail of unhelpful ambiguity. Anyone hoping for a hawkish hint ahead of its next meeting and forecasts will no doubt be very disappointed, albeit not surprised.

14-04-2022 10:25 GMT by Craig Erlam

Oil drifting, gold pares gains

Oil remains rangebound after recovery this week Oil prices are a little lower on Thursday after rallying strongly the previous two days. The flirtation below USD 100 didn't last long as the slight lifting of restrictions in China partly removed one key downside risk for prices.

14-04-2022 10:23 GMT by Craig Erlam

BoC hike boosts Canadian dollar

Canadian dollar climbs to 1-week high The Canadian dollar is drifting on Thursday, after posting strong gains a day earlier following the BoC rate decision. The Bank of Canada raised interest rates by 0.50% on Wednesday, the first G-7 central bank to do so. It marked the BoC's largest rate hike since 2000.

14-04-2022 08:48 GMT by Kenneth Fisher

Euro edges up ahead of ECB meeting

The euro has posted slight gains ahead of today's ECB policy meeting and is trading at 1.0916 in the European session. ECB expected to maintain rates We are seeing central banks respond to spiralling inflation with tighter policy. On Tuesday, both the Reserve Bank of New Zealand and the Bank of Canada implemented super-size increases of 0.50%, although the Canadian and New Zealand dollars moved in different directions after the moves.

14-04-2022 05:46 GMT by Kenneth Fisher

Oil and gold rally

Oil prices rally again overnight Oil prices ignored the peak inflation noise from equity and currency markets, posting another day of sharp increases as concerns around tight supplies globally persist and China Covid restrictions were eased in Shanghai. The difference in perceptions between the various asset classes could not be starker now.

14-04-2022 04:39 GMT by Jeffrey Halley

US dollar in peak inflation hopes

US dollar retreats Rallies by the euro and sterling pushed the US dollar lower overnight as markets in New York continued to price in peak inflation expectations and assume that all the Fed tightening was now priced into US markets. The dollar index fell sharply by 0.46% to 99.85 after touching my initial target of 100.50 earlier in the day.

14-04-2022 04:27 GMT by Jeffrey Halley

New York rally lifts Asian equities

Markets higher after US inflation report Wall Street ignored weak JP Morgan Q1 results and instead continued to focus on the peak US inflation theme overnight, sending US equities sharply higher. The S&P 500 rose 1.12%, the Nasdaq leapt 2.03% higher, and the Dow Jones climbed by 1.05%.

14-04-2022 04:11 GMT by Jeffrey Halley

Hawks fill the skies

The procession of central banks hiking rates in an attempt to see off inflation has continued over the last 24 hours. The Bank of Canada hiked by 0.50% overnight, and the Bank of Korea sprung a surprise 0.25% hike this morning.

14-04-2022 03:59 GMT by Jeffrey Halley

Oil rally returns, Gold eyes USD 2k

Oil Crude prices were unfazed after the EIA crude oil inventory report posted the biggest build since March 2021. Overall, the EIA report was mixed as the massive build was offset by improving gasoline and jet fuel demand, while US production remained steady.

13-04-2022 12:49 GMT by Edward Moya

Stocks rebound as yields decline, JPMorgan struggles with inflation and suffers Ukraine loss, Delta’s tremendous demand, BOC leading aggressive tightening race, bitcoin holds $40,000

Earnings season is here and so far the takeaway is that the short-term outlook for the economy is pretty good and that the consumer is handling widespread price increases. US stocks are rebounding as the bond market selloff appears to be over for now.

13-04-2022 12:47 GMT by Edward Moya

Oil rises, gold extends rally

Oil pushing higher as OEPC continues to disappoint Oil prices are continuing to push higher after spiking on Tuesday. The slight easing of restrictions in China and pushback from OPEC to EU requests for higher output triggered a sharp rally yesterday just as the price was flirting with double digits.

13-04-2022 12:38 GMT by Craig Erlam

All news & analysis