BOE lowers again and adds more QE

GBPUSD, H1 The BOE lowered rates to 0.10%. The BOE says it will increase holdings of government bonds (new QE). The vote was unanimous. It has been a traumatic first week for the new Governor Andrew Bailey. Cable leapt to 1.1650. Earlier the Pound posted a fresh 35-year low against the Dollar at 1.1451. The …

FX Update – March 9 – Risk Averse Rules

USDJPY, H1 The Yen surged by over 4% versus the commodity bloc currencies; massive intra-day movements by the standards of trading in the prevailing era as global markets slammed the risk-off button amid heightening panic about the global economic impact that the COVID-19 virus pandemic is having. Oil prices were hammered, diving by a staggering …

Events to Look out for Next Week

After the sell-off in global markets this week, markets will be closely monitoring the relative impact of the COVID-19 virus. Elsewhere, focus will be on the BoC and RBA meetings and Super Thursday but also UK-EU talks. Official talks on the deal regulating the future relationship between the UK and the EU will start next …

Events to Look Out For Next Week

Markets are restive on the rapid spread of the nCoV and its impact on the global economy, especially after reports that factories in China will remain closed into next week. Meanwhile, any announcement about the prospects for trade talks between the UK and US could come into the spotlight. These come alongside growth rate data …

EURUSD & FOMC Preview

EURUSD, H1 EURUSD edged out a fresh two-month low at 1.0994, racking up today as the sixth consecutive trading day where a lower low has been seen. The new low is the culmination of a moderate downtrend that’s been unfolding over the last couple of weeks, from levels above 1.1150. The Dollar has been outperforming …

Events to Look Out For Next Week

An important week is coming up with regards to economic announcements and central banks, as PBoC, BoJ, BoC and ECB rate decision are expected to take place although none are expected to shake the market. Meanwhile, reduced liquidity will define trading on Friday as the Chinese Lunar New Year holiday begins. Monday – 20 January …

2020: A challenging year for the UK

Today the Pound dove over 0.5% on BoE remarks from Governor Carney, who, despite noting some early signs of improvement since last month’s election, described economic growth as remaining below potential while disclosing that members have been discussing stimulus. Meanwhile, on the Brexit front, the Withdrawal Agreement Bill is set to comfortably pass the remaining stages …

FX Update – December 30 – USD Pressured

EUR, JPY & CAD, H1  The Dollar has continued to trade softer in thin markets. The narrow trade-weighted USDIndex (DXY) ebbed to a 17-day low at 96.73. The Index has racked up a near 1% loss over the last week, which has come as global stock markets rallied to fresh major-trend highs, or record highs …

Events to Look Out For Next Week

Brexit is finally getting underway and global trade talks progressing in this final weeks of 2019. Although, the risk around these events has been trimmed, ample uncertainties remain, leaving scope to further whipsaw markets into the new year. Holiday-thinned staffing in Europe, Asia and the US in the middle of the week ahead will severely …

Politics & Trade News spice up narrow ranges

USDJPY, H1 Politics remain front and centre today. 3 significant events in an otherwise light US data day. The House has announced 2 articles of impeachment against President Trump. Earlier there were headlines saying the US and China are discussing ways to deescalate the tariff conflict such that there could be a delay to the …