Daily Market Analysis

Daily Market Comment – Dollar gets a second wind after US payrolls, can it last?

Posted on August 10, 2020 at 10:44 am GMT

Decent US jobs report triggers a short squeeze in the dollar Is the reversing trend in European/American virus cases going to show up in euro/dollar? Trump signs executive orders to bypass Congress and provide more stimulus Muted market reaction to this – does it imply less stimulus overall? Dollar shorts get squeezed after payrolls The world’s reserve currency got a second wind on Friday, recovering some lost ground after a decent US employment report saw traders cover or trim some [..]

Daily Market Comment – Trump fans the geopolitical flames ahead of NFP

Posted on August 7, 2020 at 10:49 am GMT

Nonfarm payrolls to set the tone for markets, along with stimulus negotiations Trump fires another salvo at Beijing, bans transactions with Tencent, moves to delist Chinese firms Geopolitical worries keep dollar alive, Wall Street set to snap 5-day winning streak Nonfarm payrolls: A most uncertain one The main event today will be the US employment report for July. The consensus is for the US economy to have added another 1.6 million jobs, pushing the unemployment rate down to 10.5%, from [..]

Daily Market Comment – Bank of England lifts sterling; dollar battered but still standing

Posted on August 6, 2020 at 8:49 am GMT

Sterling jumps after BoE seems reluctant towards negative rates, upgrades forecasts Stocks climb, dollar resumes downfall as markets keep betting Congress will deliver Dollar testing a crucial support area again – tomorrow’s NFP may be pivotal Otherwise, the spotlight remains on whether Congress will reach a deal soon BoE strikes a more cheerful tone, pound listens The Bank of England (BoE) unanimously voted to keep its policy unchanged today and struck a fairly optimistic tone. Even though it acknowledged the [..]

Daily Market Comment – Nasdaq conquers new heights as US infections slow down

Posted on August 4, 2020 at 8:37 am GMT

Stocks gain altitude on slowing contagion and encouraging data Most currencies trade in wide ranges, but go nowhere Overall, market focus remains on Congress, where little progress is apparently being made Nasdaq hits new records as tech keeps the dream alive Positive sentiment dominated financial markets at the onset of the new week, with global stock indices and risk-sensitive commodities like oil edging higher, powered by a persistent slowdown in US infections and some encouraging manufacturing numbers. America reported fewer [..]

Daily Market Comment – Dollar shrugs off ratings downgrade, RBA in focus

Posted on August 3, 2020 at 8:29 am GMT

Dollar rebounds on profit-taking and short-covering, despite Fitch downgrade – is this a dead cat? Stocks remain near highs as tech giants fly, next big move depends on Congress Australia tightens lockdown in Victoria, telegraphing dovish shift by RBA overnight Dollar shows signs of life, but is it just flows? The world’s reserve currency staged a comeback on Friday and continues to lick its wounds at the start of the new week, shrugging off a credit ratings downgrade by Fitch. [..]

Daily Market Comment – Dollar resumes slide; stocks struggle but tech bucks the trend

Posted on July 31, 2020 at 8:55 am GMT

Dollar slumps again as US economy crashes, heads for fiscal cliff Euro, pound and aussie catapult higher but yen’s jump raises eyebrows European and Asian shares skid but big tech earnings lift Nasdaq Dollar on track for worst month in decade The US dollar is headed for its worst monthly performance in nearly 10 years as economic and political woes in America increasingly undermine the world’s reserve currency just as the outlook elsewhere brightens somewhat. The US economy collapsed by [..]

Daily Market Comment – Fed soothes stimulus anxiety; dollar pares losses

Posted on July 30, 2020 at 8:53 am GMT

Fed tight lipped on new forward guidance but reaffirms pledge on easy policy Stocks buoyed but cautious ahead of tech earnings, US GDP and jobs data Dollar falls on Powell remarks, then bounces back; gold slips Fed maintains course, ups pressure on Congress The Federal Reserve left monetary policy unchanged on Wednesday but warned of a “slowing in the pace of the recovery”. Having already implemented a full range of tools in its fight against the coronavirus, the Fed’s decision [..]

Daily Market Comment – Tough stimulus talks weigh on markets; dovish Fed might help

Posted on July 29, 2020 at 8:32 am GMT

Dollar finds support from stalled stimulus talks amid splits in Congress Stocks struggle on poor earnings, stimulus delay; gold pauses rally Fed might bring some cheer if it reinforces dovish message Fiscal cliff worries mount as talks drag on Fears that the United States could be headed for a fiscal cliff undermined investor sentiment on Wednesday as Congress was no closer to reaching a deal on a new virus relief bill. An agreement before the month-end deadline is looking increasingly [..]

Daily Market Comment – Dollar selloff eases; gold pulls back after setting fresh record

Posted on July 28, 2020 at 8:52 am GMT

Dollar crawls higher as Republicans finally unveil new stimulus proposal Gold touches $1,980/oz before pulling back, eyes dovish Fed Wall Street turns positive ahead of key earnings, likes weaker dollar Dollar attempts to end losing streak There was some respite for the US dollar on Tuesday as the heavy selling that has sunk the currency to more than two-year lows eased a little. The dollar index fell for the seventh straight session on Monday as signs of a faltering recovery [..]

Daily Market Comment – Gold reaches for the sky, euro soars too as dollar sags

Posted on July 27, 2020 at 8:51 am GMT

Uncertainty about US outlook pushes dollar to 22-month low, lifting gold and euro Precious metal hits all-time high as Sino-US tensions boost haven demand Stocks steadier after selloff; earnings and FOMC meeting in focus US virus cases could be slowing but dollar still rattled The US dollar plumbed fresh lows on Monday, slumping to the lowest in nearly two years against a basket of currencies, as investors shunned the world’s number one reserve currency in favour of the traditional safety [..]

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