Daily Market Analysis

Forex Market Review (Asian Session) – Dollar retreats after FOMC minutes; aussie dips on weak China PMI

Posted on April 6, 2017 at 7:21 am GMT

The US dollar extended losses during the Asian session today and remained under pressure after a big drop following Wednesday’s release of the FOMC minutes. Sentiment is broadly risk off in the markets today as investors turn their focus to a two-day meeting between US President Donald Trump and Chinese President Xi Jinping that begins today. Meanwhile, Friday’s US jobs report is also a big risk event that would keep investors cautious. The minutes of the Federal Reserve meeting that [..]

Forex Market Review (European Session) – Dollar gains on robust ADP jobs; sterling lifted by services PMI

Posted on April 5, 2017 at 2:49 pm GMT

Sterling was one of the best performing major currencies after UK data surprised to the upside. The dollar jumped higher after ADP jobs beat expectations. After a relatively quiet start to the European session, the dollar moved out of its range and rallied strongly against the yen on the robust ADP data, to break above the key 111-yen level. The ADP employment report released today showed private payrolls in the US rose by 263,000 in March, which was far above the 187,000 [..]

Forex Market Review (Asian Session) – Quiet session ahead of risk events; oil rises after fall in stockpiles

Posted on April 5, 2017 at 7:53 am GMT

There was limited price action today as investors remained sidelined ahead of big risk events coming up this week. Major currencies mostly traded in tight ranges during the Asian session, with risk-off sentiment keeping trading volumes low, while a lack of major economic releases kept the market focus on the meeting between US President Donald Trump and China’s President Xi Jinping that will last two days, starting on Thursday. This will be the two leaders’ first face-to-face meeting since Trump took [..]

Forex Market Review (European Session) – Yen benefits by risk-off sentiment; dollar index gains

Posted on April 4, 2017 at 3:05 pm GMT

Today’s European session was relatively light in terms of data releases, with US factory orders and trade figures out of the US and Canada, as well as Eurozone retail sales being among the economic releases attracting attention. Beyond these, the strengthening of the yen was indicative of the market’s tilt towards risk aversion. Yesterday’s terror attack in St Petersburg, in conjunction with the uncertainty surrounding the meeting between US President Donald Trump and his Chinese counterpart Xi Jinping, taking place [..]

Forex Market Review (Asian Session) – Dollar broadly weaker as yen, gold rise on safe haven demand; aussie falls after RBA

Posted on April 4, 2017 at 7:38 am GMT

The Australian dollar fell after the Reserve Bank of Australia’s policy meeting. Safe haven assets such as the yen and gold were some of the best performers in a broadly risk averse environment in the markets today, as investors were being cautious ahead of major risk events later in the week. The RBA kept the cash rate unchanged at 1.50% after a policy meeting today, as was widely expected. The Bank’s statement raised concerns about the overheated domestic housing market [..]

Forex Market Review (European Session) – Sterling falls on poorer than expected PMI data; dollar backtracks from earlier gains

Posted on April 3, 2017 at 3:04 pm GMT

Traders were hit with manufacturing data out of the US, Eurozone and the UK during today’s European session. Eurozone unemployment and producer prices were among the day’s releases as well. The dollar index was flat in late European session trading after giving up on gains made earlier in the day. Dollar / yen was last slightly down for the day at around 111.10. The euro fell to a near three-week low of $1.0649 after mixed Eurozone data before recovering to [..]

Forex Market Review (Asian Session) – Aussie pressured by weak retail sales; greenback steady after tumble on dovish Dudley comments

Posted on April 3, 2017 at 7:31 am GMT

The aussie was one of the worst performing major currencies following weak Australian retail sales data. The dollar index, which measures the greenback against a basket of currencies, remained above the 100 psychological level. The yen was little changed after a report showed an improving outlook among Japan’s largest firms. The Bank of Japan’s Tankan survey rose for a second straight quarter to hit a one-and-a-half year high in March. The headline index for big manufacturers’ sentiment stood at plus 12 [..]

Forex Market Review (European Session) – Eurozone CPI disappoints; dollar flat

Posted on March 31, 2017 at 3:51 pm GMT

Market participants had a lot of information to digest in terms of economic releases as, among others, the day saw the release of final UK GDP data for the fourth quarter of 2016, Eurozone flash inflation estimates for March and US personal consumption expenditure (PCE) figures for the month of February. The greenback, as measured from the dollar index, was flat in late European session trading. Still the US currency had an otherwise strong week and should the dollar pick [..]

Forex Market Review (Asian Session) – Dollar on track for weekly gains after lift from US GDP data; China manufacturing PMI rises

Posted on March 31, 2017 at 7:53 am GMT

The US dollar is set to end the week with gains after being lifted by strong US GDP data and hawkish Federal Reserve officials who support further rate increases this year. The Australian dollar was underpinned by upbeat Chinese data. China’s official factory gauge rose to the highest level in almost five years, with the March manufacturing PMI coming in at 51.8 versus a 51.7 reading expected and was up from the previous 51.6 print. Today’s data points to stabilization [..]

Forex Market Review (European Session) – Weaker euro after German inflation misses estimates; Q4 US GDP revised upwards

Posted on March 30, 2017 at 2:45 pm GMT

The final estimate of fourth quarter GDP and jobless claims out of the US, as well as March German inflation and data pertaining to sentiment in the eurozone economy, including consumer confidence, were released today. Besides economic releases, the dollar was again edging higher today. The dollar index, which gauges the greenback’s strength relative to six major US trade partners, continued climbing today, though moderately. The index is partly pushed higher due to the dollar gaining momentum versus the euro, [..]

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