AUDUSD

Daily Market Comment – Nasdaq charges higher, pound feels heat of negative rates

Posted on May 21, 2020 at 10:42 am GMT

Stocks defy economic gravity; Nasdaq closes in on record highs But markets more cautious Thursday, after Trump’s twitter storm vs China Pound rebound falters as BoE Governor doesn’t rule out negative rates Dollar finds its footing ahead of speeches by Fed’s top echelon Nasdaq approaches all-time high, but futures retreat Close your eyes and you wouldn’t know we are in the middle of a deep recession. At least not by looking at the Nasdaq 100 (+2%), which closed less than [..]

Australia’s spat with China may spell doom for its economy and the aussie – Special Report

Posted on May 21, 2020 at 7:46 am GMT

Sino-Australian relations sank to a new low this week after China unexpectedly slapped 80.5% tariffs on Australian barley imports, possibly signalling a new front in the global trade war. China buys about 30% of Australia’s exports and its decision comes days after blacklisting four Australian abattoirs that export beef. But while China’s actions must be ringing alarm bells in Canberra, the Australian government is not planning retaliatory tariffs, adding weight to speculation that there’s more than meets the eye in [..]

Technical Analysis – AUDUSD keeps upside risks in play above 0.6400

Posted on May 21, 2020 at 7:33 am GMT

AUDUSD continues to send bullish signals in the daily timeframe as the price further enhanced its two-month old uptrend after stepping on the 0.6400 level and printing another higher high at 0.6615 on Wednesday. In the short-term, some weakness cannot be ruled out as the price is hovering around the upper Bollinger band and the RSI seems to be losing steam towards its 50 neutral mark. That said, any retracement would not be a big worry unless the market closes clearly below [..]

Daily Market Comment – Stocks trapped in ‘no man’s land’, but yen slides

Posted on May 20, 2020 at 9:15 am GMT

Equities pull back as vaccine doubts set in, still stuck in a range Yet broader FX market in a ‘risk on’ mood, yen bruised by BoJ news Bank of England speakers in focus today ahead of Fed minutes Markets look for another catalyst as vaccine rally falters The vaccine-powered euphoria that propelled stocks higher at the start of the week gave way to skepticism on Tuesday, as reports blasted the lack of data in Moderna’s vaccine study, stressing that the [..]

Daily Market Comment – Vaccine hopes power markets higher, can Powell add more fuel?

Posted on May 19, 2020 at 9:17 am GMT

Vaccine headlines, Fed stimulus bets, and EU recovery package propel stocks higher Yen, dollar, and franc suffer as euro and commodity currencies cheer Fed chief testifies before US Senate today (14:00 GMT), can he keep the ‘party’ going? Perfect storm for stocks Risk appetite returned with a vengeance to global markets on Monday, with the S&P 500 (+3.15%) having its best day in weeks amid a perfect storm of news around a virus vaccine, more Fed stimulus, and a European [..]

Daily Market Comment – Stocks and gold climb as Fed hopes overpower trade fears

Posted on May 18, 2020 at 9:23 am GMT

US equities set to open higher, gold soars after Fed chief’s ‘whatever it takes’ moment But escalating US-China tensions & second wave fears lurking in the background Pound sinks as investors brace for Brexit talks to fall apart Powell turbocharges gold, lifts stocks Global markets are in a good mood on Monday, with commodity currencies recovering and Wall Street set for a ~1.5% higher open, following a ‘whatever it takes’ moment from Fed Chairman Powell. In remarks published over the [..]

Daily Market Comment – US-China tensions simmer but markets still betting on recovery

Posted on May 15, 2020 at 8:55 am GMT

Trump threatens to “cut off” relationship with China as row over virus spread escalates But market fallout limited as hopes of recovery and more stimulus prevail Dollar headed for weekly gains, eyes US retail sales data Trump continues attack on China President Trump stepped up his fierce criticism of China as he continued to blame the country for failing to stop the spread of the coronavirus. Speaking to Fox Business Network on Thursday, Trump cast doubt on future trade links [..]

Daily Market Comment – Powell warns of lasting virus damage, empowers dollar but sinks stocks

Posted on May 14, 2020 at 8:49 am GMT

Fed Chair Powell delivers bleak assessment of US economy but rules out negative rates Dollar stands tall as Wall Street takes a dive, pulling global stocks with it Pound and kiwi slip to multi-week lows, aussie and loonie also on the backfoot Powell’s dire warnings kill hope of speedy recovery Fed Chairman Jerome Powell’s much anticipated speech took centre stage on Wednesday as the head of the world’s most powerful central bank delivered a detailed but grim view of the [..]

Technical Analysis – AUDUSD’s positive structure under stress

Posted on May 14, 2020 at 7:05 am GMT

AUDUSD’s positive picture recently received some trauma reversing the pair ahead of the 0.6569 peak, driving it under the 100-day simple moving average (SMA) and below the 0.6447 level, that being the 61.8% Fibonacci retracement of the down leg from 0.7031 to the 17½-year low of 0.5506. The increase in negative tensions is also suggested by the easing in positive momentum within the red Tenkan-sen line. Looking at the short-term oscillators, they too reflect some weakness in upside momentum. The [..]

With interest rates at zero, what will drive FX now? – Special Report

Posted on May 13, 2020 at 3:15 pm GMT

Interest rate differentials have traditionally driven the FX market, but now that every major central bank has slashed rates to zero, what will guide currencies? In a nutshell, it might be a blend of how high the risk of future shutdowns is, relative growth performance coming out of the crisis, global risk sentiment, and politics. The defensive yen seems attractive in this brave new world as it no longer suffers from a severe yield disadvantage, while the dollar’s role as [..]

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