USDJPY

Specter of trade war returns to haunt markets – Special Report

Posted on May 9, 2019 at 2:43 pm GMT

Investor attention has turned back to trade, as the US considers whether to launch another round of tariffs on China early on Friday (04:00 GMT). If tariffs are indeed increased, that would probably send stock markets plunging as investors brace for China’s retaliation, or worse yet for a breakdown in the talks. In the bigger picture though, the most likely endgame is still that a deal will ultimately be reached. After months of optimistic comments from both the US and [..]

European Open Preview – Nervous markets await tariff decision

Posted on May 9, 2019 at 8:31 am GMT

Markets remain in risk-off mode ahead of tariff decision tonight Risks seem tilted towards escalation, but it’s a close call Dollar eyes remarks by Fed Chair Powell and PPI data Yen extends gains as nervous markets await tariff decision Market sentiment remains fragile on Thursday as the prospect of further escalation in the US-China trade conflict continues to dampen the appeal of riskier assets, leading investors to seek shelter in safe havens. Indeed, the Japanese yen outperformed all its major [..]

Technical Analysis – USDJPY remains under pressure below 110 key level

Posted on May 9, 2019 at 6:21 am GMT

USDJPY has been underperforming in the past two days, breaking back below the 23.6% Fibonacci retracement level of the upleg from 104.64 to 112.40, around 110.60, creating a bearish correction in the near term. When looking at the bigger picture the pair lacks a clear trend and has been consolidating within 104.60 and 114.55 since March 2017. The short-term technical indicators are bearish and point to more weakness in the market. The RSI indicator is flattening in the oversold territory, [..]

US inflation to inch higher in April but spotlight on trade talks – Forex News Preview

Posted on May 8, 2019 at 9:11 am GMT

The United States will report producer and consumer price data this week, but with neither indicator expected to alter the inflation outlook, the data will probably play second fiddle to trade headlines when it comes to the US dollar. The producer price index (PPI) is out on Thursday at 12:30 GMT, while the consumer price index (CPI) will be released on Friday, also at 12:30 GMT. CPI and PPI to edge higher Both headline and core CPI turned higher in [..]

European Open Preview – Risk aversion accelerates; RBNZ cuts

Posted on May 8, 2019 at 8:25 am GMT

Stocks plunge, haven assets shine as markets focus on trade risks RBNZ eases its policy, but kiwi bounces back Pound tumbles amid lack of progress in cross-party Brexit talks Risk aversion accelerates as trade worries prevail Trade concerns dominated price action on Tuesday, with global stock markets accelerating their losses while haven assets like the Japanese yen extended their gains, as traders continued to reduce their risk exposure ahead of crucial events later this week. Strikingly, there was no fresh [..]

European Open Preview – Stocks don’t ‘buy’ Trump’s threats; RBA holds fire

Posted on May 7, 2019 at 8:20 am GMT

US stocks stage comeback as markets doubt Trump’s tariff threats Aussie soars after RBA remains on hold RBNZ decides next – may also disappoint those looking for a cut Stocks bounce back as traders doubt Trump will escalate All eyes remain on the US-China trade conflict. Risk sentiment recovered yesterday as the session progressed, with US stock markets recouping most of their early losses to close only modestly lower. It seems investors didn’t really ‘buy’ Trump’s tariff threats, perhaps concluding [..]

European Open Preview – Trump threatens new tariffs, markets retreat

Posted on May 6, 2019 at 8:24 am GMT

Stocks fall, yen soars as Trump hints at new tariffs Dollar retreats after jobs data, but trade concerns provide support Sterling rebounds amid hopes for Brexit progress Trump warns of new tariffs on China, dents risk appetite Risk aversion is the name of the game on Monday, with investors diverting funds away from riskier assets like stocks and towards safe havens such as the Japanese yen, amid fears that the US-China trade conflict is ready to re-escalate. President Trump said [..]

Week Ahead – Aussie and kiwi braced for dovish RBA and RBNZ meetings; UK Q1 GDP also eyed

Posted on May 3, 2019 at 12:32 pm GMT

Central bank policy meetings in Australia and New Zealand will be the main focus next week with investors anticipating a further dovish tilt. Out of all the central banks that have turned dovish this year, the Reserve Bank of New Zealand is the most likely to cut rates and analysts are predicting a move as early as next week. In terms of economic indicators, UK growth figures for the first quarter will be the most important release followed by US [..]

US Jobs report awaited for direction after Powell’s comments – Forex News Preview

Posted on May 2, 2019 at 2:18 pm GMT

The widely expected US Nonfarm payrolls report is coming out on Friday at 1230 GMT to direct markets over the path of interest rates as this week’s comments by the Fed chairman, Jerome Powell, did not convince investors that the central bank’s next move is going to be a rate cut. Following the Federal Open Market Committee (FOMC) policy meeting which left interest rates unchanged on Wednesday, Powell surprisingly claimed at his press conference that the factors behind recent inflationary weakness are “transitory” and therefore the case for a rate [..]

European Open Preview – Dollar whipsaws after Fed; Pound holds firm ahead of BoE

Posted on May 2, 2019 at 8:05 am GMT

US dollar swings sharply after Powell tones down Fed’s dovish statement Hawkish Powell puts dent on equities rally Pound holds near highs ahead of Bank of England meeting as hopes rise May will agree to a customs union Rate cut bets ease after Powell’s press conference The Federal Reserve kept interest rates on hold yesterday as expected and the dollar initially fell on the announcement as the FOMC statement highlighted the recent decline in inflation. However, the greenback quickly reversed [..]

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