All Articles Tagged - EURUSD

Weekly Comment – SNB meeting and PMI data eyed after the Fed’s rate hike

Posted on March 18, 2022 at 1:37 pm GMT

The Fed has started its tightening cycle, raising interest rates by 25 basis points and signalling six more rate hikes by the end of 2022. However, despite this hawkish tilt, equity markets staged a comeback, while the US dollar witnessed significant losses. In the upcoming week, an interest rate decision from the Swiss National Bank and a raft of PMI data from most major economies take centre stage, together with UK inflation and retail sales. The highlights: Flash PMI data [..]

Daily Market Comment – Stock markets come back to life, BoJ sacrifices the yen

Posted on March 18, 2022 at 9:49 am GMT

Stocks headed for solid weekly gains despite lingering risks Dollar softens but yen performs even worse as BoJ lags behind BoE raises rates in a cautious manner, dealing a blow to sterling Wall Street comeback Hopes for a peace deal in Ukraine and signals that China will open the stimulus taps wider helped global equity markets to shake off the blues this week, even as many of the risks behind the recent rout continue to linger. Between the ongoing war, [..]

US Open Note – Pound corrects lower after dovish BoE; commodities up again

Posted on March 17, 2022 at 2:29 pm GMT

Dollar weaker after hawkish FOMC The US dollar continued to trade lower against a basket of major currencies for the third consecutive day to reach 98.19 despite the strong hawkish message from the FOMC policy meeting late on Wednesday. The Fed acknowledged the Ukrainian geopolitical risks and slashed its growth projections by almost half to 2.8% for 2022 but raised interest rates by a quarter-percentage as widely expected. Strikingly, however, it signaled six more rate increases this year and pledged [..]

Daily Market Comment – Fed unleashes the hawks, will the BoE follow suit?

Posted on March 17, 2022 at 10:10 am GMT

Fed raises interest rates and signals another six hikes this year Despite hawkish message, Wall Street powers higher, dollar retreats Bank of England coming up next as sterling bounces back Fed gets the ball rolling The Federal Reserve officially kicked off its tightening cycle yesterday, raising interest rates by a quarter point. Although the rate hike itself was fully baked into money markets, the central bank still delivered a hawkish twist by signaling another six rate increases for this year [..]

Technical Analysis – EURUSD stalls after hitting upper Bollinger Band

Posted on March 17, 2022 at 8:08 am GMT

EURUSD has been trending downwards in the long term, generating a structure of lower highs and lower lows. Although the pair has been charging higher after finding its feet at the 22-month low of 1.0850, its upside move was recently rejected by the upper Bollinger Band. The momentum indicators suggest that bullish forces remain in control. The MACD histogram has crossed above its red signal line in the positive region, while the RSI is flatlining beyond its 50-neutral threshold. Should [..]

Technical Analysis – EURUSD stabilizes near 1.10 handle; broader bias remains bearish

Posted on March 16, 2022 at 1:49 pm GMT

EURUSD has managed to make some headways nearing the 1.1000 mark, following a one-month drop from the 1.1500 price vicinity that bottomed at a 22-month low of 1.0805. The descending simple moving averages (SMAs) continue to endorse the bearish outlook in the pair. The short-term oscillators are mirroring the increase in positive forces. The MACD, far beneath the zero threshold, has overstepped the falling red trigger line, while the RSI is improving in the negative zone. The stochastic oscillator’s %K [..]

Daily Market Comment – Dollar cools, equities storm back ahead of Fed decision

Posted on March 16, 2022 at 9:44 am GMT

Fed set to raise interest rates today, dot plot to drive markets Global stocks come back swinging, euro licks its wounds Russia might default on debt, Germany announces spending plans Fed – talk is cheap The Federal Reserve is widely expected to raise interest rates today. A quarter-point rate hike is already fully priced in, so the market reaction will boil down to what Chairman Powell says during his press conference, the details around balance sheet reduction, and the updated [..]

Daily Market Comment – Stocks under pressure, yen hammered as yields spike

Posted on March 15, 2022 at 9:51 am GMT

Inflation worries intensify, lifting yields ahead of Fed rate hike Stock markets under fire, especially tech sector and China plays Yen gets blasted, gold and oil retreat ahead of more peace talks Equities sink ahead of Fed liftoff Global markets are under an incredible amount of stress as the Fed prepares to pull the trigger on higher rates. The war in Ukraine and the latest lockdowns in China have set off a domino effect, with investors betting that the inflationary [..]

US Open Note – Markets hope for peace talks; US stock futures mixed

Posted on March 14, 2022 at 2:15 pm GMT

Risk mode on as Ukraine-Russia start the fourth round of discussions While there is no clarity on what the positive assessments from the latest Russian-Ukraine high-level talks are, markets continued to behave like the fourth-round of talks would result in another positive outcome today even if Russia’s attacks expanded closer to the Polish borders, and the war conditions remain largely unchanged. Another reason for the current risk-on tendencies is perhaps the fact that investors have started to adjust to the [..]

Daily Market Comment – War trades lose steam amid hopes for a ceasefire

Posted on March 14, 2022 at 9:43 am GMT

Signs of progress in peace talks spread some cheer in markets Safe havens and crude oil cool down, stocks and euro bounce back Fed and Bank of England set to raise interest rates this week War trades power down Financial markets have turned into one gigantic ‘war trade’ in recent weeks. Politics has overshadowed economics, with most assets driven entirely by the conflict in Ukraine. This phenomenon is on full display today after negotiators on both sides signaled progress in [..]

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