All Articles Tagged - Fed

Asian Session – Dollar extends gains after strong data; Euro down on ECB easing expectations

Posted on October 16, 2015 at 7:18 am GMT

The dollar extended yesterdays’ rally at the start of today’s Asian trading but fell back in late Asian session. Stronger-than-expected inflation and jobless claims data on Thursday boosted the dollar, calming fears about the strength of the US economy and raising the prospect of the Fed hiking interest rates this year. Adding to the dollar’s bullish sentiment were comments by Cleveland Fed President Loretta Mester. Speaking at an event in New York, Mester said she believes the US economy can [..]

Dollar firms on stronger-than-expected inflation figures

Posted on October 15, 2015 at 1:59 pm GMT

US consumer prices were unchanged in September on an annual basis as CPI fell to 0.0% from 0.2% the prior month. This was slightly above estimates that consumer prices would fall by -0.1%. On a month-on-month basis, CPI fell for the second month in-a-row to -0.2% from -0.1%, in-line with estimates. The core rate, which excludes food and energy, was also stronger-than-expected. Core CPI edged up to 0.2% month-on-month, above estimates of that it would rise by 0.1%. The 12-month [..]

Asian Session – Aussie and yen shrug off weak data to gain against dollar

Posted on October 15, 2015 at 7:20 am GMT

Weak retail sales data continued to weigh on the dollar on Thursday as investors remain doubtful whether the Fed would raise interest rates by the end of the year. However, Richmond Fed President Jeffrey Lacker appeared unconvinced by the recent disappointing data. Lacker said on Wednesday that the weak data does little to change his outlook for the US economy. The dollar fell to 118.71 yen in late Asian trading, having risen to 119.16 yen earlier in the session. The [..]

US retail sales miss estimates sending dollar lower

Posted on October 14, 2015 at 2:14 pm GMT

Retail sales in the United States remained near stagnant for the second straight month in September as consumers appear to be cautious about their spending plans despite lower gasoline prices. Total retail sales rose by just 0.1% month-on-month in September and were up 2.4% from a year ago. Consensus estimates were for retail sales to rise by 0.2% after not recording any growth in the previous month, revised figures showed today. When excluding motor vehicles and parts, retail sales fell [..]

European Session – Dollar weighed down by Fed as Euro eyes 1.14 dollars

Posted on October 12, 2015 at 2:12 pm GMT

After a positive close in Asia, equities in Europe were mixed in quiet trading with a light calendar for European data. Trading is also expected to be very thin in the US session due to Columbus Day celebrations. The US dollar drifted lower for much of the day but bounced back from three-week lows. The greenback was weighed down by comments from Fed Vice Chairmen Stanley Fischer over the weekend. Speaking at the IMF’s annual meeting in Peru, Fischer said [..]

European Session – FOMC minutes boost risk, weaken dollar, oil above $50

Posted on October 9, 2015 at 2:36 pm GMT

The dollar pushed lower against most major currencies today in reaction to the minutes of the Federal Reserve’s latest policy meeting. The FOMC minutes released on Thursday suggested the US central bank was in no hurry to raise interest rates after its “on hold” decision at last month’s meeting. This left investors to push back expectations of a rate hike until next year. Fed policymakers were still watching US inflation rates and the impact of slower global growth when considering [..]

Asian Session – Dollar down as global equities fall sharply on growth fears

Posted on September 30, 2015 at 12:05 pm GMT

Global equities extended their rout on Monday with major European indices falling by over 2%, while the S&P500 in the US closed down by 2.6%. Asian stocks fell sharply today in response with Tokyo’s Nikkei 225 index closing 4% lower and China’s Shanghai SE Composite index down 2.5% in late Asian trading. The latest selloff was triggered by data from China showing the biggest fall in industrial companies’ profits in four year, heightening fears of a deep slowdown. Meanwhile, the [..]

European Session – Dollar falls versus yen on rate hike expectations after Dudley’s comments

Posted on September 28, 2015 at 2:28 pm GMT

The yen was the best performing currency due to risk off sentiment today. Investors are being cautious ahead of key risk events this week, which include US nonfarm payrolls and Chinese manufacturing PMI. The dollar started off the European session strong against the euro and the pound but then weakened across the board in early US session trading on comments by New York Fed President William Dudley. The euro traded below the key 1.1200 level and gradually weakened against the [..]

US consumer spending in August beats estimates; dollar reverses initial gains

Posted on September 28, 2015 at 2:21 pm GMT

Personal consumption expenditure in the US rose by 0.4% month-on-month in August, maintaining the uninterrupted positive growth recorded since February. The figure compares with an upwardly revised 0.4% growth in July and beats expectations that it would come in at 0.3%. Personal income also continued to grow, rising by 0.3% month-on-month in August, though this was below estimates of 0.4% and down from July’s upwardly revised 0.5%. Spending on durable goods was up by 1.2% but slightly down from July’s [..]

US GDP revised up again in Q2 on stronger consumer spending

Posted on September 25, 2015 at 2:17 pm GMT

US economic growth was revised higher again in the second quarter of the year. The third estimate of GDP growth in the second quarter was revised up from 3.7% to 3.9% on an annualized basis. This comes after the second estimate was revised higher from 2.3% to 3.7% back in August. Forecasts were for GDP growth to stay unrevised. The upward revision was attributed mainly to stronger consumer spending but higher construction also drove growth during the period. Personal consumption [..]

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