All Articles Tagged - Fed

Asian Session – Dollar maintains strength following Fed minutes

Posted on August 21, 2014 at 7:11 am GMT

The Federal Reserve minutes of the July policy meeting which were released on Wednesday gave a more hawkish-sounding tone and helped push the dollar higher. The minutes showed the Federal Reserve Open Market Committee (FOMC) were more willing to raise interest rates sooner due to a surprisingly stronger recovery in the US labour market. Markets reacted positively to the FOMC minutes and bought the dollar, which was already firm following a series of upbeat US housing data this week. The [..]

European Session – Euro extends losses after dollar surges on US GDP

Posted on July 30, 2014 at 1:44 pm GMT

The dollar was well bid throughout the day ahead of an event-filled calendar and rallied sharply after strong US GDP data. The euro fell to a fresh 8-month trough and was not sensitive to German inflation data which showed a rise to 0.3% on the month, versus forecasts of 0.2%, and was unchanged from the previous month. The main driver of euro weakness was the broadly stronger dollar which saw demand ahead of the US data. The euro accelerated its [..]

Forex News – Janet Yellen’s 2-day testimony boosts dollar to near 1-month high

Posted on July 17, 2014 at 1:42 pm GMT

The semi-annual testimony of Fed Chair Janet Yellen on monetary policy was an interesting event that helped to clarify the Federal Reserve’s views on the economy and interest rates going forward. The appearances over two days of Yellen first before the Senate and secondly before the House of Representatives, gave some very useful insights into the Fed’s thinking. Firstly, the most important message for markets is that the Fed remains convinced that loose monetary policy is still appropriate, in that [..]

Asian Session – Major currencies steady as focus shifts to Yellen and Draghi

Posted on July 14, 2014 at 6:51 am GMT

The FX market was more or less quiet in anticipation of scheduled appearances by the world’s two most powerful central bankers; the Fed’s Janet Yellen on Tuesday and Wednesday and the ECB’s Mario Draghi later today. Yellen is appearing tomorrow as part of her semi-annual Humphrey-Hawkins testimony on monetary policy before the US congress. Twice a year, the President of the Federal Reserve appears before Senate and House committees to give an account of US monetary policy. The Federal Reserve [..]

Forex News – Week Ahead Focus on Yellen, Draghi and Carney

Posted on July 11, 2014 at 1:21 pm GMT

The coming week will be busier in terms of economic data releases compared to the past week, as there will be important speeches from central bankers, including Yellen, Draghi and Carney. Starting with the euro, the most important events of the week ahead for the currency will be a speech by European Central Bank President Mario Draghi on Monday. There will also be Industrial Production data that day although Tuesday’s German ZEW Economic Sentiment will be more important to watch. [..]

European Session – Euro under pressure over Portuguese bank concerns

Posted on July 10, 2014 at 12:49 pm GMT

Eurozone and concerns over the banking sector in Portugal placed the euro back under pressure as concerns rose over the health of Portugal’s largest listed bank – Banco Espirito Santo. Also raising concerns over the Eurozone periphery were data showing the steepest drop in Italian industrial output in almost two years. Italian industrial production fell 1.2% m/m and –1.8% y/y while in France, it fell –1.7%m/m and –3.7%y/y. The euro was down 0.2% versus the dollar to test the key [..]

Forex News – Fed signals end to QE this year

Posted on July 10, 2014 at 11:23 am GMT

The Federal Reserve released minutes from its June 17-18 policy meeting on Wednesday, disappointing markets which were expecting are more hawkish tone and more details about when the Fed would begin to raise interest rates. The minutes indicated that the Fed will begin ending quantitative easing sooner than market expectations. October appears to be the most likely time period to end the monthly bond-buying program. At its June meeting the FOMC (Federal Open Market Committee) voted to reduce the program [..]

Asian Session – Dollar under pressure after Fed minutes

Posted on July 10, 2014 at 6:16 am GMT

The dollar was broadly weaker after the FOMC minutes were released on Wednesday. The minutes of the June 17-18 meeting were not as hawkish as some would have expected and merely indicated that the Fed’s stimulus program would end in October, with no indication of when interest rates in the US would rise. The dollar dipped to 101.48 near a one-week low of 101.43 before bouncing back to 101.60. The euro rose to a one-week high against the broadly weaker [..]

European Session – All eyes on FOMC minutes, gold rises

Posted on July 9, 2014 at 1:44 pm GMT

There were no important data releases today which left the market focus on the upcoming FOMC minutes as well as a speech by European Central Bank Mario Draghi later in the US session. The minutes of the June 17-18 meeting are important although may not contain any major surprises. Investors are waiting for more hawkish signals from the Fed on higher interest rates next year, giving a risk for a dollar rally. The dollar fell against the yen all the [..]

Asian Session – Dollar softens as markets look to Fed minutes

Posted on July 9, 2014 at 6:23 am GMT

Currency markets were quiet in Asia and the dollar remained weak as investors look ahead to the FOMC minutes due later today. The Fed will publish minutes of its June 17-18 meeting, when stimulus was reduced to $35 billion. The dollar was also under pressure by dovish comments from Fed policy maker Kocherlakota who said yesterday that inflation in the US may run below the Fed’s target . The dollar extended losses against the yen early in the session to [..]

Legal disclaimer: The material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instruments. XM accepts no responsibility for any use that may be made of these comments and for any consequences resulting in it. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. The research and analysis does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it.

It has not been prepared in accordance with legal requirements designed to promote the independence of research, and as such it is considered to be marketing communication. Although we are not specifically constrained from dealing ahead of the publication of our research, we do not seek to take advantage of it before we provide it to our clients. We aim to establish, maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. We operate a policy of independence, which requires our employees to act in our clients’ best interests and to disregard any conflicts of interest in providing our services.

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losing all of your invested capital, so please make sure that you fully understand the risks involved.

Fed

XM Live Chat