All Articles Tagged - Fed

US Session – Dollar drifts as Fed meeting looms

Posted on September 17, 2013 at 7:49 pm GMT

We are less than 24 hours away from what could be said to be the most important event of the year. The Federal Reserve policy meeting concludes on Wednesday and investors are waiting to see what the Fed statement will be. Will it taper and by how much? Markets are currently pricing in that the Federal Open Market Committee (FOMC) will probably lower its $85 billion of monthly bond purchases by $10 billion. USDJPY closed the gap that opened up [..]

Asian Session – Dollar gains ahead of FOMC

Posted on September 17, 2013 at 6:08 am GMT

Markets are jittery ahead of key risk on Wednesday when the Federal Open Market Committee (FOMC) meeting and press conference are held. The news released late on Sunday that Larry Summers had dropped out of the Fed chairmanship race triggered a wave of U.S. dollar selling against the majors during the Monday Asian and European morning session which was completely reversed by mid-afternoon in North America. Investors will closely watch to see if there will be any scaling back of [..]

European Session – Dollar falls to 8-mth low versus pound after Summers out of Fed race

Posted on September 16, 2013 at 11:51 am GMT

The news of the day about Larry Summers withdrawal of his race for the Fed Chairman post has been the main driver of currency markets today. The dollar fell to a two-week low versus the euro and an eight-month low versus sterling. Summers was seen as more hawkish than other candidates and was likely to be in favor of scaling back stimulus so his withdrawal has now brought Janet Yellen as the next favourite, and she is more dovish on [..]

Asian Session – Dollar falls after Summers withdraws Fed Chief candidacy

Posted on September 16, 2013 at 5:56 am GMT

The dollar weakened against all its major counterparts in reaction to news that Lawrence Summers withdrew his bid to become Federal Reserve chairman. Summers was seen to be less “dovish” than his rival candidate Janet Yellen and was expected to be in favour of tapering. Therefore markets took the news of his withdrawal as a relief as Yellen is a well-known advocate of looser monetary policy to support the U.S. recovery and is now a favourite to succeed the current [..]

Asian Session – Aussie extends losses after weak retail sales

Posted on July 3, 2013 at 6:24 am GMT

Most currency pairs consolidated during a quiet Asian session. Markets are waiting for key risk events, mainly central bank policy meetings by the European Central Bank and the Bank of England tomorrow, as well as the closely watched U.S. nonfarm payrolls data. The biggest mover though was the Australian dollar which continues to be hammered, seeing no relief after yesterday’s Reserve Bank of Australia policy statement. Today, disappointing Australian retail sales numbers place the Aussie under renewed pressure. AUDUSD slipped [..]

US Session – Dollar breaks above 100 yen

Posted on July 2, 2013 at 7:34 pm GMT

The dollar extended gains against the other major currencies in the US session, after being boosted by data showing U.S. manufacturing picked up in May, adding to evidence that the world’s largest economy is strengthening. The U.S. Commerce Department said factory orders increased by a seasonally adjusted 2.1 percent, beating forecasts for an increase of 2 percent. Focus now turns to the key jobs report on Friday, the closely watched nonfarm payrolls report. Expectations are that the data should reinforce [..]

Asian session – Yen briefly lifted after strong Japan Tankan data

Posted on July 1, 2013 at 6:18 am GMT

The dollar remains the focus of currency markets today. The greenback held onto last week’s gains and began the new trading week and new quarter on a strong footing. Markets are still speculating that the US Federal Reserve will soon begin to taper stimulus and cut back on bond buying which has been weakening the dollar. Friday’s all-important US payrolls report will shed more light on what the Fed’s policy will be on stimulus. The strengthening dollar has pushed up [..]

US Session – Dollar hits three-week high versus yen after Fed Gov. comments

Posted on June 28, 2013 at 8:34 pm GMT

The US dollar outperformed during the US session, rallying against most major peers after comments by several Fed officials. The Federal Reserve has been dominating the news this week as investors try to speculate when the Fed will being tapering its stimulus program. Federal Reserve Governor Jeremy Stein said today that the Fed may make a decision in September about tapering monetary stimulus. This sent the dollar surging against the yen, rising above 99 yen for the first time in [..]

European Session – Euro rallies on strong German data

Posted on June 28, 2013 at 12:13 pm GMT

Markets were more upbeat on Friday, and investors were squaring positions on the last day of the week as well as last trading day of the month and the quarter. Euro rallied against the dollar after strong German retail sales data today. Sales in the Euro zone’s largest economy rose more than expected to 0.8 percent from 0.4 forecast. Meanwhile a broadly weaker dollar also helped the euro higher as the greenback is slightly weighed down after Federal Reserve officials [..]

Forex News – Dollar lifted after strong US durable goods orders

Posted on June 25, 2013 at 1:51 pm GMT

Strong U.S. economic data released in early New York trading on Tuesday helped the dollar rebound from the prior two sessions’ losses. Meanwhile, core durable goods orders excluding transportation were also up 0.7 percent despite estimates for it to remain flat at zero percent. Other positive data showed prices of U.S. single-family homes in April posting the biggest annual gain in seven years. The S&P/Case Shiller composite index of 20 metropolitan regions in the U.S. gained 1.7 percent on a [..]

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