All Articles Tagged - FOMC

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 [..]

European Session – Dollar remained weak despite forecast-beating jobless claims

Posted on June 19, 2014 at 1:35 pm GMT

The US dollar remained weak across the board today as a result of the Federal Reserve failing to deliver a more hawkish message in the FOMC statement on Thursday. The continued dovish stance of the Fed as well as of Fed Chair Janet Yellen pushed investors to sell the dollar. Even better-than-expected US initial jobless claims data today were not enough to convince market participants to buy back the greenback. The number of Americans filing new claims for unemployment benefits [..]

Asian Session – Dollar hit by Yellen’s pledge to continue easy policy

Posted on June 19, 2014 at 6:43 am GMT

The week’s big event, the Federal Reserve meeting, hurt the dollar but boosted risk assets, as Fed Chair Janet Yellen appeared ready to keep interest rates at zero for a “considerable” period following the end of tapering. The euro was trying to regain the 1.36 mark versus the US dollar following Yellen, trading around 1.3610, which was its highest in 10 days. Dollar / yen fell below the 102 level to 101.90 despite the positive risk sentiment. Sterling also benefitted [..]

European Session – Yellen and FOMC minutes grab market attention

Posted on June 18, 2014 at 1:30 pm GMT

The Federal Reserve is in the spotlight today, with all eyes being on the policy statement and a press conference by Fed Chair Janet Yellen later in the day. There are no surprises expected though from the Fed. The Bank of England policy meeting minutes were released today, showing the MPC vote on policy was unanimous. The minutes also noted some upside to GDP growth in the second half of the year. Apart from that the June minutes were not [..]

European Session – Sterling jumps on strong UK retail sales

Posted on May 21, 2014 at 1:27 pm GMT

Sterling was the biggest mover today after UK retail sales surprised on the upside and beat expectations by far. Retail sales in April jumped by 6.9 % on the year and 1.3 % on the month to beat forecasts of 5.2 % on an annual basis and 0.5 % on a monthly basis. Adding to the pound’s strength were the Bank of England minutes released today which leaned to the hawkish side. Also the MPC voting results showed signs some [..]

Asian Session – Dollar holds losses as Fed reiterates low rates to remain

Posted on May 1, 2014 at 7:02 am GMT

Chinese official manufacturing PMI numbers released today came in lower-than-estimates, underscoring weakness in the world’s second largest economy. The PMI figure rose to 50.4 in April from 50.3 in March, below forecasts for a bigger increase to 50.5. In other news, the Federal Reserve concluded its monthly policy meeting yesterday by announcing a further cut of $10 billion to its bond buying program. The Fed reiterated that it will keep interest rates close to zero for a considerable time. The [..]

European Session – Euro above 1.38 despite soft EZ inflation, dismal US GDP weakens dollar

Posted on April 30, 2014 at 1:35 pm GMT

The euro strengthened across the board despite below forecast Eurozone CPI numbers. The preliminary reading on headline inflation rose to 0.7% year-on-year versus 0.8% expected but above a previous 0.5%. Despite the softer number, it is unlikely that the European Central Bank will take action at its policy meeting next week. This view is expected to keep the euro supported until then. Meanwhile, Tuesday’s below-forecast German CPI prepared markets for today’s overall softer Eurozone CPI. There were other mixed data [..]

European Session – Dollar rebounds after US jobless claims fall to 7-year low

Posted on April 10, 2014 at 1:45 pm GMT

The dollar remained bearish today after coming under heavy selling from the dovish FOMC minutes on Wednesday that showed the Fed was to remain accommodative for longer-than-previously thought. An upbeat US jobless claims report today helped the dollar trim some losses. The number of Americans filing for unemployment benefits last week fell to the lowest level in seven years, decreasing by 32,000 to 300,000. This was less than the expected 320,000 claims. The dollar was hovering at three-week lows of [..]

European Session – Quiet trading ahead of FOMC minutes

Posted on April 9, 2014 at 1:22 pm GMT

All eyes are on the FOMC minutes later today to see if there will be any more clues on the Federal Reserve’s monetary policy. The minutes are from the March meeting when the Fed reduced its monthly bond purchases by $10 billion a month to a total of $55 billion a month. During the European session today most currency pairs were flat. The economic calendar was light, with just trade balance data from both the UK and Germany, which had [..]

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