All Articles Tagged - GBPUSD

US Open Note – Dollar unlocks 20-year high; euro breaks $1.04

Posted on May 12, 2022 at 12:57 pm GMT

Dollar surges but dips against yen The dollar touched a two-decade high against a basket of currencies after US inflation fell less than expected in April. Dollar/yen is declining by 1%, meeting the 129.40 level. Despite increasingly hawkish ECB rhetoric, the euro is trading below $1.0400, falling by 1.0%, with the next key support coming at $1.0340. Euro/yen and pound/yen are plummeting over 2% today. US stock futures are suggesting a strong negative open, continuing the several days of losses. The safe-haven greenback gained support from a worldwide equity sell-off because of investor concerns that central banks are behind the curve [..]

Daily Market Comment – Dollar whipsaws after not-so-soft inflation data, stocks sink again

Posted on May 12, 2022 at 9:20 am GMT

Dollar on the front foot again after US inflation falls by less than expected Equity markets back in a sea of red as recession risks rise Pound slips to new lows after UK GDP contracts, hawkish ECB can’t save the euro Dollar bolstered as inflation becoming more sticky The US dollar climbed to fresh 20-year highs on Thursday as investors ramped up their bets that the Federal Reserve will have to get even more aggressive to bring down burgeoning inflation [..]

Bruised pound looks for rebound ahead of Q1 GDP data – Forex News Preview

Posted on May 11, 2022 at 3:20 pm GMT

A bleak economic forecast from the Bank of England exacerbated the sell-off in the bruised pound last week, making Thursday’s preliminary Q1 GDP growth figures important to watch at 07:00 GMT. Despite a quarterly slowdown, the UK economy is expected to have picked up steam at the start of the year, vindicating the BoE’s monetary tightening strategy, though the data may not be enough to push the bears entirely out of the way. The Bank of England hiked its main [..]

US Open Note – US CPI beats expectations and rises by 8.3%; dollar moves up again

Posted on May 11, 2022 at 1:36 pm GMT

The CPI rate ticked up by 8.3% in the year that ended in April. The annual CPI decrease was the first since August, but it was the eighth month in a row of gains of more than 6%. In March, the Consumer Price Index (CPI) rose 8.5% year-over-year, the highest increase since December 1981. After the release of higher-than-expected CPI figures, the dollar initially rose. The dollar index is showing positive signs as it jumped beyond 104.00; however, US futures are leading lower, suggesting a [..]

Daily Market Comment – Mood brightens slightly ahead of US CPI as investors eye peak

Posted on May 11, 2022 at 9:25 am GMT

Dollar stays subdued as US CPI data awaited for clues on peak inflation Euro edges up as ECB preps for summer rate hike Equities attempt a rebound, falling infections in China lend some support Dollar slips before US inflation reveal Markets were in a cautiously optimistic mood ahead of the April inflation report out of the United States later on Wednesday, as investors geared up for a possible soft print this time after months of acceleration in the headline figure. [..]

Technical Analysis – GBPUSD bears take a rest near 22-month low levels

Posted on May 10, 2022 at 2:24 pm GMT

GBPUSD is consolidating around its red Tenkan-sen line at 1.2331 after negative forces eased once slipping to a 22-month low of 1.2260, just shy of the June 2020 trough of 1.2250. The descending simple moving averages (SMAs) are defending the broader bearish trend. Currently, the Ichimoku lines are reflecting a pause in downward forces, while the short-term oscillators are demonstrating conflicting signals in directional impetus. The MACD is suggesting that the recent fading in selling interest may phase out, while [..]

US Open Note – Dollar steadies as it awaits US CPI data

Posted on May 10, 2022 at 12:50 pm GMT

Fed speakers today and US CPI tomorrow in focus This week, Fed speakers will be out in full force to disseminate the latest views of the central bank. Each one of these officials has a chance to share their thoughts on current policy. Barkin did this last week and put 75 bp back on the table, stressing that he wants to raise rates “as quickly as possible.” Others at the Fed are also likely to adopt a more hawkish outlook in the coming days. But the main thing to [..]

Daily Market Comment – Stocks steadier after Wall Street selloff, dollar eases

Posted on May 10, 2022 at 9:10 am GMT

S&P 500 plunges below 4,000, Nasdaq crashes 4%, but futures turn positive today Dollar edges down as yields cool off slightly ahead of Fed speakers, US CPI Oil remains under pressure as EU waters downs Russian oil embargo Stock market rout deepens Equity markets have steadied on Tuesday as investors licked their wounds following the heavy losses at the start of the week that extended the post-Fed meeting selloff. Growth and mega-cap tech stocks led the carnage on Wall Street [..]

Technical Analysis – GBPUSD logs 22½-month low before bearish tone pauses

Posted on May 10, 2022 at 8:41 am GMT

GBPUSD is consolidating after its downward trajectory approached the June 2020 low of 1.2250. Nonetheless, the falling simple moving averages (SMAs) are endorsing the bearish bias that unfolded from June 2021, even though downside forces are currently lacking. The Ichimoku lines are indicating that selling has temporarily stalled, while the negative bias in the short-term oscillators has yet to be overturned. The MACD is signalling that sellers are not surrendering control, while the negative charge in the stochastic oscillator is [..]

US Open Note – Stocks remain heavy, failing to form foothold after Fed vibe

Posted on May 9, 2022 at 1:38 pm GMT

Rising US yields feed dollar resilience as FOMC meeting in rear-view mirror In the previous week, we had the US central bank chief, Jerome Powell reiterate that the Federal Reserve will in June begin to reduce the close to $9 trillion hoard of assets gathered throughout the pandemic period, in an attempt to help bring inflation to the desired levels. While the Fed delivered a 50-basis points hike, raising the benchmark overnight rate to 1.00% last Wednesday, markets are still [..]

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