Tag Archives: markets

Dollar Hits a 12-Year High, But Can NFPs and Sentiment Maintain Lift?

DailyFX.com –

Dollar Hits a 12-Year High, But Can NFPs and Sentiment Maintain Lift?

Dollar Hits a 12-Year High, But Can NFPs and Sentiment Maintain Lift?

Fundamental Forecast for Dollar: Neutral

  • The next FOMC decision is scheduled for March 16; and there is a wide gulf between the market’s and Fed’s outlook
  • Top event risk on the US docket are the January labor statistics and the Fed’s preferred inflation reading for December
  • See our 1Q 2016 forecast for the US Dollar in our Trading Guides page.

The USDollar closed at a fresh 12-year high this past week. Yet, the occasion of breaching such exceptional heights has repeatedly disappointed over the past year. For the Greenback, ‘breakouts’ have chronically lacked follow through. This isn’t just a technical shortfall, rather it is a sign of the lackluster fundamental drive behind the market. Divergent rate expectations, rising market volatility and a shift to consumer economies have all benefit the benchmark currency. However, this is not an endless well of strength. To project the Dollar further on already extended moves like those seen with EURUSD, GBPUSD and AUDUSD; a tangible upgrade is needed. Will we find it on the coming week’s docket or headlines? read more

Australian Dollar May Move on US Data After Static RBA

DailyFX.com –

Australian Dollar May Move on US Data After Static RBA

Fundamental Forecast for the Australian Dollar: Neutral

  • RBA likely to maintain status quo, Chinese PMI data may pass quietly
  • Impact of US news on risk trends biggest Aussie Dollar volatility risk
  • To see the 2016 outlook for AUD/USD, check out our Trading Guides

The Australian Dollar continued to recover for second week, bolstered by better-than-expected inflation data and firming market-wide risk appetite. The former weighed against RBA interest rate cut expectations while the latter fueled demand for higher-yielding assets, offering support to the sentiment-linked currency. Looking ahead however, upside follow-through may be compromised as a relentless stream of high-profile event risk promises to unleash sharp volatility. read more

Never Buy Into The High Of Day Again! (exciting new technology)

Aussie Dollar Volatility Seen on China, US, Eurozone Event Risk

Contents
  1. Aussie Dollar Volatility Seen on China, US, Eurozone Event Risk
          1. by  Ilya Spivak, Currency Strategist 

          Aussie Dollar Volatility Seen on China, US, Eurozone Event Risk

          Saturday, Jan 16, 2016 2:11 pm EST

          Aussie Dollar Volatility Seen on China, US, Eurozone Event RiskAussie Dollar Volatility Seen on China, US, Eurozone Event Risk

          Fundamental Forecast for the Australian Dollar: Neutral

          • Australian Dollar Continues to Face China-Driven Risk Aversion Threat
          • Upbeat Jobs Data May Trim RBA Rate Cut Outlook, Cap Aussie Losses
          • Find Critical Turning Points for the Australian Dollar with DailyFX SSI

          The Australian Dollar dropped to finish last week at the lowest levels in nearly seven years as aggressive risk aversion battered the sentiment-linked currency. The S&P 500 – a benchmark for market-wide risk appetite – fell for a second consecutive week to record the largest such losing streak since November 2011. Commodity prices also continued to sink, with a host of aggregate benchmarks of raw materials prices sinking to multi-year lows.The week ahead offers ample opportunities for the rout to continue. read more

Oil and Stocks Lead the Asian Rebound while Gold Calms

Contents
  1. Oil and Stocks Lead the Asian Rebound while Gold Calms
          1. by  Nathalie Huynh

          Oil and Stocks Lead the Asian Rebound while Gold Calms

          Thursday, Jan 21, 2016 2:56 pm EST

          Talking Points:

          • Gold calmed as Asia market turned to buying risk again
          • Oil bounced back to 28 yet under threat of stock build in DoE report today
          • Copper rose the most, leveraging on stocks and oil recovery

          Asia market started the day with a mild risk-on mood. Regional stocks made recovery attempts from yesterday’s lows. Similar things occurred in commodities: oil bounced back to 28s and copper returned to Tuesday levels. read more

The foreign exchange market Forex- FX, or currency market

Contents
  1. The foreign exchange market  Forex- FX, or currency market

The foreign exchange market  Forex- FX, or currency market

Forex is a global decentralized market for the trading of currencies. This includes all aspects of buying, selling and exchanging currencies at current or determined prices. In terms of volume of trading, it is by far the largest market in the world.[1] The main participants in this market are the larger international banks. Financial centres around the world function as anchors of trading between a wide range of multiple types of buyers and sellers around the clock, with the exception of weekends. The foreign exchange market determines the relative values of different currencies.[2] read more