Category: Daily blog
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Dollar a touch firmer
Some relief for the dollar with the US currency gaining around a cent against the euro from yesterday’s low point to trade just below $1.12 this morning . This as the market once again prices in a strong chance that the Fed will raise interest rates at next month’s meeting, having pared back the likelihood of such a move […]
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Euro remains of the front foot
The euro remained on the front foot against the dollar yesterday, trading up to over $1.1250 at one stage to bring its gains to around 4 cents in a little over a week, though the terrorist attack in Manchester overnight sees the US currency a little firmer at the start of play today Sterling is softer across the board this morning. It has […]
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Some respite for markets
Political developments in the US drove markets last week, though there was some further respite for equities on Friday with US stocks recovering ground for a second day in a row (albeit still ending lower on the week overall) US bond yields also arrested their decline at the end of the week, though they too […]
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Dollar halts its slide
The dollar halted its slide against the euro yesterday after four consecutive days of decline, while US 10-year bond yields recovered to finish largely unchanged at 2.23%, having earlier fallen to a low of 2.18%. US equity markets also rebounded from their intra-day lows, gaining 0.4%, perhaps a sign of relative calm returning to markets The ECB believes […]
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US political uncertainty weighs on markets
Political uncertainty in the US weighed heavily on markets yesterday with equities selling off (US and European stocks shed around 2%), core bond yields falling on a ‘flight to safety’ (10-year yields in the US fell by 10bps), and the dollar weakening further, falling to over $1.11 against the euro. The markets have also scaled back the chances that the Fed will […]
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Dollar on the back foot
Political developments are driving markets at the moment as US president Trump is embroiled in further controversy, with the New York Times reporting that he asked the now sacked head of the FBI to shut down an investigation into his also sacked national security adviser’s ties with Russia Reflecting this, the dollar is very much on the back foot, falling […]
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Euro advances further
The euro has built on its gains from Friday against the dollar and sterling to trade at around $1.10 (back to where it traded briefly immediately following the result of the French election) and 85p respectively The market is focusing on the upcoming ECB meeting in June and the possibility of a change in its assessment of the outlook for growth in the […]
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Dollar lower after US inflation data
The dollar lost ground to the euro and the yen on Friday following the release of inflation data in the US. It weakened to over $1.09 against the single currency, having rallied to under $1.0850 at one stage earlier in the week. The euro also gained some ground against sterling to close out the week trading at 84.75p The annual rate […]
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Sterling falls after BOE policy decision
Sterling lost some ground after the Bank of England’s MPC voted 7-1 to leave interest rates unchanged – there had been some expectation in the market that there might have been 2 votes for a hike. The MPC said interest rates may have to eventually rise if the economy evolves in line with its expectations, though a […]
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Sterling firm ahead of BOE policy decision
Sterling is steady against the euro and the dollar, at 84p and $1.29 respectively, ahead of today’s monetary policy decision from the Bank of England’s MPC. With inflation having moved above the 2% target but the pace of economic growth slowing, the MPC is expected to keep interest rates unchanged at 0.25%, though there may be one or two voting dissents […]