United Overseas Bank’s (UOB) Quek Ser Leang notes that USD/SGD has slipped into a short-term range phase after a sharp pullback, with intraday trading expected between 1.2735 and 1.2775. However, the 1–3 week outlook remains constructive, with the advance from late last week intact unless 1.2710 breaks, and upside levels at 1.2800 and 1.2835 still […]
Christopher Wong at OCBC writes that the Malaysian Ringgit weakened during Thursday’s Asian session on a firmer US Dollar and higher US Treasury yields after the FOMC, with USD/MYR briefly trading above 4.10 in an orderly move. He notes some pressure eased as the Dollar and yields retreated and Oil pulled back. Wong expects cautious […]
European Central Bank (ECB) President Christine Lagarde said during the European trading session on Friday that the decision on interest rates by the central bank will be meeting by meeting. Like other ECB officials, Lagarde also said that she doesn’t see any signs of second-round inflation effects yet. Remarks Growth is a bit more promising than we thought. We’ll […]
United Overseas Bank’s (UOB) Quek Ser Leang notes USD/CHF remains in a consolidation phase after a sharp rally, with intraday trading expected between 0.8225 and 0.8265. He stays positive over the 1–3 week horizon but says it is still too early to confirm a break above 0.8300, while a move below 0.8185 would negate this […]
ING’s Frantisek Taborsky notes that the Czech National Bank (CNB) kept its policy rate at 3.75% with a dovish tone versus market pricing, but ING economists now expect a hike in November due to higher inflation forecasts and elevated global energy prices. While EUR/CZK trades around 24.300–24.350, ING sees a stronger Dollar lifting the pair […]
The Fed rate hike: what happens now? The dust has settled on tonight’s Fed meeting and the market reaction is clear: the Fed’s signal that there could be a series of rate hikes has spooked financial markets. Bonds sold off at the short end of the Treasury curve and US stocks also fell, led by […]
Key statements by Ueda during the press conference following the BOJ’s decision to hike rates: Maintaining a hawkish stance and refusing to yield to dissent within the board were interpreted by the market as a clear signal that further rate hikes are inevitable. In response to the BOJ Governor’s remarks, the Japanese currency is trimming […]
What Are the World’s Leading Banks Saying About Currencies, Energy Markets, Central Banks and Geopolitical Risk? Foreign exchange markets can move in seconds. A central bank decision, inflation surprise, change in interest-rate expectations, energy-price shock or geopolitical development can rapidly alter the value of a currency and change the cost of an international transaction. For […]
Danske Bank’s Danske Research Team reports a strong rebound in global equities, with the S&P 500, Nasdaq, Stoxx 600 and Kospi all posting solid gains despite a recent Fed hike and further tightening priced. The team argues that robust consensus earnings growth of 35% and rising estimates make a sustained equity sell-off difficult, advocating a […]
MUFG notes that Oil prices have declined as markets reassess supply risks tied to the US-Iran war and regional chokepoints. Saudi Arabia’s efforts to restore the East-West pipeline and continued tanker traffic through the Strait of Hormuz, alongside diplomatic moves by the US, Gulf nations, China and Iran, have supported a rally in risk assets […]