Forex Analysis
USD Mid-day Analysis
The Dollar is finding mild pressure at the start of the new trading week, and is showing little inclination for producing a third large-scale reversal in as many sessions.
The Global Macro Pulse
Trading in Asian equities was thin and largely directionless outside Japan. The Nikkei is down 1.0%, reacting to USDJPY edging lower to 98.80 after Friday’s post-payrolls drop.
Lower inflation to keep ECB rates at current or lower levels for two years
• According to ECB president Mario Draghi, ‘the Governing Council expects rates to remain at present or lower levels for an extended period of time’.
FX Daily
Market movers today • Final euro area service PMIs will most likely confirm that the euro area is moving from recession to slow growth.
Weekly Forex & Interest Rate Outlook
NZD/USD Outlook: Down this week NZD/USD momentum has reversed, pointing to a test of the 2013 low of 0.7684 this week.
Weekly Commentary
Fonterra product recall During the weekend, news of a Fonterra milk product recall affecting China and four other countries affected New Zealand markets.
Labour Market, Dairy In Focus
While Wednesday’s labour market data are the most important data this week, the news around Fonterra’s Saturday announcement has generated much comment.
Kings of the Market
The ‘kings of the market’ that we believe dominate current price action are the expansion of equity multiples coming from the repricing of (especially US)
Mid-day FX Market Analysis
USD: The Dollar has generally held its ground after yesterday’s sharp recovery rally, but will need to get past this morning’s US jobs data in order to climb further to the upside.
Currency Analysis EURCHF
Over the course of our forecast horizon, the Swiss franc will remain dominated by international developments and the SNB should adhere to its minimum exchange rate.
Central European Daily
CNB Board voted on interventions … … and did not pass them Yesterday, the Czech national bank, in line with expectations, left its base rate, which is technically at zero (0.05 %), unchanged.
The Global Macro Pulse
AUDUSD weakened slightly further to 0.8912 in Asian trading, but EURUSD and USDJPY were essentially flat to their New York closes at 1.3215 and 99.34 respectively.