Fundamental analysis of Forex market

US equities tumbled from all-time highs as investors weighed the start of the corporate earnings season and an increase in the total amount of bond offerings that triggered the rally ...
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The Australian dollar has started the week with a whimper. Currently, AUD/USD is currently trading at 0.7620. Australia releases the NAB Business Confidence early on Tuesday (1:30 GMT). Business confidence ...
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The euro has posted slight gains in the Monday session. Currently, EUR/USD is trading at 1.1914, up 0.13% on the day. The euro has been on a steady decline since ...
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Last week’s narrow AUD/USD trading range of 0.7588 to 0.7677 was the first sub-1 cent weekly range since November 2020. This week’s busy Australian data calendar could inspire clearer direction ...
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U.S. Review: Reopening Boom, while Supplies Last This week’s economic data kicked off with a bang. The ISM Services Index jumped to 63.7, signaling the fastest pace of expansion in ...
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U.S. Highlights U.S. equities jumped early this week and continued to move higher over the course of it despite the prospect of higher corporate taxes announced by the Biden administration ...
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The talk last week was all about the expectation of an upcoming economic boom into the spring and over the summer months. Although there are current lockdowns spread throughout Europe ...
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The Fed has clearly signaled they are not worried about inflation and that should worry financial markets. The Fed has repeated that inflation will be transitory, but financial markets have ...
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As the dollar recedes on some scepticism around the aggressive bets of an early Fed tightening, US inflation and retail sales numbers due in the coming week could reignite those ...
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Stronger-than-expected 303k employment gain cut the remaining shortfall relative to pre-shock levels in half Easing containment measures allowed some recovery in hospitality sector, but gains broadly based The unemployment rate ...
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The euro is almost unchanged in the Thursday session. Currently, EUR/USD is trading at 1.1880, up 0.07% on the day. The euro was red-hot early in the week, as EUR/USD ...
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SummaryThe second consecutive increase in weekly claims to 744K and the modest increase in the four-week average stand in contrast to nearly all other reads on the labor market at ...
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Markets Minutes of the previous FOMC meeting showed that participants think that it would likely be some time until substantial further progress toward the committee’s maximum-employment and price-stability goals would ...
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US stocks edged higher after a record deficit showed that US consumer and business demand is heating up, prompting investors to continue to buying reopening stocks. Market moves across most ...
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US markets paused for breath overnight, with Wall Street easing slightly after a frenzied Monday session. Rotational spin was the theme of the day, and yesterday’s lucky recipient was the ...
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The Canadian dollar has reversed directions on Tuesday and posted slight losses. Currently, USD/CAD is trading at 1.2549, up 0.25% on the day.Canada Ivey PMI expected to climb The Ivey ...
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Dax, FTSE gain groundEuropean stocks are bounding higher on Tuesday, rallying to record levels on signs of economic recovery, even as the region battles with its third wave of Covid ...
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SummaryThe ISM Services PMI surged more than eight points to 63.7 in March, signaling a record pace of expansion. The jump in the new orders and employment components is indicative ...
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SummaryThe ISM Services PMI surged more than eight points to 63.7 in March, signaling a record pace of expansion. The jump in the new orders and employment components is indicative ...
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The Australian dollar has started the week with slight gains. Currently, the pair is trading at 0.7626, up 0.25% on the day. US Nonfarm Payrolls easily outperforms Friday’s Nonfarm payrolls ...
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SummaryU.S. Review: Activity Marches Higher The improving public health position led to an easing of restrictions and pickup in activity across the country in March. Data this week show an ...
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CountryUS The US economy is about to run hot as a hiring spree has officially started. The dollar may have got its groove back as Treasury yields are rising again ...
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The Reserve Bank of Australia meets on Tuesday for its policy meeting, with a decision expected at 05:30 GMT. No change in policy is anticipated at the April meeting despite ...
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With most markets closed on Monday for the Easter celebrations, it will be a fairly muted week as there’s not a lot on the agenda that can excite markets. The ...
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Monday is a holiday and many of the major markets will be closed. Now that month-end and quarter-end are behind us, as well as Non-farm payrolls and OPEC, the focus ...
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SummaryHiring stepped up in a major way in March, with employers adding 916K new jobs. More workers returned to the job market and the unemployment rate edged down to 6.0% ...
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The hiring spree has officially started in the US and Wall Street knows that it will take several months of monstrous job gains to trigger the taper tantrum. The equity ...
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U.S. Highlights Economic data tilted positive this week, with consumer confidence and the ISM manufacturing index rising respectively to one-year and 37-year highs, auguring for a strong showing for Friday’s ...
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The Reserve Bank Board meets next week on April 6.We expect that the Board will decide to maintain its current policy settings. These settings are the targets of 10 basis ...
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Markets Biden’s leaked $2.25tn stimulus plan supported risk sentiment on US markets yesterday. Despite ambitions to fully fund the proposal by raising corporate taxes, WS finished a tech-lead rally up ...
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The euro has recorded slight gains in the Wednesday session. Currently, the pair is trading at 1.1743, up 0.25% on the day.Will German Retail Sales lift euro? It has been ...
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ActionForex.com was set up back in 2004 with the aim to provide insightful analysis to forex traders, serving the trading community for over a decade. Empowering the individual traders was, ...
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Consumers certainly regained confidence in March. The headline print of 109.7 handily exceeded even the most optimist forecast with room to spare. After a run of mostly disappointing February data, ...
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The Swiss franc is trading in negative territory in the Tuesday session. Currently, USD/CHF is trading at 0.9422, up 0.35% on the day. On the fundamental front, Switzerland releases the ...
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When: Thursday 29th March Oil prices were on a roller-coaster ride across the previous week, with swings on two consecutive days of 6%, as the bears and bulls tussled over ...
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Historically, gold and silver tend to be highly correlated assets, but their strong positive relationship slightly relaxed in the first quarter of the year, making investors wonder whether this deviation ...
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Whilst the refloating of the large cargo has weighed on oil prices overnight, it remains unclear how quickly the Suez Canal will be reopened and fully operational. Asian Indices: Australia’s ...
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U.S. ReviewSofter Economic Data Do Not Signal a Change in Underlying Momentum This week’s larger-than-expected declines in durable goods orders as well as new and existing home sales do not ...
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U.S. Highlights Markets see-sawed on the week as investors were pulled between positive economic news and concerns about rising bond yields and rising Covid-19 cases in Europe. Soft U.S. economic ...
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This could be one of the busiest weeks of the year for the markets or it could be extremely dull. The coronavirus is still plaguing Europe. With more lockdowns and ...
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Vaccine rollout success in the US has Wall Street quickly pricing in rapid growth during the recovery stage. The trend in daily new cases is rising in the US but ...
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As markets reassess how soon European economies will be able to reopen, the March nonfarm payrolls report out of the United States will likely highlight the widening growth disparity between ...
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Next week’s Canadian GDP report is expected to confirm the economy continued to grow in January, despite virus-containment measures that put a lid on retail sales and kept the hospitality ...
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The British pound rose against the US dollar ahead of important UK retail sales numbers. The median estimate is for the country’s core retail sales to rise from -8.8% in ...
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The Swiss franc is unchanged in Thursday trading. Currently, USD/CHF is trading at 0.9353, down 0.02% on the day. Swiss franc steady as SNB holds the course There were no ...
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Strong PMIs send Nasdaq reelingA few stories are circulating in Asia today to pique the market’s interest. Strong PMIs from the US and Europe overnight saw the cyclical rotation trade ...
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US stocks rallied after Fed Chair Powell and Treasury Secretary Yellen reinforced their bright outlook for the economy and stance on inflation, government debt, need for revenue for permanent spending, ...
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The British pound is in negative territory in the Wednesday session. Currently, GDP/USD is trading at 1.3709, down 0.32% on the day. Pound struggling to stay above 1.37 The British ...
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The New Zealand dollar has plummeted in Tuesday trade. Currently, NZD/USD is trading at 0.7024, down 1.94% on the day. Earlier in the day pair fell as low as 0.7020, ...
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A mixed jobs report is dragging on the pound. The ILO employment report revealed that unemployment unexpectedly ticked lower to 5% in the three months to January, down from 5.1% ...
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Turkish Lira fireworks are back with a bang in the EM scene. TRY plunged at the start of Monday trading after Erdogan fired central bank governor Naci Agbal following a ...
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As Europe’s vaccine drama unfolds, the flash March PMI prints for the euro area may generate some positive headlines for the region’s struggling economy on Wednesday (09:00 GMT). The easing ...
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Markets Markets were still looking for a post-Fed equilibrium last Friday. US yields stayed near recent peak levels, but changes were limited (5& 10y + 1.5 bps, 30y -0.5bps). German ...
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U.S. ReviewStill on Track for a Robust Recovery Even After Soft Data This Week The worse-than-expected outcomes for February retail sales, industrial production and housing starts were in part due ...
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It would not be at all surprising to see flash Canadian wholesale and manufacturing sale reports for February soften albeit after very solid January gains (wholesale sales rose 4.0%, manufacturing ...
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U.S. Highlights Most Federal Open Market Committee members see no interest rate hikes until at least 2024 despite a sharp upgrade to the growth outlook. Retail sales weakened on the ...
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U.S. Highlights Most Federal Open Market Committee members see no interest rate hikes until at least 2024 despite a sharp upgrade to the growth outlook. Retail sales weakened on the ...
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U.S. Highlights Most Federal Open Market Committee members see no interest rate hikes until at least 2024 despite a sharp upgrade to the growth outlook. Retail sales weakened on the ...
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After a jam packed, Central Bank dominated week, things will begin to slow down as spring arrives. There were no major surprises from the FOMC, BOE, and BOJ last week, ...
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After a jam packed, Central Bank dominated week, things will begin to slow down as spring arrives. There were no major surprises from the FOMC, BOE, and BOJ last week, ...
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The focus for the upcoming week will stay with the bond market. Financial markets are worried with how high Treasury yields can go. Treasuries have declined for seven straight weeks ...
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It seems like a relatively calm week for global markets. The sole central bank meeting will be that of the Swiss National Bank, which will likely be thrilled about the ...
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Markets Core bonds got hammered yesterday. USTs significantly underperformed the German Bund, reversing much of (short-term yields) or more than (medium- to long-term) the losses in the wake of the ...
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The BOE left rates unchanged at 0.10% and left their bond buying program unchanged at 875 billion Pounds. In addition, the central bank noted that they will not tighten until ...
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At the press conference, Federal Reserve Chairman Jerome Powell said that the current monetary policy is appropriate and there is no reason to change the volume of stimulus amid the ...
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The Nasdaq is lower ahead of the FOMC policy decision that will likely deliver a much more upbeat outlook that should allow the Treasury yields to continue to climb higher ...
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After a mixed session in Asia, Europe is seeing a mildly lower start, with most sitting on the sidelines ahead of the much-anticipated FOMC meeting later today.Volumes are expected to ...
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The Bank of England will announce its latest decision on Thursday (12:00 GMT) just hours after the Fed’s, likely keeping its monetary policy settings unchanged also. There is no press ...
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The Australian dollar is having a quiet Tuesday session. Currently, the pair is trading at 0.7744, down 0.14% on the day. Aussie dips lower The RBA minutes were a non-market ...
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Technoking of Tesla Elon Musk now gets investors to a very unusual and completely unprecedented series of absurd discussions on what does he mean by his new title. So, the ...
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The New Zealand dollar is in positive territory in the Monday session. Currently, NZD/USD is trading at 0.7186, up 0.17% on the day. NZD looked strong throughout last week, but ...
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On Friday, the dollar index resumed its growth on the back of positive macroeconomic data and rising Treasury yields. The latter consolidated above 1.60% after the publication of PPI data ...
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First, a review of last week’s events:EUR/USD. Recall that the head of the Fed Jerome Powell literally brought down the American stock markets with his speech on February 4. Powell ...
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U.S. Highlights One year after the start of global lockdowns, it is starting to feel like the end is finally approaching. The new fiscal package signed into the law will ...
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U.S. Review Inflation Begins Spring Bloom Inflation appears to be heating up. During February, the Consumer Price Index (CPI) rose 0.4% and the Producer Price Index (PPI) advanced 0.5%. The ...
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The bond market seems determined to make this an interesting FOMC policy decision. Treasury yields have been surging after the Biden administration passed the $1.9 trillion COVID relief bill and ...
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With the central bank meetings this week, traders need to be on the lookout for hints as to when a change in monetary policy may be coming.After the BOC and ...
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After falling behind peers, vaccine delivery in Canada is anticipated to ramp up significantly over the coming months. Canada is now expecting around 8 million doses by the end of ...
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Markets European and US bonds parted ways yesterday, driven by a different ‘domestic’ narrative. After cautious positioning ahead of the ECB decision, European bonds outperformed as the ECB put money ...
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Summary The European Central Bank (ECB) announced its latest monetary policy decision today. While policy interest rates and the total size of its Pandemic Emergency Purchase Program (PEPP) were left ...
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Oil markets continue to consolidate Having retraced nearly 50% of last week’s rally, oil markets rose modestly overnight, as both Brent and WTI consolidate recent gains. The official US crude ...
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The European Central Bank (ECB) will wrap up its policy meeting at 12:45 GMT Thursday. Some senior policymakers have been vocal about fighting the rise in bond yields, but it ...
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The highly anticipated CPI data for February was released earlier today, and the core data was slightly worse than expected. The headline CPI print for the more closely watched YoY ...
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The highly anticipated CPI data for February was released earlier today, and the core data was slightly worse than expected. The headline CPI print for the more closely watched YoY ...
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The Bank of Canada meets this week to set policy and will announce its decision on Wednesday at 15:00 GMT. No change is expected in either interest rates or the ...
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Oil resumes rise After tanking more than 3% in the previous session, oil is clawing its way higher as fears over supply disruption in Saudi Arabia ease and the US ...
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Oil resumes rise After tanking more than 3% in the previous session, oil is clawing its way higher as fears over supply disruption in Saudi Arabia ease and the US ...
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US dollar gains on US yields, inflation fears The dollar index pushed higher again overnight, rising 0.37% to 92.31. Rising US yields, structurally short positioning and a myopic fixation on ...
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Summary We do not look for the FOMC to make any major monetary policy changes at its March 16-17 meeting. Moreover, we expect the Committee to clearly articulate that it ...
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Notes/Observations Focus remains on rising bond yields US $1.9T stimulus seen passing the House later this week ECB meets on Thursday and likely to emphasize its readiness to use the ...
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U.S. Review Moving On Up Most of this week’s economic data came in at or above expectations, contributing to growing anxiety about how the Fed will unwind the extraordinary stimulus ...
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U.S. Highlights The ISM indexes diverged in February, with manufacturing improving and services falling on the month. However, both remain well in expansionary territory. Vehicle sales, meanwhile, fell 5.7% to ...
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We look for next week’s Canadian employment report to show that the 2-speed labour market persisted in February with travel and hospitality services remaining exceptionally weak while other sectors continue ...
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Last week, markets were on edge as yields and the US Dollar continued to rise and stocks were mixed. Federal Reserve Chairman Jerome Powell spooked traders when he reiterated that ...
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The taperless tantrum could continue across financial markets now that it seems clear Fed Chair Powell won’t react until he sees disorderly market conditions or if financial conditions tighten further ...
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With bond markets going berserk lately, investors will turn to the European Central Bank meeting on Thursday. Some senior policymakers have been vocal about ‘fighting’ this rise in yields, but ...
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Notes/Observations Global bond yield rally fuels concerns and curbs risk appetite. Traders note the lack of a well-defined red line being set by the Fed had convinced many that key ...
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After a blistering recovery from the pandemic-induced recession through Q2 and Q3 of last year, the US labor market has downshifted sharply. Over the last three months, the NFP report ...
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European bourses are trading on the back foot following a weak handover from Wall Street and a sustained sell-off in Asia. Bond yield concerns are back to haunt investors after ...
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Bond-driven risk aversion dominated broader markets on Wednesday but crude shrugged it off on optimism that OPEC+ will rollover cuts. The US dollar as the top performer while the kiwi ...
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The New Zealand dollar is down considerably in Wednesday trading. Currently, NZD/USD is trading at 0.7245, down 0.65% on the day. New Zealand dollar stabilizes The New Zealand dollar finds ...
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Europe is set for a positive open after sentiment remained buoyant overnight, whilst the dollar could face further pressure over the coming session/s. Asian futures: Australia’s ASX 200 index rose ...
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The Chancellor of the Exchequer will unveil the latest UK Budget on Wednesday at 12:30 GMT. It will likely include another massive round of spending to safeguard jobs and boost ...
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Fourth quarter GDP numbers will be watched out of Canada on Tuesday (13:30 GMT) as the recovery is expected to have lost steam. Nevertheless, the Canadian dollar has been edging ...
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TD Bank Financial Grouphttp://www.td.com/economics/The information contained in this report has been prepared for the information of our customers by TD Bank Financial Group. The information has been drawn from sources ...
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The Reserve Bank of Australia (RBA) will conclude its March policy meeting at 01:30 GMT Tuesday. The domestic economy is doing well and commodity prices have soared, but the RBA ...
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U.S. Review The U.S. Economy Continues to Start 2021 on a High Note In January, personal spending increased at a robust 2.4% pace, while personal income soared 10.0%. The core ...
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U.S. Highlights Federal Reserve Chairman Powell reassured markets that there will be no early tightening of monetary policy or drawdown of asset purchases even with a brighter economic outlook. Consumers ...
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Fed Chairman Powell provided testimony to Congress last week regarding Monetary Policy. He noted that the Fed was in no hurry to take its foot off the easing pedal and ...
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Powell fails to ease concerns Everyone is watching the bond markets at the moment, as yields accelerate higher and investors become increasingly anxious. That is dominating the headlines and it’s ...
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As a new month starts, investors will have their eyes locked on the latest nonfarm payrolls numbers out of the United States amid an accelerating selloff in bond markets. The ...
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We expect GDP rose 7.5% at an annualized rate in Q4 of last year, on the back of a 0.3% increase in December output (in line with Statistics Canada’s preliminary ...
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The USD tended to gain against a number of its counterparts yesterday, while US stockmarkets displayed sharp drops as USD enjoyed safe haven inflows and USD buyers were also encouraged ...
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The Australian dollar has posted slight gains on Thursday. Currently, AUD/USD is trading at 0.7976, up 0.011% on the day. Australian dollar crosses into 80 territory The Australian dollar has ...
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The testimonies by Fed chief Powell before Congress confirmed the central bank won’t overreact to any inflation episode but didn’t reveal anything new. The spotlight now falls on the next ...
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Things seem like they are back to normal, regardless of Jay Powell says: Higher stocks, higher yields, higher USD/JPY higher, higher Crude. They all seem to be acting in harmony ...
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Through a global pandemic, Brexit, US political upheaval, and countless other storylines, there has been one constant in the FX market over the past 6-12 months: A relentless bid for ...
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As expected, the RBNZ left all monetary policy settings unchanged today. The RBNZ resolutely expects to keep policy stimulatory for an extended period. Inflation is rising right now, but the ...
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The New Zealand dollar has posted small gains in the Tuesday session. Currently, NZD/USD is trading at 0.7313, down 0.22% on the day. Retail Sales slide The New Zealand economy ...
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Cyclical rotation pushes dollar down The US dollar found no solace in higher longer-end bond yields overnight, likely because the move was mirrored to some extent among other developed market ...
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The euro has posted small gains in the Monday session. Currently, EUR/USD is trading at 1.2127, down 0.11% on the day. German Business Climate improves German data started the week ...
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The pound remains on the front foot ahead of Boris Johnson’s highly-anticipated speech to unveil ‘cautious’ plan to lift England’s lockdown. Much of the details have already been leaked ahead ...
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AUD and NZD pairs rallied into the weekly close on Friday as commodities and, in particular copper, pushed aggressively higher. Commodities chalked up another broad rise last week, with the ...
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U.S. Review A Consumer and His Stimulus Check Are Soon Parted Stimulus checks from the year-end COVID-relief package arrived in January, and we learned this week that retailers raked in ...
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U.S. Highlights The week’s data confirmed that the U.S. economy continued to make progress early in 2021. That progress looks likely to get a substantial shot in the arm from ...
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Divergence between the hospitality sector and the broader economy has been a key theme in recent months. Next week’s release of (the usually closely watched) annual investment intentions survey from ...
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Inflation and inflation components of economic data were sharply stronger last week than in previous months. Yet, one central bank speaker after the next continued to march out and say ...
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There’s been a striking change in the dynamics of the FX market lately, with the US dollar no longer trading exclusively as a safe haven and instead reacting to American ...
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The Canadian dollar has posted slight gains on Friday. Currently, USD/CAD is trading at 1.2646, down 0.24% on the day. Canadian dollar closes in on 1.26 line The Canadian dollar ...
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A slew of US data overnight saw inflationary inputs, unemployment and housing permits rise in tandem. Welcome to 2021! A slew of US data overnight saw inflationary inputs, unemployment and ...
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The Canadian dollar is down slightly in the Thursday session. Currently, USD/CAD is trading at 1.2703, up 0.02% on the day. Loonie yawns as ADP nonfarm payrolls slides Canada’s ADP ...
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Market movers today Focus in the ECB minutes today will be on any discussion regarding rate cuts and strength of the euro. February euro consumer confidence is also released today ...
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The latest batch of British data will hit the markets on Friday. Retail sales will be released at 07:00 GMT ahead of the PMI business surveys at 09:30 GMT. Forecasts ...
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Asian equities mostly lower Equities paused the US overnight, the S&P 500 falling slightly by 0.06%, the Nasdaq falling 0.34% which the Dow Jones managed to edge 0.20% higher. The ...
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The euro is showing slight losses in the Tuesday session. Currently, EUR/USD is trading at 1.2110, down 0.15% on the day. German economic confidence accelerates The German economy continues to ...
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The Australian dollar has posted slight gains on Monday, continuing the trend we saw at the end of the last week. Currently, AUD/USD is trading at 0.7777, up 0.20% on ...
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The global vaccine rollout and stronger GDP across Asia retained a positive tone for equity markets, sending the yen lower and the Nikkei to a 30-year high. Japan’s GDP (growth ...
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The Canadian dollar has started the week with gains. Currently, USD/CAD is trading at 1.2643, down 0.40% on the day. It has been a busy start to the week for ...
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Meme stocks continue to make waves but economic data and central banks are afterthoughts at the moment. As the market continues to look past the virus, few themes have emerged ...
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U.S. Review Inflation Comes Back in Focus Market attention was concentrated on the January consumer price data, as inflation has come back into focus. There is renewed concern among market ...
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U.S. Highlights The headline Consumer Price Index rose 0.3% in January and was up 1.4% year-on-year. Removing food and energy prices, the core index was flat on the month and ...
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