The emerging market complex has been caught in cross fire since yesterday after Donald Trump said Canada and Mexico would be excluded from the tariffs, provided that the three countries succeed in reaching a new NAFTA agreement, while other countries will still be subject to it...
In the context of growing tensions with its first commercial partner, fighting on the front of NAFTA’s new terms and conditions and recently adding up tariffs on aluminum (10%) and steel (25%), Bank of Canada Governor Stephen Poloz faces the unique choice of maintaining monetary policy unchanged...
Global equities remain under pressure on Wednesday despite positive developments in the Korean peninsula, which suggests that market participants are more focus on the formalisation of Trump new trade tariffs. The Nikkei ended the session down 0.77%, Hong Kong Hang Seng was off 1...
The Reserve Bank of Australia held interest rates this morning at 1.50%, unchanged since August 2016, and the 17th meeting at this level. Weak economic data suggest no interest hikes in 2018. Unemployment is approaching a full-employment minimum of 5...
Markets have settled after Monday’s excitement about Germany’s coalition, Italian populists’ victory and US President Trump’s presumed trade war. The VIX volatility index fell to 18 from 26...
Some of the risk that has boosted the Swiss Franc is deflating. Germany’s grand coalition is now firmly on track, and US President Trump’s trade war is more likely a threat than a reality...
Euromarkets were soothed by German socialists’ decision to join the country’s conservatives in a coalition government that will be headed by current Chancellor Angela Merkel. The DAX moved in line with other EU equity indices, while 2-year, 10-year and 30-year Bund yields fell to -0.572%, 0...
South Korea’s decreasing export growth slowed in February to 4% (average: 8.70%), its weakest rate since November 2016 due to decreasing overseas demand and New year holidays that reduced the amount of working days and shipment for the automotive industry...
This weekend is event risk heavy with German SPD vote and Italian general elections. The market, judging from short-term vol, has shrugged of any significant impact. Yet in the back of everyone mind is the “what if”...
European markets closed in red territory on Tuesday following a decrease in early trading session and moving in different directions after Powell’s testimony in the afternoon, reinforced by weaker Consumer Confidence and Consumer Price Index data published the same day...
The US dollar rose across the board yesterday afternoon as the new chair of the Federal Reserve made some hawkish comments during a congressional testimony...
Indian economy 4Q Gross Domestic Product is about to be released in February 28th 2018. Estimates anticipate a September – December growth of 6.90% (previous: 6.30%), its fastest pace since December 2016...
The greenback started the week off the wrong foot and erased partially last week’s gains. The dollar fell across the board as the risk sentiment continued to improve. The dollar index was off 0.40%, down to 89.51, while stocks across the globe rallied, while Treasury yields eased slightly...
Asian markets were heading higher on Friday, led by South Korean Kospi, surging at 2’451 (+1.54%), followed by Hong Kong Hang Seng valued at 31’290 (+1.05%) and Japanese Topix increasing at 1’760 (+0.82%) while Nikkei 225 closed the day at 21’893 (+0.72%), supported by Energy (+2...
After taking a breather on Thursday, the US dollar extended gains Friday amid easing rate concerns. US treasuries were better bid, which sent yields lower. The 10-year fell 3bps to 2.90%, while on the short-end of the curve the 2-year one was unchanged around 2.245...
Since Cyril Ramaphosa took office as South African President last week, economic data and reform on VAT came out yesterday, in an attempt to shake South African investors, but in vain: South African JSE 40 gained 707 points, ending at 51’727 (+1...
The publication of the January FOMC minutes did not affect much the FX market in the absence of any significant news...
German investor opinion remains optimistic despite political turmoil according to yesterday’s published economic data from economic institute ZEW and German Federal Statistic Office. The February ZEW Survey Expectations index came out at 17.80 (consensus: 16) against 20...
Despite the lack of news on both the political and economic sides, the US dollar erased almost completely last week losses, which sent the Dollar Index down to 88.25 – another multi-year low. The buck started the week on a solid footing even though US investors were off for President’s Day...
