AUD: Vulnerabilities to Remain – ANZ Research Team at ANZ, suggests that impending risks are not fully priced into the AUD and they continue to forecast a lower AUD by year end. Key Quotes “The AUD has sold-off sharply over the last month...
USD: New Phase in the Appreciation Cycle – ANZ Daniel Been, Senior FX Strategist at ANZ, suggests that the dollar is back as the recalibration of Fed rate hike expectations drove a sharp recovery in US real yields and a broad USD rally has taken hold...
ECB Could Take a Further Step This Year - Commerzbank Dr Jörg Krämer, Chief Economist at Commerzbank, suggests that as core inflation should tend to disappoint the ECB and the euro looks set to continue appreciating, we expect the central bank to ease its monetary policy again later this year...
Japan Abe Set to Delay Sales Tax Hike, Meet with Aso to Discuss - Govt Sources Reuters reporting headlines quoting government sources, Japan’s PM Abe is likely to announce a delay in the sales tax hike and will hold a meeting with finance minister Aso in coming days to discuss the same...
Another Bremain Positive Poll Lifts GBP: New Lows Against the EUR, Bid Tone in the USD Limits Cable GBP provided the early volatility in the FX markets, as the latest EU poll from Telegraph/ORB continued show the ‘remain’ camp extending their lead – Tory voters and older generations moving back o...
NZD: China Risks – BNZ Jason Wong, Currency Strategist at BNZ, suggests that the outlook for China remains a key source of downside risk for the NZD. Key Quotes “Debt levels in China are rising at an unsustainable pace and ultimately represent a hand-brake on growth...
AUD: How High Can 3s Trade? – RBC CM Research Team at RBC Capital Markets, notes that the Australian 3s have shifted into higher trading range and will be well supported back towards cash. Key Quotes “Recent history suggests that 3s can test 40bp through (1.35% / 98.65 on 3y futures...
JPY Remains the Cheapest Currencies of the Majors - BNZ Jason Wong, Currency Strategist at BNZ, suggests that it was a deadly quiet start to the trading week, with little to report other than yesterday’s strengthening of the Yen...
JPY: Diverging Views Between the US and Japan on Intervention – MUFG Lee Hardman, Currency Analyst at MUFG, notes that the yen has remained on a firmer footing in the Asian trading session supported by more risk-averse trading conditions in the near-term...
USD: Currency Index & Volatility Relative Currency Strength The British pound became the undisputed leader of the previous week. While its peers fluctuated in the range between -1.2% and +1%, the GBP Index experienced an almost 3% growth, fueled by the Brexit poll data release...
Fed Minutes Hawkishness Propelled USD Higher – Lloyds Bank Research Team at Lloyds Bank, suggests that a surprisingly hawkish set of US Fed minutes of the 26-27 April FOMC meeting, supported by positive economic data, led to a rally in the US dollar and Treasury yields over the past week...
EuroDollar Net Shorts Reduced – Deutsche Bank Research Team at Deutsche Bank, lists down the commitments of traders report for the week ended on Tuesday, May 17, 2016. Key Quotes “Interest Rates: Speculators decreased their net shorts in Eurodollar and Treasury futures by $4.3 billion to -$51...
Leveraged Funds Reduced Short USD Positions - ANZ The ANZ Team shares summarizes the latest positioning data for the week ending 17 May 2016, noting that Leveraged funds continued to be short for the USD for a fourth straight week, although these short positions were reduced by USD0...
The dollar’s three-week rally is just the beginning, according to Deutsche Bank AG. A slump by the greenback earlier this year has “likely run its course,” analysts at the world’s second-largest currency trader wrote in a note Friday. The bank favors buying the U.S...
It's the Polish zloty. So just how undervalued is the zloty? According to Deutsche Bank's Global FX Research team, led by Alan Ruskin and George Saravelos, the currency is "extremely cheap" and undervalued by about 10%. Poland's economy expanded 3...
USD: Investors Inclined to Rebuild Longs - SocGen Research Team at Societe Generale, notes that a rise in USD rates had been missing from the rebound of the dollar from the early May low but this now has been partially addressed and in theory gives the dollar a base to strengthen, in particular a...
Deutsche Bank Recommends to Sell All EM Currencies Deutsche is with Dollar. In its quarterly currency report, Deutsche Bank has said that EM currencies are not out of the woods, while Dollar has juice left. Latest call for hikes from U.S...
US Dollar Leaps to Highs Near 95.50 The US Dollar Index, which tracks the greenback vs. its main rivals, has quickly reverted initial losses and is now testing daily peaks in the mid-95.00s...
UK Strategy: Pricing Out Referendum Risk? – Deutsche Bank Jack Di-Lizia, Strategist at Deutsche Bank, suggests that the upcoming EU referendum continues to represent a significant driver of risk dynamics...
