Latest Market News

Pound Down As May Faces Political Noise, Dollar Rebounds But Tax Uncertainties Weigh (13-Nov-2017 at   02:01:27 pm)

Forex markets were relatively quiet on Monday as economic releases were limited. However, political challenges in the UK during the weekend, pressured the pound, while the dollar managed to gain ground as investors were widely expecting a third Fed rate hike despite continuing uncertainties around the US tax overhaul lingering in the background.

Dollar Mixed Amid A Slow Trading Day (13-Nov-2017    at   01:54:47 pm)

The US dollar was seen trading mixed earlier on Monday. Last week, investors grew wary of the proposed tax reforms plans which are expected to be delayed. On the economic front, the calendar was also quiet with only the UK's manufacturing, construction, and industrial output data.

Currencies: Dollar To Trade Cautiously Ahead Of Key Eco Data (13-Nov-2017    at   01:01:28 pm)

At the end of last week, the dollar couldn't profit even as core bond yields maintained an upward bias. US traders look out for the key US eco data later this week, including CPI and retail sales. Soft data won't derail a Fed rate hike, but might still weigh on the USD. Sterling is again under pressure as Conservative PM's are said to challenge PM May's leadership

Sterling Slides, Bitcoin Tumbles & Investors Seeking More Clarity On Tax Reforms (13-Nov-2017    at   12:41:43 pm)

Sterling fell more than 0.5% early Monday, after the Sunday Times reported yesterday that 40 Conservative Party MPs agreed to sign a letter of no confidence in the Prime Minister, Theresa May. While this remains short of the 48 votes needed to force a new leadership, it still creates much frustration amongst investors seeking clarity on Brexit negotiations. With May’s position being potentially at risk and no significant progress after six rounds of talks with EU, Sterling may come under increased pressure in the next couple of days, with the 1.3024 support level at risk of being breached. A leaked letter from Boris Johnson and Michael Gove pushing for Hard Brexit, add to the uncertainty as House of Commons meet on Tuesday.

The US And UK CPI Inflation For October (13-Nov-2017    at   12:20:29 pm)

On Friday, the ECB's Governing Council member Ewald Nowotny (usually considered neutral) said in an interview that ECB's forward guidance regarding key interest rates does not leave policy makers room to hike interest rates before 2019. In addition, he said that the ECB should end QE after September 2018 if the economy allows, which adds to the recent indications that the Governing Council has shifted in a slightly more hawkish direction.

BOJ's Kuroda Headlines Quiet Monday Session (13-Nov-2017    at   11:45:48 am)

A dearth of economic data on Monday will keep many traders on the sidelines in anticipation of more worthwhile events later in the week. Bank of Japan (BOJ) Governor Haruhiko Kuroda is the only noteworthy headline on Monday. Kuroda will be covering “Current Issues of Monetary Policy” at the University of Zurich. The speech is scheduled to occur at 17:45 GMT.

The USD/JPY Is Building A Bullish Correction To The Top Of The Bearish Channel (13-Nov-2017    at   11:35:00 am)

The Euro recently formed a decent support above 1.1550 against the US Dollar. The EUR/USD pair is recovering, but faces important resistances like 1.1700, 1.1720 and 1.1760. The pair has moved above the 23.6% Fib retracement level of the last drop from the 1.1836 high to 1.1554 low. However, buyers seem to be struggling near the 1.1700 level and the 100 simple moving average (red, 4-hour).

Aussie Trading Marginally Lower In The Morning Session (13-Nov-2017    at   10:59:17 am)

The pair is expected to find support at 0.7636, and a fall through could take it to the next support level of 0.7613. The pair is expected to find its first resistance at 0.7689, and a rise through could take it to the next resistance level of 0.7719.

Euro Trading Lower In The Asian Session (13-Nov-2017    at   10:56:49 am)

The pair is expected to find support at 1.1625, and a fall through could take it to the next support level of 1.1597. The pair is expected to find its first resistance at 1.1680, and a rise through could take it to the next resistance level of 1.1707.

Britain's Manufacturing And Industrial Production Climbed Above Expectations In September, Construction Output Dipped In The Same Month (13-Nov-2017    at   10:55:49 am)

The pair is expected to find support at 1.3076, and a fall through could take it to the next support level of 1.3030. The pair is expected to find its first resistance at 1.3199, and a rise through could take it to the next resistance level of 1.3276.

Japanese Yen Trading On A Weaker Footing This Morning (13-Nov-2017    at   10:53:56 am)

The pair is expected to find support at 113.36, and a fall through could take it to the next support level of 113.05. The pair is expected to find its first resistance at 113.85, and a rise through could take it to the next resistance level of 114.03.

Swiss Franc Extends Its Losses In The Asian Session (13-Nov-2017    at   10:51:48 am)

The pair is expected to find support at 0.9935, and a fall through could take it to the next support level of 0.9905. The pair is expected to find its first resistance at 0.9986, and a rise through could take it to the next resistance level of 1.0007.

Loonie Trading On A Weaker Footing This Morning (13-Nov-2017    at   10:49:59 am)

The pair is expected to find support at 1.2670, and a fall through could take it to the next support level of 1.2653. The pair is expected to find its first resistance at 1.2701, and a rise through could take it to the next resistance level of 1.2715.

Market Update - Asian Session: TPP Moves Ahead Without US As Trump Wraps Up Visit To Asia (13-Nov-2017    at   10:48:26 am)

Following the declines seen in US equity markets on Friday's session, Asian bourses have opened mixed. In South Korea, cosmetics companies (including Amorepacific, LG Household and Cosmax) have traded higher, as companies release their sales figures from China's ‘Singles Day.' Alibaba reported that its gross merchandise value related to the annual shopping festival rose by 39% y/y to $25.3B. Japan's Fast Retailing has declined by more than 1.5%.

Did OPEC Just Admit Defeat In The Shale Oil Wars? (13-Nov-2017    at   09:28:43 am)

The past week has been relatively interesting on the Crude Oil news front as OPEC quietly released their 'World Oil Outlook' report. As usual, the cartel largely shrugged off the growing risk around the arrival of peak oil demand and largely painted a picture of improving price stability. However, what was particularly illuminating is the fact that the cartel drastically revised upward their assessment of U.S. shale oil production. Subsequently, the question remains if OPEC is finally ready to admit defeat in their strategy to crush shale oil producers.

Wobbles And Squabbles (13-Nov-2017    at   07:33:57 am)

The market certainly had its Jekyll-and Hyde moments last week as the torrent of interparty lobbying suggests we are nearing a now or never moment for US tax reform. Digesting tax reform banter is an unsavoury business as even the ambient noise is triggering unusual moves across asset classes which has traders scurrying looking for answers. But when usual correlations break down; it creates conflicting messages producing a scrambled picture and price discovery becomes virtually impossible. Indeed, this partly explains some of the last weeks dangerous market schizophrenia, however in this low volatility environment with investors overly optimistic views likely stretched, even the smallest shock can help trigger an outsized move. Besides with Christmas just around the corner, investors will be more inclined to book year-end profits adding to sell-off momentum.