The Japanese Yen drifts lower against the USD for the second consecutive day on Wednesday. Concerns about Trump’s trade tariffs and a positive risk tone undermine the safe-haven JPY. The divergent BoJ-Fed policy expectations should limit any meaningful downside for the JPY. The Japanese Yen (JPY) remains on the back foot against the recovering US…
Geopolitical developments dominated global headlines last week, particularly surrounding peace negotiations over Russia’s invasion of Ukraine and evolving US-Ukraine relations. While US President Donald Trump’s tariffs took a backseat, concerns over their impact on consumer spending and economic growth resurfaced by the end of the week, triggering renewed risk aversion. Markets lacked clear direction for…
Markets Bessent’s interview with Bloomberg offered a welcome distraction in yesterday’s generally dull trading session. The US Treasury Secretary touched on a range of topics, including on the US’ debt maturity profile. He ruled out terming out the debt for the time being, due to elevated inflation and the Fed being a competitive seller through…
The Japanese Yen attracts strong follow-through buying in reaction to the upbeat Q4 GDP. Optimism over the delay of Trump’s reciprocal tariffs provides an additional boost to the JPY. The USD languishes near a two-month low and further contributes to the USD/JPY pair’s slide. The Japanese Yen (JPY) builds on its steady intraday ascent led…
Dollar faced significant volatility last week as shifting trade policy signals from the White House left investors scrambling for clarity. Initially, tariffs on Canadian and Mexican imports were imposed, only to be quickly suspended for 30 days following new agreements on border security and fentanyl control. Now, the focus turns to “reciprocal tariffs,” a move…
On January 24, 2024, the Bank of Japan’s announcement of an interest rate hike caused significant market movements. By using a replay chart, we will reproduce these movements and consider the limitations of monetary policy and the impact of the lack of coordination between the government, the Ministry of Finance, and the Bank of Japan….
US equities markets rose due to President Trump’s pro-business policies and decision to not impose tariffs on major trading partners yet. The Bank of Japan raised rates to 0.5%, the highest since 2008. The week ahead sees markets shift attention toward Central Bank policy with the ECB and Fed meeting in focus. Week in Review:…
It was a strong week for US stocks and gold, with the S&P rising about 3% by the end of the week. Markets are bracing for potential volatility and policy surprises as Donald Trump is inaugurated as US President. The Bank of Japan (BoJ) meeting on January 24th is a key event, with potential for…
Newsquawk Week Ahead – 20-24th January Highlights include BoJ, PBoC, PMI data, UK jobs, Inflation data from Canada, Japan and NZ MON: US Presidential Inauguration, PBoC LPR, Eurogroup Meeting; German Producer Prices (Dec) TUE: UK Unemployment/Wages (Nov), German ZEW (Jan), Canadian CPI (Dec), New Zealand CPI (Q4) WED: South African CPI (Dec),…
Bloomberg reported on Thursday, citing several unnamed people, that the Bank of Japan (BoJ) is expected to raise interest rates next week, barring a major market rout following US President-elect Donald Trump’s inauguration. The Japanese Yen witnessed a fresh leg lower to near 155.20 against the US Dollar following this report, with USD/JPY now recovering…