Weak PMI data from Europe and the UK raise concerns about global economic outlook and sent the EUR and GBP tumbling. Escalating tensions in Russia-Ukraine and the Middle East add to market uncertainty. Upcoming PCE inflation data will influence Fed policy and market sentiment. Week in Review: DXY Continues Advance, as EU and UK Growth…
Dollar regained its dominance in the currency markets last week, surging ahead despite US Treasury yields struggling to break through resistance levels. Investors continued to adjust their expectations for Fed’s monetary policy, increasingly anticipating a slower pace of interest rate cuts with fewer adjustments in the coming year. This shift in sentiment was also reflected…
Last week ended on a very positive note for the US equity markets. All major indices rallied, the S&P500 notched its best week in more than a year and toped the 6000 level for the first time in history. The Dow Jones traded past the 44’000 level for the first time as well, while Nasdaq…
Significant volatility was seen in the global financial markets last week, driven by the highly anticipated US presidential election. Contrary to expectations of a tight contest, Donald Trump secured a comfortable victory over Kamala Harris, with the Republican Party also achieving a “Red Sweep” by taking control of both the Senate and the House. This…
Trump’s clean sweep saw a significant rise in the US Dollar and Yields. Can it continue? Data in focus next week, US CPI data is due with potential implications for Federal Reserve policy and interest rate decisions. US Dollar Index (DXY) breaks above key level of 105.00. Where to next for the Greenback? Week in…
Dollar, which has dominated currency markets in recent weeks, finally eased back last week. But this retreat does not necessarily indicate a reversal of its upward momentum. Instead, the greenback appears to be taking a breather ahead of the impending US presidential election. Closing as the second strongest performer among major currencies, Dollar still has…
Dollar The dollar index corrected after four consecutive weeks of gains. This is typical when national currencies and bond markets come under pressure ahead of important elections. The U.S. is facing this right now, although the dollar is often seen as a safe haven in times of market turmoil. In this case, gold and cryptocurrencies…
Dollar emerged as the unequivocal winner in the currency markets last week. Both Dollar Index and 10-year US Treasury Yield surged through their respect technically significant 55 W EMA resistance. It remains to be seen whether traders are positioning ahead of the US presidential election results, which are less than two weeks away. However, the…
Dollar continued its reign as the strongest currency for yet another week, bolstered by solidifying expectations around gradual and measured rate cut cycle by Fed. The rate cut from ECB provided some additional tailwind for the greenback. However, momentum behind the Dollar’s rise remains tepid. Strong risk-on sentiment, coupled with sluggishness in U.S. Treasury yields,…
Global financial markets last week were influenced by a combination of clarity and uncertainty. In the US, economic data reinforced expectations of a gradual and measured policy easing path by Fed. Investors embraced the prospect that Fed would not repeat the aggressive 50 bps rate cut implemented in September. This optimism regarding a soft landing…