EUR/USD is on the back foot. The pair is set to extend its downfall, however, the 1.05 level holds for now, economists at Scotiabank report. Bullish progress dented “Multiple failures to hold a bid above 1.06 (and above its 50- day MA) and the correction over the past 24 hours would suggest the EUR will … Read more
Senior Economist at UOB Group Alvin Liew comments on the latest Inflation Production figures in Singapore. Key Takeaways “Singapore’s industrial production (IP) enjoyed another strong month in May as it rose by 10.9% m/m SA, 13.8% y/y (from the revised Apr readings of 2.1% m/m, 6.4% y/y) well exceeding Bloomberg survey estimates.” “The main sources … Read more
Gold continued to push lower and touched its lowest level in nearly two weeks at $1,816 because the US dollar appreciated noticeably. This trend is set to continue on Wednesday, strategists at Commerzbank report. ECB Lagarde rejected the idea of raising interest rates by 50 bps in July “The continued strength of the dollar today … Read more
EUR/GBP trades comfortably slightly above the 0.86 level. Economists at ING expect the pair to continue moving around this zone. Quite resilient “Sterling has weathered news of another potential Scottish referendum (19 October 2023) quite well. That may well be because the chances of Westminster granting it are unlikely—though it looks like markets may be … Read more
In the opinion of FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang, EUR/USD is still seen within the 1.0460-1.0630 range in the next weeks. Key Quotes 24-hour view: “We highlighted yesterday that ‘upward momentum has not improved by much and EUR is unlikely to advance further’ and we expected EUR to … Read more
Strategists at Morgan Stanley remain bullish on the Swiss franc, recommending going short on EUR/CHF while suggesting the upside for CHF/JPY, in the wake of the further rate rises from the Swiss National Bank (SNB). Key quotes “We keep our bullish CHF bias. The SNB has made clear its preference is for a stronger – … Read more
The pound may not receive a lasting support from the Bank of England, even if it accelerates rate hikes, as investors override concerns about UK investment and growth, explain analysts at Rabobank. Key Quotes: “The BoE was quicker out of the blocks on policy tightening than many other G10 central banks this cycle. However, the … Read more
The US dollar should remain strong against more currencies; However, the peak may be approaching earlier than initially expected, according to analysts at Wells Fargo. They believe medium-term dollar strength will be most pronounced against emerging market currencies. Key Quotes: “Our short to medium term view on the US dollar is unchanged, and we continue … Read more
GBP/USD is moving below 1.23. The Bank of England (BoE) prioritizing growth over containing inflation suggests GBP downside, compounded by political risks, including a potential trade spat with the EU, economists at CIBC Capital Markets report. BoE still hiking but risks undershooting expectations “Sliding consumer sentiment and spending, as real earnings head lower, will help … Read more
Data released on Monday showed Durable Goods Orders rose more than expected in May. Analysts at Wells Fargo point out the report presented gains despite softening demand for goods and signs of slowing activity in regional Fed manufacturing surveys. According to them, a broad-based gain in core capital goods shipments should lift estimates for second-quarter … Read more