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Economists are expecting a drop in Canadian inflation. Inflation in Canada is becoming entrenched. The BoC will raise rates aggressively if inflation rises. Today’s USD/CAD outlook is slightly bearish ahead of Canadian inflation data. Tuesday will see the release of Canada’s August inflation figures. According to economists, the headline rate will go down to 7.3%…
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EUR/USD bears could not break 1.04000 ahead of the Fed meeting. Investors expect a 75-bps rate hike by the Fed. The US dollar could be pushed lower if rate hike expectations are unmet. The EUR/USD outlook remains slightly positive as it is pushing higher after finding support at 1.04000 ahead of the Fed meeting. Markets…
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According to analysts from TD Securities, the tone of meeting in June of the Federal Reserve should help to stabilize the US dollar after the recent slump. They point out the market is coping with the unsatisfying mix of US exceptionalism and global reflation. Key Quotes: “A less dovish Fed tone next week would…
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EUR/USD rises decisively above 1.2100 to the highest since February. US dollar accelerates to the downside after the FOMC meeting. The EUR/USD jumped to 1.2135 during Powell’s press conference, reaching the highest level since February 26. The pair remains above 1.2120, with the US dollar under pressure after the Fed meeting. Fed keeps policy unchanged,…
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USD/JPY is looking optimistic ahead of the FOMC meeting. US Treasury yields underpin demand for the greenback. Investors shy away from the safe-haven yen on improved risk sentiments. The USD/JPY pair extends its previous two session gains and continues to march higher in the European session on April 28. The pair peaked at 109.08,…
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Gold prices lost their footing on Thursday but that has not deterred the optimists to stick to bullish outlook. All eyes on the central banks with next week’s FOMC hurdle on the cards. Update: Gold has been consolidating its recent gains and trades around $1,965 as tension mounts ahead of the all important decision by…
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S&P 500 Futures extends pullback from the weekly high of 3,256. Fed showed readiness to pump the markets, cited need of fiscal measures amid coronavirus woes. US policymakers jostling over the phase 4 aid package, Senate Leader McConnell hopes to clinch unemployment claim deal on Friday. US GDP becomes the key event of the day,…
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The S&P 500 is trading 0.12% higher on Wednesday. The Dow (0.59%) and Nasdaq (1.19%) are both higher after the event. S&P 500 4-hour chart After the Federal Reserve left interest rates unchanged and also reiterated their stance on using tools if necessary the S&P pushed slightly higher. There could have been a small fear…
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Previewing next weeks FOMC meeting, “the funds rate will almost certainly be left unchanged. Tweaks to the FOMC statement are likely to be minor,” said TD Securities analysts. Key quotes “Policy will likely still described as “appropriate” but with officials also still in “monitor[ing]” mode, consistent with an easing bias. The separate implementation note will…
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It has been a rather slow start to a potentially eventful week, though the incoming positive trade-related headlines remained supportive of a generally risk-on mood and weighed on traditional safe-haven assets. The US Trade Representative’s office said on Friday that the US and China have made progress in trade talks and have come close to…
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Danske Bank analysts suggest that the key focus today will be the Fed meeting tonight, where we look for another rate cut of 25bp but no pre-commitment to further cuts. Key Quotes “Another ‘mid-cycle adjustment’ cut is warranted by weak global growth and high uncertainty, while a still strong US consumer puts the Fed on…