Greg Gibbs, analyst at Amplifying Global FX Capital, suggests that the currency markets are getting influenced by the decline in real 10-year yields in the USA, as inferred by inflation-linked bonds. Key Quotes “US real yields peaked in November last year at 1.16%, falling to 0.74%, a low since August last year. This has led a fall in a number of other countries’ real yields, including Australia and Canada. However, yields in the USA have fallen somewhat further in recent weeks, whereas they have stabilised in other countries.” “Lower US yields suggest that confidence in the US economy has faded, and the outlook for Fed policy is towards easing.” “10-year real-yield spreads have been more correlated with exchange rates than short or long term nominal yield spreads over the last year. The recent fall in USA real yields points to downside risk for the USD.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Slight dip in the Ifo employment barometer FX Street 4 years Greg Gibbs, analyst at Amplifying Global FX Capital, suggests that the currency markets are getting influenced by the decline in real 10-year yields in the USA, as inferred by inflation-linked bonds. Key Quotes "US real yields peaked in November last year at 1.16%, falling to 0.74%, a low since August last year. This has led a fall in a number of other countries' real yields, including Australia and Canada. However, yields in the USA have fallen somewhat further in recent weeks, whereas they have stabilised in other countries." "Lower US yields suggest that confidence in the US economy has… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
