Category Archives: Market News
GBP/AUD looks out for bears
Written on August 8, 2023 at 2:45 am, by evelyn
Focus on GBP/AUD today. On fundamentals, there is no notable financial data due today. The difference in monetary policy between the UK and Australia will control the currency exchange rate in the short run. (Blue vs Black, BoE rate vs RBA rate) The BoE raised its benchmark interest rate by 25 bps to the highest […]
The non-farm payrolls have passed, the inflation data has come, and the dollar is still in decline
Written on August 7, 2023 at 1:53 am, by evelyn
Last Friday, August 4th, the U.S. nonfarm payrolls data fell short of expectations for the second consecutive month. According to the data released by the U.S. Department of Labor, the seasonally adjusted non-agricultural employment in the United States increased by 187,000 in July, the lowest number of new jobs since December 2020, compared with market […]
GBP/AUD changing game is on
Written on August 4, 2023 at 2:35 am, by evelyn
Focus on GBP/AUD today. On Fundamentals, BoE raised its benchmark interest rate by 25 bps yesterday, reaching the highest level since 2008. Rising interest rates mean higher borrowing costs, meaning more pressure on many homeowners. The UK continues to be on the edge of recession. Separately, RBA’s monetary report suggests suspending interest rate hikes, however, […]
BoE raises interest rates, and the pound rebounds
Written on August 4, 2023 at 1:31 am, by evelyn
To combat inflation, the BoE makes its 14th move to raise interest rates by 25 bps, marking a new high of 5.25% since 2008. (UK Interest rates in the past 25 years) (BoE briefing in Aug.) BoE’s consecutive 25bps rate hikes made the market no longer optimistic on the future, lowering the estimate from 5.74% […]
GBP rides on Wolfe Wave
Written on August 2, 2023 at 10:04 am, by evelyn
Focus on GBP/USD today. Fundamentally speaking, the BoE and Fed are heading for a showdown now, and this is the only factor that affect the exchange rate between the two. First, the BoE tightening policy has not yet been clarified, While the Fed’s rate hike has come to an end. Second, although the probability of […]
BoJ to deter Yen’s appreciation
Written on August 1, 2023 at 9:57 am, by evelyn
Focus on USD/JPY On fundamentals, last Friday, BoJ revealed its monetary policy. The interest rate was unchanged as expected, however, the YCC curve surprised the market. Although BoJ has made a flexible adjustment on YCC, the targeted yield has not floated accordingly. The market describes BoJ as dovish and expects monetary easing policies to exist […]
