FX Markets Weekly Wrap Dollar grinds higher in line with US Treasury yields The US dollar continued to edge higher against most major currencies, with the DXY index (and 10-year US Treasury yields) reaching a new high for the year. The renewed rise in Treasury yields today... 14th April 2022 · 9 mins read
FX Markets Weekly Wrap Le Pen & sanction risk put euro under more pressure The US dollar has risen across the board this week as the Fed’s hawkish message on “quantitative tightening”, renewed sanction risks in Europe, and the polling shift in favour of far-right candidate... 8th April 2022 · 8 mins read
FX Markets Weekly Wrap Dollar treads water amid global tightening cycle Another solid gain in US payrolls did little to boost the dollar today, which seems set to end the week little changed against most major currencies. During the course of this week, central banks in... 1st April 2022 · 9 mins read
FX Markets Weekly Wrap Stage set for payrolls to renew the rally in the dollar Amid the broad-based “risk-on” tone in markets this week, the US dollar has edged down against most major currencies. As was the case last week, an increasingly hawkish tone by the Fed and a rise in... 25th March 2022 · 8 mins read
FX Markets Weekly Wrap Hawkish Fed reinforces our case for a stronger dollar Even after its broad-based appreciation today, the US dollar seems set to end the week a bit lower against most major currencies. This is somewhat surprising given the FOMC’s hawkish tone on Wednesday... 18th March 2022 · 8 mins read
FX Markets Weekly Wrap Some signs of stabilisation amid fallout from the war The war in Ukraine continues to dominate both the news headlines and financial markets. While market conditions have remained very volatile, this week has seen a degree of stabilisation of risk... 11th March 2022 · 9 mins read
FX Markets Weekly Wrap War in Ukraine creating new trends in FX markets The war in Ukraine has generated two clear effects in FX markets: the European currencies most immediately exposed to the war and its economic fallout have fallen against the US dollar, while most... 4th March 2022 · 9 mins read
FX Markets Weekly Wrap Putin’s war scrambles markets & sends ruble tumbling The Russian invasion of Ukraine early on Thursday morning has, aside from the ruble, so far made only limited impact on currency markets. The US dollar and other safe havens rose sharply on news of... 25th February 2022 · 9 mins read
FX Markets Weekly Wrap US dollar see-saws on Ukraine risk & FOMC minutes Although it has rebounded today, the US dollar lost a little ground against most major currencies over the week as a whole, as the FOMC minutes prompted a scaling back of market expectations for Fed... 18th February 2022 · 8 mins read
FX Markets Weekly Wrap US dollar stays dormant amid surging short-term yields The US dollar seems set to end the week broadly unchanged against most major currencies despite a favourable shift in government bond yield differentials. While we suspect there is limited scope for a... 11th February 2022 · 8 mins read
FX Markets Weekly Wrap The ECB strikes back & US payrolls surprise A week after the FOMC’s hawkish message sent the US dollar soaring, the ECB delivered an even bigger surprise at yesterday’s policy meeting by opening the door to policy rate hikes later this year... 4th February 2022 · 9 mins read
FX Markets Weekly Wrap Hawkish FOMC meeting provides a boost to the dollar The trade-weighted US dollar reached its highest level since July 2020 this week after short-term rate differentials moved strongly in its favour following Wednesday’s hawkish FOMC meeting. 28th January 2022 · 8 mins read
FX Markets Weekly Wrap Fed guidance could revive the rally in the US dollar The trade-weighted US dollar seems set to end the week a bit higher, reversing some of its recent decline. But the dollar strength has mostly been against G10 currencies; despite the fall in US... 21st January 2022 · 9 mins read
FX Markets Weekly Wrap We do not expect the recent dollar weakness to last Despite several events in the US this week which would usually point to a stronger dollar – the highest US inflation print since the early 1980s, hawkish comments from both Chair Powell and Vice Chair... 14th January 2022 · 9 mins read
FX Markets Weekly Wrap Slow start to 2022 for FX markets ahead of US inflation Today’s US non-farm payrolls report had little impact on currency markets, with the dollar set to end the week broadly unchanged against most other currencies. This extends a pattern of low volatility... 7th January 2022 · 8 mins read
FX Markets Weekly Wrap Game of two halves ends with a whimper, not a bang This week’s much-anticipated round of central bank policy announcements made only limited impact on currency markets, which for the most part are broadly unchanged on the week. Indeed, despite the... 17th December 2021 · 8 mins read
