Dollar rebounds from multi-month lows

30 June, 2017

Dollar rebounds from multi-month lows

The greenback selling pressure seems to have abated for the time being, with the key US Dollar Index (DXY) bouncing off 9-month lows and is currently hovering around the 95.40-50 region.

The prospect for shifts in monetary policy stance by the European Central Bank and the Bank of England continued weighing on the buck through early Asian session on Friday. 

   •  USD struggles as BOC set to join the rate hike club - BNPP

The recent comment by the ECB President Mario Draghi, indicating that the central bank could soon start to unwind its quantitative easing program drove the EUR/USD pair to 14-month highs. 

This coupled with BOE Governor Mark Carney's remarks that some removal of monetary stimulus is likely to become necessary provided a boost to the GBP/USD pair, which eventually dragged DXY to its lowest level since Sept. 2016. 

Even an upward revision of the first-quarter US economic growth, released on Thursday, did little to provide any immediate respite for the buck. 

However, a continuous upsurge in the US Treasury bond yields, with the 10-yr benchmark yield holding near multi-week highs seems to have extended some support on the last trading day of the week.

   •  Fed: Markets ignoring tightening – Deutsche Bank

Investors now look forward to a string of US macro data, which includes - Core PCE Price Index, Personal income/spending data, Chicago PMI and Revised UoM Consumer Sentiment Index, for some fresh impetus later during the NA session.

Source link  
Dollar risks getting dumped

While today's US inflation report is getting touted as being key for the short-term direction of travel for global markets, we're a bit more sceptical...

Gold drops to 4-month low

Gold (XAU/USD) hits a four-month low of $1256. 08 today as yield curve continues to collapse on speculation that tax reform would open doors for faster...

Euro approaching the support level

A break of $1.1800 would be technically important. Sterling, like the euro, appears to have traced out a reversal candlestick pattern-shooting...

Gold holds steady near 6-week highs

Gold trimmed of the early gains to a six-week high and retreated to the $1262 region during early the European session, albeit has managed to hold...

USD stays under pressure on politics

The US dollar inched up from a 13-month low against a basket of six major currencies touched in early trading, assisted by strongerthan-expected...

EUR/GBP jumps to fresh yearly tops

The EUR/GBP cross was seen building on previous session's strong up-move and has now jumped to fresh yearly tops near 0.8875...

USD: Fed being a little more hawkish

The dollar picked up over the past week, and this continued to be in reaction to a Fed that is being a little more hawkish...

EUR sluggish in recent weeks

EUR has also been surprisingly soft in light of the convincing win by French President Macron...

EUR/USD sinks to session lows

The single currency is now losing the grip vs. the buck, sending EUR/USD to test the area of daily lows in the 1.1240/30. Spot met extra downside pressure...