Forex news
- The EUR/USD pair rose after the EU commission unveiled the Next Generation EU proposals.
- The commission is expected to raise more than $826 billion to help countries recover after the pandemic.
- The proposal will find opposition with the "frugal four" countries that are opposing issuance of grants.
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Latest Forex news
The US dollar index (DXY) declined by almost a percentage point as investors remained optimistic about the economy. The index also reacted to the positive housing and consumer confidence data from the US. US dollar index falls as demand for foreign currencies rose Many countries have started to reopen their economies following the lockdowns that started in March. Yesterday, Shinzo Abe declared victory as the number of new infections in Japan decl...
The USD/SGD pair declined today as the market reacted to the improving GDP data from Singapore. The market also reacted to the weak inflation and industrial production data from the country. Singapore sinks into a recession Data from Statistics Singapore showed that the country sunk into a recession in the first quarter because of the coronavirus pandemic. The economy contracted by 4.7 per cent in the quarter after expanding by about 0.6 per cent...
The NZD/USD pair rose by more than 50 basis points as the market reacted to the April trade data from New Zealand. New Zealand imports fell in March New Zealand has been praised for its response to the coronavirus pandemic. The disease has only infected about 1,500 people and killed just 21. That is a remarkable feat for a country of more than 5 million. The country achieved this by implementing one of the strictest lockdowns globally. The...
The USD/SEK pair was little changed as the market reacted to the new jobs numbers from Sweden. The pair is trading at 9.6865 while the EUR/SEK is unchanged at 10.5378. Sweden jobs data disappoint The Swedish labour market deteriorated in April, according to the statistics office. The number of people in the workforce declined by 99,000 to 5 million as the coronavirus pandemic affected the country. The unemployment rate increased by 1.4% to 8.2% a...
The EUR/USD pair declined by more than 20 basis points after Germany released disappointing first-quarter economic data. The pair also fell as the market reacted to the “frugal four” opposition of the Macron and Merkel deal. Germany economy contracts in the first quarter The coronavirus pandemic pushed Germany into its worst recession in more than a decade in the first quarter. That led to a slight decline of the EUR/USD pair. According to the st...
The US dollar index (DXY) was slightly unchanged as the number of coronavirus cases on the country approached 100,000. US dollar index reacts to coronavirus cases The number of coronavirus infections and deaths in the United States continued to swell during the weekend. According to the government, the number of confirmed infections rose to more than 1.6 million people while the deaths are approaching 100,000. That makes the US the worst-affected...
The USD/ZAR continued declining this week as investors remained optimistic about the reopening of the South African economy. However, a report by S&P Global may change this trend when the market opens on Monday. USD/ZAR momentum S&P Global warns on South Africa Early this month, Bloomberg said this about the South African rand: “But there are signs the bad news is priced in, and the rand may be poised for a rebound as emerging marke...
The USD/JPY pair declined from its weekly high of 108.04 to a low of 107.35 last week reflecting the stability of the Japanese yen as global risks emerge. Data from the CFTC also show that hedge funds remain solidly bullish on the Japanese yen. USD/JPY stable as risks emerge The Japanese yen has been relatively stable this year. In total, the currency has gained by about one per cent against the US dollar. In contrast, the euro, sterling, and Aus...
The EUR/USD pair dropped by more than 50 basis points as investors reflected on the minutes of the past ECB meeting. Also, the decline was partly because of the overall weakness of the US dollar, which rose by 35 basis points. EUR/USD reacts to ECB minutes The euro weakened against its major peers after the ECB released the minutes of its meeting held earlier this month. The euro index, which measures the strength of the euro against a basket of...
The USD/MXN pair rose by more than 40 basis points as investors reacted to the falling crude oil prices and the weak retail sales. USD/MXN rises as crude oil price slides Mexico is one of the biggest crude oil producers in the world. The country produces more than 2.4 million barrels of oil every day, making it the 17th biggest oil producers in the world. Most of this oil – about 1.23 million barrels – is exported, bringing the valuable foreign e...
The USD/NOK rose by more than 1.35 per cent as the price of crude oil dropped sharply during the Asian and European sessions. USD/NOK jumps after crude oi price l tumbles Norway is one of the biggest crude oil exporters in Europe. According to Worldometer, the country produces more than 2 million barrels making it the 13th biggest producers. Most of this oil, about 1.7 million barrels, is exported. Therefore, the price of crude oil and the Norweg...
The USD/HKD shot up as the market remained concerned about protests in Hong Kong. Hong Kong stocks too nosedived, with the Hang Seng index, which dropped by more than 4%. USD/HKD rises as Hong Kong crisis escalates The USD/HKD pair rose sharply after the Xi Jinping government said it planned to impose national security in Hong Kong. The reports emerged ahead of the National People’s Congress meeting that is set to start today. Analysts beli...
The US dollar index (DXY) was relatively calm as the market reflected on a slew of weak economic data from the US. US dollar index calm Existing home sales disappoint Existing home sales dropped by 17.8 per cent in April, according to the National Association of Realtors (NAR). That was the worst decline since April 2010, shortly after the past financial crisis. Analysts polled by Bloomberg were expecting the sales to have declined by 18.9 per ce...
The USDTRY pair was relatively calm after the Turkish central bank delivered its interest rate decision. Turkish Central Bank cuts rates The Turkish central bank slashed interest rates for the ninth time this year. The bank, which concluded its two-day meeting today, lowered the one-week repo rate by 50 basis points to 8.25 per cent. Similarly, the bank lowered the overnight borrowing rate from the previous 7.25 per cent to 6.75 per cent. It also...
The EUR/USD was little changed as the market reacted to the mixed manufacturing and services PMI data from Europe. Investors are also optimistic in the funding deal made by Angela Merkel and Emmanuel Macron. Eurozone manufacturing PMI show improvements The manufacturing and services sector in the eurozone improved but remained in the contraction zone in May. Data compiled by IHS Markit showed that the manufacturing PMI increased to 39.5 in May. T...
The USD/JPY pair rose after Japan released weak provisional trade number for April. The market also reacted to the weak manufacturing and service PMI data from the country. USD/JPY Japan manufacturing PMI disappoints Japanese manufacturing is suffocating as the coronavirus pandemic and the state of emergency take a toll on companies. The closely watched Purchasers Manufacturing Index, compiled by Markit and Jibun Bank, declined to 31.7 in May fro...
The AUD/USD pair dropped by more than 0.60 per cent after the latest composite PMI data by Markit. The market is also concerned about the brewing trade conflict between Australia and China. Australia manufacturing and service activity disappoints Business activity in Australia went through significant challenges in May, according to the latest data from Markit and Commonwealth Bank. In May, the flash manufacturing PMI in Australia dropped from 44...