News Update for Currency Pairs

Dollar on strong wings flying to 8-wk highs

The dollar went up today Tuesday. This rise brought it up to a high of eight week against the euro. On the other hand, there was a decline in U.S. bond prices as they went down in face of rising hopes that the Federal Reserve would increase interest rates soonest.

Data on US homes sales were surprisingly high for the month of April. This boosted the prospects that the US economy is showing enough strength to warrant interest rate hike when the Federal Reserve meets by June. This impressive data on US home sales added to the statements coming from federal officials suggesting over one interest rate hike this year, boosted the dollar.

From Japan, Japanese authorities are battling to come to a decision to intervene in the rising yen. Strong warnings had come from the US last week discouraging Japan from such moves.

Investors are therefore looking forward to Fed Chair Janet Yellen appearing at a panel at Harvard University on Friday. That very Friday, she is expected to make a revised estimate first-quarter growth of the U.S. economy.

 

American dollar boosted by robust housing data plan

The American dollar went up today against the Japanese yen. And against the euro, the dollar moved closed to its peak in about three months. This is as as expectations keep mounting of a possible interest rate hike in the nearest future by the Federal Reserve.

Traders are turning their direction towards comments to come from Janet Yellen on Friday. Definitely, rate increases are sure to raise the dollar up significantly through attracting investments into the US.

The dollar had moved up to 110.17 yen; this would mark a climb of about 0.14% against the Japanese yen. The euro slipped down to about 10-week lows against the dollar, coming down to $1.1129.

Against the Canadian dollar, the dollar had fallen to six-day lows. This fall brings the American dollar to C$1.3052. This fall of the American dollar against the Canadian dollar is as a result of the Bank of Canada keeping interest rates on hold today. The bank had announced that the economy stands the chance of contracting in the second quarter owing to the disruptions which the Canadian economy suffered from the latest wildfires in the oil regions of Alberta.

 

Dollar ignited by Fed Statements burning the yen

US dollar climbed today reaching one month high against the Japanese yen. The climb was a result of very heightened chances that the Federal Reserve could be increasing interest rates in the nearest future as Yellen revealed interest rates hike were in line with an improving US labour market.

From Tokyo, political happenings further supported the dollar as Prime Minister Shinzo Abe announced he will be placing the supposed sales tax increase on hold by over two years. This came out this Monday further boosting the US Dollars. It is expected that Japan could put together a supplementary budget to possibly spur up the weakening economy.

The dollar today went on top the 111.00 yen as trading was much pulled in the direction of interest date hike to possibly come this June. Ever since the tail end of April, the dollar had not gone above 111.00. Today the dollar had gone up to 111.45 yen. This gain of the American dollar agains the yen puts the dollar on the path for its best performance against the yen in almost two years.

 

Japan sales tax hike delay smacks the dollar

The dollar has today fallen to its least level against the Japanese in two weeks. This comes as Japan announced a postponement to its planned sales tax hike. Prime Minister of Japan Shinzo Abe announced a delay of over two years to the sales tax hike. This indicated that Japan was in not much hurry to cut down on the gains of the yen through monetary stimulus. This delay of about two and half years far exceeded what many investors were expecting.

From the US as well, data coming from the Commerce Department data was not too impressive as it showed that U.S. construction spending had suffered its worst fall in over five years for the month of April. The data posted a fall of 1.8% for April as outlays largely declined. This could possibly press analysts to reduce their estimates for the US second-quarter growth.

Thus today we had the American dollar falling against the yen to 109.06; this is a two week low. Against the euro, it also fell as the euro went up by over 0.40% to $1.1176.

 

Ugly US data scares dollar down

Dollar collapses against yen on The American dollar had fallen down to its least levels in over two weeks. This is as hopes of interest rate hike are already reducing owing to the poor performance of recently released US data. Risk appetite among investors has noticeably came down as oil and stocks fell today.

Data on ADP National Employment Report fell below expectations as it showed that there has been a less-than-expected rise in private payrolls. For last month, private payrolls only increased by 173,000. This reading comes below estimates of 175,000 new jobs put forward by economists.

The euro went down to $1.1151 following the announcements coming from the European Central Bank. The ECB has reached decisions to delay changes to interest rates.
Against the yen, the dollar went down to its least level since May 16; dropping down to 108.5 yen. This fall was about 2.5% from the one month highs the dollar had risen to against the yen on Monday.

 

Fed Chair Yellen's remark boosts weak dollar

Earlier today, the US dollar hit than three-week lows in its major pairs. This was a result of very disappointing poor employment report which came out on Friday. This job data has revealed that nonfarm payrolls had a very tiny increment of 38,000 jobs last month. This reading makes a record as the least count of the data in almost six years. This was a big drop down from the anticipated estimated increase of 164,000 jobs. This unimpressive data had caused investors to hope less for an interest rate cut this month when the Federal Reserve meets by 14-15. Official opinion polls conducted among investors revealed that expectations of interest hikes had dropped from 60% to 30%.


Against the yen, the dollar dropped down notably to a one-month low of 106.35 today. This was before it reversed its loss pulling a recovery to bounce back to 107.92. Thus gaining 0.35% in its recovery.

 

Sterling has found it's feet once more against the dollar

Sterling climbed up by almost 1% against the euro also rising against the American dollar this Tuesday. This, after two polls gave a very thin lead to the "Remain" camp prior to the upcoming Britain's referendum on membership in the EU which will take place by the 23rd of this month.

On Monday, the pound had terribly fallen to a low of three weeks. This was after two online surveys gave the "Leave" camp a 4 to 5 percent lead.

From the US, hopes of the dollar turning around its fortunes and recovering from its losses were up again. These hopes were resurrected after Janet Yellen of the Federal Reserve still maintained that interest rates hike was still a close reality. All said despite a very disappointing US job reports which came out last week.

Today, the Sterling went up by 1.0% against the dollar pushing up to $1.4577, this is a climb from the $1.4352 it traded at on Monday. This was a notable push up from the long-term lows of $1.38 which the sterling had fallen into as Brexit campaign gained prominence in February.

 

Dollar losses its strength in a significant fashion

The American dollar dropped down to a low of 5 weeks in its major pairs. This was as the hopes of soonest interest rates reduced in face of disappointing job reports. The positive tone of Janet Yellen (federal reserve chair) when she insisted interest rates could still be imminent was not really enough to improve the weakening hopes of traders majorly because she didn't precisely give the time we could see the interest rates.

This drop of the dollar shot the euro up to highs of 4 weeks against the dollar. This despite data on German Bund yields posted notable lows with the European Central Bank (ECB) initiating the process of buying corporate debt for the purpose of its bond purchase program. This move by the ECB is essentially aimed at boosting the EU's economy.

Chinese import data came above expected estimates. This impressive data from China support the New Zealand and the Australian dollars; even boosting a number of other currencies (whose moves are affected by moves in commodities) against the dollar.

Thus today, the euro added strength, moving up against the dollar to $1.1404. This amounts for a move up of about 0.42%. A further gain of the euro was reduced by worries over a potential exit of Britain from the EU come the critical referendum by June 23.

 

The yen impeaches the dollar and mounts the throne

The Japanese yen made gains today rising as far as 3-year peak against the euro. Against the sterling, the yen still rose higher while keeping its head up high against the dollar. Against the American dollar, the yen had risen to 6-weeks high with worries ringing in the market as the Brexit referendum drew closer.

It is not clear what to expect from the meeting of the Federal Open Market Committee policy which will be holding this week. This uncertainty largely contributing to the decline of the dollar. So far the dollar is yet to really pick up its pace and recover since the unimpressive US jobs data greatly shook the dollar. This poor data making it quite unlikely that the Federal Reserve would increase interest rates soonest.

Thus today the Sterling had dropped against the Japanese yen to 149.50 yen which is a low of three years.

 

Japanese yen begins to intimidate its rivals

The yen advanced up, rising strongly against the euro to fresh peaks. This Tuesday, the Japanese yen had climbed to highs it has not attained against the euro in over three years. The gain in the yen against the euro could be attributed to the increasing concerns the upcoming Brexit referendum is generating among investors; thus pushing investors towards safe haven assets like the yen.


As opinion polls conducted in Britain continues to show the "Leave" camp making gains ahead of the "remain" camp with the June 23 vote drawing near. The pound crashed down to great lows after its was officially predicted that while 40% of Britons would vote to stay, a bigger 47% would vote to leave the EU.

Over to Japan, investors are very much interested as to if the Bank of Japan would make moves to weaken the Japanese yen as the yen keeps making tremendous gains in face of uncertainty of Britain's membership of the EU.

Thus today, while the sterling declined against the US dollar, it still turned around to record against the euro. Trading at 79.36 pence for one euro.

 

Athletic yen speeds past the dollar

The dollar had earlier on today attempted a recovery from the losses it had suffered against its major currencies. The recovery of the dollar brings it close to its high of 2 weeks despite unimpressive data from the US.
Data coming from the U.S. Department of Labor had revealed that the count of individuals who are filing for initial jobless benefits in the week ending June 11 had risen up by 13,000. This 13,000 increase brings the total number to 277,000 from the total of last week which was placed at 264,000. Calculations from analysts had estimated the jobless claims to go up by 6,000 bringing it up to 270,000 last week.

Now from the Bank of Japan, the Japanese Central Bank is yet to make change to its benchmark interest rate. This was quite on the contrary as the yen has been racking up gains as well as there has been an unwanted weak sluggish inflation in Japan. As a result of the move from the Bank of Japan, the yen had sprung up against the dollar, jumping as far high to 103.58. 103.58 being highs of twenty two months.

On the other hand, Sterling had dropped a three-year low against the Japanese yen; falling down to 146.44 yen, which is a decline of over 1%.

 

Dollar boosts ahead of crucial UK referendum

The dollar went up today following news on the Britain's referendum on European Union membership which showed an increasing support for the leave camp, pressing down the sterling as well as the euro.

Investors today were closely watching after Federal Reserve Chair Janet Yellen who would be testifying before the U.S. Senate Committee on Banking, Housing and Urban affairs.

In her prepared testimony, Yellen pointed out how the central bank lost control within weeks of interest rates hikes rates last December; which had eventually resulted in a slowdown in domestic growth and international events. This according to Yellen also included increasing worries over an impressing Chinese economy as well as a further decline in oil prices.

Sterling had equally increased against the dollar in the aftermath of the release of the polls of the upcoming referendum. Sterling had moved up to $1.4788, this would mark the highest the sterling has ever risen to since the beginning of January this year.

 

Bleeding Sterling yet to clot from referendum wounds

The British pound declined to a 31-year low against the American dollar today as investors were still worried as to what is to come next after Britain voted rather surprisingly to leave the European Union.

Sterling had dropped as far down as $1.3151. This would mark its lowest level since far back mid-1985. The fall of the sterling today sums up today into an amazing 115% decline comparing against the closing level of the currency immediately before the referendum. It is even expected that the sterling would slide down further as the aftermath effects of a Britain vote to leave the EU continue to unravel.

Sterling today dropped by 3.6% to $1.3183. This was as the sterling failed to make a meaningful recovery despite the calming speech of British finance minister George Osborne. Mr Osborne had assured the market that the economy was still in impressive form promising that the government and Bank of England could roll out further actions if the need arises.

The euro still down as well, remaining in the region of $1.0909 which is three and half months lows of last week Friday.

 

Sterling regains ground after hitting 31-year low

A positive turn around by sterling was halted in late trading in London today. This was as depressing concerns were still evident among investors as to how the growth and investment would turn out to be in the European Union now that Britain is leaving.

The pound tried as much as possible to leap back by almost 1.5% after it has dived down by almost 11% since the shocking results of the June 23 referendum were released. But we can't say it is going well for the sterling considering it had actually slumped down in big declines we have not really seen in the market for almost 31 years. Actually the losses of about 7% the sterling suffered on Friday was its biggest daily loss since 1973.

Sterling had gotten to $1.3421 today, this is still 16 cents below where it was before the the referendum. Consequently the sterling fell down further to lower to $1.3327. Investors are not even expecting the sterling to complete a solid recovery any time soonest.

 

No mechanic for the Sterling as its breakdown continue

Sterling declined today against its major rival currencies. The drop today drags it down to a three-year low this Friday. This is as hopes are getting stronger that the Bank of England will possibly roll in more stimulus measures so as to reduce the adverse effects of the vote of Britain to leave the European Union. Governor Mark ney of the Bank of England (who was loud in his warnings that Britain could slide into recession should the push for an exit materialize) hinted at increased stimulus.

Thus on trading today, the euro climbed up by 83.95 pence. This is a move up which amounts to a climb of 0.6% this Friday. In fact the push up today by the euro is the largest jump the euro has made since March 2014. Now should the increase rise past 84 pence, it will memorably be the biggest leap for the euro since December 2013.

This today against the dollar, sterling dropped than to $1.3277. This is still close to its notable 31-year low of $1.3122 which the sterling had nosedived to on Monday. The fall today prepares the sterling for its second consecutive week stuck on the losing side

 

[h=1]Struggling sterling sluggishly moves up an inch[/h] The British pound which in the last weeks have been receiving blow after blow has managed to staged a mini recovery today. Though the climb up of the British pound today Monday was not sufficient enough to pull the currency out of the region of 31- year lows the British pound had slid to after the result of the referendum to leave the European Union.

This Monday, there was closure of U.S. markets on account of Independence Day. Owing to this event, trading activity was not heavy today. The sterling had earlier on being on a fall after it was revealed Britain's construction sector PMI survey as published by the data had been inflicted with worst fall in over six years. This confirming the anticipations of Governor Mark ney last week hinting at the possibility of the Bank of England (BoE) cutting interest rates in the months to come. This he expects could possibly combat the harming effects of the referendum vote.

Thus today Sterling edged up by 0.2%; this amounting to a climb by a margin of $1.33, which is about 2 cents from $1.3122 (which happened to be last week's low). The EURGBP moved up to 83.81, having fallen earlier to a low of 2-1/2-years.

 

The Pound fails to recover from it's grave illness

The British pound didn't look like it was going to recover today as the pound even dropped further down to fresh 31-year this Wednesday. The sustained decline of the pound comes as there are solid worries over the vacuum UK's pull would have in the European Union.

This Wednesday, The pound proceeded on a deeper crash dropping as far as $1.2796. This point is historically noted as its least since far back 1985. Major concerns among investors centered around continued political uncertainty from the UK could possibly threaten capital inflows even motivating companies to temporarily suspend investments, eventually thrusting the economy of the UK into a recession.

The Bank of England (BOE) had taken quick steps to curtail the adverse effects proceeding from vote to pull out at the June 23 U.K. referendum). Just yesterday, the governor of the Bank of England, Mark ney had sent out a very straight message to Britain's cautious bankers: There is now the pressing need to begin lending more money.

Thus today the failure of the British pound to turn the tables around kept the pound close to its 31-yr low.

 

Sterling on the verge cleaning up its mess

Sterling got a little more steady today as it pulls back from a string of losses against the dollar. There was no much disturbance today as to shocking political news today from the UK as investors continue to watch out keenly for the effects of Britain's vote to leave the European Union.

There is the increasing speculation from analysts and traders that a bigger decline still lies in the future waiting for sterling after it had dropped down under $1.30 today. This is the first time it would in three decades on Wednesday. Banks are even predicting a fall to the low of $1.20 while others hold expectations that the sterling could make a remarkable recovery against the euro, as measured against its present levels of around 85 pence. This is as hopes of imminent interest rates decision from the federal reserve in reaction to the vote of Britain to pull out- dropped down.

An improved risk appetite in the European morning supported the British pound boosting it among other currencies which carry high risks. Thus sterling didn't change much today with the trades today taking place at $1.2920 which is about 0.3% stronger at 85.592 pence for one euro.

 

US dollar boosted up by a remarkable US jobs report

US job reports which were released today was way stronger than investors were expecting. This added to the worries of that this remarkably impressive US job reports would still yet be insufficient to persuade the Federal Reserve to raise interest rates soonest.

After the US job data was published, the US dollar sprang up notably even touching two weeks high against the euro. But then as the reality began to dawn on investors that the impressive US jobs data wouldn't be enough to spur interest rates hikes, the US dollar began sliding down in course of the trading day.

The non-farm payrolls released today showed an increase of 287,000 jobs for last month. This happens to be the best this macroeconomic indicator has put up since October last year. Thus today, we saw the euro sliding down against the dollar to $1.104 marking a decline of about 0.2%. Against the Swiss Franc, the American dollar recorded gains of about 0.47% bringing it up to 0.9867 franc after the release of the US jobs data.

 

Yen Crashes before the dollar...

The yen dropped to its least point against the American dollar in over fourteen days. This is as investors expect more stimulus measures coming from Japan with Japan's ruling party securing victory in the elections held over the weekend. Thus investors got more attracted to riskier assets. This was as we just had a very impressive US job reports coupled with Japanese Prime Minister Shinzo Abe promising yesterday to stimulate the economy of Japan.

Today, Nobuteru Ishihara who is the Japanese Economy Minister had revealed he would begin discussions on the size of the stimulus package. It is expected that this may be over 10 trillion yen.

Thus today the American dollar rise up notably by 2.2%. This move up brings the dollar to 104.90 yen. This happens to be the best the dollar had actually risen against the Japanese yen since June 24, when British voters shocked global markets with a vote to pull out of the European Union.

The euro also rose above 116 yen; climbing to its peak since June 24. The euro had gone up to 116.17 yen which is an increase of 2.2%.