FX

USD/CAD edged lower for the third successive day on Thursday and dropped to a fresh weekly low. Rebounding US bond yields, the Fed’s hawkish outlook underpinned the USD and extended support. An intraday bounce in oil prices benefitted the loonie and continued capping the upside for the pair. The pair had a rather muted reaction

USD/INR stays pressured at the lowest level in two weeks. Dashing hopes of further easy money policies from RBI, comparatively better virus conditions favor INR bulls. Global markets remain mixed after the recent risk-on mood. India PM Modi to unveil Omicron battle plan, US Durable Goods Orders, PCE Inflation for November will decorate calendar. USD/INR

EUR/USD edges above 1.13 on broader USD drop. However, economists at Scotiabank expect the world’s most popular currency pair to turn back lower towards 1.12. Holding above 1.1250 to take some pressure off the euro “The EUR is attempting another cross of 1.13 but selling pressure seems to remain at the figure area to prevent

Gold struggles to extend the previous day’s rebound despite recently picking up bids. Market sentiment improves as policymakers placate Omicron fears, US stimulus chatters also add to the risk-on mood. US data eyed as bearish formation hints at seller’s return.  Powell sent gold above $1,800: But only for a short while Update: Gold price is

The Loonie advances 0.12% versus the greenback amid a risk-on market mood. Rising crude oil prices underpin the Canadian dollar, the US dollar weakens. Canadian Retail Sales rose by 1.6%, more than the 1.0% estimated, the Loonie barely moved. During the New York session, the USD/CAD grinds lower, trading at 1.2925 at the time of

Gold consolidates recent losses after consecutive two-day declines. Omicron woes escalate as WHO, Imperial College of London and US CDC support market fears. Deadlock over US President Biden’s BBB, US-China tussles and Fed’s rate-hike concerns also favor risk-off mood. Update: Gold (XAU/USD) is bobbing around within a tight Asian range of between $1,789.34 and $1,792.38 in

Spot gold is struggling to make use of risk-averse market conditions on Monday and remains subdued under $1800. An on-the-day rise in real yields is the main reason why gold is struggling. Despite a broadly risk-off market tone and an underperforming US dollar, spot gold (XAU/USD) prices are struggling to make headway on Monday. Prices

US 10-year Treasury yields seesaw around fortnight low. S&P 500 Futures drop 0.60%, Asia-Pacific shares trade mixed. PBOC announced rate cut, Omicron fears escalate ahead of holiday season. Fed’s Waller renewed rate-hike calls, US Senator Manchin poured cold water on the face of BBB hopes. Having witnessed a roller-coaster week filled with the central bankers’

GBP/USD Weekly Forecast: Bulls eye 1.3380 after BOE out-hawks Fed, Omicron empowers bears They say the Federal Reserve signals, the Bank of England acts. This week the “Old Lady” was the first to move among major central banks in raising borrowing costs, which boosted GBP/USD, outweighing Omicron’s fears. Looking ahead, the main factors impacting the

The US Dollar Index ended the week above the 96.50 threshold. The US 10-year Treasury yield finished down, at 1.412%. DXY Technical outlook: Breaks above the ascending triangle, USD bulls target  98.00. The US Dollar Index, also known as DXY, which measures the greenback’s performance against a basket of six rivals, rallies 0.72%, sitting at

GBP/JPY slipped back to pre-BoE levels in the mid-150.00s on Friday as risk appetite deteriorates, boosting the yen. That marks a 1.3% pullback from post-surprise rate hike highs above 152.50, but GBP/JPY is still positive on the week. Though the pair has stabilises in more recent trade as FX markets volumes drop off ahead of

AUD/USD has continued to decline in recent trade and is now in the 0.7130s, down 0.7%, after hawkish Fed rhetoric. Fed’s Waller said the whole point of the Fed’s QE acceleration was to make the March meeting live for lift-off. Recent downside momentum in AUD/USD has continued throughout US trading hours spurred primarily by a

Alibaba stock continues to sink after the company reported disappointing earnings in its Q2 and many investors have thrown in the towel on fears that what was once one  of the preeminent Chinese internet stocks is damaged goods forever. Recent earning miss exacerbated the drop. Company faces macro and geopolitical risk. But is highly undervalued

GBP/USD bulls move in at a discount and target a break of the 1.3330s. Bulls could be encouraged to engage further beyond 1.3335 towards 1.3380 and eye 1.34 the figure.  A per the New York session analysis, GBP/USD Price Analysis: Bulls looking for a discount to target 1.3380/90 confluence area, GBP/USD bulls bought back into the breakout

GBP/USD witnessed an aggressive short-covering move after the BoE hiked interest rate to 0.25%. A hawkish (8-1) vote distribution was seen as a key factor that seemed to have surprised traders. COVID-19 woes could hold back bulls from placing fresh bets and keep a lid on any further gains. The GBP/USD pair caught aggressive bets

USD/CAD has been pressured mid-week following an irregular reaction to an uber hawkish Federal Reserve meeting from overnight. The US dollar was put under immense pressure and the jury is still out on the cause other than there was no specific confirmation of when a rate rise will come about and economic performance remains the

Microsoft stock falls over 3% on Tuesday ahead of Fed. Tech stocks suffer as rate hikes hit high growth names.  MSFT is close to all-time highs, volume remains elevated. Microsoft (MSFT) is pausing for breath near all-time highs as the market awaits Fed taper talk Wednesday. While high growth stocks may wait in trepidation, more established names such as

EUR/USD holds lower ground after two-day declines, challenging the support line of a short-term ascending triangle near 1.1250 during the early Asian session on Wednesday. The bearish MACD signals and the major currency pair’s double top formation around 1.1330, not to forget the lower highs portrayed since November 30, also back the EUR/USD bears to