Dollar bulls wary after cautious Fed comments, weak homebuilder report

The dollar index, a gauge of its value versus six major peers, traded marginally lower at 96.17 on Tuesday. “William’s comments are justified but are not as dovish as the comments made by Clarida and Kaplan last week. Attrill added that safe-haven buying can return to the dollar if global equities keep correcting and their volatility continues to rise. “If we see the VIX (volatility index) at 25, I would expect the dollar to pick up steam.” The pound is seen likely to trade sideways until the ma


The dollar index, a gauge of its value versus six major peers, traded marginally lower at 96.17 on Tuesday. “William’s comments are justified but are not as dovish as the comments made by Clarida and Kaplan last week. Attrill added that safe-haven buying can return to the dollar if global equities keep correcting and their volatility continues to rise. “If we see the VIX (volatility index) at 25, I would expect the dollar to pick up steam.” The pound is seen likely to trade sideways until the ma
Dollar bulls wary after cautious Fed comments, weak homebuilder report Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-20  Authors: matt cardy, getty images
Keywords: news, cnbc, companies, fed, comments, homebuilder, currency, dollar, index, weak, bulls, trade, report, data, week, interest, yen, cautious, wary


Dollar bulls wary after cautious Fed comments, weak homebuilder report

The dollar hovered near a two-week low against its peers on Tuesday as cautious comments by Federal Reserve officials over the global outlook and weak data at home raised questions over whether the U.S. central bank will slow down its rate increases.

Overnight, New York Fed President John Williams told a Q&A event that “We will be likely raising interest rates somewhat, but it is really in the context of a very strong economy.”

Williams noted that the Fed is not on a pre-set course and will adjust monetary policy to keep the economy strong with low inflation.

Last week, Fed Vice Chair Richard Clarida and Dallas Fed President Robert Kaplan raised concerns over a potential global slowdown that has seen markets betting heavily that the rate-hike cycle is on its last legs, even as the senior Fed officials signaled more interest rate increases.

The Fed executives’ remarks led some traders to question whether the dollar’s rally was nearing its end, with the benchmark U.S. 10 year treasury yields pulling back slightly.

The dollar index, a gauge of its value versus six major peers, traded marginally lower at 96.17 on Tuesday. The index fell nearly half a percent last week, its biggest weekly drop since late September.

However, some analysts believe the dollar can stage a comeback.

“William’s comments are justified but are not as dovish as the comments made by Clarida and Kaplan last week. The market may rethink whether it read Friday’s comments as overly dovish which may lead to a reversal in dollar weakness,” said Ray Attrill, head of currency strategy at NAB.

Attrill added that safe-haven buying can return to the dollar if global equities keep correcting and their volatility continues to rise.

“If we see the VIX (volatility index) at 25, I would expect the dollar to pick up steam.” The index is currently at 20.10.

Economists polled by Reuters still expect the Fed will raise interest rates again next month and three times next year, but a strong majority say the risk is it will slow that pace down.

The greenback was also weighed by surprisingly weak housing data, which pushed down U.S. 10 year bond yields.

U.S. homebuilders’ sentiment recorded its steepest one-month drop in over 4-1/2 years, suggesting that rising borrowing costs are squeezing the real estate sector.

Goldman Sachs strategists said in an outlook for 2019 that the greenback may decline as much as 6 percent against major peers with the U.S. economy slowing as the boost from tax cuts and easy credit fades through the year.

The Japanese yen traded flat to quote at 112.55. It had hit 112.38 earlier in the trading session, its highest level in November. But analysts think that further strength in the yen is unlikely.

“We are not seeing Japanese investors retreat from the U.S. and foreign markets…flow numbers show that Japan remains close to fully invested abroad,” said Attrill.

“This gives support to dollar/yen.”

The yen has strengthened over the last two sessions as traders rushed to the currency in the uncertainty around U.S.-China trade talks, Brexit worries, and the Italian budget standoff.

Nonetheless, the euro was well bid in early Asian trade at $1.1456. The single currency has gained two percent versus the dollar over the last five trading sessions despite the ongoing standoff between the European Union and Italy over its free-spending budget, which breaks EU fiscal norms.

Analysts have been concerned about an economic slowdown in the euro area and will be keeping a close eye on the French and German manufacturing performance data later this week.

“Recent evidence suggests that the Eurozone economy is slowing and there’s a very good chance the PMIs will confirm that. However, the single currency could easily hit 1.1500 before the data is released,” said Kathy Lien, managing director of currency strategy at BK Asset Management in a note.

Meanwhile, sterling gained 0.1 percent to trade at $1.2860.

The pound is seen likely to trade sideways until the market gets more clarity on progress in the Brexit deal.

The Australian dollar traded marginally lower at $0.7289. Minutes of the Reserve Bank of Australia’s (RBA) November policy meeting on Tuesday showed policy makers expect above-trend growth this year and next, helped by interest rates at a record low 1.50 percent.


Company: cnbc, Activity: cnbc, Date: 2018-11-20  Authors: matt cardy, getty images
Keywords: news, cnbc, companies, fed, comments, homebuilder, currency, dollar, index, weak, bulls, trade, report, data, week, interest, yen, cautious, wary


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Sterling gripped by Brexit crisis; yen enjoys safety bid

Both the dollar and the yen benefited from a deepening crisis for UK Prime Minister Theresa May after the resignation of key ministers from her government imperilled her Brexit plan. The resignations, including that of Brexit minister Dominic Raab, came hours after May had claimed backing for a draft divorce deal. The safe-haven yen was well bid in Asian trade, changing hands at 113.34, as the Brexit turmoil drew investors toward the Japanese currency. The yen had hit a six-week low of 114.20 on


Both the dollar and the yen benefited from a deepening crisis for UK Prime Minister Theresa May after the resignation of key ministers from her government imperilled her Brexit plan. The resignations, including that of Brexit minister Dominic Raab, came hours after May had claimed backing for a draft divorce deal. The safe-haven yen was well bid in Asian trade, changing hands at 113.34, as the Brexit turmoil drew investors toward the Japanese currency. The yen had hit a six-week low of 114.20 on
Sterling gripped by Brexit crisis; yen enjoys safety bid Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-16  Authors: matt cardy, getty images
Keywords: news, cnbc, companies, brexit, safety, bid, dollar, eu, deal, uk, crisis, referendum, yen, versus, sterling, currency, enjoys, gripped, trade


Sterling gripped by Brexit crisis; yen enjoys safety bid

The British pound struggled to stay afloat in Asian trade on Friday having suffered a tumultuous slide overnight, as investors feared political turmoil in the country could see it crash out of the European Union without a divorce deal.

Both the dollar and the yen benefited from a deepening crisis for UK Prime Minister Theresa May after the resignation of key ministers from her government imperilled her Brexit plan.

That left the sterling vulnerable to further losses. It was changing hands at $1.2792, barely holding steady after declining 1.7 percent on Thursday, its steepest percentage slide since Oct. 11 2016.

“Political troubles are never good for the currency but in the case of the UK, the pound could drop to 1.25 versus the dollar on the prospect of a no deal Brexit, leadership challenge and slower growth,” Kathy Lien, managing director of currency strategy at BK Asset Management said in a note.

The resignations, including that of Brexit minister Dominic Raab, came hours after May had claimed backing for a draft divorce deal. The hostility from government and opposition lawmakers raised the risk that the deal would be rejected in parliament, and that Britain could leave the EU on March 29 without a safety net.

May’s compromise plan, which seeks to maintain close trade ties with the EU in the future, is facing opposition from Brexiteers, pro-Europeans, the Northern Irish party that props up her government, and even some of her own ministers, thus raising the risks of her losing her job, of Britain leaving the bloc with no agreement or even another referendum.

Without a deal, the UK would move in March from seamless trade with the EU to customs arrangements set by the World Trade Organization for external states, which could cause panic in financial markets.

However, some analysts believe sterling bulls have a reason not to throw in their towel yet, noting there is a chance of another referendum with the choice between a hard Brexit and remaining in the EU.

A snap Sky News poll yesterday showed 55 percent in favour of another referendum, while 54 percent supported no Brexit, 32 percent a hard Brexit and only 14 percent May’s deal.

“A second referendum would likely result in clear vote to remain, a strongly positive outcome for GBP. With that in mind we think the upside tail has fattened more than the downside,” said Adam Cole, chief currency strategist at RBC in a note.

The euro tacked on 0.05 percent to trade at $1.1338. Investors were hopeful after reports out of Italy said that Italian Prime Minister Giuseppe Conte was looking to work with the EU over his government’s 2019 budget, which has been rejected by Brussels.

The single currency has gained over the last three trading sessions, but was up only 0.1 percent versus the dollar month to date, underscoring the strains from weakening economic momentum in Europe, Italian budget woes and the Brexit uncertainty.

The dollar index, a gauge of its value versus six major peers, was up 0.05 percent at 96.97, not far off a 16-month high of 97.69 hit at the start of the week.

Currency markets were also keeping an eye on the U.S.-Sino trade tensions as traders looked for concrete signs the economic powers were seeking to de-escalate their dispute.

A Financial Times report said U.S. Trade Representative Robert Lighthizer has told some industry executives that another round of U.S. tariffs on Chinese mports has been put on hold. But a U.S. Trade Representative spokesperson later denied this report.

“This is a clear sign of the tussle taking place between the doves and hawks in the trade camp..we will be hearing more of this till the upcoming G-20 meet,” said Sim Moh Siong, currency strategist at Bank of Singapore.

Most analysts forecast the dollar to remain well supported in coming months thanks to the Federal Reserve’s commitment to continue to gradually raise interest rates. A fourth hike for this year is expected next month, backed by a robust economy and rising wage pressures.

The safe-haven yen was well bid in Asian trade, changing hands at 113.34, as the Brexit turmoil drew investors toward the Japanese currency. The yen had hit a six-week low of 114.20 on Monday before reversing course.

The Australian dollar lost 0.14 percent at $0.7272 on Friday. The Aussie had gained 0.58 percent in the previous trading session on the back of stronger than expected jobs data.


Company: cnbc, Activity: cnbc, Date: 2018-11-16  Authors: matt cardy, getty images
Keywords: news, cnbc, companies, brexit, safety, bid, dollar, eu, deal, uk, crisis, referendum, yen, versus, sterling, currency, enjoys, gripped, trade


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Sterling could jump 8% if Brexit deal gets approved by UK Parliament, experts say

With the U.K. and the European Union agreeing on a draft agreement for Brexit, traders are now contemplating what could happen to sterling. The currency has been under a lot of pressure lately owing to the uncertainty surrounding a Brexit agreement. But analysts told CNBC that the currency could hit anywhere between $1.35 and $1.40 if the deal gets passed through the U.K. Parliament. On Tuesday, Britain and the EU reportedly agreed to a draft of Brexit divorce terms. British Prime Minister There


With the U.K. and the European Union agreeing on a draft agreement for Brexit, traders are now contemplating what could happen to sterling. The currency has been under a lot of pressure lately owing to the uncertainty surrounding a Brexit agreement. But analysts told CNBC that the currency could hit anywhere between $1.35 and $1.40 if the deal gets passed through the U.K. Parliament. On Tuesday, Britain and the EU reportedly agreed to a draft of Brexit divorce terms. British Prime Minister There
Sterling could jump 8% if Brexit deal gets approved by UK Parliament, experts say Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-14  Authors: spriha srivastava, john thys, afp, getty images
Keywords: news, cnbc, companies, experts, say, jump, parliament, uk, union, brexit, wednesdayon, gets, draft, approved, currency, agreement, sterling, deal, uncertainty


Sterling could jump 8% if Brexit deal gets approved by UK Parliament, experts say

With the U.K. and the European Union agreeing on a draft agreement for Brexit, traders are now contemplating what could happen to sterling.

The currency has been under a lot of pressure lately owing to the uncertainty surrounding a Brexit agreement. But analysts told CNBC that the currency could hit anywhere between $1.35 and $1.40 if the deal gets passed through the U.K. Parliament. It was trading at $1.2953 at around 1:00 p.m. London time on Wednesday.

On Tuesday, Britain and the EU reportedly agreed to a draft of Brexit divorce terms. British Prime Minister Theresa May will meet with her Cabinet (her close circle of lawmakers) on Wednesday to get her ministers on side before presenting the deal to Parliament.


Company: cnbc, Activity: cnbc, Date: 2018-11-14  Authors: spriha srivastava, john thys, afp, getty images
Keywords: news, cnbc, companies, experts, say, jump, parliament, uk, union, brexit, wednesdayon, gets, draft, approved, currency, agreement, sterling, deal, uncertainty


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Central banks should consider issuing digital money, IMF’s Lagarde says

Central banks should consider issuing digital currencies as money faces a “historic turning point,” according to IMF Managing Director Christine Lagarde. She said central banks have a role supplying money to the digital economy. “I believe that we should consider the possibility to issue digital currency,” Lagarde said. Lagarde said a central bank-backed digital currency could help promote financial inclusion, security, and privacy in payments as a low-cost and efficient alternative to paper not


Central banks should consider issuing digital currencies as money faces a “historic turning point,” according to IMF Managing Director Christine Lagarde. She said central banks have a role supplying money to the digital economy. “I believe that we should consider the possibility to issue digital currency,” Lagarde said. Lagarde said a central bank-backed digital currency could help promote financial inclusion, security, and privacy in payments as a low-cost and efficient alternative to paper not
Central banks should consider issuing digital money, IMF’s Lagarde says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-14  Authors: elizabeth schulze, chris somodevilla, getty images
Keywords: news, cnbc, companies, imfs, central, world, digital, consider, currency, money, warned, banks, lagarde, issuing, financial


Central banks should consider issuing digital money, IMF's Lagarde says

Central banks should consider issuing digital currencies as money faces a “historic turning point,” according to IMF Managing Director Christine Lagarde.

In a speech at the Singapore Fintech Festival on Wednesday, Lagarde highlighted the changing nature of money as demand for physical cash decreases around the world. She said central banks have a role supplying money to the digital economy.

“I believe that we should consider the possibility to issue digital currency,” Lagarde said.

Lagarde said a central bank-backed digital currency could help promote financial inclusion, security, and privacy in payments as a low-cost and efficient alternative to paper notes. But she also warned of risks to financial stability and innovation.

“My message is that while the case for digital currency is not universal, we should investigate it further, seriously, carefully, and creatively,” Lagarde said.


Company: cnbc, Activity: cnbc, Date: 2018-11-14  Authors: elizabeth schulze, chris somodevilla, getty images
Keywords: news, cnbc, companies, imfs, central, world, digital, consider, currency, money, warned, banks, lagarde, issuing, financial


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Venezuelan inflation approaches 150,000% as Maduro’s efforts to curb huge price increases fail

Venezuelan President Nicolas Maduro’s most-recent attempt to stop his country’s massive inflation problems is failing, at least according to one measure. The Bloomberg Café Con Leche Index, which gauges Venezuela’s inflation through the price of a cup of coffee, showed an annual inflation rate of 149,900 percent after its latest reading. The staggering inflation print comes after the Venezuelan government issued a new currency, the “sovereign bolivar.” One sovereign bolivar was worth 100,000 “ol


Venezuelan President Nicolas Maduro’s most-recent attempt to stop his country’s massive inflation problems is failing, at least according to one measure. The Bloomberg Café Con Leche Index, which gauges Venezuela’s inflation through the price of a cup of coffee, showed an annual inflation rate of 149,900 percent after its latest reading. The staggering inflation print comes after the Venezuelan government issued a new currency, the “sovereign bolivar.” One sovereign bolivar was worth 100,000 “ol
Venezuelan inflation approaches 150,000% as Maduro’s efforts to curb huge price increases fail Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-12  Authors: fred imbert, marco bello, getty images
Keywords: news, cnbc, companies, maduros, price, currency, efforts, bolivar, country, venezuelan, huge, curb, president, monitor, inflation, increases, fail, approaches, venezuelas, venezuela, sovereign


Venezuelan inflation approaches 150,000% as Maduro's efforts to curb huge price increases fail

Venezuelan President Nicolas Maduro’s most-recent attempt to stop his country’s massive inflation problems is failing, at least according to one measure.

The Bloomberg Café Con Leche Index, which gauges Venezuela’s inflation through the price of a cup of coffee, showed an annual inflation rate of 149,900 percent after its latest reading.

The staggering inflation print comes after the Venezuelan government issued a new currency, the “sovereign bolivar.” One sovereign bolivar was worth 100,000 “old” bolivars. The purpose of the new currency was to normalize day-to-day transactions as the country battles through years of hyperinflation. The new currency is also pegged to petro, a digital currency issued by the Venezuelan government that many consider is illegal.

These efforts initially helped as the sovereign bolivar held in a range between 95 and 115 per U.S. dollar, Bloomberg reported citing data from Monitor Dolar. On Monday, however, the bolivar traded at 276.53 per dollar, Monitor Dolar data showed.

Venezuela’s troubles come as the country with the biggest oil reserves in the world deals with an ongoing humanitarian crisis. Venezuela faces shortages of food, medicine and other basic goods.

On top of that, the Trump administration has sanctioned dozens of Venezuelans associated with Maduro’s regime, including his wife, Cilia Flores. The Treasury Department also seized a $20 million private jet belonging to Diosdado Cabello — the vice president of Venezuela’s socialist party — back in September.

Venezuela’s inflation is expected to keep spiraling out of control, too. The International Monetary Fund said in June it expected inflation in Venezuela to hit 1 million present in 2018, noting the country is “stuck in a profound economic and social crisis.”


Company: cnbc, Activity: cnbc, Date: 2018-11-12  Authors: fred imbert, marco bello, getty images
Keywords: news, cnbc, companies, maduros, price, currency, efforts, bolivar, country, venezuelan, huge, curb, president, monitor, inflation, increases, fail, approaches, venezuelas, venezuela, sovereign


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Dollar range-bound as investors await Fed rate decision; yen trades with weak bias

The dollar traded in a narrow range on Thursday as markets settled after U.S. midterm election results came in as expected, leaving investors free to focus on a Federal Reserve’s policy decision later in the global day. “The dollar is likely to benefit as we still expect the Fed to maintain its hawkish stance. The dollar strengthened 0.14 versus the yen to trade at 113.66 on Wednesday. The euro traded at $1.1429 on Thursday. The New Zealand dollar traded flat at $0.6776, with little reaction to


The dollar traded in a narrow range on Thursday as markets settled after U.S. midterm election results came in as expected, leaving investors free to focus on a Federal Reserve’s policy decision later in the global day. “The dollar is likely to benefit as we still expect the Fed to maintain its hawkish stance. The dollar strengthened 0.14 versus the yen to trade at 113.66 on Wednesday. The euro traded at $1.1429 on Thursday. The New Zealand dollar traded flat at $0.6776, with little reaction to
Dollar range-bound as investors await Fed rate decision; yen trades with weak bias Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-08
Keywords: news, cnbc, companies, dollar, euro, traded, rates, bias, currency, versus, fed, decision, weak, bank, trades, rangebound, rate, investors, yen, trade


Dollar range-bound as investors await Fed rate decision; yen trades with weak bias

The dollar traded in a narrow range on Thursday as markets settled after U.S. midterm election results came in as expected, leaving investors free to focus on a Federal Reserve’s policy decision later in the global day.

The central bank’s Federal Open Market Committee (FOMC) is expected to maintain the hawkish language seen in recent policy statements, while keeping interest rates unchanged this time.

The Fed has raised rates three times this year as the U.S. economy boomed and inflation started to pick up, and it has signaled a rate rise in December, with two more hikes by mid-2019.

“The dollar is likely to benefit as we still expect the Fed to maintain its hawkish stance. The U.S. economy needs rising rates as wage pressures are building and there is a risk of an overheating of the economy,” said Sim Moh Siong, currency strategist at Bank of Singapore.

The prospect of further Fed tightening helped the dollar recover against the euro and yen, having lost ground after the mid-term elections resulted in a split Congress, with Democrats winning control of the House of Representatives and Republicans cementing their majority in the Senate.

Expectations that the Washington will descend into gridlock has reduced President Donald Trump’s chances of pushing through a fiscal stimulus package.

The dollar index, a gauge of its value versus six major peers traded at 96.22 on Thursday, gaining 0.23 percent.

The dollar strengthened 0.14 versus the yen to trade at 113.66 on Wednesday. The dollar has gained around 1.9 percent over the Japanese currency over the last nine trading sessions due to the diverging monetary policies of the U.S. Fed and the Bank of Japan (BoJ).

While the Fed is on track to raise interest rates the Bank of Japan will press on with ultra loose monetary policy because of low growth and inflation.

The widening interest rate differential between U.S. and Japanese bonds has made the dollar a more attractive bet than the yen, which is often a funding currency for carry trades.

The euro traded at $1.1429 on Thursday. The single currency had touched an intra-day high of $1.15 on Wednesday, due to dollar weakness rather than any substantial improvement in the euro zone’s economic fundamentals.

The standoff between the EU and Rome over Italy’s budget deficit and concerns over Europe’s slowing economic growth have handicapped the euro, which has lost 4 percent versus the dollar over the last six months.

Elsewhere in the currency market, the pound traded flat at $1.3124 in early Asian trade after gaining 3.36 percent versus the dollar in the last six trading sessions, as traders bet a Brexit agreement was close.

The New Zealand dollar traded flat at $0.6776, with little reaction to its central bank keeping rates on hold at 1.75 percent on Thursday.

The Australian dollar built on its gains of the previous three trading sessions versus the greenback to trade at $0.7283, to gain 0.1 percent versus. The Aussie was cheered by stronger than expected trade data out of China, its largest trade partner.


Company: cnbc, Activity: cnbc, Date: 2018-11-08
Keywords: news, cnbc, companies, dollar, euro, traded, rates, bias, currency, versus, fed, decision, weak, bank, trades, rangebound, rate, investors, yen, trade


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

British pound firms on reports of Brexit customs deal

The dollar lost ground against most of its major peers on Monday, as growing expectations of an orderly Brexit bolstered the pound, euro and broader global investor sentiment. Despite Brexit relief supporting risk appetite in currency markets, the UK’s Telegraph newspaper reported that significant hurdles still remain for the negotiation process. The pound retraced its intra-day high in early thin Asian trade, but was up 0.3 percent for the day. The positive sentiment around a smooth Brexit also


The dollar lost ground against most of its major peers on Monday, as growing expectations of an orderly Brexit bolstered the pound, euro and broader global investor sentiment. Despite Brexit relief supporting risk appetite in currency markets, the UK’s Telegraph newspaper reported that significant hurdles still remain for the negotiation process. The pound retraced its intra-day high in early thin Asian trade, but was up 0.3 percent for the day. The positive sentiment around a smooth Brexit also
British pound firms on reports of Brexit customs deal Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-05  Authors: matt cardy, getty images
Keywords: news, cnbc, companies, pound, deal, dollar, traded, jobs, british, customs, reports, yuan, brexit, trade, euro, firms, currency, versus


British pound firms on reports of Brexit customs deal

The dollar lost ground against most of its major peers on Monday, as growing expectations of an orderly Brexit bolstered the pound, euro and broader global investor sentiment.

A Sunday Times report that an all-UK customs deal will be written into the agreement governing Britain’s withdrawal from the EU cheered investors who sent the pound to $1.3062 on Monday, the highest since Oct. 22.

The dollar index, a gauge of its value versus six major peers, traded marginally lower at 96.45 due to the gains in the euro and pound, which together make up around 70 percent of the index.

However, analysts think dollar strength will return as investors shift focus back to expectations for tighter U.S. monetary policy following stronger-than-expected economic data late last week. Analysts see the Federal Reserve on track to raise interest rates in December, followed by another two hikes by mid-2019.

Data released on Friday showed that U.S. jobs growth rebounded sharply in October and wages recorded their largest annual gain in 9-1/2 years.

“The jobs data has reaffirmed the dollar’s strength due to the rates differential factor going forward. The risk is that the markets may be caught surprised by a more hawkish Fed,” said Rodrigo Catril, senior currency strategist at NAB.

U.S. 10-year Treasury yields traded at 3.2 percent on Monday, having risen on Friday on the back of the jobs report.

That is expected to help the dollar firm against the safe haven Japanese yen, which traded flat at 113.18 on Monday. The dollar weakened by 0.66 percent versus the yen in the month of October as news flow around trade tensions, geopolitical risks and a global economic slowdown gave the Japanese currency a flight-to-safety bid.

“The dollar/yen will follow the U.S. 10 year yields higher. We don’t see much downside as of now,” added Catril.

Despite Brexit relief supporting risk appetite in currency markets, the UK’s Telegraph newspaper reported that significant hurdles still remain for the negotiation process.

The pound retraced its intra-day high in early thin Asian trade, but was up 0.3 percent for the day. It has lost 3.7 percent versus the greenback year to date.

The positive sentiment around a smooth Brexit also gave the euro a small bid in early Asian trade. The single currency gained 0.11 percent and changed hands at $1.1396.

The offshore yuan traded stronger versus the dollar at 6.8948. The yuan gained in the last two trading sessions versus the greenback in offshore trading, supported by rising hopes that trade tension between China and the United States will ease.


Company: cnbc, Activity: cnbc, Date: 2018-11-05  Authors: matt cardy, getty images
Keywords: news, cnbc, companies, pound, deal, dollar, traded, jobs, british, customs, reports, yuan, brexit, trade, euro, firms, currency, versus


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Turkish inflation hits 25 percent in October, highest in 15 years

Turkish annual inflation surged to 25 percent in October, official data showed on Monday, hitting its highest in 15 years and underscoring the sustained impact of a currency crisis on the wider economy. Month-on-month, consumer prices jumped 2.67 percent, the Turkish Statistical Institute data showed, higher than the 2.0 percent forecast in a Reuters poll. October inflation was driven by a 12.74 percent month-on-month surge in clothing and shoe prices and a 4.15 percent rise in housing prices, t


Turkish annual inflation surged to 25 percent in October, official data showed on Monday, hitting its highest in 15 years and underscoring the sustained impact of a currency crisis on the wider economy. Month-on-month, consumer prices jumped 2.67 percent, the Turkish Statistical Institute data showed, higher than the 2.0 percent forecast in a Reuters poll. October inflation was driven by a 12.74 percent month-on-month surge in clothing and shoe prices and a 4.15 percent rise in housing prices, t
Turkish inflation hits 25 percent in October, highest in 15 years Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-05  Authors: chris mcgrath, getty images
Keywords: news, cnbc, companies, currency, data, showed, turkish, prices, driven, highest, 15, hits, inflation, impact, monthonmonth, rise, 25


Turkish inflation hits 25 percent in October, highest in 15 years

Turkish annual inflation surged to 25 percent in October, official data showed on Monday, hitting its highest in 15 years and underscoring the sustained impact of a currency crisis on the wider economy.

Month-on-month, consumer prices jumped 2.67 percent, the Turkish Statistical Institute data showed, higher than the 2.0 percent forecast in a Reuters poll.

October inflation was driven by a 12.74 percent month-on-month surge in clothing and shoe prices and a 4.15 percent rise in housing prices, the data showed.

There was little reaction from the lira, which weakened to 5.44 against the dollar from 5.43 beforehand. The currency has recovered recently from a sell-off driven by concerns over central bank independence and a U.S.-Turkish spat.

Last month, Turkey’s central bank left its benchmark interest rate unchanged, after a mammoth hike in September and as tensions with the United States eased.

The impact of the lira’s steep decline on the economy is still being felt with key indicators such as consumer and economic confidence falling to long-time lows and the government cutting its growth forecasts for the next three years.

Producer prices rose 0.91 percent month-on-month in October for an annual rise of 45.01 percent.


Company: cnbc, Activity: cnbc, Date: 2018-11-05  Authors: chris mcgrath, getty images
Keywords: news, cnbc, companies, currency, data, showed, turkish, prices, driven, highest, 15, hits, inflation, impact, monthonmonth, rise, 25


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Novo Nordisk earnings miss expectations amid currency headwinds

Denmark’s Novo Nordisk reported weaker-than-expected earnings on Thursday, citing currency headwinds. The world’s top maker of diabetes drugs posted net profit of 9.037 billion Danish krone ($1.374 billion) for the three-month period ending Sept. 30. Analysts at data firm Refinitiv had been expecting third-quarter net profit to come in at around 9.565 billion Danish krone. In the third quarter of 2017, Novo Nordisk reported net profit of 9.77 billion Danish krone. Shares of Novo Nordisk have fal


Denmark’s Novo Nordisk reported weaker-than-expected earnings on Thursday, citing currency headwinds. The world’s top maker of diabetes drugs posted net profit of 9.037 billion Danish krone ($1.374 billion) for the three-month period ending Sept. 30. Analysts at data firm Refinitiv had been expecting third-quarter net profit to come in at around 9.565 billion Danish krone. In the third quarter of 2017, Novo Nordisk reported net profit of 9.77 billion Danish krone. Shares of Novo Nordisk have fal
Novo Nordisk earnings miss expectations amid currency headwinds Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-01  Authors: sam meredith, john mcconnico, bloomberg, getty images
Keywords: news, cnbc, companies, novo, miss, currency, expectations, krone, billion, profit, reported, earnings, headwinds, amid, danish, net, period, currencies, nordisk


Novo Nordisk earnings miss expectations amid currency headwinds

Denmark’s Novo Nordisk reported weaker-than-expected earnings on Thursday, citing currency headwinds.

The world’s top maker of diabetes drugs posted net profit of 9.037 billion Danish krone ($1.374 billion) for the three-month period ending Sept. 30. Analysts at data firm Refinitiv had been expecting third-quarter net profit to come in at around 9.565 billion Danish krone.

The company also saw its operating profit decrease 6 percent in Danish krone and increase 2 percent in local currencies to 36.5 billion Danish krone on the back of “significant depreciation of the U.S. dollar and related currencies versus the Danish krone in the first half of 2018 compared with same period in 2017.”

In the third quarter of 2017, Novo Nordisk reported net profit of 9.77 billion Danish krone.

Shares of Novo Nordisk have fallen nearly 15 percent year-to-date.


Company: cnbc, Activity: cnbc, Date: 2018-11-01  Authors: sam meredith, john mcconnico, bloomberg, getty images
Keywords: news, cnbc, companies, novo, miss, currency, expectations, krone, billion, profit, reported, earnings, headwinds, amid, danish, net, period, currencies, nordisk


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

BlackRock won’t offer a cryptocurrency ETF until the industry is ‘legitimate,’ CEO Larry Fink says

The world’s largest asset manager is not launching an exchange traded fund for cryptocurrency — at least not until the industry grows up a bit. “I wouldn’t say never, when it’s legitimate, yes,” BlackRock CEO Larry Fink said at the New York Times Dealbook Conference in Manhattan Thursday. “It will ultimately have to be backed by a government,” said the CEO of BlackRock, which oversees approximately $6.4 trillion of assets. “I do see one day where we could have electronic trading for a currency t


The world’s largest asset manager is not launching an exchange traded fund for cryptocurrency — at least not until the industry grows up a bit. “I wouldn’t say never, when it’s legitimate, yes,” BlackRock CEO Larry Fink said at the New York Times Dealbook Conference in Manhattan Thursday. “It will ultimately have to be backed by a government,” said the CEO of BlackRock, which oversees approximately $6.4 trillion of assets. “I do see one day where we could have electronic trading for a currency t
BlackRock won’t offer a cryptocurrency ETF until the industry is ‘legitimate,’ CEO Larry Fink says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-01  Authors: kate rooney, david orrell
Keywords: news, cnbc, companies, blackrock, sense, store, legitimate, offer, industry, fink, etf, need, exchange, larry, ceo, currency, unless, cryptocurrency, wont, wealth


BlackRock won't offer a cryptocurrency ETF until the industry is 'legitimate,' CEO Larry Fink says

The world’s largest asset manager is not launching an exchange traded fund for cryptocurrency — at least not until the industry grows up a bit.

“I wouldn’t say never, when it’s legitimate, yes,” BlackRock CEO Larry Fink said at the New York Times Dealbook Conference in Manhattan Thursday.

The Securities and Exchange Comission has shared its own doubts about a bitcoin ETF, and has yet to approve any of the multiple applications. The agency published a letter in January pointing to “significant investor protection issues that need to be examined” before sponsors can offer these funds to retail investors.

Bitcoin was founded in 2008 to bypass banks and other government institutions. But for now, Fink said that level of independence could be a major roadblock for cryptocurrencies.

“It will ultimately have to be backed by a government,” said the CEO of BlackRock, which oversees approximately $6.4 trillion of assets. “I don’t sense that any government will allow that unless they have a sense of where that money’s going for tax evasion and all of these other issues.”

Fink pointed to another risk factor — bitcoin’s anonymity. The digital currency has been used in dark web marketplace to facilitate transactions for guns, drugs and other illicit goods. It has been categorized as the currency of choice for criminals by those who doubt bitcoin’s place in modern finance.

“I do see one day where we could have electronic trading for a currency that could be a store of wealth,” Fink said. “But right now the world doesn’t need a store of wealth unless you need that store of wealth for things you should not be doing.”


Company: cnbc, Activity: cnbc, Date: 2018-11-01  Authors: kate rooney, david orrell
Keywords: news, cnbc, companies, blackrock, sense, store, legitimate, offer, industry, fink, etf, need, exchange, larry, ceo, currency, unless, cryptocurrency, wont, wealth


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post