Share: Kiwi holding near the middle, set to finish Friday near where it started. Market flows are firmly in the hands of the US Dollar. Risk sentiment getting limited knock-on positive support from upbeat China outlook. The NZD/USD is set to finish Friday on a slight downstep, trading into the 0.5900 level and unable to find some lift.  With little meaningful momentum coming from the Kiwi (NZD) side of things, the NZD is fully exposed to broader market flows, leaving the Greenback (USD) to dictate the direction of the pair. China data beats bolstering beleaguered Kiwi Risk appet ..read more

Share: As US economic data strengthens the dollar, GBP/USD trades at 1.2397, slipping below its 200-day Moving Average. Odds for a November rate hike by the Fed stand at 32.45%, while bets on a BoE rate hike toward 6% are scaled back. With U.S. 10-year Treasury yields at 4.326% and a solid US economy, the BoE may be the first to blink and cut rates, pressuring GBP/USD further. The Pound Sterling (GBP) continues to weaken against the US Dollar (USD) for the second consecutive day after a tranche of positive US economic data bolstered the Greenback. Hence, the GBP/USD is set to finish the w ..read more

Share: Arm Holdings gained 24.7% on Thursday debut. ARM stock sells off Friday after initial rally. Higher Oil prices are affecting market sentiment as inflation indicators rise this week. United Auto Workers initiates strikes at Ford, GM and Stellantis factories. Taiwan Semiconductor tells suppliers to delay equipment orders. Arm Holdings (ARM) stock is being hit by profit-taking on Friday. After spiking 24.7% from its IPO price on Thursday, ARM stock rose to $69 following the opening bell on Friday but since then has fallen to the lower $60s. The NASDAQ Composite, meanwhile,&n ..read more

Share: USD/JPY advances to fresh multi-month highs near 147.85 US Michigan’s Consumer Sentiment came in lower than expected. The US DXY index reached its highest point since March 9 at 105.43 and then settled at 105.23. All eyes are now on the Fed’s decision next week. Ahead of the weekend, the USD/JPY pair resumes its upward path, rising to 147.85 and on the point of recording a second consecutive week of gains. On the USD side, the Greenback trades soft and faces selling pressure after soft consumer sentiment figures from the US in September. However, the D ..read more

Share: The US Dollar, which had been riding higher in recent weeks, has shown signs of vulnerability again. Economists at UBS analyze Greenback’s outlook. USD/JPY to fall back to around 142 by year-end The Euro, the largest component of the DXY, should benefit from a narrowing rate gap with the US. While both the Fed and the ECB face finely balanced decisions on whether to raise rates further, we believe tightening is more likely in the Eurozone, where core inflation has been slower to come down. That is despite more tepid data on economic activity in the Eurozone. In addition, we think ne ..read more

Share: The Euro regains some balance vs. the US Dollar. Stocks in Europe opened with strong gains on Friday. EUR/USD appears to have met contention around 1.0630 so far. The USD Index (DXY) gives aways part of the recent strong advance. The ECB seems to have entered an impasse regarding rate hikes. Industrial Production and Consumer Sentiment will take centre stage in US. Following Thursday’s drop to multi-month lows, the Euro (EUR) managed to pick up some upside traction against the US Dollar (USD), encouraging EUR/USD to retake the 1.0660 region in the wake of the opening bell in Europe ..read more

Share: AUD/USD scales higher for the second straight day and climbs to a nearly two-week top. The optimism over more stimulus from China and the upbeat Chinese data lifts the Aussie. Bets for one more Fed rate hike in 2023 to limit the USD losses and cap gains for the pair. The AUD/USD pair attracts some buying for the second successive day on Friday and climbs to a nearly two-week high during the Asian session. Spot prices climb further beyond mid-0.6400s following the release of the mostly upbeat Chinese macro data, though the fundamental backdrop warrants some caution before positionin ..read more

Share: The Pound Sterling (GBP) is notably bearish for Thursday, briefly breaking beneath the 1.2400 major handle against the Greenback (USD) as bears keep the GBP pinned to the floor. Read More… The Pound Sterling (GBP) prints a fresh four-month low as strong wage growth momentum in August has set a hawkish undertone for the Bank of England’s (BoE) September monetary policy decision. The GBP/USD pair dropped sharply despite investors hope that a hawkish interest rate decision from the BoE will scrap its policy divergence with the Federal Reserve ..read more

Share: The US Dollar is in the green, though marginally, while looking for direction.  All eyes are on the other side of the Atlantic with the ECB meeting where Lagarde is set to take the stage. The US Dollar Index stronger as PPI and Retail sales surprise to the upside. The US Dollar (USD) rallies as the Euro is taking a firm step back. Although the European Central Bank hiked 25 basis points, markets are crushing the Euro. Reason is that recent economic data pointed to a deteriorating economy, which now could even crash as the ECB sticks to getting inflation down to 2%, no matter w ..read more

Share: There seems to be increasing probability of a breakdown of 7.2600 in USD/CNH in the short-term horizon, comment Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group. Key Quotes 24-hour view: The sharp drop of -0.40% (NY close of 7.2705) came as a surprise (we were expecting USD to trade sideways). Despite the relatively large decline, downward momentum has not improved all that much. That said, barring a break above 7.2910 (minor resistance is at 7.2850), USD is likely to grind below 7.2600. The next major support at 7.2390 is unlikely to come into view.&nbs ..read more