Foreign exchange markets and global currency movements.
Coverage of currency markets including major pairs, central bank actions, interest-rate differentials, and geopolitical influences. This section highlights trends in FX markets that impact global trade, inflation, and cross-asset correlations.
312 total articles
The British pound weakened in reaction to the Green Party's by-election victory in Gorton and Denton, a seat previously held by Labour. Markets are treating the result as a development that could complicate Prime Minister Keir Starmer's position, and analysts point to political and fiscal uncertainty - along with potential dovish Bank of England pr…
The U.S. dollar ticked slightly lower on Friday but remained positioned to record monthly gains, supported by rising geopolitical concerns in the Middle East and a firmer tone from Federal Reserve officials. Currency pairs from the euro to the yen moved in response to central bank expectations, domestic data and political developments across major …
Most Asian currencies weakened on the latest trading day as investors digested uneven interest-rate prospects for the region. The Australian dollar is on track for notable monthly gains supported by a hawkish Reserve Bank outlook, while the Japanese yen slipped after soft Tokyo inflation data and political stimulus concerns. The Chinese yuan eased …
Bank of America Securities continues to expect EUR/USD to move higher beginning in the second quarter, arguing that the most significant upside will materialise after the peak U.S. tax-refund period and when Germany's fiscal impulse becomes clearer in macro readings. Current market behaviour and flow indicators, however, do not yet show broad struc…
The U.S. dollar eased modestly on Wednesday as investors awaited Nvidia's quarterly results, while the euro and several other currencies inched higher on mixed regional data and comments from policymakers. Market focus is split between corporate earnings, U.S. trade policy developments, and central bank signals across Europe, Japan and Australia.
Most Asian currencies advanced modestly as traders evaluated the implications of newly implemented U.S. tariffs, with the Australian dollar jumping after domestic inflation data increased expectations for a Reserve Bank of Australia rate rise. The U.S. Dollar Index slipped in Asian trading while several regional pairs saw the dollar weaken.
Bank of America identifies four structural forces underpinning a bullish outlook for South Korea and the Korean won in 2026: a powerful memory-chip upcycle driving record trade surpluses and corporate FX deposits, a more hawkish Bank of Korea with limited scope for rate cuts, government measures to reduce net dollar demand and attract inflows, and …
The British pound slipped marginally on Tuesday as four Bank of England rate setters readied themselves for parliamentary testimony. Traders were watching for any signals that could affect the probability of a 25 basis point rate cut in March, with markets currently pricing an 80% chance. Comments from Governor Andrew Bailey were flagged as potenti…
The U.S. dollar ticked up modestly on Tuesday, reversing some of Monday’s decline as uncertainty around the administration’s revised tariff approach reverberated through markets. The Dollar Index rose slightly, while EUR/USD traded in a narrow range after comments from the European Central Bank president. Risk around global trade policy, mixed U.S.…
Most Asian currencies held within tight bands on Tuesday while the U.S. dollar showed renewed firmness as investors digested a U.S. announcement of a 15% global tariff and assessed its potential effects on trade and demand. The U.S. Dollar Index and its futures gained about 0.2% during Asian hours. Regional pairs showed modest moves, with the yen w…
ING says the US dollar has lost a portion of its safe-haven appeal since 2024, while overall demand for the currency has not broadly deteriorated. The dollar index fell almost 10% last year in its weakest annual showing since 2017. ING highlights cyclical drivers of recent weakness, continued holdings by private investors, and no current signs of a…
Morgan Stanley analysts say the Swiss franc is the most consistently reliable safe-haven across different types of market shocks and is likely to strengthen more than markets currently price. The bank highlights the franc's advantages on inflation, fiscal soundness and investor protections, and flags a more tolerant stance from the Swiss National B…
The British pound was trading with modest strength as the week began, with market attention focused on testimony to a parliamentary committee by Bank of England Governor Andrew Bailey and external member Megan Greene, and a by-election in Gorton and Denton. Traders are watching for any signals that could alter the priced likelihood of a March rate …
The U.S. dollar eased on Monday as renewed uncertainty over U.S. trade tariffs coincided with geopolitical tensions in the Middle East. The Dollar Index fell 0.3% to 97.487 after a recent weekly advance, while the euro and sterling ticked higher against the dollar. Market participants are parsing legal questions around new U.S. tariffs, their poten…
Analysts at BCA Research contend the Chinese yuan is undervalued and competitively priced, giving Beijing room to allow appreciation without undermining its export-led model. The strategists say a firmer currency could support a pivot toward domestic consumption, reduce the capital account deficit, and help China pursue greater financial sovereignt…
The U.S. dollar firmed on Friday and was positioned to post its strongest weekly advance since October, bolstered by a combination of a more hawkish Federal Reserve outlook, solid U.S. labour-market signals and renewed safe-haven demand amid tensions between the United States and Iran. The Dollar Index held near a one-month high, while major curren…
Asian foreign exchange markets were subdued as traders awaited the U.S. personal consumption expenditures price index, the Federal Reserve's preferred inflation gauge. The U.S. dollar held modest gains after reaching a one-month high and hawkish Fed minutes, while a softer-than-expected Japanese inflation report raised questions over the timing of …
The U.S. dollar retreated slightly Thursday but preserved the bulk of gains recorded after the Federal Reserve's meeting minutes signalled that rate cuts may be farther off than previously anticipated. The Dollar Index was down modestly early in the session after a strong overnight rise. Market attention remains on forthcoming economic releases, an…
Asian currencies broadly lost ground as a firmer U.S. dollar and hawkish signals from Federal Reserve officials put pressure on regional units. The South Korean won and Indian rupee were among the weakest, while the Australian dollar bucked the regional trend after jobs data pointed to a still-tight labor market. Thin trading ahead of and during Lu…
UBS has revised its USD/ZAR outlook, forecasting continued appreciation of the South African rand through 2026. The bank points to higher precious metal prices, anticipated Federal Reserve rate cuts, resilient global growth and investor demand for non-U.S. assets as key supports. UBS has set a Q1 2026 target of 16.0 and consistent 15.8 targets for …
The U.S. dollar ticked slightly higher Wednesday as traders waited for the minutes from the Federal Reserve's latest policy meeting. The modest advance followed a run of constructive U.S. economic releases and was accompanied by heightened geopolitical and diplomatic news. Sterling gained marginally even after U.K. consumer inflation slowed to 3.0%…
Most Asian currencies traded in narrow ranges on subdued volume during Lunar New Year holidays, with the New Zealand dollar slipping after the RBNZ left its official cash rate unchanged at 2.25% and signalled an accommodative path as inflation eases. The US dollar inched higher, Japanese export data surprised to the upside, and market attention tur…
Bank of America projects the EUR/SEK exchange rate will finish 2026 at 10.50, reflecting continued appreciation of the Swedish krona since late 2025. The bank says risks are skewed to the downside, meaning the krona could strengthen beyond its base forecast, while noting specific technical resistance and support bands and scenarios that could rever…
Bank of America projects the EUR/NOK currency pair will keep trending lower over the coming 12 months, even if brief recoveries occur. The bank points to recent, rapid strength in the krone versus its March 2026 forecast and identifies near-term technical levels to watch, while warning of several macro risks that could alter the outlook.
Bank of America analysts said the Pakistani rupee is unlikely to move significantly in either direction in the near term. They cite a balanced current account and a real effective exchange rate that is stable and close to historical averages, signalling no clear overvaluation. Authorities' apparent pro-growth policy bias is expected to keep the nom…
