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.
846 total articles
Bank of America research indicates the US dollar has shed its post-conflict momentum and entered a less predictable trading regime. After an initial war-driven spike, the dollar index has moved back toward its prior range as investors grow less reactive to geopolitical uncertainty. Elevated oil prices, resilient US data and stronger risk appetite a…
The pound slipped against the dollar on Thursday amid a wider risk-off shift after S&P Global's flash eurozone composite PMI signalled the first contraction in 16 months. The deterioration in eurozone activity compounded inflation pressures driven by surging fuel costs linked to the Strait of Hormuz crisis and added to downward pressure on both the…
Citi expects the dollar-yen rate to trade in a narrow band of ¥158 to ¥160 per dollar even though the interest rate differential between the U.S. and Japan has contracted sufficiently to satisfy a technical condition for a long-term reversal. Persistent strength in Japanese equities has applied downward pressure to the yen, and Citi warns that inte…
Most Asian currencies weakened on Thursday as the U.S. dollar strengthened amid renewed uncertainty over potential U.S.-Iran talks and rising expectations that the Federal Reserve will delay interest rate cuts. Safe-haven flows supported the dollar, while the Japanese yen bucked the regional trend as markets priced in a likely dovish hold but futur…
TS Lombard strategist Daniel Von Ahlen identifies an attractive opportunity to short USD/JPY, citing crowded short positioning, expectations for Bank of Japan rate increases after a hawkish hold, and several macro factors that support a stronger yen. He highlights looser fiscal policy in Japan, momentum in JPY rates and potential downside in US gro…
Macquarie says the transition from kinetic to economic warfare tied to the U.S.-Iran conflict, including a U.S. blockade of the Strait of Hormuz, could support a U.S. dollar rally in the second quarter. The bank highlights sharp drops in Middle East crude shipments to Asia and widely varying days-of-coverage in national strategic reserves as factor…
U.S. Treasury Secretary Scott Bessent told senators that several Gulf and Asian allies have requested U.S. currency swap lines to address disruptions tied to the Middle East war. Bessent said a proposed swap line under consideration by President Donald Trump would aid both the United States and the United Arab Emirates and help stabilize dollar fun…
Sterling and the euro edged slightly higher after Fed Chair nominee Kevin Warsh reassured senators about the central bank's institutional independence without offering specific policy commitments. Currency moves were modest: GBP/USD rose to 1.3525 and EUR/USD moved to 1.1754. The dollar remained rangebound as equities held firm, while UK inflation …
Most Asian currencies traded in narrow bands as markets weighed uncertainty over the future of U.S.-Iran peace talks following an indefinite extension of a ceasefire by Washington. The dollar remained steady after Federal Reserve nominee Kevin Warsh told senators he had made no promises to cut interest rates and underscored the central bank's indep…
President said the United States is considering financial assistance to the United Arab Emirates, including a potential currency swap line, and reiterated U.S. support if the oil-rich Gulf state encountered trouble amid regional conflict concerns. Officials in Washington recently discussed the possibility of a swap line with U.S. Treasury and Feder…
The pound and the euro edged lower on Tuesday as the dollar retained strength. Market participants balanced modestly improved risk appetite after reports of planned Iran-US talks in Pakistan against uncertainty ahead of Kevin Warsh's Senate confirmation hearing and several central bank and economic updates.
Most Asian currencies traded in a narrow range as uncertainty around further U.S.-Iran negotiations ahead of a ceasefire expiration kept market participants cautious. The U.S. dollar held steady in Asian trade as attention shifted to the Senate confirmation hearing for President Trump’s Fed nominee Kevin Warsh, scheduled for later in the day. The y…
The Bank of Canada has appointed Marc-Andre Gosselin and Nicolas Vincent to deputy governor positions on its governing council. Gosselin will lead analysis of domestic economic developments and joins the council on May 25. Vincent, previously an external deputy governor since 2023, will oversee international economic analysis and serve as the bank’…
Sterling dipped on Monday as the dollar found support amid renewed Middle East tensions and sustained oil prices. As of 04:54 ET (08:54 GMT), GBP/USD fell 0.16% to 1.3496 and EUR/USD eased 0.04% to 1.1759. Market participants are balancing geopolitical risk, energy market volatility and shifting expectations for central bank policy, leaving near-te…
Most Asian currencies weakened Monday as the dollar drew renewed safe-haven demand after a spike in U.S.-Iran tensions over the weekend. The moves were tempered by market expectations that Washington may avoid a broader escalation and by investor caution ahead of a string of important economic releases in Asia and the United States.
The U.S. dollar climbed to its highest level in a week at the start of Asian trading as a resurgence of tensions in the Middle East pushed investors toward safe-haven assets. The dollar index rose to 98.485, reversing a recent pullback tied to hopes for a peace deal. Developments over the weekend, including the seizure of an Iranian cargo ship and …
Goldman Sachs lowered its EUR/HUF forecasts across three time horizons and initiated a short recommendation on the currency pair, pointing to expected forint strength tied to improved fiscal policy and disinflation prospects under Hungary’s incoming government. The bank highlighted potential boosts from unlocked EU funds and the possibility of euro…
Bank of Canada Governor Tiff Macklem said he expects a substantial consumer price index figure when Statistics Canada releases inflation data on Monday, yet he predicts the headline inflation rate will remain below 3%. Speaking after attending International Monetary Fund meetings in Washington, Macklem highlighted that central banks have differing …
Goldman Sachs has advised clients to short the euro against the Hungarian forint as incoming Hungarian leaders prepare to discuss possible entry into the euro area following a recent ballot. Strategist Teresa Alves said the bank has lowered its EUR/HUF targets across the 3-, 6- and 12-month horizons and initiated a trade with defined target and sto…
Venezuela's dollar-denominated bonds climbed after the International Monetary Fund said it would resume contact with Caracas. The IMF decision, approved by a majority of its members, follows U.S. recognition of acting president Delcy Rodriguez and drew positive remarks from U.S. Treasury Secretary Scott Bessent. The step may help Venezuela regain a…
The Indian rupee weakened against the U.S. dollar after the government published a list of banks authorized to handle gold and silver imports. Market participants said the authorization triggered fresh dollar demand, compounded by hedging flows from importers. USD/INR traded near 92.97 after recovering from an intra-day low of 92.66.
BCA Research is advising clients to take a long position in the Hungarian forint versus the U.S. dollar after a recent general election. The firm believes a new government will repair ties with the European Union, potentially unlocking substantial grants and loans that could materially reduce Hungary's country risk premium and support growth.
Sterling made a slight advance on Friday while the euro recorded modest gains as the dollar steadied following a partial recovery. Crude oil's rebound and ongoing geopolitical uncertainty in the Middle East helped underpin energy prices, shaping currency moves alongside resilient equity markets and cautious positioning around central bank expectati…
A renewed focus on commodities driven by the Middle East war has elevated currencies of major commodity exporters. The Norwegian crown and the Australian dollar are among the top performers versus the U.S. dollar year-to-date, and some investors are reallocating away from the euro into so-called commodity currencies amid expectations of sustained h…
Asian foreign exchange markets traded with little direction on Friday as investors awaited fresh developments in U.S.-Iran peace negotiations. Reduced demand for safe-haven assets weighed on the dollar, while the Japanese yen slipped after the Bank of Japan gave few indications of an imminent rate hike. Most regional currencies posted small weekly …
