Author: FX
Exclusive-Top US commander for Latin America makes surprise visit to Venezuela Source link
Markets absorbed hawkish signals from Federal Reserve meeting minutes on Wednesday, with Treasury yields rising and the dollar strengthening broadly as policymakers acknowledged the possibility of rate hikes if inflation remains elevated, while RBNZ dovish commentary and softer UK inflation data pressured their respective currencies. Check out the forex news and economic updates you may have missed in the latest trading session! Forex News Headlines & Data: New Zealand PPI Input for December 31, 2025: -0.5% q/q (0.5% q/q forecast; 0.2% q/q previous) Japan Balance of Trade for January 2026: -1,152.7B (-2,500.0B forecast; 105.7B previous) Japan Reuters Tankan Index for…
The Dow and S&P rose for the 3rd straight session while of the NASDAQ index increase for the 2nd in a row. Although higher, the major indices are closing near the middle of the data trading range. Yields moving higher and they slightly more hawkish Fed led to a rotation off of the highs for the day. At the bell, the major indices that showed:Dow industrial average rose 129.47 points or 0.26% at 49,662.66.S&P index rose 38.09 points or 0.56% at 6881.31. NASDAQ index rose 175.25 points or 0.78% at 22753.63. The small-cap Russell 2000 gained 12.02 points or 0.45%…
ING’s Frantisek Taborsky notes the Hungarian Forint is testing new highs as EUR/HUF trades near two-year lows ahead of expected NBH rate cuts. With two 25bp cuts already priced for February and March, he sees any Forint weakness as a buying opportunity, though acknowledges that rate cuts are negative for carry and may eventually slow further EUR/HUF downside.EUR/HUF strength into NBH easing”The forint tests new highs ahead of the NBH cutting cycle restart, supported by global risk-on sentiment for EM currencies but also market pre-election positioning. EUR/HUF near two-year lows clearly gives NBH the green light to cut rates. At…
The Reserve Bank of New Zealand (RBNZ) kept its Official Cash Rate (OCR) unchanged at 2.25% today, signaling that monetary policy will remain accommodative for the time being as the economy recovers from a prolonged downturn. The decision was unanimous and widely expected by market participants. Key points from the RBNZ statement: Annual CPI inflation rose to 3.1% in Q4 2025, slightly above the 1-3% target band The Committee is confident inflation will fall to the 2% midpoint over the next 12 months Significant spare capacity remains in the economy, with unemployment at 5.4% Economic recovery is broadening across manufacturing,…
The GDPNow reading has slowly been sliding after getting much fanfare from politicians when it was above 5% on shutdown-affected data. The latest reading trims another 0.1 pp from the reading as we near the first official reading (which of course is revised several times itself). Tomorrow we get another update on the GDPNow forecast with critical readings in trade balance and wholesale inventories possibly leading to big swings.Today’s small change comes after data on industrial production, housing starts and durable goods orders. Source link
The Minutes of the United States (US) Federal Reserve’s (Fed) January 27-28 monetary policy meeting will be published on Wednesday at 19:00 GMT. The US central bank decided to leave the policy rate unchanged at the range of 3.50%-3.75%, but Fed Governors Stephen Miran and Christopher Waller voted to lower the fed funds rate by 25 bps.Jerome Powell and company opted to pause rate cuts in JanuaryThe Federal Open Market Committee (FOMC) held the interest rate unchanged in January after opting for three consecutive 25 basis points (bps) rate cuts. In the policy statement, the Fed noted that the unemployment…
The sources cited note that there is currently no evidence of a diplomatic breakthrough between the US and Iran on the horizon. At this stage, the report says that Trump’s military and rhetorical build-ups is going to prove tough to back down from, especially if without any major concessions from Iran regarding its nuclear program.This means that a call for military conflict might not just be a bluff, with “all signs point to him pulling the trigger if talks fail”.The report adds that any military operation in Iran will be massive, involving a weeks-long campaign that would resemble a full-fledged…
MUFG’s Head of Research Derek Halpenny remains constructive on EM FX for 2026, citing supportive global growth, restrained US tariff risk, and ongoing fiscal and monetary stimulus in major economies. He highlights strong performance in BRL and MXN, low and falling inflation across key EMs, and forecasts notable gains in ZAR, CLP, MYR and KRW, aided by a recovery in Japanese Yen and CNY.Supportive macro backdrop and low inflation”If it does result in a warming of relations it would be another factor that can help support global sentiment and would reinforce the prospect of EM FX continuing to perform well.””We…
European markets rise over improved market sentiment Source link