Let’s check the situation of the Forex for today.
The New Zealand dollar and its Australian counterpart led gains among major currencies on Friday. The geopolitical tensions eased. It prompted investors to buy riskier currencies. This week there was relatively upbeat U.S. economic data, which is benefiting the sentiment.
The dollar held firm against broad rivals of its basket. It is on track to post its best week in the last two months. It is because, in the Middle East, the prospect of war ebbed. Iran and the United States backed away from further confrontations.
A currency strategist at Credit Agricole in London is Manuel Oliveri. He said that risk sentiment is back. Hopes of an interim trade deal between the United States and China, as early as next week, contributed to this. Also, it is thanks to easing geopolitical tensions.
The Aussie strength was curbed on rising bets of an interest rate cut as early as February, though it gained a third of a percent to $0.68755.
The New Zealand dollar edged up 0.2% to $0.6622.
The dollar has broadly outperformed in the G10 FX weekly. It is thanks to the robust data this week, which shows a pick-up in the U.S. service sector. Robust private hiring and joblessness claims are falling.
There are spreads between German Treasuries and U.S. equivalent debt for 10-year maturities trading near 210 bps. Interest rate differentials between European and U.S. bonds are shrinking.
Ray Attrill is a National Australia Bank’s head of FX strategy. He says that there is nothing fundamental to drive people out of the United States dollar at this stage.
The dollar gained 0.6% against a basket of its rivals. It is the most significant weekly rise since early November. On Friday, it held firm at 97.44.
On Friday, moves in other major currencies were modest.
These are the main news.
Key Points: AUD/JPY broke below a rising wedge, signalling possible bearish momentum, with immediate resistance at 103.00 and support at…
Key Points EUR/JPY Rises to 168.25: Strengthened by robust Eurozone economy and steady ECB policy. Eurozone GDP Grew by 0.3%…
Key Points: Nio's shares hit 44.20 HKD, up 20%, with electric vehicle deliveries up 134.6% year-on-year to 15,620. BYD leads…
Key Points: Ethereum fell sharply from $3,355 to a low of $2,813, reflecting high volatility and sensitivity to market dynamics.…
Key Points Nikkei 225 slightly fell by 0.1%, while the Hang Seng index surged by 2.4%. USD/JPY increased slightly, highlighting…
Key Points: Gold prices rose on MCX India to ₹71,278/10 gm and COMEX US to $2,328/oz. The US Dollar Index…
This website uses cookies.