Currency News

Forex Market: AUD/USD trades near 1 1/2-month trough, Powell’s reappointment fuels 2022 rate hike expectations

AUD/USD was hovering just above a fresh 1 1/2-month low on Tuesday, as Federal Reserve Chair Jerome Powell’s reappointment reinforced expectations of an interest rate hike in 2022. “The decision removes one source of uncertainty for financial markets and favours policy continuity at the Fed,” MUFG currency analyst Lee Hardman wrote in an investor note. […] Read more

Forex Market: GBP/USD extends Friday losses on dollar strength, hedge funds most bearish on Sterling since June 2020

GBP/USD was a notch weaker at the start of the new week, as the US currency remained underpinned by bets the Federal Reserve could tighten monetary policy sooner than expected. A flight to safety amid rising COVID-19 infections, especially in Europe, also supported the dollar. Meanwhile, Pound traders’ focus strongly set on Bank of England’s […] Read more

Forex Market: AUD/USD retreats as RBA dismisses market pricing for a rate hike next year

AUD/USD snapped a two-day streak of gains on Tuesday, after Reserve Bank of Australia Governor Philip Lowe again dismissed market pricing for a rate hike in 2022, as, in his view, recent macro data and projections do not warrant such a decision. Markets are pricing a first hike from the current 0.10% level to 0.25% […] Read more

Forex Market: GBP/USD off near 11-month lows as investors focus on a new set of macro data, Brexit impasse over Northern Ireland

GBP/USD was mostly steady on Monday, while recovering from Friday’s near 11-month low, as investors were waiting for fresh clues on both the US and the UK economy after placing bets last week for a first rate hike by the Federal Reserve by July 2022. Market players will be also on the watch for any […] Read more

Forex Market: AUD/USD holds gains as upcoming inflation figures will be the next test for interest rate outlook

AUD/USD held gains registered in the prior trading day on Tuesday as market players awaited inflation figures in the world’s two largest economies for more clues on central bank interest rates. AUD/USD has remained within the 0.7360-0.7470 range since November 4th, but according to Commonwealth Bank strategists, risks for the Aussie are “skewed down because […] Read more

Forex Market: GBP/USD trades near a 5-week low as markets await US CPI, UK GDP data prints

GBP/USD hovered just above a five-week trough on Monday after the Bank of England left the benchmark interest rate at a record low level of 0.10% in November and also said it expected UK economy to grow “at a slower pace than projected in the August Report” during the third quarter. BoE policy makers expect […] Read more

Forex Market: AUD/USD retreats as RBA scraps bond yield target, signals earlier rate hike

AUD/USD retreated over 0.7% on Tuesday after the Reserve Bank of Australia dropped the 0.10% yield target on April 2024 government bond at its policy meeting earlier today. The RBA also omitted its previous projection that interest rates were not likely to be raised until 2024, indicating a possible earlier rate hike. The central bank […] Read more

Forex Market: GBP/USD extends losses, dollar close to 2 1/2-week highs ahead of Federal Reserve, Bank of England policy decisions

GBP/USD extended last Friday’s losses at the start of the new week ahead of Bank of England’s policy decision on Thursday, with investors mulling whether a rate hike will be announced at the meeting. Meanwhile, against a basket of six major peers, the US Dollar traded in proximity to a 2 1/2-week high on Monday, […] Read more

Forex Market: GBP/USD edges up, dollar hovers just above one-month low as markets weigh global rate hikes

GBP/USD edged up at the start of the new week as market players weighed the prospect of inflation speeding up the pace of rate increases outside the United States. Markets are now pricing a nearly 60% possibility that Bank of England will lift interest rates next week. Meanwhile, against a basket of six major peers, […] Read more

Forex Market: AUD/USD hits a six-week high as risk sentiment improves, Australian economy expected to rebound in Q4

AUD/USD hit highs not seen since early September on Tuesday amid improved risk sentiment as Asian shares tracked US tech equities higher as well as on indications China’s property market woes will probably be contained. The risk-sensitive Aussie dollar surged even as the minutes from Reserve Bank of Australia’s October policy meeting showed the central […] Read more