Forexlive Americas FX news wrap: US dollar climbs, yields retreat

0
(0)

Markets:

  • S&P 500 up 0.4%
  • WTI crude oil down $1.88 to $70.48
  • Gold down $24 to $2683
  • US 10-year yields down 4 bps to 4.30%
  • JPY leads, AUD lags

China set the table for US markets on Friday as the stimulus announcements disappointed, leading to a 5.5% decline in US-listed China ETFs and a slump in the Australian dollar that worsened through the day. Worries about China growth also likely weighed on oil prices and dragged yields lower on less inflationary pressure.

The long end of the yield curve has now retraced the post-election jump and that’s part of the ongoing theme in markets, something I would call „he didn’t really mean it“, in regards to tariffs, mass deportations and other inflationary policies. The market is instead focusing on an agenda that would look like Trump 1.0, whether tariffs were threatened and sometimes imposed but nothing even close to what he campaigned on. That’s understandable given that very few politicians deliver on campaign rhetoric anywhere.

The US dollar climbed (ex yen) despite the falling yields. Part of that was because the front-end moved up slightly but the euro selling was notable as it slumped to 1.0700 in US trading from 1.0775 at the start of the day, the pound also came under moderate pressure. Commodity currencies also struggled.

Overall, different markets are sorting through different themes and challenges right now. It was an historical week, so that’s understandable and it will continue next week, so rest up and have a great weekend.

This article was written by Adam Button at www.forexlive.com.

Go to Forexlive

Wie hilfreich war dieser Beitrag?

Klicke auf die Sterne um zu bewerten!

Durchschnittliche Bewertung 0 / 5. Anzahl Bewertungen: 0

Bisher keine Bewertungen! Sei der Erste, der diesen Beitrag bewertet.

Es tut uns leid, dass der Beitrag für dich nicht hilfreich war!

Lasse uns diesen Beitrag verbessern!

Wie können wir diesen Beitrag verbessern?

Abonnieren
Benachrichtige mich bei
0 Comments
Inline Feedbacks
View all comments