Trade War

While the main market focus over recent months has been on trade wars, fears have been building this week over potential currency wars following comments by President Trump. Speaking with CNBC, the President commented that he feels the Fed is undermining his efforts to strengthen the US economy by raising interest rates. When asked whether he wa...

2018-07-20 James Harte Read more
Metals

Gold The yellow metal cratered to fresh 12 month lows this week as a resurgent US Dollar and cascading oil prices combined to shunt the safe haven metal lower. The US Dollar has been rallying firmly this week in response to Fed chairman Powell’s testimony before the Senate where he gave a very encouraging outlook on the US economy. Alongside ra...

2018-07-19 James Harte Read more

Has Trump finally gone too far? During a Presidency which has become characterised by controversy and spectacle it appears that Donald Trump might finally have gone too far. Trump’s opinion poll ratings have been rising over recent months given his high-profile trade dispute with China which the President has labelled a noble crusade in defence...

2018-07-18 James Harte Read more
ECB minutes

The European Central Bank released the minutes of the meeting held in June last week. The minutes covered the monetary policy meeting where the ECB announced its forward guidance. This included tapering the current bond purchases to 15 billion euro from September and an eventual end to QE by December 2018. The minutes showed that interest rat...

2018-07-18 John Benjamin Read more
nzd rallies

June CPI in New Zealand was a mixed bag, with both the quarter on quarter reading and year on year reading printing below expectations at 0.4% vs 05% expected and 1.5% vs 1.6% expected, respectively. While the figures are still low, inflation is showing positive trajectory with the annual figure having increased from 1.1% over the prior reading ...

2018-07-17 James Harte Read more
usa cpi

Consumer prices as well as producer price index for the month of June showed a strong pace of gains. The data suggested that the underlying momentum is only going to get stronger. Both consumer and producer prices were seen rising to a six year high. The data comes as Fed officials continue to tighten monetary policy. U.S CPI at 2.9% in June...

2018-07-17 John Benjamin Read more
fx cot update brexit

EURUSD Non-Commercials reduced their net long positions in the Euro last week selling 12k contracts to take the total position to 24k contracts. The record EUR long position that built up over Q1 in anticipation of ECB monetary policy tightening has now been slashed by around 80% as the market adjusts to the ECB’s shifting stance. While the...

2018-07-16 James Harte Read more

The economic calendar for the week ahead turns somewhat busy with lot of economic reports due from the world's major economies. Kicking off the week, China will be reporting on its quarterly GDP figures. The data comes following last week's strong surge in producer prices. However, with the U.S. trade tariffs uncertainty, the economy is expec...

2018-07-16 John Benjamin Read more

While a proud footballing nation mourned another harrowing defeat there was still plenty to be excited about as England received its prize for coming fourth in the World Cup yesterday: a visit from US President Donald Trump. Arriving with a security convoy which looked like it had been plucked straight from the set of a Hollywood movie, the Pres...

2018-07-13 James Harte Read more
sweden bank

Sweden’s central bank held its monetary policy meeting last week and as widely expected the policy makers at the central bank left the key interest rate unchanged at -0.50%. However, officials guided investors toward a possible rate hike at the end of the year. Policy makers left interest rates unchanged with but with two dissenting votes whi...

2018-07-13 John Benjamin Read more