Currency Analysis & Comment

The US dollar suffered a positioning squeeze yesterday as Trump fell short of announcing universal tariffs on day one. However, USD/CAD and USD/MXN are facing more downside risks as the new president...

The fact that trade policy did not feature prominently in President Donald Trump’s inauguration speech has triggered a decent correction lower in the US dollar. We cannot rule out a near-term...

Today, all eyes are on Donald Trump's inauguration as the 47th President of the United States. Financial markets are bracing for a flurry of executive orders ranging from immigration to energy and...

Markets may tread carefully today ahead of Monday’s inauguration of President Trump. There are lingering concerns about the “day one” measures, some of which are priced in, which could generate some...

Besides expecting another round of positive US activity data, today’s FX focus will be on the Senate confirmation hearing of Scott Bessent, Trump’s nominee for US Treasury Secretary. He will be...

The US PPI surprised on the soft side, but that does not mean today’s CPI will send similar upbeat signals. We expect a 0.3% MoM core print, which can offer a new round of support to the dollar. In...

Political uncertainty and weak economic data weigh heavily on GBP/USD, as the pair tests critical support levels. Surging UK bond yields and expectations for BoE rate cuts add pressure to the...

The US releases PPI figures for January today, where the core measure is expected to accelerate at an unwelcoming 0.3% MoM. That should cast more doubts about further Fed easing and give the dollar...

Friday's strong US jobs release has provided another leg higher for the US Dollar. It is hard to see the dollar trend changing this week given the prospect of another strong set of US inflation data,...

The British pound tumbled to its lowest level since late 2023 on Thursday as a perfect storm of economic challenges and market skepticism threatens to undermine the UK’s financial stability. The...

A better 30-year US Treasury auction and a US Federal holiday could bring some calmer conditions to bond and FX markets today. However, do not expect the US dollar to hand back much of its recent...

The EUR/USD remains under pressure, grappling with a mix of weak Eurozone economic data, China’s economic slowdown, and persistent US Dollar strength. Mid-day trading in London saw the currency pair...

The US dollar is receiving some fresh support from data, particularly from the spike in the ISM services prices paid sub-index in December. Should we see a re-focus of the Fed on inflation concerns,...

Traders should pay close attention as tariffs and trade policies create both risks and opportunities in the forex market. How Tariffs Could Impact Currencies Tariffs are once again dominating...