Currency Analysis & Comment

The EUR/USD, while experiencing a somewhat lackluster 2023, is on track to end the year with a modest 2.3% gain. Despite facing headwinds from consistently poor economic data in the Eurozone, the...

The Bank of Japan did not give in to market pressure and kept its dovish guidance intact. However, the wording on the economic and inflation outlook paves the way for a hike in the second quarter in...

With the Bank of Japan being the last major central bank decision left for this year and the last important macro releases of the year to come this week, the USD/JPY is the featured currency pair of...

The US Fed's signal of potential rate cuts next year weakened the US dollar, which closed the week in the 102 band. Despite the dollar's decline, expectations for a rate cut in March, currently at...

The dollar is recovering some ground after the pushback from Fed officials against rate-cut bets. However, the dovish Dot Plot may work as an anchor for rates and keep the dollar soft into the end of...

As the dust settles after a furious period for central bank meetings we are left to conclude that European policymakers have chosen to push back more than the Fed when it comes to what the market...

The Fed decision is set to test market expectations of 125 basis point rate cuts in 2024, producing potential trading opportunities on GBP/USD or USD/JPY. The rate decision is a formality but the Fed...

It is now a very consensus view that the Fed will push back against rate cut expectations. We expect the Dot Plots will show only 50bp of cuts in 2024. Still, markets may feel less comfortable about...

As macro investors, we are often inundated with flashy headlines, and recently Japan has been front and center.Yet with all this noise, it’s easy to miss the forest for the...

The big yen rally has been exacerbated by positioning factors, but markets may keep speculating on a BoJ December hike unless Japanese officials protest against hawkish bets before the meeting. A...

Next week, the GBP/USD faces a major test with key data releases and interest rate decisions from the Federal Reserve and Bank of England. Meanwhile, the US Dollar Index is fluctuating, with this...

Ahead of tomorrow's US jobs data release, the short-term highlight in the FX market is the continued outperformance of the yen. This has nothing to do with a risk-averse environment (asset markets are...

The EUR/USD faces a key test in the next week and a half. We will have lots of key data and rate decisions from both the Federal Reserve and European Central Bank to come during this period. Ahead of...

The dollar has shown resilience after disappointing JOLTS job openings data yesterday, leaving EUR/USD under pressure as the euro’s idiosyncratic negatives fuel bearish momentum. Today, the Bank...