Foreign exchange markets and global currency movements.
Coverage of currency markets including major pairs, central bank actions, interest-rate differentials, and geopolitical influences. This section highlights trends in FX markets that impact global trade, inflation, and cross-asset correlations.
517 total articles
Asian foreign exchange markets and the U.S. dollar were largely unchanged on Friday as participants weighed reports that Washington and Tehran had reached a draft framework to extend a ceasefire, alongside softer-than-expected Tokyo inflation data. The U.S. Dollar Index hovered near 99 after a modest overnight decline, while regional currency moves…
The South African rand strengthened on Thursday afternoon following the central bank's decision to raise its policy rate by 25 basis points to 7%. At 1410 GMT the rand was quoted at 16.32 to the dollar, a move described in the market as a 0.3% improvement from Wednesday's close. The Reserve Bank cited a sharp uptick in inflation as justification fo…
Sterling fell modestly on Thursday as a stronger dollar, driven by a fresh round of U.S.-Iran military actions and firmer U.S. inflation-driven Fed repricing, weighed on the pound. GBP/USD was trading lower in the early New York session, while the euro also gave up ground. Political tensions that had supported sterling earlier in May have dissipate…
Patrick Thomson, CEO EMEA of JPMorgan Asset Management, said at an ICMA conference in London that while U.S. Treasuries remain dominant, rising U.S. debt levels and fiscal dynamics make a long-term weakening of the dollar a plausible outcome. He noted the currency's recent safe-haven strength following the Iran war, and suggested Europe could attra…
Data from the DTCC indicate a number of sizable currency option contracts will expire at the 10am ET New York cut on Wednesday. The largest single expiry is in USD/CAD at the 1.3805 strike with $328 million in notional value. Several other significant expiries are concentrated in EUR/USD, AUD/USD, USD/JPY and GBP/USD, with spot prices noted alongsi…
Sterling traded in a narrow band on Wednesday, failing to gain momentum against a dollar that is being propped up by a broadening hawkish stance among global central banks. Market attention is focused on upcoming U.S. inflation data, fresh central bank comments and geopolitical developments that are keeping crude prices elevated and complicating th…
The U.S. dollar was largely unchanged as markets watched indirect U.S.-Iran negotiations and awaited key U.S. economic releases later this week. The Australian dollar dipped after April consumer price inflation came in softer than expected, while several Asian currencies showed mixed moves ahead of central bank and economic events.
The South African rand fell against the U.S. dollar following U.S. military strikes on Iran that put pressure on a seven-week ceasefire. The rand traded at 16.3875 per dollar at 1606 GMT, down roughly 0.6% from the prior close. Despite the escalation, officials from both countries indicated progress toward an agreement intended to end hostilities a…
Data from the Depository Trust & Clearing Corporation (DTCC) shows multiple sizeable currency option expiries set for the 10am ET New York cut on Tuesday. Expiries span a range of major currency pairs, with the largest single blocks in USD/CHF and notable sizes in EUR/USD, USD/JPY, AUD/USD and NZD/USD.
Sterling eased on Tuesday as a combination of dollar resilience and renewed uncertainty in the Middle East kept GBP/USD under pressure. Market attention is focused on Federal Reserve stance, upcoming U.S. PCE data and geopolitical developments that have pushed crude markedly higher, complicating the inflation outlook for the Bank of England.
Bank of America cautions that the South Korean won could face continued pressure from portfolio outflows and policy uncertainty even as a strong current-account surplus, bolstered by semiconductor exports, supports the external position. The firm highlights a critical policy window around the Bank of Korea rate decision and the National Pension Ser…
The Indian rupee has weakened sharply this year amid surging oil import costs, capital outflows and a strong U.S. dollar. While intervention by the Reserve Bank of India has so far capped losses, research from Capital Economics suggests allowing a further decline would produce only limited macroeconomic damage, though it could lift inflation modest…
The European Central Bank warned EU finance ministers that a Bruegel proposal to liberalize liquidity requirements for euro stablecoin issuers and explore ECB funding access could undermine bank deposit stability and hamper monetary policy transmission. The proposal, presented at an informal meeting in Nicosia, Cyprus, seeks to bolster a euro-based…
The pound softened on Friday amid demand for the dollar related to uncertainty over U.S.-Iran peace talks, while UK retail sales volumes fell 1.3% month-on-month in April - the largest monthly fall in nearly a year. The decline exceeded economists' expectations and coincided with a significant rise in government borrowing for April.
Barclays cautioned that the euro could come under additional pressure against the U.S. dollar if tensions in the Strait of Hormuz continue. The bank highlighted an expanding gap in economic momentum between the United States and Europe, with U.S. data surprising positively while European releases have disappointed. Barclays also warned that slowing…
Minutes from a recent Federal Open Market Committee meeting show some Fed officials debated widening the scope of U.S. dollar swap lines, a mechanism that lets a handful of foreign central banks access dollars in periods of market stress. The conversation occurred against a backdrop of heightened global instability, rising energy costs tied to a wa…
Macro strategists at Citigroup are advising clients to short the U.S. dollar against the Japanese yen ahead of the Bank of Japan's June policy meeting, citing the yen's move back toward levels where intervention is more likely. Citi's team, which includes Giammarco Miani, Adam Pickett and Dirk Willer, set a specific cash entry and target while noti…
The pound remained largely unchanged against the dollar as markets digested a pronounced slide in UK business activity to its weakest in over a year. S&P Global’s preliminary composite PMI for May fell below the 50.0 threshold, signaling contraction, a contrast with recent data showing robust first quarter GDP growth and a cooling inflation reading…
Bank of America remains near-term bullish on the U.S. dollar, noting the DXY index is trading inside an unusually narrow 12-month range. The bank highlights that the dollar completed a round trip following the start of the Iran war - appreciating with an initial oil-price spike and then easing after an April ceasefire announcement - and says upside…
Deutsche Bank currency strategists say traders should avoid taking broad positions on the U.S. dollar for now and instead pursue relative-value trades across foreign-exchange crosses. The bank highlights two sets of currencies — those benefiting from strong commodity markets and carry, and those where authorities can defend against shocks — while n…
Sterling steadied on Wednesday following a larger-than-expected drop in UK inflation for April, a result that weakens the argument for a forceful sequence of Bank of England rate increases. GBP/USD moved slightly higher but remained close to the bottom of its intraday range, with the dollar supported by higher US Treasury yields and safe-haven flow…
The Indian rupee fell to a record low against the U.S. dollar on Wednesday, with the USD/INR rate reaching 96.8650 rupees as sustained high oil prices and concerns about the Iran conflict triggered sizable capital withdrawals from Indian assets. Despite a modest ease in oil earlier in the day, crude remains more than 50% higher than in late-Februar…
Sterling slid on Tuesday following a stark UK labour-market report and rising political risk that erased a brief uptick the currency saw the day before. The pound came under pressure as weak employment data, a conservative outlook on gilt yields, and persistent dollar strength left little breathing room for GBP/USD.
The Russian rouble rose to 10.45 against China’s yuan on the Moscow Exchange, its strongest level versus the yuan since February 2023, and moved past the 72-per-dollar threshold for the first time since March 2023. Officials say nearly all trade payments between the two countries are now settled in roubles and yuan, while increased oil flows, high …
Bank of America has reduced its USD/JPY forecasts for year-end 2026 and end-2027, reflecting signs that structural forces which drove prolonged yen weakness are moderating. The U.S. bank cut its end-2026 forecast to 152 from 157 and its end-2027 call to 145 from 150, pointing to an improved basic balance for Japan, stronger inward foreign direct in…
