Currency Forecast

A combination of weak China data and a pushback by both ECB and Fed officials against early easing is weighing on risk sentiment and supporting the dollar. It is hard to see that sentiment changing...

Thanks to the Martin Luther King Day holiday, FX markets were quiet-ish on Monday without the participation of US banks.But volatility has started to pick up with reduced Fed rate cut bets boosting US...

Asian equity markets and currencies are under a little pressure today and have cast a slightly risk-off tone across global FX markets. Economic data is light, but we do hear from some central bank...

The Bank of Japan may conclude its ultra-loose monetary policy in the next 2-3 quarters. Deflation is progressing in the Japanese economy. A return above 150 yen per dollar is possible later this...

Investors have cemented Fed easing expectations despite some hotter-than-expected US data. We suspect a market reluctant to price out rate cuts will need strong words from the Fed – perhaps...

Rate expectations were not moved by slightly hotter-than-expected US CPI, and support for the dollar has mostly come through the risk-sentiment channel. Range-bound trading may persist despite...

We expect a consensus 0.3% MoM core inflation reading in the US today. We see the rise in the USD/JPY as an indication that fast money is probably positioned for a stronger figure, meaning there are...

The FX market appears in wait-and-see mode ahead of tomorrow’s US CPI. Today, there aren’t key data releases, but we’ll keep an eye on speeches by Fed member John Williams and the...

Major FX pairs look to have settled into early-year ranges and now await the next big input – Thursday's release of December CPI data for the US. The modest back-up in interest rates this year...

The labor market remains strong despite downward revision in recent months. Disinflation dynamics may decelerate post Thursday's data. Meanwhile, the EUR/USD pair is consolidating in an upward...

The US dollar demonstrated strength at the beginning of the year as it surged to reach the 103 level. This surge was propelled by positive US economic data, hawkish signals from the Fed, and an uptick...

The dollar is back around Friday’s open levels against most G10 currencies as markets face contradicting indications from the jobs market and ISM services index. Expect a quiet start to the week...

The soft landing playbook could see a temporary reversal today were the December US jobs report to come in on the strong side. The market seems to have gotten a little ahead of itself in pricing the...

The US dollar is under pressure as the pound, and euro attempt a recovery, raising doubts about its upward trajectory. The dollar's recent easing is due to a minor rebound in risk appetite, a lack...