The FX moves this week leave a lot to be desired
Here are the changes among key dollar pairs on the week as we look to the final day of US trading later:EUR/USD: -0.1%USD/JPY: +0.9%GBP/USD: -0.2%USD/CHF: +0.3%USD/CAD: -0.3%AUD/USD: +0.6%NZD/USD: -0.2%Outside of the Japanese yen and perhaps arguably the aussie, the changes on the week are rather insignificant thus far. The mid-week break also didn't really help in lifting the appetite in markets.The move higher in USD/JPY owes much to a few reasons, as Adam outlined here. Meanwhile, the aussie is slightly higher after the RBA left the cash rate unchanged at 4.35% on Tuesday. But the central bank did say that they discussed rate hikes at this week's meeting, so that is helping to put a floor on the currency.Besides that, the franc is a touch lower after the SNB decided to cut interest rates further. The currency had been enjoying a stellar June up until then, helped by political woes in Europe as well as of late.Overall, the changes we're seeing point to a steadier dollar despite US equities keeping its run higher. Instead, the dollar seems to be taking its cue from the bond market. 10-year Treasury yields are also seeing a bit of a back and forth week, seen up just 1.1 bps at 4.234% currently. This article was written by Justin Low at www.forexlive.com.
Here are the changes among key dollar pairs on the week as we look to the final day of US trading later:
- EUR/USD: -0.1%
- USD/JPY: +0.9%
- GBP/USD: -0.2%
- USD/CHF: +0.3%
- USD/CAD: -0.3%
- AUD/USD: +0.6%
- NZD/USD: -0.2%
Outside of the Japanese yen and perhaps arguably the aussie, the changes on the week are rather insignificant thus far. The mid-week break also didn't really help in lifting the appetite in markets.
The move higher in USD/JPY owes much to a few reasons, as Adam outlined here. Meanwhile, the aussie is slightly higher after the RBA left the cash rate unchanged at 4.35% on Tuesday. But the central bank did say that they discussed rate hikes at this week's meeting, so that is helping to put a floor on the currency.
Besides that, the franc is a touch lower after the SNB decided to cut interest rates further. The currency had been enjoying a stellar June up until then, helped by political woes in Europe as well as of late.
Overall, the changes we're seeing point to a steadier dollar despite US equities keeping its run higher. Instead, the dollar seems to be taking its cue from the bond market. 10-year Treasury yields are also seeing a bit of a back and forth week, seen up just 1.1 bps at 4.234% currently.
This article was written by Justin Low at www.forexlive.com.
