Author: Robert Jessi

AUD/USD depreciates after opening at a bullish gap, remaining in the positive territory and trading around 0.7030 during the Asian hours on Monday. The currency pair maintains its gains as the Australian Dollar (AUD) remained resilient, supported by economic developments in China, Australia’s major trading partner.China’s RatingDog Manufacturing Purchasing Managers’ Index (PMI) eased to 50.9 in July from 51.7 in June, missing market expectations of 51.5; it continued to signal expansion in manufacturing activity.Aussie inflation surprise seen as fuel-driven but still above RBA targetBNY’s Geoff Yu notes that RBA Assistant Governor Sarah Hunter characterised Australia’s latest CPI print as “a…

U.S. stock futures rise as Trump touts Iran negotiations

Intervention has already delivered a powerful lift for the Aussie and Kiwi. Whether that extends may depend on another round of official action and the Bank of Japan.Asian FX intervention may not be finished yet BOJ surprise hike risk has increased marginally Softer US data adds to dollar pressure and break to fresh highs AUD/USD and NZD/USD ripped higher on Friday, fuelled by broad-based US dollar weakness following apparent coordinated intervention from Asian foreign exchange authorities, softer-than-expected US economic data and a surge in risk appetite after strong earnings from Microsoft (NASDAQ:MSFT) and Amazon (NASDAQ:AMZN).Coordinated Intervention Rattles the US DollarThe…

The week in one sentence: EUR and JPY selling pushed positioning toward fresh bearish extremes, WTI improved through short covering despite a sharp price decline, and VIX shorts retreated as volatility moved higher.FX: Bearish extremes deepenThe Euro (EUR) delivered the week’s clearest bearish signal. Speculators cut net positioning by 31,109 contracts, the sharpest decline since June, extending the selloff into a second week. The net short reached 72,447 contracts and is now below the 1st historical percentile. In addition, EUR/USD fell modestly, so the price continued to confirm the flow rather than resist an increasingly extreme position.The Japanese Yen (JPY)…

Analysts at Scotiabank expect renewed pressure on USD/CAD after its July decline, with a break below 1.4000 opening the way towards 1.3981 and the upper 1.39s. The US Dollar to Canadian Dollar exchange rate ended July near 1.4015 after falling 1.36% over the month. USD/CAD opened July around 1.4208 and reached a monthly high close to 1.4239 before retreating to a low near 1.3992. The pair remains 2.1% higher for 2026, having traded between approximately 1.3482 and 1.4248 since the start of the year. Scotiabank says the Canadian Dollar has benefited from the broader deterioration in US Dollar sentiment following…

The hangover from a dovish Fed surprise, paired with JPY intervention ahead of this morning’s BoJ hold, has taken back to levels seen during Warsh’s USD-bullish June press conference. It may be too early to call a bottom in this US Dollar selloff, but we could see some stabilisation today. Eurozone data is in focus this morning USD: Losing More Ground The post-FOMC dollar selloff accelerated yesterday. Markets remained concerned that the may be reluctant to translate its price stability rhetoric into effective policy tightening. Combined with Fed Chair Kevin Warsh’s ambiguity about the reaction function, this continued to weigh…

Is now the time to buy European equities?

The USD/CHF bounces off weekly lows and meanders around 0.8080 after hitting a daily high of 0.8127, amid presumed intervention, with Nikkei reporting that the US Treasury Department has told currency market participants to prepare for additional intervention, following Thursday’s action by Japanese authorities to boost the Yen.USD/CHF Price Forecast: Technical outlookThe USD/CHF rebounded, reaffirming its upward bias. The market structure suggests the uptrend will continue as long as spot prices remain above the 50-day SMA and the July 10 cycle low of 0.8010.The Relative Strength Index (RSI) is turning bearish, aiming upwards, an indication that a recovery may be…

The first full week of August will test whether the US Dollar can recover from its sell-off during the last week of July as investors shift their attention from central bank decisions to a fresh round of economic data. The spotlight will be on July’s Nonfarm Payrolls (NFP) report, while ISM surveys, ADP Employment figures and JOLTS Job Openings will offer additional clues on the strength of the US economy. In Europe, investors will assess whether inflationary pressure is beginning to ease through Producer Price Index (PPI), Retail Sales and Factory Orders data. Meanwhile, China will release key PMI and…

Analysts at Scotiabank expect renewed pressure on USD/CAD after its July decline, with a break below 1.4000 opening the way towards 1.3981 and the upper 1.39s. The US Dollar to Canadian Dollar exchange rate ended July near 1.4015 after falling 1.36% over the month. USD/CAD opened July around 1.4208 and reached a monthly high close to 1.4239 before retreating to a low near 1.3992. The pair remains 2.1% higher for 2026, having traded between approximately 1.3482 and 1.4248 since the start of the year. Scotiabank says the Canadian Dollar has benefited from the broader deterioration in US Dollar sentiment following…