News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
More View more
Real Time News
  • Fed's Kaplan: - Expecting above trend growth for 2021 - Local and state governments need grants, not loans from Fed - Dow Jones via BBG
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.23%, while traders in NZD/USD are at opposite extremes with 66.26%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/TLR8MDhm9L
  • $USD $DXY | US Dollar Ripping Higher as Markets Swoon Link to Analysis via @DailyFX - https://www.dailyfx.com/forex/market_alert/2020/09/21/usd-price-outlook-us-dollar-ripping-higher-as-markets-swoon.html #FX #Forex #Trading https://t.co/sVaB9lrjxu
  • Commodities Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Gold: -2.40% Oil - US Crude: -4.81% Silver: -8.30% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/bO6biPyCKp
  • UK COVID alert level has moved from level 3 to level 4
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: -0.14% 🇨🇭CHF: -0.56% 🇨🇦CAD: -0.70% 🇬🇧GBP: -0.93% 🇦🇺AUD: -1.14% 🇳🇿NZD: -1.44% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/GIoEwFiMLN
  • The DXY continues to build on a rebound off long-term uptrend support and the Majors are poised for some decent moves this week. Get your #DXY market update from @MBForex here: https://t.co/bjbs0gYT6I https://t.co/0OapScLca9
  • Indices Update: As of 16:00, these are your best and worst performers based on the London trading schedule: France 40: 0.50% Germany 30: 0.49% FTSE 100: 0.32% US 500: -2.12% Wall Street: -2.95% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/nultu65SC6
  • UK PM Johnson is to announce a 10pm closing time for pubs tomorrow, according to the Sun
  • NI First Minister says local COVID 19 restrictions currently in place will apply to the whole of Northern Ireland from Tuesday
US Dollar Looks to Debt Sales to Gauge Fed Rate Hike Transmission

US Dollar Looks to Debt Sales to Gauge Fed Rate Hike Transmission

2015-12-28 03:22:00
Ilya Spivak, Head Strategist, APAC
Share:

Talking Points:

  • US Dollar May Rally Anew if Yields Rise 3-6 Month, 2-Year Bond Auctions
  • Euro Gains, Aussie and Kiwi Dollars Fall on Risk-Off Dynamics Overnight
  • Gauge Trends and Spot Reversals in Leading Currencies with DailyFX SSI

A muted economic calendar is likely to put the outcome of a round of US debt auctions in the spotlight. Three- and six-month bills as well as two-year notes are up for auction. Traders will look to the outcomes to gauge the degree of policy transmission from the onset of Fed stimulus withdrawal earlier this month into real-world borrowing costs.

Prevailing yields on shorter-term paper topped out and began to edge lower at the last two offerings of analogous maturities, staring with the auction held just ahead of December’s FOMC meeting. This presumably reflected broad-based expectation of dovish rhetoric accompanying the first post-QE rate hike. Two-year notes were last sold in late November, with yields rising to the highest in almost six years at 0.948 percent.

Renewed tightening at the shorter end coupled with another push higher at the two-year yield threshold are likely signal the markets are on-boarding the Fed’s marching orders. This may add fresh fodder to bets on widening monetary policy divergence between the US central bank and its G10 counterparts, offering a boost to the US Dollar.

The anti-risk Euro and Swiss Franc traded higher while the sentiment-geared Australian and New Zealand Dollars faced selling pressure at the start of the trading week. The moves played out alongside weakness on the Asian equities front. While regional bourses gapped higher at the open, prices traded downward intraday, seemingly setting a “risk-off” tone market-wide.

Losing Money Trading Forex? This Might Be Why.

Asia Session

GMT

CCY

EVENT

ACT

EXP

PREV

01:30

CNH

Industrial Profits (YoY) (NOV)

-1.4%

-

-4.6%

23:50

JPY

Industrial Production (MoM) (NOV P)

-1.0%

-0.5%

1.4%

23:50

JPY

Industrial Production (YoY) (NOV P)

1.6%

1.6%

-1.4%

23:50

JPY

Retail Trade (YoY) (NOV)

-1.0%

-0.1%

1.8%

23:50

JPY

Retail Sales (MoM) (NOV)

-2.5%

-1.4%

1.2%

23:50

JPY

Dept. Store, Supermarket Sales (NOV)

-1.5%

-0.2%

2.9%

04:00

JPY

Vehicle Production (YoY) (NOV)

-

-

-0.5%

European Session

GMT

CCY

EVENT

EXP

PREV

IMPACT

08:00

CHF

Total Sight Deposits (DEC 25)

-

468.4B

Low

08:00

CHF

Domestic Sight Deposits (DEC 25)

-

406.1B

Low

Critical Levels

CCY

Supp 3

Supp 2

Supp 1

Pivot Point

Res 1

Res 2

Res 3

EUR/USD

1.0783

1.0873

1.0916

1.0963

1.1006

1.1053

1.1143

GBPUSD

1.4770

1.4844

1.4879

1.4918

1.4953

1.4992

1.5066

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To receive Ilya's analysis directly via email, please SIGN UP HERE

Contact and follow Ilya on Twitter: @IlyaSpivak

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES