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. See our updated Privacy Policy here.

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
Subscribe
Please try again
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
More View more
Real Time News
  • $USDJPY has spanned its full, tight range. The has slightly broadened its smallest 30-day trading range (as a ratio of spot) on record. Serious breakout candidate should a firm risk or Fed rate speculation wind come through https://t.co/XyajC1dAee
  • Seems this once-Hawkish view from Cleveland Fed President Loretta Mester is becoming the consensus for the FOMC https://t.co/uHAmcRFNlG
  • - Supports November taper - Still some distance from maximum employment goal needed for raising rates
  • Fed's Mester - Economy has met substantial further progress bar for taper - On inflation bar for raising rates has largely been met - Expect conditions for first rate hike to be met by end of next year
  • Heads Up:🇬🇧 BoE Tenreyro Speech due at 13:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-09-24
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9FlspUVZz https://t.co/HFl8E8exht
  • Credit Suisse dumped Evergrande exposure on risk fears - FT
  • RT @onlyyoontv: #China central bank declares #virtualcurrency-related business activities as illegal. No legal tender/crypto exchange; exch…
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM73cHA https://t.co/2wzX4dacYJ
  • When it comes to buying and selling forex, traders have unique styles and approaches. Learn about buying and selling forex here: https://t.co/D8DXSzVO22 https://t.co/HiE4d0KG1Q
Japanese Yen May Return to the Offensive on Skittish FOMC

Japanese Yen May Return to the Offensive on Skittish FOMC

Ilya Spivak, Head Strategist, APAC

Talking Points:

  • Yen may recover from overnight losses on cautious FOMC tone
  • British Pound may look past PMI data as “Super Thursday” nears
  • NZ Dollar under pressure after disappointing employment report

The New Zealand Dollar underperformed in overnight trade, sinking after a disappointing jobs report. The currency fell alongside local front-end bond yields, hinting that the data undermined RBNZ rate hike expectations. The markets’ priced-in outlook still envisions at least one increase in the next 12 months.

The Japanese Yen likewise traded lower as Asian stocks recovered after yesterday’s selloff, undermining support for the standby anti-risk unit. The US Dollar corrected gently higher as prices digested a drop to the lowest level in nearly two months in the prior session.

Looking ahead, the UK manufacturing PMI survey headlines an otherwise tame European data docket. A slight slowdown in the pace of factory-sector activity growth is expected. Whatever the outcome, it seems unlikely to offer a strong lead to the British Pound as the BOE “Super Thursday” looms ahead.

The looming FOMC rate decision may also undermine follow-through in European hours, with traders leery of committing to a firm directional bias until the announcement has crossed the wires. A broadly stable macro landscape argues for a status-quo statement echoing the cautiously hawkish stance seen in December.

If this bears out, it may be just enough to keep the US Dollar afloat amid the unwinding of the so-called “Trump trade”. The rate hike path is – by Fed officials’ own admission – intimately dependent on the impact of a still-vague fiscal policy pivot and any pronouncements now may prove stale rather quickly.

On the other hand, a more cautious tone inspired by the markets’ shakier performance since the beginning of the year may feed into investors’ worries. That might prove detrimental for the greenback and risk-geared assets alike, with the Yen emerging as the most obvious beneficiary in the G10 FX space.

Join DailyFX analysts to discuss the markets LIVE sign up for a webinar!

Asia Session

Japanese Yen May Return to the Offensive on Skittish FOMC

European Session

Japanese Yen May Return to the Offensive on Skittish FOMC

** All times listed in GMT. See the full DailyFX economic calendar here.

--- 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