Forex – U.S. Dollar Rises as Trump Says He is Undecided on Tariff Rollbacks

© Reuters.  © Reuters.

Investing.com – The U.S. dollar was higher on Friday as U.S. President Donald Trump confirmed that he plans to sign a trade deal with China, but had not yet decided if he would roll back tariffs.

China had stated Thursday that the two nations had agreed to phase out tariffs as part of the anticipated phase one trade agreement.

Trump said on Friday that he would not fully roll back tariffs, but that a deal could be signed with Chinese President Xi Jinping in Iowa by the end of the month, adding that China wants to make a deal.

The , which measures the greenback’s strength against a basket of six major currencies, jumped 0.2% to 98.180 as of 10:30 AM ET (14:30 GMT).

The safe haven Japanese yen was higher with down 0.1% to 109.17.

Elsewhere, sterling was flat just a day after the Bank of England left its key interest rate unchanged at 0.75% and cut its growth forecasts. was steady at 1.2809.

The euro continued to trade lower, with slipping 0.3% to 1.1019 after forecasts from the European Commission lowered expectations for any kind of stimulus in the struggling bloc.

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Forex – Dollar Rises Against Safe Haven Yen on Trade Deal Hopes

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Investing.com – The U.S. dollar was higher against the safe haven Japanese yen on Tuesday amid hopes that the U.S. and China are getting closer to a preliminary agreement to resolve their protracted trade war, which has raised fears of a global economic slowdown.

The dollar rose 0.26% against the to 108.82 by 03:19 AM ET (08:19 GMT), building on Monday’s gains of 0.4%. The , meanwhile, strengthened below 7 to the dollar for the first time in three months.

In recent days, Beijing and Washington have given encouraging signs of progress in trade talks.

Reuters reported that China is pushing U.S. President Donald Trump to remove more tariffs imposed in September as part of a “phase one” trade deal expected to be signed later this month at a yet-to-be determined location.

Both countries have slapped tariffs on each other’s goods in a trade war that has dragged on for 16 months.

“There may have been some expectations that the U.S. may postpone the remaining tariffs, which are due to kick in on Dec. 15. But if it goes further by rolling back existing tariffs, that would not only benefit the economy but would also make the truce seem more permanent,” said Yukino Yamada, senior strategist at Daiwa Securities.

The against a basket of six major currencies was steady at 97.32, holding just below the one-week highs of 97.47 reached overnight.

The was a touch higher against the greenback at 1.1133, while the edged up to 1.2895.

The was also higher, rising 0.43% to 0.6912 as investors became more comfortable with taking on risk.

Earlier Tuesday, the Reserve Bank of Australia left its cash rate at a record low of 0.75% and reiterated its concern about consumer spending. It said rates are likely to remain low for an extended period.

Many economists expect the RBA to cut rates at least once early next year to help revive inflation and a slowing economy.

–Reuters contributed to this report

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

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Forex – Pound Falls Despite Renewed Brexit Hopes; Dollar Rises Amid Trade Progress

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Investing.com – The British pound fell against the U.S. dollar on Monday in Asia despite renewed Brexit hopes. The greenback inched up amid positive trade progress with China.

The GBP/USD pair lost 0.3% to 1.2614 1:25 AM ET (05:25 GMT). The pound rose on Friday amid signs of a possible agreement on the Irish border problem.

Reports suggested that the U.K. had conceded that the province of Northern Ireland would remain in the EU customs area immediately after Brexit – a move that would satisfy EU concerns about the integrity of its border.

U.K. Prime Minister Boris Johnson said he thought there was a way forward for a Brexit deal with the European Union, adding that “there is work to be done.”

Meanwhile, the yuan gained today after the U.S. paused its plan to impose more tariffs on Chinese goods this week. The USD/CNY pair lost 0.5% to 7.0538.

On the data front, China’s U.S. dollar-denominated exports were down 3.2% in September, slightly more than expected. Imports also fell more than analysts’ forecast, customs data showed on Monday.

That left China with a trade surplus of $ 39.65 billion in September, compared with a $ 34.84 billion surplus in August.

Analysts previously expected exports to decline by 3%, while imports were expected to drop by 5.2%.

China will release third-quarter GDP, September industrial production and retail sales data on Friday.

The U.S. dollar index inched up 0.1% to 98.123. According to the partial trade deal Washington and Beijing reached late last week, Beijing will make large agricultural purchases worth as much as $ 50 billion and take steps on intellectual property, financial services and the yuan.

The USD/JPY pair inched down 0.1% to 108.31.

The AUD/USD pair and the NZD/USD pair lost 0.1% and 0.3% respectively.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

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Forex – Yen Rises After BOJ Meeting; U.S. Dollar Slips as Fed Cut Rate as Expected

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Investing.com – The Japanese yen rose against the U.S. dollar on Thursday in Asia following the conclusion of the Bank of Japan’s meeting.

The pair fell 0.6% to 107.79 by 11:52 PM ET (03:52 GMT). The Bank of Japan kept its short-term rate target at -0.1%, but noted in a statement that “it is becoming necessary to pay closer attention to the possibility that the momentum towards achieving its price target will be lost.” BOJ governor Haruhiko Kuroda will provide a briefing later in the day.

“Taking this situation into account, the BOJ will re-examine economic and price developments at its next policy meeting, when it updates the outlook for economic activity and prices,” it said.

The slipped 0.1% to 98.058 after the Federal Reserve lowered its interest rates to the 1.75-2% range from the previous 2-2.25%. The move, which was widely expected by analysts, was the second rate cut this year.

The pair was down 0.5% to 0.6790 following mixed jobs reports released in the morning.

The pair lost 0.1% to 0.6312 after data showed the country’s economy grew at the slowest pace in more than five years in the second quarter.

The grew by only 2.1% from a year earlier and was the weakest annual growth since the fourth quarter of 2013, Statistics New Zealand reported on Thursday.

The New Zealand dollar initially rose after the report, but gave back its gains and currently trades in the red.

The pair rose 0.3% to 7.1029.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

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Dollar slips ahead of Fed rate decision, euro rises

© Reuters. FILE PHOTO: U.S. one hundred dollar notes are seen in this picture illustration taken in Seoul © Reuters. FILE PHOTO: U.S. one hundred dollar notes are seen in this picture illustration taken in Seoul

By Kate Duguid and Gertrude Chavez-Dreyfuss

NEW YORK (Reuters) – The U.S. dollar fell on Tuesday in range-bound trading on the eve of an expected interest rate cut by the Federal Reserve, weakened by a fall in oil prices and a stronger euro.

Oil prices dropped about 6% on Tuesday after Saudi Arabia’s energy minister said the kingdom had fully restored its oil production, following an attack over the weekend that shut down 5% of global oil output. That reversed some of the dollar’s gains on Monday when investors rushed into safe-haven assets.

The euro was up 0.59% at $ 1.1065 (), after an influential survey showed a brightening in German investor confidence. The ZEW index improved to -22.5 in September versus forecasts of -37 and the August reading of -44.1.

Thierry Wizman, global interest rates and currencies strategist at Macquarie Group, said he was seeing a bid in the forex market. “It’s maybe why the euro is doing a little better here,” he said. “You also had some good data in Europe as well that has sparked a bit of this euro rally today too.”

While many investors are expecting the Fed to announce a 25 basis point rate cut following the close of its two-day policy meeting on Wednesday, some believe it may be the last rate cut for a while absent more evidence of a U.S. economic slowdown.

“If the Fed does cut 25 basis points, then we think it will be the last time until we really do see signs of recession,” Brown Brothers Harriman strategists said in a note.

Against a basket of its rivals (), the greenback was 0.35% lower to 98.266.

The overnight rate, or the cost for banks and Wall Street dealers to borrow dollars , surged to 10% on Tuesday, the highest level since at least January 2003, according to Refinitiv data.

Analysts attributed quarterly corporate tax payments and settlement of $ 78 billion in Treasury debt supply for the spike on Monday in interest rates in the repurchase agreement market.

“This morning’s funding squeeze has put some upward pressure earlier in the dollar, but that is not likely to be a longer-term driver,” said Erik Nelson, currency strategist, at Wells Fargo (NYSE:) Securities in New York.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

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Forex – Japanese Yen Rises Amid Heightened Geopolitical Tensions in Middle East

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Investing.com – The Japanese yen rose against the U.S. dollar on Monday in Asia amid heightened geopolitical tensions in the Middle East after weekend attacks on Saudi oil plants disrupted global oil supplies.

The USD/JPY pair dropped 0.3% to 107.80 by 12:00 AM ET (04:00 GMT).

Drone strikes attacked an oil processing facility at Abqaiq, the world’s largest, and the nearby Khurais oil field on Saturday and knocked out 5% of global oil supply.

Yemen’s Iran-aligned Houthi group claimed responsibility for the damage, but the U.S. Secretary of State Mike Pompeohas pointed the finger directly at Iran as he said over the weekend thatIran has launched an “unprecedented attack on the world’s energy supply.”

The news intensified tensions in the Middle East, sending the yen higher as it drew safe-haven demand.

Meanwhile, the U.S. dollar traded slightly lower ahead of interest rate cut by the Federal Reserve on Wednesday.

The U.S. dollar index that tracks the greenback against a basket of other currencies slipped 0.1% to 97.732. Data on Friday showed that U.S. retail sales increased more than expected in August. That came after better-than-expected producer price inflation data on Wednesday and consumer price data on Thursday.

The Bank of Japan is also due to meet this week. Some believe the central bank may push interest rates further into negative territory and ramp up stimulating policies.

Sino-U.S. trade developments also remained under the spotlight as junior U.S. and Chinese officials will reportedly meet this week ahead of planned talks between senior trade negotiators in October.

Tensions between the two sides eased somewhat in recent weeks after Beijing exempted some agricultural products from additional tariffs on U.S. goods last week and U.S. President Donald Trump postponed a tariff increase on a range of Chinese goods by two weeks.

The USD/CNY pair slipped 0.1% to 7.0717. The AUD/USD pair edged down 0.1% to 0.6872, while the NZD/USD pair gained 0.2% to 0.6381.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

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Forex – Sterling Rises on Speculation of UK Softening Brexit Stance

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Investing.com – The pound rose on Friday on a newspaper report that the U.K. government is contemplating some type of regulatory divergence between Northern Ireland the U.K. in an attempt to secure a Brexit deal.

According to The Times, Northern Ireland’s DUP would be willing to accept some EU regulations following a U.K. withdrawal from the EU — replacing the Irish backstop proposal — raising some hopes of a new deal. But the DUP denied the report shortly afterwards.

jumped 0.8% to 1.2431 as of 10:35 AM ET (14:35 GMT) as traders continued to move out of short positions on sterling following the report.

The euro inched up, with rising 0.1% to 1.1071.

Elsewhere, the , which measures the greenback’s strength against a basket of six major currencies, fell 0.1% to 98.243 as hopes of a trade truce between the U.S. and China lead to a safe-haven selloff.

China will exempt some agricultural products from more tariffs on U.S. goods, China’s official Xinhua News Agency said on Friday. Both sides have made conciliatory gestures ahead of planned trade talks in the coming weeks.

The Japanese yen, which is seen as a safe haven in times of market turmoil, was flat with at 108.11.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

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Forex – U.S. Dollar Rises; Trump Goes After Fed

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Investing.com – The U.S. dollar was higher on Wednesday as U.S. President Donald Trump once again went after the Federal Reserve for not cutting interest rates as much as he would like.

Trump said in a tweet that the central bank should cut interest rates to zero or less, calling Fed officials “boneheads.”

He said negative interest rates would save the U.S. government money on its debt. Central banks in Europe and Japan introduced negative interest rates in order to try to stimulate the economy, but the lower rates have done little to boost growth or raise inflation in the regions.

The , which measures the greenback’s strength against a basket of six major currencies, gained 0.4% to 98.653 as of 11:01 AM ET (14:01 GMT).

The Japanese yen, which is seen as a safe haven in times of market turmoil, fell, with rising 0.2% to 107.73.

Sterling was flat as tensions between Prime Minister Boris Johnson and the U.K. parliament continued. A Scottish High Court ruled that Johnson’s decision to suspend parliament was unlawful. An appeal is expected in the Supreme Court next week. was flat at 1.2339 while fell 0.4% to 1.10995 due to the stronger dollar.

And the loonie turned lower after Prime Minister Justin Trudeau called for elections on Oct. 21. While not a surprise, it does increase political uncertainty in the country. rose 0.2% to 1.3168.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

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Yen rises as traders temper optimism over U.S.-China trade deal

© Reuters. Light is cast on a Japanese 10,000 yen note as it's reflected in a plastic board in Tokyo, in this picture illustration © Reuters. Light is cast on a Japanese 10,000 yen note as it’s reflected in a plastic board in Tokyo, in this picture illustration

By Hideyuki Sano and Stanley White

TOKYO (Reuters) – The yen rose on Tuesday as some investors tempered their optimism about the chances for a quick resolution to the U.S.-China trade war, which boosted so-called risk-off trades.

Global markets have been whipsawed by dramatic twists in the trade dispute this month. U.S. President Donald Trump on Monday flagged the possibility of a trade deal with China, days after both sides announced new tariffs.

The dollar came under additional pressure versus the yen as a decline in U.S. Treasury yields showed some investors still favored the safety of government debt.

The currency market also took some relief from a stronger-than-expected daily yuan fixing by the People’s Bank of China, which many traders considered an attempt to slow the yuan’s decline versus the dollar.

While Washington and Beijing have shown a willingness to return to the negotiating table to resolve their trade row, there are lingering concerns about a lack of a clear path toward resolving a dispute that has dragged on for more than a year and hurt global growth, corporate profits and investments.

“The dollar rallied overnight due to optimism about a trade deal, but there’s a sense that the market has gotten a little ahead of itself,” said Junichi Ishikawa, senior foreign exchange strategist at IG Securities.

“Some traders can book a little profit here. There are still so many issues that can trigger a clash between the United States and China. Treasuries shows the market is still somewhat skeptical.”

The yen rose around 0.4% in Asian trading to 105.76 per dollar.

The yen, which tends to be bought in times of economic uncertainty, also rose around 0.6% versus the Australian and New Zealand dollars.

The () measuring the greenback against a basket of six major currencies was little changed at 98.011.

Benchmark 10-year U.S. Treasury yields () fell to 1.5249% in Asia. The yield curve was inverted as 2-year yields traded at 1.5326%, which is commonly considered a sign of an impending economic recession.

On Monday the greenback rebounded from near eight- month lows of 104.46 yen after some signs of rapprochement between Washington and Beijing soothed investors’ nerves.

Speaking on the sidelines of the G7 summit of world leaders in France on Monday, U.S. President Donald Trump said Chinese officials had contacted U.S. trade counterparts overnight and offered to return to the negotiating table.

Trump’s comments sparked a wave of so-called risk-on trades, which initially boosted the dollar, weakened safe-haven currencies, and lifted stock markets.

However, some doubts have crept into markets as a Chinese Foreign Ministry spokesman said he had not heard that a phone call between the two sides had taken place. The Commerce Ministry, which typically releases statements on trade calls, did not respond to a request for comment.

Prior to market opening, the People’s Bank of China (PBOC) lowered its official midpoint to 7.0810 per dollar. That was a fresh 11-1/2-year low, but still at a stronger setting than traders had expected.

In onshore trade the dollar rose 0.13% to 7.1615 yuan , strengthening less than 0.76% from Monday, as traders said the Chinese central bank kept the yuan from weakening faster.

Attempts to slow the greenback’s rise against the yuan also weighed the dollar down versus the yen, traders said.

“I was quite surprised by the big gains in the dollar/yen overnight. But it is unclear what the U.S. and China will do next, and I would expect the dollar to consolidate for the time being,” said Kyosuke Suzuki, director of forex at Societe Generale (PA:).

The euro was quoted at $ 1.10985 (), little changed on the day.

Sterling traded at $ 1.2216 , after a 0.5% fall on Monday as investors reassessed whether British Prime Minister Boris Johnson had made any progress in convincing the European Union to renegotiate the Brexit agreement.

Johnson said on Monday he was prepared to take Brexit talks with the European Union down to the very last minute before the Oct. 31 exit deadline, and if necessary to take a decision to leave without a deal on that day.

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Forex – U.S. Dollar Rises on Trade Optimism

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Investing.com – The U.S. dollar was higher on Monday, as trade optimism helped offset weak economic data.

The , which measures the greenback’s strength against a basket of six major currencies, rose 0.33% to 97.96 as of 10:55 AM ET (14:55 GMT).

Speaking at the G7 summit in Biarritz, France, on Monday, U.S. President Donald Trump said that he had received two phone calls from Chinese officials over the weekend urging new trade talks. The Chinese Foreign Ministry said it was not aware of any phone calls between the two nations, but Vice Premier Liu He said he wanted to solve their trade differences as calmly as possible.

Tensions escalated on Friday after both the U.S. and China announced new tariff measures and Trump appeared to threaten to use emergency powers to force U.S. companies to stop making goods in China.

Meanwhile, new orders for U.S. capital goods rose slightly in July as shipments fell by the most in nearly three years as economic growth slowed.

The Japanese yen, which is seen as a safe haven in times of market turmoil, fell with rising 0.6% to 105.96.

Elsewhere, was down 0.2% to 1.1117, as speculation remained that the European Central Bank will have to aggressively ease its monetary policy next month after the German business climate index came in slower than expected.

declined 0.5% to 1.2214.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

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