17/ 10/ 2018

Markets Embraces for EU Brexit Summit & US FOMC Minutes

USD consolidates against most of its major peers yesterday as stock gains  defensive as rising geo-political tension among Saudi & Western Power. Euro did not move much against the Dollar due to negative reports from ZEW Surveys  which lead the market to less fluctuations and more in cautious state. Sterling gains on labor data, but investors said doubts about a European Union summit yielding much progress on Brexit would limit the currency’s advance.

Markets are constantly under pressure of uncertainty due to the political tensions between Trump, China & his Foreign Policies. Through these last few days, data has been quite encouraging in the US, while the one coming from the European Union suggest that the economic impulse seen through 2017 has reached a peak, and begun decelerating.

Looking ahead, while we can expect some focus on the FOMC minutes, it’s all about the GBP and the EUR today, the EU Summit putting Brexit and Italy in focus.

16/ 10/ 2018

Dollar Defensive on Geo-Political tensions & Euro Gains

Dollar has traded as the weakest one on Monday after it’s rally attempt failed. Additional pressure was seen from US session after retail sales miss. Tension between the US and Saudi Arabia and the risks of sanctions are seen as a factor weighing down the greenback. Meanwhile, Sterling gapped lower at weekly open after weekend’s Brexit negotiations failure. But the Pound gradually regained footing even though there is basically no positive Brexit news. For now, there are still hope that the UK and the EU might agree to something after this week’s EU summit.

Looking ahead, UK employment data will be a major focus in European session. Eurozone will release trade balance and German ZEW economic sentiment. 

14/ 10/ 2018

Week Ahead | Brexit, U.S and China in the Spotlight

Euro slipped lower against the U.S. Dollar on Friday as global equity prices rebounded from this week’s rout and robust Chinese export figures soothed worries about the world’s second biggest economy and its trade war with Washington. GBP on the other hand was slipping the second half of Friday negatively against the Dollar but stayed on the upside overall for last week. This was majorly a profit taking moment among all investors & traders globally after positive response from Brexit Negotiations. Michel Barnier Brexit Negotiator stated that Britain Exit deal could be a “within reach” next week.

Looking ahead, US retail sales, FOMC minutes, and the EU Summit on Brexit stand out in a busy week. 

11/ 10/ 2018

USD loses Streak due to Trumponomics Comments on Fed Decisions!

The sterling continued the upward trend started yesterday & Theresa May will be speaking today in the parliament which is considered could be a Brexit “war Cabinet” to agree a backstop plan that would keep Britain in a customs union with Brussels until a permanent trade deal can be agreed.

The Common currency Euro slowed down on movement due to Brexit Negotiations coming to light. The dollar came under selling pressure amid comments from US Treasury Secretary Steven Mnuchin who said that China shouldn't weaken its currency as long as the differences between the two countries remain unsolved.

Focus of today will be around the ECB Monetary Policy Meeting Accounts for Euro, GBP Bank of England Governor Mark Carney’s Speech will be the highlight, USD Consumer Price Index Ex Food and Energy & USD Consumer Price Index  from US will be released today.