Will the CPI Crash the USD?
The most impactful releases of this week will fill the market with volatility and sharp movements. Be ready to take action!
New Zealand dollar rallies on less-dovish RBNZ
On Wednesday, the currency pair NZD/USD managed to go up in Asia following a Reserve Bank of New Zealand verdict earlier in the day.
New Zealand’s major financial institution left the interest rates on hold at 1.75%. However, it stayed away from providing any new dovish clues for either future monetary policy updates or headline economic indicators.
Adrian Orr, RBNZ Governor also underpinned the major bank’s outlook and told that the chances of a rate cut hadn’t soared, while risks are quite balanced.
The currency pair NZD/USD was last seen at 0.6845, heading north by 1.7% due to the fact that financial markets were set for a much more dovish RBNZ.
In addition to this, the USD index inched down by 0.1% being worth 96.453. More upbeat news on the trade front coming from the American side improved risk sentiment and diminished demand for safe-haven assets, in particular, the evergreen buck.
On Tuesday, US leader told that he’s geared up towards extending the March 1 deadline if China and America manage to get closer to a trade agreement soon. Earlier US Treasury Secretary Steven Mnuchin told reporters that he really hopes for fruitful trade talks in China.
Their remarks helped to recover risk appetite in broader markets. As a result, Asian stock kept soaring for a second day.
The dive in the evergreen buck also came as Fed Chair Jerome Powell played down the likelihood of a recession in his country, repeating that the American economy is on firm footing.
The Chinese Yuan also rallied versus its US rival reacting to the news. As a matter of fact, the currency pair USD/CNY tumbled by 0.3% being worth 6.7536.
The currency pair USD/JPY headed north by 0.1% concluding the trading session at 110.57.
The currency pair AUD/USD soared by 0.5% hitting 0.7130.
Similar
The Fed won't miss these releases!
Here you'll find what awaits the market this week, from the CPI release to a possible gold plunge.
USD and GBP Traders Await Big Moves
The first week of November promises to be eventful, as we have the Fed meeting, the BOE update, and the NFP release. Read more details here.
Latest news
Inflation Is in Focus Again
Oil prices are rising and Russia banned the export of its petrol. What's happening in the markets?
Fed’s Rate Pause and UK Inflation Slows
Today's main event for the markets is the FOMC Interest Rate Decision, where the US regulator is widely expected to keep the interest rate at the same level of 5.5%.
GBPUSD May Strengthen Resulting the Fed and The BOE Meetings
In today's market insights, we delve into Citibank's oil price predictions, the evolving competition between Huawei and Apple, the Saudi Arabia-Tesla partnership, and the upcoming rate decisions from the world's major central banks.
