feedback
The FxPro Analyst Team

FxPro Forex Analysis: USD weakens through the day yesterday

The USD weakened further overnight after the move began in the US trading session yesterday. USDJPY moved down under the 110.000 level after making a high of 111.389. The Macro background is mixed with tensioning increasing around Iran but positive tones coming from US/China negotiations and US/North Korean talks going ahead as planned. The Italian Election has delivered a Coalition Government that “will put Italian national interests first”. This is creating a tension with the EU as the new ...

The FxPro Analyst Team

FxPro Forex Analysis: US could tolerate NAFTA deadline in 2019 for the right deal.

US Treasuary Secretary Steve Mnuchin gave an interview on NAFTA over the weekend where he said that President Trump is “more determined to have a good deal than he's worried about any deadline”. He spoke about the US acceptance of the deadline slipping into 2019 once the right deal for the US is achieved. USDCAD is trading around 1.28735 with USDMXN trading around 19.90000. There is an element of “Risk on” this morning as equity markets moved up and USDJPY pushed to new highs. Gold has slipped ...

The FxPro Analyst Team

FxPro Forex Analysis: NAFTA Deadline for US Congress Passes Without a Deal

Overnight US Trade Representative Lighthizer issued a statement saying that the U.S., Mexico and Canada are “nowhere close to a deal”. This was counter to the statement by Canadian PM Trudeau yesterday who said “We’re very close” when asked about progress. The US had set a deadline for NAFTA to be agreed on by yesterday, in order to enable Congress to vote on the deal. USDCAD moved higher from 1.27520 up to 1.28213 and extended to 1.28459 early this morning. It has since dropped back a little ...

The FxPro Analyst Team

FxPro Forex Analysis: Reports UK is Prepared to Stay Within EU Customs Union Send GBP Higher

British Media has reported that the UK is to inform the EU that they are willing to stay in the EU Customs Union beyond 2021. The Government agreed on a new “backstop” earlier this week to avoid a hard border on the island of Ireland. This came after rejecting earlier EU proposals ahead of the looming June deadline. This was despite objections from Foreign Secretary Johnson and Environment Secretary Gove. GBP has rallied well and is the strongest currency as we approach the European open, up ...

The FxPro Analyst Team

FxPro Forex Analysis: USD Strength Leads Currencies to Break Key Levels

Japanese GDP fell to -0.2% from 0.0% expected for the quarterly Q1 figure and -0.6% from 0.0% expected for the yearly figure. This drop was forecasted, with an expectation for a recovery to higher numbers going forward into Q2. USDJPY didn’t react much and is still trading in the same range around 110.275, after breaking above 110.000 yesterday. FX, in general, was stable overnight after some key levels were broken yesterday, with EURUSD falling back under 1.19000 and GBPUSD falling under ...

The FxPro Analyst Team

FxPro Forex Analysis: Chinese Retail Sales Data Registers Lowest Reading in Over a Decade

China was one of the top stories overnight, as Moody’s released their analysis on the China/US trade war. They believe that China is unable to meet the US request to reduce its trade surplus “by $200B by 2020 without causing significant disruptions to its economy”. They also believe that this measure would be incompatible with the Chinese government’s policy objectives. Chinese Retail sales were released earlier at 9.4%, missing the expected 10.0% and the previous 10.1% reading. This is the ...

The FxPro Analyst Team

FxPro Forex Analysis: Iran Deal Back in the Headlines as Potential Fallout Comes to Light

Following on from the US withdrawal from the Iran Deal, UK PM May reaffirmed her commitment to ensuring the deal is upheld. She spoke via phone with the Iranian President yesterday, in advance of a meeting of the UK, France, Germany and Iran in Brussels tomorrow. Over the weekend, US National Security Advisor John Bolton said that US sanctions on European companies that maintain business dealings with Iran were possible. It remains to be seen if this threat will be upheld, which would be a ...

The FxPro Analyst Team

FxPro Forex Analysis: Markets Steady Ahead of European Open

After further increases in stock markets yesterday, the market is pausing and consolidating ahead of European trading. Asian equity markets are in the green, trading up around 1% but Chinese markets are lagging due to trade tensions with the US. Dovish comments from BOE Governor Carney and soft US CPI data yesterday led to a risk-on mood in markets. Lower inflation is a key driver at the moment, with markets fearing any move higher in rates. USDJPY has slipped lower from its second test of the ...

The FxPro Analyst Team

FxPro Forex Analysis: RBNZ Leaves Rates on Hold and Lowers Inflation Forecasts

The Reserve Bank of New Zealand left rates on hold at 1.75% earlier with a shift to a more dovish position, adding that the direction of the next rate move is very finely balanced. The Bank lowered its inflation forecast and lengthened its inflation target timeframe. It expects CPI at 1.6% by June 2019, revised lower from the previous 1.8%. In the press conference, Governor Orr said that inflation had surprised to the downside for some time and that this was a concern, which was why the bank ...