Key Takeaways: 💸 Importers in India are turning to options strategies to hedge against currency risks due to high premiums in outright forwards. 📈 Premiums have surged due to expected rate cuts by the Federal Reserve, making it costly to hedge future foreign currency payments. 🛡️ Using option structures like capped forwards can provide a … Read more
Key Takeaways: 💹 Most Asian currencies strengthened as the dollar fell after the U.S. presidential debate 📉 The Japanese yen reached an 8-month high due to safe haven demand and hawkish BOJ comments 📈 Broader Asian currencies saw some relief as the dollar weakened 🇺🇸 The dollar index dropped after the debate, highlighting market uncertainty … Read more
Key Takeaways: 💵 Citi forecasts a further weakening of the US dollar in the near term 📉 Safe-haven currencies like the Japanese yen may outperform 🌍 Global manufacturing slowdown may impact regions outside the US 💶 Cautious stance on the euro due to unfavorable backdrop 🏦 ECB’s single mandate focus may lag in response to … Read more
Key Takeaways: 💰 UBS advises selling potential short-term gains in USD 📉 GBP seen as potentially strong, buy on dips 🇨🇭 CHF performing well, expected to remain supported 🔄 Deal balance negative for EUR, AUD, and SEK, positive for GBP and JPY 🇦🇺 Australian FDI balance moderating, strong demand for fixed income 📉 Worsening trade … Read more
Key Takeaways: 💵 Dollar advanced with anticipation of key inflation data 📉 Lower rates expected to dent the dollar and spur flows into Asian markets 🇨🇳 Chinese yuan lost ground after mixed trade data 📊 Broader Asian currencies remained in tight range 🇦🇺 Australian dollar fell following weak economic readings 💡 Asian stocks traded within … Read more
Key Takeaways 💹 SNB may engage in prolonged monetary easing due to low inflation and strong Swiss franc 📉 Inflation in Switzerland fell to 1.1% in August, below SNB’s target 💱 Swiss franc’s real effective exchange rate at cyclical peak, impacting international competitiveness 🛒 Contributions to inflation from imported goods negative for over a year, … Read more
Key Takeaways 💰 Dollar gained on Thursday due to rising geopolitical tensions and safe-haven appeal 🇬🇧 Pound slipped after Bank of England cut interest rates from a 16-year high 🌍 Concerns about conflict in Middle East intensified after Hamas leader assassination 📉 Traders fully pricing in three 25-basis-point rate cuts from Fed by year-end 📊 … Read more
Key Takeaways: 💹 SNB may engage in prolonged monetary easing due to Swiss franc’s strength and unexpected inflation slowdown 📉 Swiss inflation fell to 1.1% in August, below SNB’s 1.5% projection 🌍 Concerns arise about harm to exporters and economy from franc’s appreciation 💱 Real effective exchange rate of Swiss franc at cyclical peak affecting … Read more
Key Takeaways: 💰 Major Russian banks urge central bank action to counter yuan liquidity deficit 📉 Rouble tumbles to lowest level against yuan since April 🔄 Central bank’s daily yuan sales set to plunge to $200 million 🚫 Chinese banks in Russia avoid currency trading due to fear of secondary Western sanctions 🤝 Russia and … Read more
Key Takeaways: 💰 US dollar has stabilized after August fall 📉 US currency still down 1.6% over the month 🐻 Bank of America sees three reasons to stay bearish on Dollar Index 📉 DXY index fell an average of 4% in previous bearish episodes 💹 Broad USD trade-weighted indices suggest USD remains overvalued 🌍 USD … Read more