Energies
Monthly Archives: September 2022
Bank of England; Between Inflation and Exchange ates
Written on September 29, 2022 at 8:08 am, by Designer
The Bank of England, trying to stabilize the pound’s rapid descent, said it would buy long-dated government bonds. Meanwhile, the yield on the U.S. 10-year Treasury bill backed off of 12-year highs and Germany’s benchmark 10-year government bond yield fell from an 11-year high. U.S. Dollar Index (USDX) An easing dollar and Treasury yields cameContinue Reading
Sterling is Getting Closer to the Parity
Written on September 28, 2022 at 9:03 am, by Designer
Bank of England Chief Economist Huw Pill said overnight that the central bank is likely to deliver a “significant policy response” in response to finance minister Kwasi Kwarteng’s huge tax cut plans. Meanwhile, the sterling is getting closer to the parity levels with only 700 pips distance. U.S. Dollar Index (USDX) Markets forced the dollarContinue Reading
Cable Finds Support And The Greenback Is Still Fighting
Written on September 27, 2022 at 9:45 am, by Designer
The dollar paused in what has been a relentless climb higher as the euro and even the besieged Japanese yen and British pound managed to recover a little ground, but medium-term fundamentals were still in the greenback’s favor. U.S. Dollar Index (USDX) The dollar index was at 112.39, down 0.7% on the day, with theContinue Reading
Monday Market Update (26/09/2022)
Written on September 26, 2022 at 10:21 am, by Designer
We ended a week crowded with monetary decisions; the Fed rate hike of 75 basis points was followed by the Bank of England hike of 50 basis points. However, the dollar index reached above 114.40 this morning pushing dollars peers to new lows. The Sterling pound traded at all-time low against the greenback at 1.0290Continue Reading
Sterling Pound at an all-time low; Greenback is sky high
Written on September 26, 2022 at 9:27 am, by Designer
Global risk assets extended their selloff on Monday as fears of faster inflation and global recession continued to rise. U.K. markets were in focus as the pound crashed to an all-time low and bond yields surged as the government vowed to press on with tax cuts. The 10-year yield topped 4% for the first timeContinue Reading
BOJ intervenes for the first time since 1998
Written on September 23, 2022 at 9:31 am, by Designer
As the Bank of Japan steps into currency markets for the first time in decades to defend a battered yen, it is running into numerous obstacles, chiefly its stubborn commitment to ultra-easy monetary settings. Thursday’s sudden burst of yen-buying intervention by Japanese authorities — the first instance since 1998 – caused a large 6 yenContinue Reading
Fed chairman: Recession may be a price to pay to crush inflation
Written on September 22, 2022 at 8:22 am, by Designer
Fed Chairman Jerome Powell warned that the bank will keep hiking rates at a sharp clip, even risking pressure on economic growth and the labor market, as it struggles to rein in runaway inflation. The hawkish comments cemented expectations that U.S. interest rates will end the year well above 4% – their highest level inContinue Reading
FOMC meeting day; traders try to avoid the risk
Written on September 20, 2022 at 9:41 am, by Designer
U.S. Dollar Index (USDX) The U.S. dollar edged lower in early sessions but remained near a 20-year high as the market geared up for another aggressive rate increase by the Federal Reserve. The U.S. Federal Reserve starts its latest two-day policy-setting meeting later today and is set to continue its policy of super-sized interest rateContinue Reading
