Opinion – Wednesday 20 September 2017

US President Trump’s 40 minute address to the UN, in which he described N. Korea leader Kim Jong UN as “Rocket man on a suicide mission for himself and his regime” was the highlight of one of the quietest trading sessions so far this year. FX market response to...

Opinion – Tuesday 19 September 2017

Both Sterling and the Canadian Dollar closed lower on the  latest Bank of Canada and Bank of England utterances, helping the US Dollar move ahead again aided too by modestly higher US Treasury yields (10s +2bps to 2.23%). These moves lower saw the Australian Dollar...

Opinion – Monday 18 September 2017

Another day on and Sterling has again been the star performer in the currency markets. Following on from Bank of England Governor Carney’s warning that the BoE might have to adjust policy in coming months, MPC member Gertjan Vlieghe – regarded as dovish untill...

Opinion – Friday 15 September 2017

While the market’s focus was expected to be primarily on the US CPI print for August, there was much more market action across the Atlantic with Sterling soaring on the back of a near term Interest Rate rise warning from the Bank of England. Although the BoE left its...

Opinion – Thursday 14 September 2017

While equity markets had day of consolidation, the USD and US Treasury yields had a decent move higher aided by increasing hopes over US Tax reform. However, nothing concrete has been announced, but there is a growing feeling that something will be done amid Trump’s...

Opinion – Wednesday 13 September 2017

The risk on tone continued yesterday with the S&P500 hitting another record high (+0.3%), Bond Yields rose across the board (US Treasuries +3.7bps), while the US Dollar held onto Monday’s gains. Outperforming was Sterling (+0.9%) on the back of stronger than...

Opinion – Tuesday 12 September 2017

A broad risk on rally that started in the Asia continued after I posted yesterday morning driven by expectations of a lower damage bill from Hurricane Irma and the absence of geo-political headlines with North Korea not launching an ICBM on Saturday as many had feared...

Opinion – Monday 11 September 2017

US Stock Indices closed in negative territory on Friday, but are trading higher this morning after Hurricane Irma largely spared Miami after the hurricane was downgraded to a Category 3 storm. US Treasury Yields rose while the Canadian Dollar was soft  after a mixed...

Opinion – Friday 8 September 2017

Yesterday we had the ECB Meeting which resulted in another move higher in the Euro (+0.9% to 1.2023) and this rally has continued overnight with the Euro now trading at new highs for the year at 1.2080, while German Bund yields closed lower (-4.0bps to 0.31%). Those...

Opinion – Thursday 7 September 2017

The Canadian Dollar is the top performer following the Bank of Canada’s decision to lift Interest Rates by 25bps. Later in the session UST yields and the US Dollar got a lift following news that President Trump had accepted a Democrat’s deal to lift the debt ceiling...

Opinion – Wednesday 6 September 2017

Markets are now on high alert due to the potential destruction of much of this year’s Florida citrus crop as Storm Irma threatens to make landfall in southern Florida this weekend. Orange juice futures closed limit up in Chicago and one investment analyst is...

Opinion – Tuesday 5 September 2017

There are plenty of news stories about the muted reaction from markets to the latest escalation on the Korean peninsula. The AUD dipped ever so briefly at the open yesterday but even that modest move was short lived and rather slight in magnitude. How indeed to price...

Opinion- Monday 4 September 2017

Well nothing like a Hydrogen bomb to get people’s attention. After a risk positive trading session on Friday, news on Sunday that North Korea successfully tested a more advanced nuclear weapon has this morning triggered a bid for safe haven currencies (JPY and CHF)...

Opinion – Friday 1 September 2017

It was another FX dominated session with the standout performer being the Canadian Dollar, up 1.1% after stellar Q2 GDP figures. For Canada it seems that the markets have now fully priced another rate hike by the Bank of Canada by the end of the year with a 41% chance...