|Day's range||0.978 - 0.978|
|52-week range||0.9542 - 1.0229|
Investing.com -- Risk sentiment returned to the foreign exchange markets early Friday in Europe, with the Swiss franc and yen retreating against the dollar, and the dollar retreating against the pound as a week of turbulent newsflow drew to a comparatively quiet close.
Based on the early price action, the direction of the index the rest of the session is likely to be determined by trader reaction to the short-term 50% level at 97.840.
The People’s Bank of China has once again set a higher yuan rate than expected, which helps to reduce the volatility of stock markets and supports them in offsetting the decline of the past week.
Investing.com - In the coming week investors will continue to monitor trade developments and moves in the Chinese yuan amid ongoing U.S.-China trade war concerns. Economic data from around the world will also be in focus as investors try to gain insights into the health of the global economy and whether central banks will stick to an accommodative monetary policy path.
The Chinese Yuan pair continued to stay sustained within a multi-month uptrend channel. Canadian currency slipped following disappointing Jobs data thereby allowing the Loonie pair to climb fresh heights.
Based on the early price action and the current price at 97.475, the direction of the September U.S. Dollar index the rest of the session is likely to be determined by trader reaction to the intermediate 50% level at 97.510 and the intermediate Fibonacci level at 97.230. Inside this zone are three Gann angles at 97.260, 97.365 and 97.450. Holding inside this zone is likely to lead to a choppy two-sided trade.
Investing.com - The U.S. dollar fell sharply against higher-yielding currencies Thursday but rose against haven currencies as upbeat Chinese trade data and better-than-expected jobless claims went some way to restoring global risk appetite.
Investing.com - Bitcoin traded slightly lower on Wednesday in uncharacteristically subdued trade, while other traditional assets underwent big moves.
Investing.com – The U.S. dollar steadied after a drubbing the previous day, clawing back losses against safe-haven currencies as China took steps to limit weakness in the yuan and reassured investors that it wouldn’t weaponize its currency in its trade spat with the U.S.
Investing.com - China’s yuan steadied on Tuesday after overnight declines, but market sentiment remained fragile a day after a steep selloff in global markets spurred by fears over the escalating U.S. - China trade war.
Along with the Chinese Yuan currency that got hit massive sell-off over uprising trade tensions, the South African Rand (ZAR) also slumped. The Swiss Franc pair had formed a Double Top trading pattern, hinting for more upcoming bearish sessions.
Investing.com - Demand for safe haven assets looks likely to be underpinned early this week amid heightened trade tensions after U.S. President Donald Trump raised the stakes in the Sino- U.S. trade war and Beijing pledged to retaliate.
Fiber continued to remain underway recovery today after suffering a massive plunge on July 31. After ten negative trading sessions in a row, today, the Aussie pair attempted to display some positive drifts.
Investing.com -- The dollar fell against safe havens such as the yen and Swiss franc in early trading in Europe Friday, but was higher against most other currencies after President Donald Trump announced a sharp escalation of the U.S.’s trade war with China.
Oh Boy, POTUS is definitely not happy. He was putting pressure on Jerome Powell and FED to lower the rates to weaken the USD and boost the stocks.
Today is the day! We will find out if the Fed will cut interest rates in US. Most of the economists and experts agree on this but we all know, that we’ve been surprised before we can be surprise again today.
The Swiss National Bank reported a first half profit of 38.5 billion Swiss francs (£31.97 billion), helped by the expansive mood of other central banks that have boosted global equity markets and pushed up the price of gold. The profit, up from 5.12 billion francs a year earlier, came as the SNB made a 33.8 billion francs from valuation gains, dividends and interest payments from the shares and bonds bought to weaken the Swiss franc. It also made a valuation gain of 3.8 billion francs on its gold holdings, the SNB said on Wednesday, as the global price of the precious metal got tailwinds from low interest rates.
After opening up near 98 level on Tuesday, the US Dollar Index attempted to make a positive move in the early hours. The Switzerland July KOF Leading Indicator came out 97.1 points, 4.41% higher than the street estimates.
(Bloomberg) -- Amundi Asset Management is calling the end of the Swiss franc rally, backing the nation’s policy makers in their battle to contain the surging currency.One of Europe’s biggest asset managers says the Swiss franc has appreciated to a psychologically important threshold of 1.10 per euro likely to prompt the Swiss National Bank to temper its rise.“The franc is already a very expensive currency given how low its interest rate is, and I don’t think the SNB is happy with the franc at these levels," Andreas Koenig, head of global foreign exchange at Amundi, said in an interview. “The SNB still has power to do more on the currency if it wants to.”Amundi has just closed and reversed its tactical long position on the franc. Traders who remember the SNB’s painful move preempting the onset of European Central Bank bond purchases in January 2015 are also keeping a wary eye on interventionist Swiss bankers before the ECB fleshes out possible plans to restart asset purchases. Fresh QE would have the effect of stoking the franc further.Safe-haven demand has pushed the franc to its strongest level versus the euro in two years, raising the specter of disinflation. SNB President Thomas Jordan has said there’s additional room to cut if necessary.Koenig reckons that the SNB could start being more active on jawboning to slow the franc appreciation, or cut in tandem with the ECB if that doesn’t work. A move toward parity could even prompt surprise action by Jordan before the next scheduled meeting in September."We don’t want to be against the resolve of the central bank," he said.Of course, political tensions are weighing on monetary issues, too. The nation’s continued bilateral trade surplus might provide U.S. President Donald Trump with justification to respond to any SNB interventions with counter-interventions, according to Commerzbank AG strategists, bringing “the world another step closer to a full-blown currency war.”And the Swiss National Bank’s official interest rate, at minus 0.75%, is already the lowest among developed nations.“The SNB is stuck between a rock and a hard place,” according to Esther Reichelt at Commerzbank.Swiss franc bulls, including JPMorgan Chase & Co., argue that while the SNB may not have exhausted its capacity to intervene nor to cut interest rates further, the central bank can’t match the ECB or Federal Reserve with easier policy. JPMorgan recently revised up its franc projection, forecasting that the currency will appreciate to 1.08 per euro by the end of the year and 1.07 by the middle of 2020, from 1.09 and 1.08 previously.Three-month risk reversals in EUR/CHF are 0.9625 in favor of the Swiss franc calls. That’s well below 1.5100 extremes seen in September last year, suggesting gains are capped.What may ultimately slow the pace of Swiss franc appreciation is the simple fact of its valuation. Thomas Clarke is one investor who prefers the yen to hedge a global growth slowdown."The franc’s safe haven properties are a good thing, but there’s not enough to make us want to buy it,” said the London-based money manager for William Blair International. “It’s expensive.”(Adds chart on CHF versus euro.)\--With assistance from Richard Jones.To contact the reporter on this story: Anchalee Worrachate in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Samuel Potter at email@example.com, Cecile Gutscher, Sid VermaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Four-and-a-half years after the Swiss National Bank dramatically lifted the franc's cap against the euro, markets are betting the central bank may be forced to resume its accumulation of foreign cash yet again to rein in its supercharged currency. The SNB is in a bind as the European Central Bank looks set to ease monetary policy yet again - forcing the Swiss to either double down on its already super-easy policy or intervene again ad hoc to limit the franc against the euro. At last count, total SNB foreign currency reserves were already three quarters of a trillion dollars.
Switzerland's franc has surged against the euro to its strongest in two years as markets bet on monetary easing by the European Central Bank, putting pressure on Swiss officials desperate to protect their export-heavy economy to act. Like other European policymakers from the Czech Republic to Sweden, the Swiss National Bank has stuck to monetary policy even looser than the ECB's to keep its currency from gaining against the euro and to boost inflation. Switzerland now has the lowest negative interest rate in the developed world at minus 0.75%.