10 Aug 2015
FX market start of week in a snap-shot - BBH
FXStreet (Guatemala) - Analysts at Brown Brothers Harriman noted the key factors in the FX space for the week ahead.
Key Quotes:
"Market participants to upgrade the risk of a September rate hike by the Federal Reserve
- The strength of sterling and the drop in oil prices are helping to dampen UK inflation
- Much attention is paid to the Swedish July CPI figures that will be released Thursday; low Norway inflation data today will likely fan expectations of a Norges Bank deposit rate cut
- China's flurry of monthly economic data has begun with weaker trade data."
"Price action: The dollar is mostly firmer against the majors. The antipodeans are underperforming, while Nokkie is outperforming despite soft CPI data. The euro is trading around $1.0940. Sterling is trading around $1.5465, while dollar/yen is trading just below 125."
"EM currencies are mostly weaker, with RUB, ZAR, and TRY underperforming. KRW and TWD are outperforming."
"MSCI Asia Pacific was up 0.1%, with the Nikkei up 0.4%. The Shanghai Composite rose 4.9%, while the Shenzhen Composite rose 4.5% despite disappointing mainland trade data. "
"Euro Stoxx 600 was down 0.1% near midday, while Greek stocks are rising for the third straight day, up 0.9%."
" The US 10-year yield is up 3 bp at 2.20%, while European bond markets are mostly softer in narrow ranges. Commodity prices are mostly firmer."
Key Quotes:
"Market participants to upgrade the risk of a September rate hike by the Federal Reserve
- The strength of sterling and the drop in oil prices are helping to dampen UK inflation
- Much attention is paid to the Swedish July CPI figures that will be released Thursday; low Norway inflation data today will likely fan expectations of a Norges Bank deposit rate cut
- China's flurry of monthly economic data has begun with weaker trade data."
"Price action: The dollar is mostly firmer against the majors. The antipodeans are underperforming, while Nokkie is outperforming despite soft CPI data. The euro is trading around $1.0940. Sterling is trading around $1.5465, while dollar/yen is trading just below 125."
"EM currencies are mostly weaker, with RUB, ZAR, and TRY underperforming. KRW and TWD are outperforming."
"MSCI Asia Pacific was up 0.1%, with the Nikkei up 0.4%. The Shanghai Composite rose 4.9%, while the Shenzhen Composite rose 4.5% despite disappointing mainland trade data. "
"Euro Stoxx 600 was down 0.1% near midday, while Greek stocks are rising for the third straight day, up 0.9%."
" The US 10-year yield is up 3 bp at 2.20%, while European bond markets are mostly softer in narrow ranges. Commodity prices are mostly firmer."