Euroland current account
Dollar Climbs on Likelier U.S. Tax Reform
October 20, 2017
The dollar benefited from several factors on Friday, climbing 0.7% against the yen, kiwi and Swiss franc, 0.6% versus the peso, 0.4% relative to the euro and Australian dollar, 0.2% against the loonie and 0.1% vis-a-vis the yuan. The greenback edged 0.1% lower against sterling. The Republican-controlled senate approved a filibuster-proof budget that enhances prospects […] More
Japanese Nikkei Plays Catch-Up after Holiday
September 19, 2017
As Japanese markets reopened following a 3-day holiday weekend, the Nikkei-225 leaped 390 points or 2.0%, moving back up the 20K level. But other stock markets did not follow suit. Equities elsewhere in the Pacific Rim closed down 0.5% in Singapore and Taiwan, 0.3% in Hong Kong, 0.2% in China and 0.1% in Australia, New […] More
Markets Remain Rattled by Concerns over the Political Direction of the United States
August 18, 2017
The dollar lost 0.5% overnight against the yen, loonie, kiwi and Aussie dollar. The greenback also dipped 0.1% versus the euro, Swissy, yuan and sterling. Japan’s Nikkei dropped 1.2% or 232 points overnight. In other selected markets around the Pacific Rim, stocks lost 1.0% in Hong Kong, 0.9% in India, 0.6% in Australia and 0.5% […] More
Sterling and Price of Oil Falter
June 20, 2017
Sterling declined 0.6% following delayed Mansion house speeches by Bank of England Governor Carney and Chancellor of the Exchequer Hammond. Carney reiterated warnings that Brexit will damage the British economy, cited anaemic wage growth and slower personal consumption, and expressed opposition to hiking the central bank’s interest rate. Hammond staked out a soft position on […] More
A Somewhat Calmer Session
May 19, 2017
In Europe, stocks have risen 0.8% in Switzerland and Spain, 0.7% in Italy, 0.6% in Greece, 0.5% in France, 0.4% in the U.K., and 0.3% in Germany. China’s market closed unchanged. Japan’s Nikkei rose 0.2%, and Australia’s bourse slipped 0.2%. The erosion of the dollar’s external value continues. The euro climbed another 0.5%, capping its […] More
Commodities, Bond Yields, Stocks and Sterling Lower
February 17, 2017
The dollar gained 0.5% against sterling, which was depressed by a poor report on British retail sales. The greenback also rose 0.4% versus the kiwi, 0.3% vis-a-vis the Australian dollar, 0.2% relative to the euro, Swiss franc, yuan, and peso. But it lost 0.4% against the Japanese yen. Prices for copper and other industrial metals […] More
Japanese Satisfaction Evident with a Weakening Yen
December 20, 2016
The yen fell 0.8% against the dollar after the Bank of Japan left its accommodative monetary stance unchanged despite a sharply lower yen. Governor Kuroda dispelled any thought of a possible rate hike, noting that depreciation lifts import prices, overall inflation, growth and expected inflation. The dollar also advanced 0.5% against the pound, 0.3% versus […] More
Constructive Start to a Holiday-Shortened Week
March 21, 2016
The Shanghai Composite Chinese equity index advanced 2.2% in response to a relaxation of government curbs there on margin lending. Japanese markets were closed for the Vernal Equinox holiday. Other stock markets in the Pacific Rim rose 1.3% in India, 0.5% in New Zealand and 0.3% in Hong Kong. In Europe, equities are mixed, with […] More
The Fed Has Spoken, and Now Markets React
September 18, 2015
The ten-year Treasury in futures trading slid another 4 basis points overnight and is 11 bps below its level at the time of the FOMC announcement yesterday. Ten-year British gilts, German bunds and Japanese JGB yields fell overnight by 11, 8, and 2 basis points. The dollar is especially weak against commodity-sensitive currencies, falling 1.4% […] More
A Difficult Day for Stocks in China and Hong Kong
January 19, 2015
Global financial markets last week were convulsed by a profound and unexpected change in Swiss currency policy. With the United States closed for Martin Luther King Jr’s birthday, another policy-induced bout of turmoil hit the stock markets of China and Hong Kong, which respectively tumbled 7.7% and 1.5%. The former drop was the greatest since […] More
