Fed meeting

- A + A SINGAPORE (Aug 10): The dollar traded firmly on Wednesday (Aug 10) in anticipation of US inflation data, which even if it comes in softer-than-expected is still likely to be so red-hot that steep US interest rate rises will be required to rein it in. The figures are due at 1230 GMT. Economists expect year-on-year headline inflation running at a scorching 8.7%, a small retreat from June's whopping 9.1% figure. Core inflation is expected at 0.5% month-on-month. Currency market moves have been slight in the lead-up and for previous releases, reactions have been more muted than in the volatile bond market. The greenback was broadly steady overnight, though it has paused a bit of a retreat that began in the middle of July. It bought ¥135.14 and sat at US$1.0208 per euro. The Australian and New Zealand dollars eased slightly, with the Aussie last at US$0.6958, just above its 50-day moving average. The kiwi bought US$0.6284. Traders expect reaction to turn on … [Read more...] about Dollar trades solidly in calm before CPI storm

- A + A BENGALURU (Aug 10): Gold prices hovered on Wednesday (Aug 10) near their highest levels in more than a month, supported by a weaker dollar with investors awaiting US inflation data, which is expected to influence the pace of US Federal Reserve (Fed) rate hikes. Spot gold held its ground at US$1,793.39 (RM7,993.14) per ounce as of 0318 GMT, after hitting its highest since July 5 at US$1,800.29 on Tuesday. US gold futures were down 0.1% at US$1,810. The dollar index weakened 0.1% against its rivals, making gold less expensive for other currency holders. "Clearly, the focus is on US inflation data. Also, what's really important is that where prices are currently trading, with US$1,800 being the very important level here," said Ilya Spivak, a currency strategist at DailyFX. "If inflation numbers come in stronger than expected, following last week's solid jobs report, we could see some of the rate cut expectations for next year leave the forecasts, which would … [Read more...] about Gold hovers near one-month peak ahead of US inflation data

Share to Twitter Share to Linkedin Britain’s Prime Minister Boris Johnson on July 29, 2019. (Jeff J Mitchell / Pool via AP) ASSOCIATED PRESS Sterling slumped to a 28-month low against the U.S. dollar as the government of Boris Johnson increased the rhetoric on Brexit suggesting a “no-deal" Brexit is increasingly likely. At 7:31 p.m. BST (2:31 p.m. EST) the level of Sterling Dollar (GBPUSD) had fallen to 1.2226, a decline of 1.25% on the day. Given GBPUSD closed on June 22, 2016 (the day before the EU referendum) at 1.4708 when the U.K. voted to leave the EU, Sterling has declined by 16.88% against the U.S. dollar since then. To emphasize the point, since Johnson became prime minister on July 24, Sterling is the worst-performing currency in the world. Against a basket of global currencies, the Sterling Index has fallen by 2.13%. Be in no doubt, Sterling is highly likely to book further declines as the sentiment in the market would appear to be … [Read more...] about Sterling Slumps As The Boris Brexit Plan Shocks The Market