Archived IMT (2010.03.16)
FOMC kept all rates unchanged, while Kansas Fed's Hoenig remained the sole dissenter against the view of exceptionally low federal funds rate for an extended period? The knee-jerk reaction was for the USD to drop (after low rates mantra was kept), but equities are unable to return to the session highs as is the USD is stabilizing. Oil settles at $81.70, while gold hovers around at $1123. S&P500/VIX ratio at 65.5, which is consistent with 2 or 3 daily rebounds towards 65-66 before a subsequent retreat as was the case in mid Jan. CAD was the biggest gainer vs. USD, USDCAD support seen standing at 1.0120, while CADJPY may exploit further yen weakness but resistance standing at 89.50. Were NOT abandoning our expectations for a Chinese rate hike to occur this month. EURUSD still fails to break above $1.38 and USDX remains well above the 79.20 channel support. Wednesdays Bank of Japan decision could drag JPY further, supporting our calls for 91.80 in USDJPY.
World Trade Overshadowed by Indices
by Ashraf Laidi | May 21, 2019 11:14
Where to now for GBP?
by Ashraf Laidi | May 20, 2019 12:19
Lame Duck May?
by Adam Button | May 17, 2019 11:56
بين الذهب والداو جونز
by Ashraf Laidi | May 17, 2019 11:28
Risk on as No War on Two Fronts
by Adam Button | May 16, 2019 12:55