Global Currencies Update

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Global Currencies Update

Postby NC+ » Tue Dec 06, 2016 12:38 am

Euro Climbs From 20-Month Low as Italy ‘No’ Vote Reaction Fades

“The moves were contained because everybody expected a ‘no’ today,” said Jens Peter Sorensen, chief analyst at Danske Bank A/S in Copenhagen. “I am not optimistic on this one. There is no need to be brave here and start buying BTPs. I don’t see this as a very positive sign for the euro, because now one of the biggest countries in the euro zone is in a political mess.”
https://www.bloomberg.com/news/articles ... referendum
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Re: Global Currencies Update

Postby NC+ » Tue Dec 06, 2016 12:40 am

Venezuela to Issue Bigger Bills This Month as Currency Plunges

New denominations including bills of 500, 1,000, 2,000, 5,000, 10,000 and 20,000 bolivars will start appearing at banks from Dec. 15, according to a Central Bank statement, adding that coins of 10, 50, and 100 bolivars would also be released. Bloomberg News first reported the plans for larger bills on November 30.
https://www.bloomberg.com/news/articles ... cy-plunges
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Re: Global Currencies Update

Postby Contra » Tue Dec 06, 2016 3:33 am

Overlooked and underestimated currencies are going up. Sri-Lankan rupee may be next.

https://www.thesun.co.uk/living/2313447 ... n-for-you/

POUND TURNAROUND Pound hits 12 week high against the euro and dollar…but what does this mean for you?
Company, stock market, politics and the economy are four different things.

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Re: Global Currencies Update

Postby NC+ » Fri Dec 09, 2016 7:43 am

Mexico’s Peso Problems Are a Warning Sign for Global Investors

-Foreign investors hold more than $140 billion of Mexican debt
-Trump, inflation, credit rating and economy all pose risks

With a little more than six weeks before Donald Trump takes over with an agenda that could batter Latin America’s second-largest economy, Mexico is already showing signs of strain. Inflation is bouncing back, and traders bet it will only get worse; the peso has plummeted to record lows, and top analysts predict more pain; the government has lowered its growth forecast for four straight years, and Mexico is on the verge of a credit-rating cut just as Agustin Carstens gears up to leave the central bank after seven years at the helm.
Read more..
https://www.bloomberg.com/news/articles ... ium=social
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Re: Global Currencies Update

Postby NC+ » Fri Dec 09, 2016 7:56 am

ECB Expands Stimulus to $2.4 Trillion as Monthly Purchases Slow

- Benchmark rate stays at zero, deposit rate at minus 0.4%

The European Central Bank expanded its quantitative-easing program to exceed 2.2 trillion euros ($2.4 trillion) by the end of 2017, buying at a reduced monthly pace with the caveat that it can step up or prolong purchases if needed.
The Governing Council will extend the program from April at a slower speed of 60 billion euros ($65 billion) a month from 80 billion euros currently, according to a statement in Frankfurt on Thursday. ECB President Mario Draghi will hold a press conference at 2:30 p.m. in Frankfurt, where he will also outline changes to the parameters of the quantitative-easing program.
Read more..
https://www.bloomberg.com/news/articles ... -next-year
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Re: Global Currencies Update

Postby NC+ » Fri Dec 09, 2016 8:11 am

Pound Surges Ahead of Analyst Forecasts That Predict 2017 Slide

- Median estimate puts sterling at $1.21 by second quarter 2017
- ‘Broad dollar appreciation’ seen weakening pound: Millennium

The pound’s recovery may be getting ahead of itself.
That’s according to the median estimate of economists in a Bloomberg survey, who see sterling dropping about 4 percent to $1.21 by the second quarter of 2017. The pound, which has been buffeted by Britain’s vote to leave the European Union, is currently exceeding forecasters’ estimates for that period by close to the most in three months.
Sterling climbed 2.2 percent against the dollar in November, posting its first monthly gain since April. Still, it has slumped 15 percent since the U.K. referendum in June, making the pound the Group-of-10’s worst-performing currency this year

https://www.bloomberg.com/news/articles ... ium=social
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Re: Global Currencies Update

Postby NC+ » Sat Dec 10, 2016 8:42 am

Dollar Breaks 115 Yen on Way to Best Run of Gains in Two Years

The dollar climbed to the highest level in 10 months against the yen as its best run since 2014 showed little signs of abating.
https://www.bloomberg.com/news/articles ... -two-years
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Re: Global Currencies Update

Postby NC+ » Thu Dec 15, 2016 7:30 am

Here Are Some of the Markets Making Big Moves After the Fed Announcement

The Federal Reserve raised interest rates for the first time this year on the back of a stronger job market and increasing inflation expectations. While the move was expected, there was a surprise: new projections show central bankers now see three additional hikes in 2017, up from two in the prior forecast.

Here are some of the areas seeing the biggest moves on the back of the announcement.

https://www.bloomberg.com/news/articles ... nouncement
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Re: Global Currencies Update

Postby NC+ » Thu Dec 15, 2016 5:37 pm

Dollar Climbs to Strongest Since 2003 on Fed Path; Bonds Drop

- Fed tips more 2017 rate hikes than were forecast in September
- U.S. 10-year yields climb to highest level since 2014
The dollar climbed the highest level since 2003 against the euro as the prospect of a steeper path for U.S. interest rates next year filtered through markets. European bank stocks climbed while bonds and gold slumped.

https://www.bloomberg.com/news/articles ... ium=social
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Re: Global Currencies Update

Postby NC+ » Tue Dec 20, 2016 7:02 pm

Japan's Central Bank Keeps Policy Unchanged, Upgrades Economic Outlook

The Bank of Japan closed a tumultuous year for monetary policy with an upgrade to its assessment of the economy while keeping its yield-curve and asset-purchase programs unchanged.

Following the board’s first policy meeting since Donald Trump’s election victory, the central bank forecast a moderate recovery trend to continue amid a pickup in exports, better business sentiment and resilience in private consumption. However, inflation expectations remain weak and risks to the outlook abound, ranging from developments in the Chinese and U.S. economies to Brexit and geopolitical uncertainties.
The yen weakened as Kuroda spoke, trading at an intraday low of 117.96 per dollar around 3:50 p.m. in Tokyo. It hit a 10-month low last week. A weak yen generates inflationary pressures through higher import costs, while boosting corporate profits that could filter through to wage growth.
https://www.bloomberg.com/news/articles ... ce-outlook
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Re: Global Currencies Update

Postby NC+ » Sat Dec 24, 2016 2:22 pm

Weekly Forex snap against LKR- 24/12/2016

forex1.png
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Re: Global Currencies Update

Postby NC+ » Sat Dec 31, 2016 6:50 am

Weekly Forex snap against LKR- 31/12/2016

Compared to last week:
USD/LKR - Down
EUR/LKR - UP
GBP/LKR- Down
JPY/LKR - Down

So, LKR has been strong except EUR compared to last week.

Forex1.png
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Re: Global Currencies Update

Postby NC+ » Sat Jan 07, 2017 8:20 am

Weekly Forex snap against LKR- 7/1/2017

Comapred to last week closing price;
LKR depreciated against USD, GBP, JPY
LKR appreciated against EUR

fx1.png
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Re: Global Currencies Update

Postby NC+ » Sun Jan 08, 2017 7:24 am

China sets biggest one-day yuan increase in over decade

AFP - China yesterday hiked the yuan against the dollar in its biggest one-day increase since 2005, after the greenback fell against leading currencies the previous day.
Markets in Asia were largely flat after a day of little change in Europe and on Wall Street, but Samsung shares were boosted as it tipped soaring profits while Toyota dipped following a threat from Donald Trump over a new vehicle plant in Mexico. “Build plant in US or pay big border tax,” Trump tweeted of the company’s plans. In a statement issued after the tweet, Toyota said it looked forward to “collaborating with the Trump administration” to serve consumer and industry interests.
China’s currency has been under pressure from uncertainty over the health of the world’s second largest economy, massive capital outflows and the sharp rise in the dollar following Donald Trump’s election victory and anticipation of US interest rate hikes. China said last week it would almost double the number of foreign currencies it uses to determine the official value of the yuan, thereby diluting the role of the dollar as authorities seek to arrest the yuan’s fall and project an image of stability in the unit.

Read more..
http://www.dailymirror.lk/article/China ... 21808.html
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Re: Global Currencies Update

Postby NC+ » Sun Jan 08, 2017 7:37 am

‘Huuuge’ Dollar Rally Predicted by Citigroup If Trump's Plan Triumphs

Financial markets may be witness to a massive rally led by the dollar if Donald Trump pulls off the biggest fiscal stimulus push since the 1980s.
That’s the view of Steven Englander, global head of Group-of-10 currency strategy at Citigroup Inc. He estimates the greenback could jump more than 10 percent against both the euro and yen if the president-elect and Congress carry out most of their stimulus programs while the labor market strengthens. That could “easily” propel the dollar past 90 cents per euro and 130 yen, Englander said, without specifying a timeframe.
https://www.bloomberg.com/news/articles ... p-triumphs
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Re: Global Currencies Update

Postby Contra » Tue Jan 10, 2017 1:49 pm

Company, stock market, politics and the economy are four different things.

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Re: Global Currencies Update

Postby NC+ » Wed Jan 11, 2017 5:52 pm

U.S. stock markets pointed to a muted open on Wednesday morning, as investors looked ahead to President-elect Donald Trump’s first press conference since his election victory later in the day.
U.S. stock index futures edged higher.
The Dow futures was up 0.07% at 06:30 ET after the DJI fell overnight.
TheS&P 500 futures added 0.01%. The tech-heavy Nasdaq 100 gained 0.10%
Investors are looking for further clues to Trump's economic policies.
The dollar index turned higher as oil gained.
U.S. Treasury yields were higher; 10-year below 2.4%.
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Re: Global Currencies Update

Postby NC+ » Thu Jan 12, 2017 10:37 am

- Yen likely to be weakest major currency in 2017: Mohi-uddin
- Expects the Federal Reserve to raise rates three times.

The yen is set to slump to 125 against the dollar in 2017, with little chance of a sustained gain past 115, as the Federal Reserve’s policy tightening widens the interest-rate differential between U.S. and Japan, said Mansoor Mohi-uddin, a strategist at NatWest Markets, a unit of Royal Bank of Scotland Group Plc. The forecast shows Mohi-uddin, who previously estimated a trading range of 110 to 120 for the yen versus the greenback, has turned more bearish.

Read more..
https://www.bloomberg.com/news/articles ... 5-in-sight
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Re: Global Currencies Update

Postby NC+ » Sat Jan 14, 2017 8:13 am

Weekly Forex snap against LKR- 14/1/2017

Comapred to last week closing price;
LKR depreciated against:
EUR
USD & JPY for the 2nd consecutive week

LKR appreciated against:
GBP

FX1.png
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Re: Global Currencies Update

Postby NC+ » Wed Jan 18, 2017 8:18 am

Sterling basks in glow of May’s Brexit speech; stocks slip

HONG KONG, Jan 18 (Reuters) – The British pound consolidated gains on Wednesday after posting its biggest rise in nearly two decades in the previous session, while Asian stocks are set to drift lower following a weak Wall Street.

Sterling saw its biggest daily rise since at least 1998 on Tuesday as Prime Minister Theresa May promised a parliamentary vote on Britain’s deal to leave the EU and sought to draw a line under discussion of a “hard” or “soft” Brexit.

It was trading at 1.2392 against the dollar in early Asian hours after surging 2.9 percent to a 10-day high in the previous session. That was the biggest climb since 1998, according to Thomson Reuters data.

“Taken together this should help alleviate some of the harder Brexit concerns that overall sends a positive signal to reassure U.K. business and investors,” said James Woods, an investment strategist at Rivkin Securities in Sydney.

The pound’s chunky gains rippled across the broader currency complex and put the dollar on the back foot which has been struggling to gain momentum as doubts over Trump’s stimulus policies overshadowed recent strong data such as U.S. payrolls.

The dollar was trading at 100.44 against a broad trade-weighted basket of its peers and is down nearly 3.5 percent from a near 15-year peak of 103.82 hit on Jan. 3. Against the Japanese yen it was changing hands at 112.58.

Equity markets are expected to start on a weak footing with Australia leading stocks lower with losses of nearly 0.6 percent. Major Wall Street indices ended between 0.3 to 0.6 percent lower as earnings seasons got underway.

Morgan Stanley led financial stocks lower despite doubling profits in the fourth quarter after the bank’s finance chief, Jonathan Pruzan, said the bank would not increase its quarterly target until it was clear that recent revenue trends were sustainable.

With doubts growing about the sustainability of the Trump trade — higher stocks and stronger dollar — safe-haven assets glittered. Gold was perched comfortably at a two-month high above 1215 dollars per ounce. It is up nearly 8 percent in the last three weeks.

Oil prices were stuck in a range, with benchmark Brent futures steady at $55.47 per barrel as a decline in the U.S. dollar offset forecasts that U.S. and Russian producers would boost output later this year.
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Re: Global Currencies Update

Postby NC+ » Thu Jan 19, 2017 7:17 am

Dollar holds firm after rallying on Yellen's rates comments

The dollar inched up against the yen and kept broad gains against other major peers early on Tuesday, after rebounding sharply overnight on comments by Federal Reserve Janet Yellen suggesting U.S interest rates could be raised quickly this year.

The dollar's rise, however, was tempered as traders were cautious ahead of U.S. President-elect Donald Trump's inauguration on Friday.
Read more..
http://uk.reuters.com/article/us-global ... KKBN15101D
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Re: Global Currencies Update

Postby NC+ » Fri Jan 20, 2017 8:27 am

Philippine Peso Rated Asia's Most Resilient Currency for 2017

- China seen the most exposed to risk among Asia EM FX: Survey
- Economies dependent on China seen to be hit on Trump risk: SBI

Asia’s worst-performing emerging-market currency in the past year is being tipped as the one likely to suffer least from the global slings and arrows of 2017.

The Philippine peso, which weakened 4.6 percent in the past 12 months, is forecast to be the most resilient to external risks this year, according to a Bloomberg survey of 10 foreign-exchange analysts. The Thai baht and Indian rupee together rank second, while China’s yuan is last.

“External factors won’t impact the peso much because the nation doesn’t largely depend on trade, especially with China or the U.S.,” said Tsutomu Soma, the general manager of the fixed-income department in Tokyo at SBI Securities Co. “China-dependent economies are likely to be hit the most by Trump policies as his eyes are more on China.”

In the Jan. 5-12 questionnaire, participants were asked to rate Asian currencies by their likely vulnerability to seven external factors ranging from U.S. President-elect Donald Trump’s stated views on protectionism to the effect of oil-price swings and the prospect of an economic slowdown in China. The following tables show the results:
https://www.bloomberg.com/news/articles ... -2017-poll
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Re: Global Currencies Update

Postby NC+ » Sat Jan 21, 2017 7:46 am

Weekly Forex snap against LKR- 21/1/2017

Compared to last week closing price;
LKR depreciated against:
USD for the 3rd consecutive week - @ 150.15
EUR for the 2nd consecutive week - @ 160.71
GBP (after 6 weeks of depreciation/LKR) - @ 185.80

LKR appreciated against:
JPY (after 2 weeks of appreciation/LKR) - @ 1.31

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Re: Global Currencies Update

Postby NC+ » Sun Jan 29, 2017 8:49 am

Weekly Forex snap against LKR- 29/1/2017

Compared to last week closing price;
LKR depreciated against:
USD for the 4th consecutive week - @ 150.28
EUR for the 3rd consecutive week - @ 160.78
GBP for the 2nd consecutive week - @ 188.67

LKR appreciated against:
JPY for the 2nd consecutive week - @ 1.306 (marginally)
.
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Re: Global Currencies Update

Postby Blue Whale » Sun Jan 29, 2017 9:32 am

Any way LKR will be depreciating 3% on average against USD every year other than the special occurrences.
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