Forex News

The Canadian dollar is weakening against most major currency competitors to close out the trading week. Despite retail sales coming in stronger than expected and inflation matching market expectations, the loonie’s decline could still be driven by the central bank leaving interest rates unchanged. Is the market signaling that a rate cut is needed to resuscitate economic growth?

The Sterling pound today succumbed to pressure and fell from its daily highs despite the release of upbeat UK flash PMIs by Markit Economics in the early London session. The GBP/USD currency pair spiked higher briefly before falling as investors fear a rate cut by the Bank of England at their monetary policy meeting next week.

The US dollar versus the Japanese yen currency pair retraced quite strongly from the 110.29 resistance level. Is this a clue that the bulls are out of the game for a while?

The euro today crashed to new monthly lows against the US dollar after the European Central Bank announced its rate decision and strategic review. The EUR/USD currency pair today fell to lows last seen on 2nd December 2019 amid a risk-averse market environment that saw most European equity indices close the day lower.

The Mexican peso is weakening against several currencies on Thursday as the International Monetary Fund (IMF) cut its growth projections for the country. This comes as the unemployment rate fell last month to its lowest level in nearly two years and inflation came higher than expected.

The Australian dollar rallied against all other of its most-traded rivals, even the Japanese yen, which itself was rather strong. The main reason for the Aussie’s great performance was a surprisingly good domestic employment report, which improved the outlook for monetary policy a bit. Even risk aversion prevailing on the market was unable to stop the Australian currency from rallying.

The Japanese yen gained against most other major currencies today, with the exception of the Australian dollar, which got a boost from domestic employment data. The resurging fears about the spread of the coronavirus from China were the main driver for the yen’s rally. Domestic macroeconomic data was also supportive of the Japanese currency.

The Australian dollar versus the New Zealand dollar currency pair gives some signs that an appreciation is not that far from the realm of possibility. Is it so, or the bears are trying to persuade the bulls?

The Great Britain pound continued to be the strongest currency on the Forex market thanks to domestic macroeconomic data. Today, a manufacturing report from the Confederation of British Industry was the reason for the sterling’s amazing performance.

The Chinese yuan is trading relatively flat against a myriad of currency rivals midweek as the nation’s virus outbreak has triggered economic growth concerns. After last week’s better-than-expected gross domestic product (GDP) figures and the International Monetary Fund (IMF)’s optimistic forecast, the spread of the Wuhan coronavirus could throw a wrench into the country’s plans to rebound from its slump.