The Turkish lira is strengthening against several major currency competitors on Tuesday as investors anticipate the central bank to cut interest rates. Forex markets are also optimistic that Ankara can establish swap lines with foreign central banks to mitigate its currency crisis. The lira has been rebounding since it crashed to a record low against the US dollar earlier this month.
The New Zealand dollar was among the strongest currencies today amid the mildly positive market sentiment. The currency waits for tomorrow’s monetary policy decision from the Reserve Bank of New Zealand. No economic reports were released in New Zealand today while yesterday’s data was not bad but not particularly good either.
The Australian dollar fell intraday but has rebounded by now. The drop was a result of growing political tensions between China and Australia as well as poor macroeconomic data in both Australia and China.
The South Korean won is looking to extend its gains on Thursday as economic data keeps beating market forecasts. The won, which had weakened due to reports of North Korean leader Kim Jong-un’s deteriorating health, is set for a considerable gain in April – and analysts say its best days are ahead as Seoul weathers the storm.
The New Zealand dollar was trading either flat or slightly higher against other currencies, including its commodity-related counterparts. The kiwi got a boost from positive macroeconomic data released in both China, New Zealand’s biggest trading partner, and New Zealand itself. The optimistic market sentiment was helping the currency too.
The Brazilian real continues to test record lows against a myriad of G10 currencies, including the US dollar. With disappointing economic data, a decline in financial markets, and a political crisis unfolding, the real has become the worst-performing emerging market currency this year. Is more pain ahead for Brazil amid the coronavirus pandemic?
The Australian dollar was rising at the start of Tuesday’s session but has reversed movement and is now trading below the opening level against most major currencies, though currently, it has managed to rise against the US dollar a bit. The Aussie performed better against its commodity-linked counterparts.
The euro today fell against the US dollar as traders took their profits following 4-day rally marked by steady gains driven by positive investor sentiment. The EUR/USD currency pair headed lower as the greenback rallied higher amid rising coronavirus cases and deaths in Spain and Italy.
The Australian dollar rose today, attempting to rebound after the recent flash crash. But today’s gains were nowhere near enough to erase losses the currency has logged since the end of the last week. The coronavirus continues to spread across the globe, hurting demand for riskier currencies linked to commodities. Negative domestic macroeconomic data was not helping the matter either.
The Chinese yuan is hitting the pause button on its recent acceleration against several major currency rivals midweek as many economic reports portray a grim picture of the world’s second-largest economy. All the data came in worse than what the market had forecast, and with the coronavirus still lingering, experts warn there might be plenty more bearish news in the coming months.
