The Chinese yuan is rebounding on Thursday as reports suggest that the central bank will unleash additional stimulus to contain the Wuhan coronavirus’ impact on the world’s second-largest economy. While the death toll and number of confirmed cases have risen in China, global financial markets believe that the outbreak is waning. These reports come as Beijing is set to cut tariffs on US goods and report crucial trade data on Friday.
The US dollar slumped midweek as the US and China officially signed the first phase of a comprehensive trade agreement. This comes as December inflation was subdued and business optimism fell short of analysts’ expectations. Still, the greenback is trading relatively higher against a basket of currencies this month.
The Chinese yuan is rallying against multiple currencies to kick off the trading week, buoyed by industrial production and retail sales beating market expectations. With the first phase of a comprehensive US-China trade agreement established, global financial markets have been extended some certainty, which is good news for the world’s second-largest economy and its currency.
The Chinese yuan is spiking on Thursday after President Donald Trump tweeted that the US and China are “very close to a big deal.” Mirroring the financial markets, the yuan pared its earlier losses and is rallying on the news. The yuan could end the week higher following this week’s upbeat economic data. But could the yuan exit the 7 territory against the US dollar to close out the year?
The British pound today held on to yesterday’s gains against the US dollar two days ahead of Thursday’s elections with opinion polls predicting a win by the Conservative Party. The GBP/USD currency pair today rose to 8-month highs as investor optimism about Britain’s future including Brexit remained high.
The US dollar is mixed against multiple currency rivals on Tuesday after it was reported that US and China trade negotiators are working on a plan to delay the December 15 tariffs. This comes after the federal government revised its third-quarter productivity numbers slightly higher, though the report still marked a negative reading for the first time in four years. Business confidence is on the rise, however, so can positive […]
The Chinese yuan is trading slightly lower against multiple currencies to kick off the trading week. The yuan’s performance on Monday was driven by the latest disappointing trade numbers that suggest Beijing is still reeling from the US-China trade dispute. This might explain why, according to Chinese government officials, the world’s second-largest economy wants to settle phase one of a deal.
The Chinese yuan is tumbling on Tuesday after President Donald Trump told reporters that a trade agreement with China can wait. The remarks offset positive manufacturing data that showed the industry expanded for the first time in seven months. The yuan remains firmly entrenched in the 7 territory against the US dollar after appreciating on hopes of a trade agreement.
The euro today appeared to cool off against the US dollar following yesterday’s massive rally that saw the EUR/USD currency pair breach the 1.1080 level as the greenback fell. The currency pair today traded sideways alternating between gains and losses amid a lack of significant releases from the European dockets.
The Brazilian real is falling against multiple currency rivals as President Donald Trump threatened to restore tariffs on Brazil and Argentina goods, accusing the two countries of devaluing their currencies. But is this really about the two markets becoming go-to sources for China’s soybean needs? The Brazilian leadership attempted to quash concerns, noting that it plans to speak with the US administration.
