|Day's Range||0.987 - 0.989|
|52 Week Range||0.9542 - 1.0229|
Today, the GBP/USD pair maintained a strong downtrend amid rising Brexit uncertainities. Meanwhile, Lower-than-expected June Producer and Import Prices provided the extra ammunition to the resilient USD/CHY bulls.
Based on the early price action, the direction of the September U.S. Dollar Index on Monday is likely to be determined by trader reaction to the downtrending Gann angle at 96.830.
The Swiss Franc pair appeared to remain stuck between the 200-day SMA, 50% Fibonacci level, and 50-day SMA throughout the day. As the day approached closing, the Aussie pair bulls seem pleased as they have broken the robust 0.7038 resistance level.
Investing.com - The dollar rose to one-week highs against a currency basket on Monday as a trade truce between the U.S. and China dampened demand for safe haven currencies, such as the yen and the Swiss franc.
The breakdown of the components of the index shows the Euro lost 0.01% against the U.S. Dollar. The British Pound lost 0.39%. The Japanese Yen lost 0.58% versus the greenback. The Swiss Franc was unchanged. The biggest winner was the Canadian Dollar. It gained 0.98% against the U.S. Dollar.
Based on the early price action, the direction of the September U.S. Dollar Index on Tuesday is likely to be determined by trader reaction to Monday’s close at 95.487. If the Euro posts a reversal top then look for the index to post a reversal bottom.
The dollar fell against most major currencies on Tuesday, hitting a three-month low against the euro, as expectations of multiple decreases of U.S. interest rates by the Federal Reserve have spurred selling of the U.S. currency. Growing tensions between Iran and the United States stoked fresh safe-haven buying of the yen, which reached its strongest levels against the greenback since early January. Last week's signal from the U.S. central bank that it was ready to lower borrowing costs to counter slowing domestic growth and sluggish inflation caused traders to exit their earlier bullish positions on the dollar, analysts said.
The Swiss attorney general's office (OAG) on Monday announced it was returning 130 million Swiss francs (£105 million) to Uzbekistan which it seized during an investigation involving a relative of the daughter of the country's former president Islam Karimov. The OAG did not name the relative who was convicted on Monday in the Swiss Federal Criminal Court of charges related to opening a web of bank accounts in a bid to hide the identity of the money's true owner, Gulnara Karimova, the eldest daughter of the now-deceased president.
After a sharp move up yesterday, EUR/USD is taking a breather around the 1.1300 level. The pair seems to be eyeing the 200 DMA, however, it remains to be seen if the pair tests it today.
A few moments ago, Iran attacked a US military surveillance drone flying over the Strait of Hormuz increasing war fears. Jeremy Hunt would compete with Boris Johnson for the next UK PM position.
It looks like the calm in the currencies is drawing to a close and volatility is about to pick up. So far, so good. We’re at a crossroads these days: after a recent string of declines, the USD appears to be catching a bid. This is not without repercussions and a move either way will be profoundly felt across the markets. But which way that move will be? Read on to find out – and also get positioned accordingly.
The Swiss National Bank (SNB) could further relax its ultra-loose monetary policy, it said on Thursday, blaming rising trade tensions between the United States and China for a spike in the safe-haven Swiss franc. The central bank kept on hold its policy of negative interest rates and readiness to sell francs to tackle the situation on what Chairman Thomas Jordan called fragile foreign exchange markets. "When the trade dispute between the U.S. and China escalated again in May, the Swiss franc and the Japanese yen appreciated," Jordan told a news conference.
It promises to be an interesting month, especially as we build to what is a ‘live’ FOMC meeting in July, with implied at 62% chance of a cut. If Trump doesn’t converge with the Mexicans and Chinese then the Fed start chopping and that has huge implications – gold bulls will be feeling a tad excited right here.
Switzerland’s national bank should work with large industry players to develop a Swiss franc token, according to a report by the Avenir Suisse think tank on June 4. Avenir Suisse is an independent privately funded think tank, with a yearly budget of reportedly 5 million Swiss francs ($5 million). Despite the opportunities that distributed ledger technology (DLT) is creating in the country’s finance industry — especially in trade finance, asset management and capital markets — researchers argue that the debate surrounding digitization is focused too much on the risks.
The U.S. dollar fell on Monday morning, hitting a 4-1/2 month low against the Japanese yen and a two-month low against the Swiss franc as President Donald Trump hardened his trade stance toward countries beyond China. Trade tensions have taken center stage in recent weeks as Trump has increased tariffs on Chinese imports, threatened to raise tariffs on Mexican imports and removed preferential trade treatment for India. The mounting tension has prompted investors to move out of riskier assets like U.S. stocks and into safe-havens like the yen and franc.
The Swiss franc rallied to its highest levels in nearly two years against the euro on Monday as U.S. President Donald Trump hardened his trade stance to countries beyond China, prompting investors to move into perceived safe-haven currencies. Trade tensions have grabbed center stage for investors in recent weeks after Trump increased tariffs on Chinese imports, threatened to raise tariffs on Mexican imports and removed preferential trade treatment for India. Rising strains on trade have prompted investors to dump risky assets such as equities and flock to low-yielding currencies such as the yen and the franc with the latter flirting close to levels where the Swiss National Bank has traditionally intervened to keep the currency weak.
The yen brushed a more than four-month high against the dollar on Monday and the Swiss franc rose as U.S. President Donald Trump's hard stance on trade broadened to countries beyond China, stoking investor demand for safe-haven assets. In a recent development, U.S. and Mexican officials were preparing for trade talks after Trump vowed to impose punitive tariffs on all Mexican goods in an intensifying dispute over migration. No one was really expecting it to the same extent they were with China," said Chris Weston, Melbourne-based head of research at foreign exchange brokerage Pepperstone.