The US Dollar Index depreciates as market expectations grow for more aggressive Fed rate cuts amid US growth concerns. President Trump exempted Mexican and Canadian goods under the USMCA from his proposed 25% tariffs. The US Nonfarm Payrolls is projected to show job growth, with employment rising to 160K in February. The US Dollar Index […]
Risk sentiment in the forex markets appears to be tilting towards risk aversion in Asian trading, marking a shift from the broad Dollar selloff earlier in the week. Overnight, US President Donald Trump granted temporary tariff exemptions for Canadian and Mexican goods under the USMCA, delaying a full-scale implementation until April 2. While this provided
Japan is preparing to officially declare an end to long-term deflation, according to Economy Minister Ryosei Akazawa. This marks a significant shift in the government’s economic outlook and could influence the timing of the Bank of Japan’s next interest rate hike. While inflation has stayed above the BOJ’s 2% target for nearly three years, the
The US Bureau of Labor Statistics will release the non-farm payroll (NFP) and jobs data for February 2025 on Friday, March 7th, 2025. Economists are predicting 170,000 jobs added and the unemployment rate holding steady at 4.0%. Key factors influencing February’s jobs report include potential federal job cuts, changes in trade policies, a strong services
The Dow Jones shed around 575 points on Thursday, as trade war fears resume. The more the Trump administration tries to soothe tariff fears, the worse things get. Market sentiment is still churning despite announced tariff delays and upbeat jobs data. The Dow Jones Industrial Average turned tail and ran on Thursday, in tandem with
Dealers have been too slow to adopt standardised codes for rejected foreign exchange trades, according to a senior buy-side trader, who also called on trading venues to help accelerate industry take-up. Last year, the FIX Trading Committee published a set of recommended practices on scenarios for rejected trades and adopted the Investment Association’s proposal of
Euro remained firm following ECB’s decision to cut interest rates, a widely anticipated move. During the subsequent press conference, President Christine Lagarde emphasized a shift to “more evolutionary approach” to policy, now that monetary conditions have become “meaningfully less restrictive.” She also acknowledged the high levels of uncertainty, noting that “risks are all over.” Lagarde
A 25 basis point cut to the ECB deposit facility rate is widely anticipated, marking the seventh cut in the current cycle. The ECB continues to cut rates amid slow Eurozone growth, while the Federal Reserve pauses, creating a notable divergence in monetary policy. What next for EUR/USD? Most Read: Dow Jones (DJIA) Holds Support:
2025.03.06 2025.03.06 Germany’s Fiscal U-Turn Boosts DAX 40. Forecast as of 06.03.2025 Dmitri Demidenkohttps://www.litefinance.org/blog/authors/dmitri-demidenko/ Germany’s DAX 40 has outperformed other global stock indices, marking the onset of a transformation from the “sick man of Europe” to a locomotive of the European economy. Let’s discuss this topic and make a trading plan. The article covers the following subjects:
German construction activity eased back in February, with incoming new work continuing to stay rather subdued overall. It suggests that any major recovery in the sector is still a non-starter but we’ll see how the sentiment will change amid the latest political developments. For now, all three sub-sectors i.e. housing, commercial, and civil engineering are
The USD/CAD forecast shows some relief for the Canadian dollar. Trump excluded automakers in Canada from the 25% tariff for a month. Market participants worried about the impact of Trump’s tariffs on the US economy. The USD/CAD forecast shows some relief for the Canadian dollar as market participants expect a tariff relief on Canada. At
Switzerland’s unemployment rate decreased for the first time in ten months in February, though slightly, the State Secretariat for Economic Affairs, or SECO, said on Thursday. The unadjusted unemployment rate dropped to 2.9 percent in February from 3.0 percent in January. In the corresponding month last year, the jobless rate was 2.4 percent. The number
Risk sentiment is mildly positive in Asian session today, as investors digest the latest developments in US trade policy and Chinese economic measures. Markets welcomed the news that the US has granted a one-month exemption for imports from Mexico and Canada for auto makers. The decision came after US President Donald Trump met with executives
UR/JPY gains momentum to near 161.15 in Thursday’s early European session. The concerns over tariff risks on Japan might contribute to the JPY. The ECB is anticipated to cut interest rates at the March meeting on Thursday. The EUR/JPY cross extends the rally to around 161.15 during the early European session. The Japanese Yen (JPY)
Dealers expect an increase in deal contingent foreign exchange hedging activity in 2025, in conjunction with heightened takeover deals from corporates and private equity firms in the latter part of the year. “We’ve certainly seen an uptick in deal contingent hedging,” says Edmund Carroll, head of FX, rates and commodities corporate client solutions at UBS.
I posted the headlines earlier that Mexico’s state-owned oil company, Pemex, is actively seeking new crude oil buyers in Asia and Europe, including China, India, South Korea, and Japan, after Trump imposed a 25% tariff on Mexican crude imports. Previously, the United States accounted for 57% of Pemex’s oil exports, but with the new tariffs
