Monthly Archives: December 2019

Tuesday December 31st, 2019

Investor optimism for global growth in 2020 has seen a 3rd session favoring a return to risker assets. Friday saw the US$ suffer its biggest single day fall since March and the US$ selling has continued this week. Positive comments from a US trade adviser suggesting the Sino/US phase 1 trade deal wo...
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Monday December 30th, 2019

Sino/US trade and global growth optimism for 2020 has caused the US$ to come under fresh selling pressure. The focus this morning was on China with its central bank announcing new measures to lower borrowing costs and boost the economy. Investors also focused on the EU economy which is showing signs...
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Friday December 27th, 2019

Chinese commerce ministry commented on Wednesday that China is in “close touch” with the US on signing a Phase One deal. The optimistic trade comments & strong Chinese economic data prompted investors to sell safe haven currencies in favor of trade-exposed. AUD, NZD & C$ all rall...
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Christmas Eve

The currency markets have been relatively stable ahead of the Christmas holiday. Trade-exposed currencies continued to strengthen with AUD and NZD both approaching near 5 month highs on trade optimism. Chinese CNY strengthened vs US$, but was unable to breach the key 7.0000 level. No fresh news fro...
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Monday December 23rd, 2019

China announced further reduction of tariffs on a variety of US products from frozen pork to semiconductors starting in 2020. Market expectations are growing that the Phase-One agreement will be signed next month. US$ and trade-exposed currencies strengthened today on the tariff news. Expect the cur...
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Friday December 20th, 2019

US$ is having its best performing week of December, whilst the Chinese CNY sits at its weakest level for the week. Despite the announced easing of some tariffs by the Chinese on Dec 26th, the markets are still waiting for concrete details for the trade agreement. The party line remains that both sid...
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Thursday December 19th, 2019

President Trump becomes just the 3rd president to be impeached, but the decision only caused moderate selling of the US$. The senate trial is expected to begin in January and it is anticipated that the President will be acquitted of all charges. In other currency news. The Swedish central bank beca...
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Wednesday December 18th, 2019

Waning optimism (again) from the markets for the Sino/US phase one agreement as the two countries continue to finalize the deal. The US House of Representatives is set to vote on whether to impeach the US President, we expect a limited intraday impact to US$. Investors turned to the US$ as a safe-ha...
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Tuesday December 17th, 2019

US-China trade, “the deal is absolutely completed” and US exports to China will double said Kudlow a top White House adviser. The Chinese officials appear to be more cautious, emphasizing that the trade dispute has not been completely settled. The hope is the Phase One deal will be signe...
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Monday December 16th, 2019

US & China agreed to rolling back some US tariffs in exchange for a greater spend by China on American agricultural products. The initial optimism has switched to frustration as the signing date still hasn’t being announced. Trade exposed currencies including CNY ignoring the lack of detai...
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