Currency News

The 10-Year had a nice pullback from 4.5% to 4.2%. It is set up for yields to move higher over the short-term which could cause stocks to get a tiny bit cranky.

The two biggest movers in the FX market on Wednesday have been the Yen and the Australian Dollar, both of which have come under a good amount of pressure.

EUR/GBP remains on tenterhooks below 0.8500 as traders brace for high volatility ahead of French no-confidence vote. Traders see ECB interest rates heading to 1.75% by the end of 2025. BoE Bailey said he sees four interest rate cuts next year.

As expected, the EUR/USD will remain stable in narrow ranges with a bearish bias until the US jobs figures are announced.

The technical picture has become considerably more bearish, with the price plunging over the past day to a new 4-month low on Trump’s BRICS tariff threat and disappointing Australian GDP data, making further rate cuts more likely.

Australia’s economy expanded by 0.3% in the third quarter. Market participants increased the likelihood of an RBA rate cut in April from 73% to 96%. Job vacancies in the US increased to 7.74 million.

EUR/USD turned lower once again on Tuesday, grappling with the 1.0500 handle as Fiber flubs a bullish run at 1.0600.

The US dollar rallied rather significantly during the trading session in the early hours of Monday as we continue to see the US dollar swallow everything whole.

AUD/USD plummets to near 0.6400 as the Australian Dollar weakens after slower-than-expected Australian Q3 GDP growth.

The US dollar pulled back just a bit during the early hours of Tuesday, only to find support at the 1.40 level. At this juncture, it does look like we are grinding even higher and perhaps trying to take out the 1.41 level.

The dollar is mixed on what will start the critical second half of the week.

The Australian dollar fell to a four-month low of 0.6450 against the US dollar on Wednesday, following disappointing GDP data that heightened expectations for potential interest rate cuts by the Reserve Bank of Australia (RBA).

Bond yields are primarily driven by macroeconomic factors such as inflation and economic growth.

DAX rises to record highs despite weak PMI data. GBP/USD falls as UK services PMI falls to its lowest level in a year.

An attempt by the President of South Korea to impose martial law failed yesterday after Parliament successfully ordered troops to stand down.

The Australian dollar fell below $0.645 on Wednesday, hitting its lowest level in four months, as weak GDP data reinforced expectations of an imminent interest rate cut by the Reserve Bank of Australia.

If US exceptionalism and the potential for a second Trump administration weren’t enough to hold dollars, geopolitics and events in South Korea yesterday only add to the argument.

Based on the analysis, wave 2 appears to have concluded, marking the beginning of wave 3.

Asian markets declined following South Korea's political turmoil, triggered by a brief declaration of martial law that unsettled investors.

In this video, Ira Epstein reviews the activity in the Financial Markets after the day that just ended, Tuesday, December 3.

10-year rates increased today by roughly four bps to close at 4.23% following a stronger-than-expected JOLTS report.

The Japanese Yen (JPY) trades in negative territory on Wednesday. The upbeat US Manufacturing PMI data and job openings data this week indicated that the US economy remains robust, lifting the Greenback.

Stocks are still hanging around their all-time highs, while the Nasdaq has yet to register a new one in a couple of weeks.

Stocks wallowed around today, digesting their recent gains. Gold bounced up a bit, and silver rallied quite impressively.

GBP/USD ticks up 0.15%, yet fails to decisively breach the 1.2700 resistance. UK retail sales hit their lowest since April, dropping -3.4% against expectations of a 0.7% rise.