Dollar Edges Higher as Virus Fears Ease; Euro Weakens By Investing.com



Investing.com – The U.S. dollar is showing some strength against the safe haven Japanese yen Friday as a degree of calmness returns to traders who have fretted all week over the new pneumonia-like virus in China.

By 02:50 ET (0750 GMT), the dollar had climbed 0.1% against the yen, with trading at 109.54. The Futures, which tracks the greenback against a basket of other currencies, edged up 0.1% to 97.53.

Elsewhere, the euro has shown weakness after the European Central Bank indicated no immediate movement from its current monetary policy stance at Thursday’s meeting. President Christine Lagarde told Bloomberg Friday insisted that the bank is not on “autopilot” but others were skeptical.

“As long as the economy rebounds as expected, with a stimulus already in the pipeline, the ECB will likely hold off any major policy adjustments until it has completed its policy review,” Berenberg Bank chief economist Holger Schmieding said in a research note.

“The ECB will still closely monitor inflation, highly accommodative monetary policy is still needed, and the ECB stands ready to use all instruments. In other words, the easing bias remains in place,” said analysts at Nordea in a research note.

“The EUR is not about to receive support from the ECB policy any time soon,” they added.

At 02:50 ET (0750 GMT), traded 0.1% lower at 1.1048 and down 0.1% at 0.8417.

Overnight, The number of cases of patients infected with the new virus as of January 23 has gone up to 830 in China, while the death toll from the virus has risen to 25, the National Health Commission announced on Friday.

Late Thursday, the World Health Organization stopped short of calling the virus a global health emergency, even as the number of cases of patients infected with the new virus topped 800 in China, with the death toll rising to 25.

“Make no mistake, this is an emergency in China, but it has not yet become a global health emergency,” Tedros Adhanom Ghebreyesus, the WHO’s director-general, said at a briefing in Geneva Thursday.

President Christine Lagarde’s comments did not imply any increased reservations towards using any of the tools at the ECB’s disposal, the note said. “If downside growth risks increase again in the coming months, as we expect, the market should not have any problems pricing in a higher risk of further stimulus measures.”

With the outlook for growth being so important in the ECB’s eyes, traders will focus on the various PMI data due for release Friday, and in particular the German number, due at 3:30 AM ET (0830 GMT).

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Euro near seven-week lows before PMI data release By Reuters


© Reuters. Euro currency bills are pictured at the Croatian National Bank in Zagreb

By Saikat Chatterjee

LONDON (Reuters) – The euro held near seven-week lows on Friday after the European Central Bank struck a more dovish tone at Thursday’s meeting than some had expected.

Investor attention will turn to the flash PMI releases for January, which are some of the first indicators of how the global economy has performed moving into 2020.

The key data, the euro zone and German PMI figures, are expected to rise from previous readings. Higher-than-expected readings could trigger a rally.

The euro fell against the dollar (), to $1.1049. It was near a five-week low against the British pound () and 33-month low against the Swiss franc ().

“Sentiment has steadied overnight as evident from the Swiss franc’s weakness against the euro and the dollar with markets firmly focused on the PMI data,” said Thu Lan Nguyen, a FX strategist at Commerzbank (DE:) based in Frankfurt.

ECB President Christine Lagarde told a news conference after Thursday’s meeting that risks to euro zone growth remained tilted to the downside. Markets took her tone as dovish.

“Some people were hoping that Lagarde could talk about the possibility of policy normalization after Riksbank ended negative interest rates late last year. But there was absolutely no such indication from her,” said Kazushige Kaida, head of foreign exchange at State Street (NYSE:) Bank.

Riksbank, the central bank of Sweden, ended five years of negative interest rates last month, despite a slowdown in the Swedish economy.

The () held at 97.717 and was on track for a third consecutive week of gains.

The Australian dollar traded at $0.6843 , erasing the gains made after a strong jobs report the day before and heading for a fourth consecutive week of losses.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Dollar Gains as U.S. Services Activity Hits Highest Since March By Investing.com


© Reuters.

By Yasin Ebrahim

Investing.com – The dollar climbed against its rivals Friday as data showing ongoing strength in the U.S. services sector offset a continued slowing in manufacturing to a three-year low.

The , which measures the greenback against a trade-weighted basket of six major currencies, rose by 0.18% to 97.87.

The IHS Markit flash purchasing managers index for manufacturing slipped to a three-month low in January, but the services PMI rose to the highest level since last March.

Strength in the greenback was also supported by plunge in the pound and euro.

fell 0.29% to $1.308 and more losses could follow when trade negotiations between the U.K. and the EU begin after the U.K. leaves the trading bloc on Jan. 31, said Jane Foley, senior foreign-exchange strategist at Rabobank.

“Once those negotiations get underway in February and March, some of us could be in for a rude awakening,” Foley added.

fell 0.20% to $.1013 shrugging off better-than-expected PMIs from Germany amid expectations that the European Central Bank is set to persist with negative rates at least until the end of the year.

fell 0.21% to $109.26 as the yen was supported by an uptick in safe-demand after the CDC confirmed that a second case of the coronavirus had been identified in the U.S.

rose 0.18% to C$1.315 as oil prices continued to retreat on fears that a continued spread of the virus could dent air travel, keeping a lid on oil demand.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

How the Euro Could Defy Analysts and Options Market Ahead of Fed By Bloomberg



(Bloomberg) — Euro bulls may be looking at a longer wait before they can break free, with a compelling case that the shared currency may head lower into next week’s Federal Reserve monetary policy decision.

It comes in defiance of consensus views among analysts for the euro to rebound, an expectation also reflected by current pricing in the options market. The common currency slipped to a seven-week low of $1.1026 on Friday, at a time when the median estimate of analysts in a Bloomberg survey calls for a move to $1.1400 by end-June and sentiment through options remains bullish for the common currency. That’s turned the currency’s charts bearish in the short-term and may leave long positions looking exposed.

The euro failed to gain traction even after euro-area composite PMI data offered pockets of promise and the European Central Bank warned investors not to assume that policy is on autopilot mode. Momentum selling emerged earlier when the Governing Council’s meeting on Thursday didn’t offer signs that it was looking to tighten monetary policy soon.

Volatility in the euro fell to fresh record lows this week, a pattern that supports the case of it being used as a funding currency of choice for carry trades. That came as Europe became the focus of global trade relations, after U.S. Commerce Secretary Wilbur Ross said tariffs on auto imports from the European Union remained under consideration.

The main check point for the market next week is Wednesday’s Fed rate call. Any rebound for the euro may depend on U.S. monetary policy rhetoric sounding more-dovish-than expected. A strong aversion to riskier trades and the ongoing dominance of tight ranges in the spot market could also help.

But don’t forget that the Fed isn’t expected to cut interest rates any time soon and the hurdle remains high for officials to sound outright dovish as the latest data have positively surprised the market, undermining the chances for a euro boost. That leaves the shared currency’s bulls looking for traction elsewhere. Market jitters over the economic effects of a China-originated virus could prompt outflows out of emerging markets and back to the euro area.

Euro bulls’ best chance may be with short-term traders who look to fade dips as expectations for a large move next month stand at multi-year lows. Technically, the euro remains in a bearish trajectory below its 55-daily moving average, currently at $1.1095, and may target a move below $1.0950, which could satisfy the projection of a head and shoulders pattern that was completed this week.

A lower volatility environment has pressured the euro in the past two years, yet at the moment it is just what could offer some short-term relief.

What to Watch:

  • Chinese New Year Saturday; Italy holds local elections in the region of Emilia-Romagna the following day in the latest challenge for the ruling coalition
  • Fed Chairman Jerome Powell holds a news conference after the FOMC rate decision on Jan. 29; highly-anticipated Bank of England policy decision comes the next day; Governor Mark Carney to speak
  • Policy maker speeches coming up include Bank of Canada’s Deputy Governor Paul Beaudry and Riksbank Governor Stefan Ingves
  • Economic releases include euro area GDP and CPI; U.S. personal spending, GDP; Sweden retail sales and Norway unemployment; see data calendar
  • NOTE: Vassilis Karamanis is an FX and rates strategist who writes for Bloomberg. The observations he makes are his own and are not intended as investment advice
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Wall Street Drifts, While Intel Surges on Strong Earnings By Investing.com


© Reuters.

By Geoffrey Smith

Investing.com Wall Street drifted sideways at the start of the final session of the week, despite a business survey showing the U.S. economy continuing to perform above expectations on aggregate.

The U.S. composite purchasing managers index published by consulting firm IHS Markit rose to 53.1 in January, ahead of forecasts for a dip to 52.5, thanks to robust activity in the services sector. The manufacturing PMI did, however, dip to 51.7 from 52.4, suggesting only moderate growth.

By 1030 AM ET (1630 GMT), the was down 21 points, or 0.1%, while the S&P 500 was down 0.2% and the was flat, coming off an earlier record high.

Chipmaker Intel (NASDAQ:) was the standout performer, rising 7.2% to its highest since the very peak of the dot-com boom back in 2000 after reporting better-than-expected earnings after the bell on Thursday. The company continues to ride the wave of demand for high-powered chips from data centers on which Cloud servers run. It also enjoyed a kicker from demand for new PCs ahead of Microsoft’s deadline for ending support for Windows 7.

Rival Broadcom (NASDAQ:) also extended gains, rising another 2.5%, in the wake of its announcement of a major deal to supply Apple (NASDAQ:). Skyworks (NASDAQ:), whose products will be displaced by the deal, fell 4.2%

NextEra Energy (NYSE:), the parent company of Florida Power & Light, meanwhile overcame an initial dip premarket to rise 0.7%, as it reiterated its ultra-bullish guidance for the next three years.

American Express (NYSE:) rose 2.9% after reporting a strong holiday quarter, with U.S. spending on its cards up by 6% year-on-year.

Elsewhere, the , which measures the greenback against a basket of other currencies, hit a new high for the year of 97.710 before retreating to 97.665, up 0.2% on the day. oil prices continued to fall on fears of oversupply, as fears strengthened that the coronavirus outbreak will hit Chinese demand. They were down 2.2% at $54.40 a barrel, their lowest since October

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

BOE Rate Cut Hangs in Balance Amid Signs of Election Bounce By Bloomberg



(Bloomberg) — A closely watched measure of U.K. economic activity unexpectedly surged to the highest level since 2018 in January, leaving the prospects for a Bank of England interest-rate cut next week hanging in the balance.

IHS Markit’s flash for output across the whole economy jumped to 52.4 as firms cited reduced political uncertainty in the wake of Boris Johnson’s decisive election victory. That’s up from 49.3 last month.

The Purchasing Managers Indexes had emerged as a key factor in the debate over BOE easing this month, providing the most up-to-date assessment of the economy after the Conservatives’ win on Dec. 12. While the reading was higher than forecast and above the level many economists said was enough to stave off a rate cut, traders were still pricing in a greater-than 50% chance of a move after the release and the was little changed.

The data was “marginal above the level of 52, where one could expect the Bank of England starting to become more reluctant to cut,” said Mikael Olai Milhoj, a Danske Bank analyst. A cut is “still a real possibility but a close call as things stand.”

One reason why the debate over the need for easing may not be over is that BOE officials have also indicated that reports from their agents — a cross-country network that holds confidential conversations with businesses and community organizations — could prove critical. Investors and forecasters will be in the dark about that intelligence until the decision is announced, when the accompanying Monetary Policy Report will include a section summarizing the feedback.

Markit said the Friday’s composite figure, which was up from 49.3 last month and came in well above the 50.7 median-estimate of economists, was consistent with a quarterly growth rate of about 0.2%. That’s good news for Johnson as he prepares to officially take the U.K. out of the European Union next week.

“It seems likely that the rise in the PMI kills off the prospect of an imminent rate cut, with policy makers taking a wait and see approach as they assess the performance of the economy in the post-Brexit environment,” said Chris Williamson, Markit’s chief business economist.

While a January rate cut was seen as unlikely at the start of 2020, a spate of weak data, along with dovish comments from policy makers, boosted speculation a move was coming. Bets moderated slightly this week after some more positive releases.

Two of the BOE’s nine officials have already voted for easing, while a number of others, including Governor Mark Carney, have indicated they would be paying close attention to the data before making up their minds.

“We think it’s a close call,” said Ned Rumpeltin, European head of foreign exchange at Toronto-Dominion Bank. “But ultimately we think the sum total of what we’ve seen in the UK’s recent data overall will be enough to motivate a cut next week.”

The PMIs, like a report earlier this week from the Confederation of British Industry, showed optimism among firms had jumped following the election, with Markit’s measure reaching the highest since June 2015. They also suggested the pickup may translate into real growth, with measures of new work rising strongly.

The flash readings, based on 85% of responses, showed a gauge for the U.K.’s dominant services sector alone jumped to a 16-month high of 52.9, from 50 last month. Meanwhile an index for manufacturing reached 49.8, up from 47.5 in December and approaching the 50 level that separates expansion from contraction. Final readings will be released in the first week of February

The PMIs have previously come under criticism for being overly sensitive to political developments, while Carney said last year that they can be a misleading indicator of economic output in times of extreme uncertainty.

For example, in the immediate aftermath of 2016’s Brexit vote, they presented a far gloomier picture of the economy than ultimately came to pass, a phenomenon that repeated itself last year.





Source link

Euro near seven-week low after ECB; virus fears support yen By Reuters



By Hideyuki Sano

TOKYO (Reuters) – The euro hovered near a seven-week low against the dollar on Friday after the European Central Bank was seen as more dovish than expected, while anxiety over China’s coronavirus outbreak propped up the safe-haven yen.

The euro stood at $1.1055 (), touching a seven-week low of $1.1036 hit in U.S. trade on Thursday after the ECB held interest rates steady and launched a broad review of its policy.

ECB President Christine Lagarde on Thursday sought to redefine the ECB’s main goal and how to achieve it, as years of the central bank’s experiment with negative interest rates and quantitative easing have failed to deliver targeted inflation levels.

Lagarde told a news conference that risks to growth in the euro zone remained tilted to the downside and traders took her overall tone as dovish.

Purchasing Managers’ Index (PMI) data from Germany and the euro zone due later on Friday is the next focus for the currency.

The common currency was also undermined by the coronavirus threat in China because some countries in the currency bloc, notably Germany, have big trade exposures to the Asian economic giant.

Concerns about the new disease bolstered the yen, which traded at 109.55 yen to the dollar , having risen to a two-week high of 109.26 on Thursday.

The World Health Organisation (WHO) said on Thursday it was “a bit too early” to declare the new coronavirus a global health emergency, providing financial markets with some relief.

Yet many investors were anxious as China took the unprecedented measure of closing transportation networks in Wuhan, putting millions of people in lockdown.

“The Lunar New Year holiday in China has just begun and they say the virus could be latent for about a week. So at least for the next couple of weeks it will be difficult to gauge how much the new disease will have spread during the holiday,” said Shinichiro Kadota, senior FX strategist at Barclays (LON:).

“That suggests the yen is likely to have a strengthening bias during this period,” he added.

The Australian dollar fetched $0.68415 , having erased all of the gains made after a firm payrolls figure the previous day, and was on track for a fourth consecutive week of losses.

On top of worries about the damage from coronavirus, the currency has been dogged by concerns over the fallout from bushfires that have been ravaging the country for weeks.

Elsewhere, sterling traded at $1.3123 , little changed on the day but up 0.9% so far this week as solid UK economic data prompted traders to wind back expectations of a rate cut by the Bank of England at its policy meeting next week.

The country’s PMI data, due at 9:30 a.m. local time (0930GMT) on Friday, is now being closely watched for clues on the BoE’s move at its policy decision on Jan. 30.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Yen Gains On Weak Export Data, Virus Fears; Yuan Drops By Investing.com


© Reuters.

By Alex Ho

Investing.com – The Japanese yen gained on Thursday in Asia gained on Thursday in Asia amid weak export figures and fears about the mysterious virus in China.

The EUR/USD pair inched down 0.1% to 1.1082 as traders awaited the European Central Bank (ECB) policy meeting due later in the day. The meeting will be followed bya press conference with President Christine Lagarde.

The USD/JPY pair lost 0.3% to 109.53 amid ongoing fears about the widening coronavirus outbreak, as authorities ramped up efforts to contain the virus ahead of the weeklong Lunar New Year holiday next week.

The World Health Organisation will decide later on Thursday whether to declare the situation a global health emergency.

On the data front, Japanese exports for December fell 6.3% in December as compared to a year before, data from country’s Ministry of Finance data showed. That was far lower than the expected 4.2% decrease.

The USD/CNY pair lost 0.4% to 6.9283.

The Australian dollar rose 0.2% to 0.6858 after a surprise drop in unemployment.

Meanwhile,the U.S. dollar index that tracks the greenback against a basket of other currencies last traded at 97.335, up 0.04%.

The index traded higher overnight after the National Association of Realtors said pending home sales rose 3.6% to a 5.54 million annual rate. That was the strongest pace of growth since February 2018.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Yen Pushes Higher; Euro in Focus as ECB Meets By Investing.com


© Reuters.

Investing.com – The safe haven Japanese yen gained against the U.S. dollar Thursday on a sharp bout of risk aversion, as battles to contain the new pneumonia-like virus in China intensified, although volatility remained limited.

By 03:30 ET (0830 GMT), the yen had climbed 0.2% against the dollar, with trading at 109.56. The Chinese yuan dropped 0.4% against the greenback, with trading at 6.9313. The Futures, which tracks the greenback against a basket of other currencies, was essentially flat at 97.30.

Earlier Thursday, China issued a travel suspension in Wuhan, a city of 11 million at the center of the outbreak of the coronavirus, as its latest attempt to stop the spread of the disease. The virus has killed at least 17 people so far and infected hundreds of people in China, and as far afield as the U.S., Thailand, Taiwan, Japan and the Republic of Korea.

Elsewhere, the pair inched down 0.1% to 1.1087 as traders awaited the European Central Bank (ECB) policy meeting due later in the day. The meeting will be followed by a press conference with President Christine Lagarde.

Economists expect no changes in any of the monetary policy instruments, and the focus will be on the central bank’s outlook and information on its the strategic review.

“In this environment, markets could pay most attention to the comments talking about a tentative stabilization of economic data and some removal of downside risks,” said analysts at Nordea, in a research note, “which in other words would mean less need for immediate easing.”

That said, Nordea doesn’t expect the euro to receive much lasting support from the central bank, “as the bar for the market to price in any notable ECB tightening remains high.”

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Dollar Edges Higher on Bullish Housing Data By Investing.com


© Reuters.

Invesing.com – The dollar edged higher against its rivals Wednesday, as bullish housing data strengthened expectations that the U.S. economy will remain on solid footing.

The , which measures the greenback against a trade-weighted basket of six major currencies, rose by 0.06% 97.58.

The National Association of Realtors said rose 3.6% to a 5.54 million annual rate. That was the strongest pace of growth since February 2018.

Lawrence Yun, chief economist at the National Association of Realtors, attributed the higher level of housing activity to strong job creation, high consumer confidence and low mortgage rates.

A sharp uptick in the pound, meanwhile, kept the dollar on the backfoot as positive U.K. economy data cooled expectations that the Bank of England will cut rates at the end of the month.

rose 0.59% to $1.312.

But some analysts see limited upside for cable, arguing that seasonal factors will likely weigh on the sterling.

“There is little evidence so far of a broad based rebound in sentiment following the general election plus seasonal factors tend to weigh on GBP through February and March,” Bank of America said.

With just a day ago until the European Central Bank meeting, the euro was largely flat against the dollar at $1.109.

rose 0.62% to C$1.315 after the Bank of Canada kept its benchmark rate on hold, but left the door open to a future rate cut, saying that it will monitor data to gauge whether the recent slowdown in domestic growth has accelerated.

“Today’s statement makes us more comfortable with our call for a rate cut in April, and market odds of a move by mid-year are now slightly above 50%,” RBC said

The was also knocked by a fall in oil prices after the International Energy Agency warned of a surplus in oil supplies by 1 million barrels per day in the first half of this year.

was flat at Y109.87 on subdued safe-haven demand despite reports that the death toll from the Coronavirus had increased to 17, raising fears of contagion.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link