Unexpected developments from Asia significantly influenced global financial markets last week. China’s surprise stimulus measures invigorated investor sentiment, leading to substantial gains in Chinese and Hong Kong equities, as well as strengthening Chinese Yuan. This positive shift boosted commodity-linked currencies, with New Zealand Dollar and Australian Dollar emerging as the top performers for the week….
Risk-on sentiment returned to global markets again in early US trading, driven by lower-than-expected inflation data. While annual PCE core inflation edged up to 2.7%, the monthly increase was a modest 0.1%. This tamer monthly inflation growth suggests that underlying price pressures would, at least, not obstruct Fed’s to another aggressive rate cut at its…
Risk-on sentiment continues to dominate global financial markets today, driven by widespread monetary easing and a significant boost from China’s latest stimulus measures. US equities finished strong overnight, with all major indexes posting gains. S&P 500 hit a fresh record for the third consecutive time this week. Meanwhile, Germany’s DAX also surged to an all-time…
Swiss Franc remained relatively stable today following SNB’s decision to cut its policy rate by 25bps, bringing it down to 1.00%. This move defied some market speculations that anticipated a larger 50bps reduction. Despite opting for a smaller cut, SNB issued a decidedly dovish statement, sharply downgrading its inflation forecasts. The central bank signaled a…
Dollar finished last week on the back foot, reacting to Fed’s decision to cut rates by 50 bps. While the greenback lost ground to most major rivals, its decline was relatively modest. Notably, Dollar managed to close higher against both Japanese Yen and Swiss Franc, and it continued to hold above key near term support…
Global markets continues to a wave of risk-on sentiment today, with Japan’s Nikkei leading the charge in Asia. The index maintained its gains after BoJ decided to keep interest rates unchanged, a move that was widely anticipated. This positive momentum stems from the strong performance of US equities overnight, as DOW and S&P 500 closed…
Sterling surged notably today and reached its highest level against Dollar since March 2022. The move followed BoE’s decision to hold interest rates steady as expected. The surprise came from Deputy Governor Dave Ramsden, who chose not to vote for a rate cut. The overall tone from BoE suggests that while further rate cuts are…
Market reactions were indecisive after Fed’s much-anticipated rate cut overnight. The initial optimism that sparked a rally in US stocks quickly fizzled out, with major indexes closing in the red, while Treasury yields staged a recovery. The reaction was somewhat anticlimactic but understandable given the unusually high level of uncertainty surrounding this FOMC meeting. In…
The much-anticipated FOMC day has finally arrived, and the financial world is eagerly waiting to see if Fed will opt for a 25bps or a more assertive 50bps rate cut. With market expectations split nearly down the middle, and likely some internal divergence within FOMC itself, the outcome is poised to trigger significant market volatility…
Investor sentiment is currently mixed, reflecting the heightened uncertainty surrounding this week’s crucial Fed meeting. While DOW surged to a fresh record high overnight, and S&P 500 edged closer to its historical peak too, the tech-heavy NASDAQ struggled, ending the session in negative territory. The mixed performance extended to Asia, where Nikkei fell sharply in…
