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After steep post-Bernanke losses, the dollar more or less stabilized in N.Y. trade on Thursday. Liquidity was thin, as many traders remained sidelined following the extreme volatility seen the past couple of days. Dollar selling on renewed Fed dovishness appeared to have about run its course, and in the bigger picture, the Fed may be the central bank closest to a tightening policy shift. Read more
The dollar plunged overnight after dovish comments from Fed Chairman Bernanke. This followed yesterday 's FOMC minutes, which highlighted a range of views on tapering, but many members wanted more evidence on jobs. The pace of the dollar sell-off was exacerbated by thin conditions as most of the action came at the Asia Pacific open, where liquidity is often at a very low ebb. Read more
The dollar plunged and stocks surged after the FOMC minutes and dovish comments from Fed Chairman Bernanke shut the door on Fed policy tapering expectations. USD-JPY fell back from over 100.50 in N.Y. and losses extended from 99.60 to 98.25 in Asia. The BoJ left policy unchanged as expected and also upped its assessment on the economy, which will weigh on expectations for more policy stimulus. Read more
The dollar was mixed in N.Y. on Wednesday morning, though ahead of risk events, activity was quite light. Traders largely remained sidelined into the FOMC minutes release, and a speech on the economy from Fed chairman Bernanke after the close. Before the minutes, EUR-USD managed 1.2865 highs, from lows near 1.2810 at the open. Read more
Risk aversion was noted in Europe after weak China trade data impacted sentiment. Exports dropped 3.7% y/y and imports fell 0.7% y/y. Asian stocks only held up because market participants believe Beijing could be forced to give up its focus on inflation fighting and bank lending in order to support the economy. Read more
China trade data limited risk appetite after it came in at very weak levels, with exports dropping 3.7% y/y and imports down 0.7% y/y. However, AUD found support on dips and recovered from 0.9125 to trade over 0.9200 as the breakdown revealed a rise in Australia imports. Read more
The dollar rallied on N.Y. trade on Tuesday, taking EUR-USD toward 1.2755 on the back of dovish ECB speak, and an Italy downgrade. USD-JPY held over 101.00 through the morning session, though dipped to 100.83 on a round of weak longs trimming positions. Read more
The USD, JPY and CHF moved lower in early trade as intra-day accounts responded to a rise in risk appetite. Asia markets benefited from yesterday's earnings report from Alcoa and a reduction in Eurozone risks as Greece got the go ahead to receive the next bailout tranche. Read more
The FX majors continued to trade in tight ranges in another session of consolidation. EUR traded just ahead of 1.2850, Cable was close to 1.4950 and USD-JPY traded around the 101.00 region. China released the first batch of its monthly data releases. Both the June CPI and PPI readings came in close to market expectations at 2.7% y/y and -2.7% y/y, respectively. Read more
FX trade was very quiet in N.Y. on Monday, with ranges generally narrow. This said, the greenback did lose modest ground, with EUR-USD edging toward 1.2880 from 1.2840, and USD-JPY slipping under 100.80 from highs near 101.20. The modest pullback in Treasury yields may have weighed down the greenback to an extent, though some paring of long positions was noted following last Friday's dollar gains. Read more
