Fall in crude prices keep the Canadian dollar weak
The Canadian dollar had a piggyback ride on the US dollar and remained strong against most of its rivals, including the Euro, Pound and Yen in January. In reality, the Loonie should have fallen against its rivals on fundamental weakness.
Read MoreRise in inflation rate strengthens Canadian dollar
Lower than expected inflation rate, rise in unemployment and Trump’s plan to renegotiate the NAFTA agreement kept the Canadian dollar under pressure against the commodity currencies such as the New Zealand dollar. Since January 10th , the NZD/CAD pair has
Read MoreAussie signals downtrend on decline in consumer prices
The AUD/USD rally, which began in the last week of December 2016, took the pair to a high of 0.7608 on Tuesday this week. This translates to a gain of nearly 450 pips since December 26th . Most of these
Read MoreAussie remains weak on falling coking coal prices
The annual Financial Times report for 2017, prepared on the basis of a survey conducted among economists tracking developments in the UK, warned the possibility of slower growth, decrease in business investments, and squeezing of household incomes due to higher
Read MoreSoft retail sales data turns Aussie weak
Last month, the Australian dollar hardly reacted to the news of 0.5% economic contraction in the third-quarter of 2016. Analysts and traders in general discarded the economic data as a one-time event. Their argument was based on the fact that
Read MorePound remains bullish on strong manufacturing PMI data
The talk of hard-Brexit pushed the Pound lower against major currencies in mid-December. The FOMC’s statement pointing out a possibility of up to three rate hikes this year also aided the decline of the Pound. Surprisingly, Australia’s third-quarter economic contraction
Read MoreLoonie gains ahead of OPEC, non-OPEC production cuts
Earlier this week, the Statistics Canada reported a 0.3% m-o-m economic contraction in October. The news comes after four consecutive months of economic expansion. Analysts were expecting a growth of at least 0.1% in October. The disappointing economic data pushed
Read MoreKiwi dollar weakens on fall in dairy prices
The interest rate cut announced by the Reserve Bank of New Zealand, in November, did not have the intended effect on the New Zealand dollar, which appreciated against all the major currencies including the Japanese Yen. One of the main
Read MoreSigns of economic recovery strengthens Singapore dollar
Since mid-November the Singapore dollar remains weak against the Greenback. The primary reason for the weakness is the 0.2% drop in the consumer prices and the poor preliminary GDP growth estimate of 0.6%. The Singapore economy derives a major portion
Read MoreNew Zealand dollar turns bullish on rise in dairy prices
The announcement of production cut by the OPEC cartel, which pumps out nearly 1/3rd of global crude supply, enabled the price of crude oil to hit a 16-month high of $55.33 per barrel. This further strengthened the Canadian dollar against
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