Tag Archives: AUD Australian Dollar

Fed Minutes Show Some Participants Preferred Smaller Rate Cut

Minutes from the Federal Reserve’s emergency monetary policy meetings in March showed a few participants preferred a smaller interest rate cut to slashing rates by a full percentage point at the March 15th meeting. The minutes said some meeting participants favored cutting rates by 50 basis points, noting that such a decision would provide support to the economy in the face of coronavirus outbreak while preserving the Fed’s ability to lower rates again in the event the economic outlook deteriorated further. The participants also noted that cutting rates by 100 basis points less than two weeks after an emergency 50 basis point cut ran the risk of sending an overly negative signal about the economic outlook. Nonetheless, the Fed ultimately voted to slash rates by 100 basis points to a range of zero to 0.25 percent, pointing to the likely near-term decline in economic activity due to the coronavirus outbreak and the extremely large degree of uncertainty about the length and severity of the decline. Cleveland Fed President Loretta J. Mester voted against the action, preferring to reduce the target range for the federal funds rate to 0.5 to 0.75 percent. The minutes noted Mester was fully supportive of all…

Poland Cuts Key Rate Further On Outlook For Sizable Economic Slump On Covid-19

Poland’s central bank cut its key interest rate for a second policy session in a row as policymakers expect economic activity to fall drastically in the short run due to the containment measures adopted to slow the spread of the coronavirus, or Covid-19, pandemic. The Monetary Policy Council decided to cut the key reference rate by 50 basis points to a fresh record low 0.50 percent, the National Bank of Poland said in a statement on Wednesday. The bank had slashed the rate by 50 basis points in an emergency meeting on March 17. The lombard rate was lowered to 1 percent from 1.50 percent, while the deposit rate was cut to zero. The rediscount rate was slashed to 0.55 percent from 1.05 percent. “In the short run, the scale of activity drop could be very sizable,” the NBP said. “This will be accompanied by a deteriorating situation in the labour market and a fall of disposable income of households.” Policymakers expect the economic activity to gradually recover further ahead, supported by fiscal measures introduced in the country and many other countries as well as strong macroeconomic fundamentals of the Polish economy. They expect inflation to fall below the target…

Gold price remains in bullish trend but vulnerable to a pullback.

In our previous analysis when Gold price was trading around $1,650 I said that we expect a pull back in Gold price. So far the pull back has been very shallow and so far important support trend lines remain intact.Green line – supportRed line – resistanceGold price continues to make higher highs and higher lows. Price is touching once again the green upward sloping support trend line. As long as this trend line remains intact we remain optimistic and consider each pull back as a buying opportunity. But bulls need to be very cautious as the oscillators have reached overbought levels. We could soon see new short-term higher highs in Gold price and the oscillators to produce a lower high. This is the most probable scenario now. To see some bearish divergence signs. Overall I believe Gold price is very vulnerable to a pull back towards $1,600-$1,570 again. I believe the most probable scenario as long as we hold above $1,638 is to see $1,670-80 before turning lower. If $1,638 fails to hold then I would expect price to move lower right away.The material has been provided by InstaForex Company – www.instaforex.com…

Taiwan Trade Surplus Decreases In March

Taiwan’s trade surplus decreased in March, as exports declined and imports rose, figures from the Ministry of Finance showed on Wednesday. The trade surplus decreased to US$ 2.78 billion in March from 3.09 billion last year. Economists had expected a surplus of US$ 3.2 billion. In January, trade surplus was US$ 3.3 billion. Exports decreased 0.6 percent year-on-year in March, after a 24.9 percent rise in February. Economists had expected a decline of 6.7 percent. Imports rose 0.5 percent annually in March, after a 44.7 percent increase in the preceding month. Economists had forecast a fall of 6.6 percent. Exports of parts of electronic product, information, communication and audio-video products grew in March, while exports of base metals and articles of base metal, machinery, plastics and rubber, and articles declined. Imports of parts of electronic product, base metals and articles of base metal increased from a year ago, while imports of mineral products, machinery, chemicals decreased Exports to Mainland China and Hong Kong, and ASEAN both grew in March, while exports to Japan, U.S.A. and Europe declined. In the January to March period, exports and imports rose by 3.7 percent and 3.5 percent, respectively, from a year ago. The material…

Financial markets and indices #SPX, #DAX amid the coronavirus pandemic COVID-19

Dear colleagues.There is no pause in the outpour of shocking scenarios, and Donald Trump has once again managed to surprise the public. According to the calculations of White House analysts, on a light scenario, there is an estimated 150,000 deaths in the US due to the COVID-19 pandemic, while the worst-case scenario draws over 2 million number of infected cases. Despite this, the US citizens seemed to look rather pleased with this announcement.Against this backdrop, the US intelligence sees this better than blaming China for underestimating the number of victims. The underestimation on China’s part is only natural, as they were able to control the spread of the virus immediately although it might have seemed so impossible to do so. The current state of the virus outbreak in the US is none other than due to the collapse of the vaunted American health care system, which is costing the budget a tidy sum of $ 1.3 trillion. This scenario gravely affects the US economy and not in a good way.Massive injections of central banks and the Federal Reserve System led to some stabilization in financial markets, the liquidity of which improved significantly. Thus, for example, from February 25 to March 31,…

Denmark Exports Fall In February

Denmark’s exports and imports declined in February, figures from Statistics Denmark showed on Wednesday. Exports excluding ships, aircraft, fuel fell a seasonally adjusted 2.3 percent year-on-year in February, after a 4.8 percent rise in January. Imports decreased 2.0 percent annually in February, after a 3.7 percent increase in the preceding month. The seasonally adjusted trade surplus excluding ships, aircraft, fuel was DKK 10.5 billion in February. Despite increases in January, both imports and exports have fallen over the past three months, the agency said. The material has been provided by InstaForex Company – www.instaforex.com…

GBP/USD. April 8. COT report: both hedgers and speculators are getting rid of the pound. Long contracts are closed in large

GBP/USD – 1H.

Hello, traders! According to the hourly chart, the GBP/USD pair performed a reversal in favor of the British dollar and anchored above the weak downward trend line. Thus, the weak “bearish” mood was replaced by an equally weak “bullish” one, because, as we can see, the pair’s quotes do not tend to grow very much. Moreover, at the beginning of the European session, there is even a slight drop. Based on this, I recommend that you refer to the older charts at this time to get the necessary information. The hourly chart is currently uninformative. From the main news of the past day, I highlight reports that British Prime Minister Boris Johnson, according to members of the government, is not connected to a ventilator, although he is in the intensive care unit, and he has not been diagnosed with pneumonia. Thus, Johnson’s life is now in no danger.
GBP/USD – 4H.

On the 4-hour chart, the GBP/USD pair performed a reversal in favor of the English currency after the formation of a bullish divergence in the CCI indicator and anchored above the corrective level of 50.0% (1.2303). Thus, the growth process can be continued on April 8 in the direction of…

Japan Feb. Core Machine Orders Climb 2.3%

Core machine orders in Japan rose a seasonally adjusted 2.3 percent on month in February, the Cabinet Office said on Wednesday – standing at 858.5 billion yen. That exceeded expectations for a decline of 2.9 percent following the 2.9 percent increase in January. On a yearly basis, core machine orders fell 2.4 percent – also beating expectations for a fall of 3.0 percent following the 0.3 percent drop in the previous month. For the first quarter of 2020, core machine orders are forecast to have fallen 2.0 percent on quarter and 0.6 percent on year. Government orders plummeted 39.1 percent on month and 3.6 percent on year, while orders from overseas added 2.7 percent on month and fell 10.2 percent on year and orders through agencies eased 2.7 percent on month and 1.7 percent on year. The total value of machinery orders received by 280 manufacturers operating in Japan shed 6.9 percent on month in February. Also on Wednesday, the Ministry of Finance said that Japan had a current account surplus of 3,168.8 billion yen in February – up 21.2 percent on year. That beat forecasts for a surplus of 3,067.2 billion yen and was up from 612.3 billion yen…

Japan Has Y3,168.8 Billion Current Account Surplus In February

Japan had a current account surplus of 3,168.8 billion yen in February, the Ministry of Finance said on Wednesday – up 21.2 percent on year. That beat forecasts for a surplus of 3,067.2 billion yen and was up from 612.3 billion yen in January. The trade balance reflected a surplus of 1,366.6 billion, exceeding expectations for 1,215.0 billion yen following the 985.1 billion shortfall in the previous month. Exports were up 0.4 percent on year to 6,332.2 billion yen, while imports tumbled an annual 14.6 percent to 4,965.6 billion yen. The material has been provided by InstaForex Company – www.instaforex.com…