Foreign exchange markets and global currency movements.
Coverage of currency markets including major pairs, central bank actions, interest-rate differentials, and geopolitical influences. This section highlights trends in FX markets that impact global trade, inflation, and cross-asset correlations.
743 total articles
Bank of America has reduced its USD/JPY forecasts for year-end 2026 and end-2027, reflecting signs that structural forces which drove prolonged yen weakness are moderating. The U.S. bank cut its end-2026 forecast to 152 from 157 and its end-2027 call to 145 from 150, pointing to an improved basic balance for Japan, stronger inward foreign direct in…
The Indonesian rupiah fell to a record low against the U.S. dollar, underperforming peers across Asia as market participants adopted a cautious stance ahead of Bank Indonesia's upcoming policy decision. The currency dipped to 17,714.4 per dollar, pressured by concerns over the fallout from the Iran war and questions about Jakarta's fiscal plans, ce…
Hungarian Prime Minister Peter Magyar said the government intends to join the euro area but will pursue the required convergence criteria in a measured way to avoid negative economic impacts. He cited potential gains for public borrowing costs and citizens, linked to investor confidence in efforts to reduce the budget deficit, and said the administ…
The pound made a small advance on Monday but remained close to its weakest level since early April. Markets continue to wrestle with the combined influence of inflationary pressures from higher energy prices and heightened political uncertainty in Britain after poor local election results, which have pushed UK gilt yields to multi-year highs.
Sterling made a cautious advance on Monday following last week's heavy selling, but the currency's rebound remains tenuous as domestic political uncertainty and rising global energy costs continue to weigh. GBP/USD was trading around 1.3360 early in the session, while benchmark US Treasury yields climbed, supporting the dollar. Markets remain atten…
Public blockchain analysis indicates Iran’s leading crypto exchange, Nobitex, has routed at least $2.3 billion through the Tron and BNB Chain networks since 2023. Those two blockchains are associated with Justin Sun and Changpeng Zhao, both of whom have provided backing or support to World Liberty Financial, the Trump family-linked crypto firm. The…
Goldman Sachs strategists say the U.S. dollar may be accumulating 'appreciation pressure' beneath a superficially flat trade-weighted profile. They identify two dominant forces - an ongoing energy shock and AI-driven demand - that are altering terms of trade, lifting inflation prospects while producing divergent growth effects. A broader energy sho…
Japanese authorities are believed to have intervened in currency markets in recent weeks, with Citi estimating around 10 trillion yen was used to buy the yen so far. Bank of Japan deposit figures point to interventions of roughly 5 trillion yen on April 30 and a further 5 trillion yen between May 1-6. Citi says foreign exchange reserves exceeding $…
Bank of Japan Deputy Governor Ryozo Himino urged a 'holistic approach' to designing the future global monetary system, arguing that policymakers should not confine choices to central bank digital currencies (CBDCs) and stablecoins. Himino noted Japan's simultaneous progress on stablecoin legislation and a retail CBDC pilot, and highlighted the BOJ'…
The Japanese yen has shown several rapid, short-lived appreciations versus the U.S. dollar in recent weeks, including a pair of sharp moves this week and a smaller spike on May 8. Market participants are watching the pattern closely for signs that Japanese authorities might be conducting limited operations to curb yen weakness, though there is no d…
Sterling fell sharply on Friday as domestic political fractures within the Labour Party combined with a global energy-driven inflation shock to knock the pound to its weakest level in over five weeks. UK government bond yields rose and markets broadly retreated, with traders parsing the possibility of a leadership challenge and a by-election that c…
Bank of America has closed its short position against the British pound following a decline in the currency tied to political uncertainty after May's local elections. The bank cited the particular nature of the political risk, the likelihood that much of the selloff has been priced in, and the potential for a near-term pullback as reasons to exit t…
Asian currencies fell further on Friday as a sequence of stronger-than-expected U.S. economic releases bolstered the dollar and heightened expectations of a hawkish Federal Reserve stance. The Indian rupee plunged to an all-time low near 95.96 per dollar amid rising oil prices, foreign outflows and concerns over India’s import bill. Market attentio…
Sterling slipped versus the dollar on Thursday despite the UK reporting stronger-than-expected GDP for Q1 2026. Markets pared their response to the upbeat macro print as political uncertainty in Westminster and external energy pressures raised doubts about the durability of the growth signal and the Bank of England's inflation path.
Asian currencies were largely rangebound as markets focused on a high-profile meeting between U.S. President Donald Trump and Chinese President Xi Jinping. The onshore Chinese yuan strengthened to its lowest USD/CNY level since February 2023, while the Indian rupee fell to a fresh record low, pressured by higher crude prices and foreign outflows. S…
Sterling edged lower on Wednesday after U.S. producer price data surprised to the upside, strengthening the dollar and reinforcing expectations that the Federal Reserve may maintain higher-for-longer policy. GBP/USD and EUR/USD both fell as Treasury yields climbed and investors reassessed the path for U.S. interest rates. Domestic political uncerta…
Investment bank Morgan Stanley said it could permit limited appreciation of the yuan if export performance stays robust, forecasting USD/CNY near 6.70 in the near term before a gradual move toward roughly 6.80 by mid-2027. Economists at the bank, led by Robin Xing, expect the pair to reach 6.75 by end-2026 and see potential for modest appreciation …
Asian currencies were mostly unchanged in Asian session following sizable gains in the prior day, as hotter-than-expected U.S. consumer inflation prompted investors to temper expectations for Federal Reserve rate cuts. The dollar and U.S. Treasury yields rose, keeping market sentiment fragile amid ongoing Middle East tensions and ahead of a high-pr…
Sterling extended losses Tuesday as political pressure on Prime Minister Keir Starmer intensified, amplifying a negative premium on the pound ahead of a key U.S. April CPI release. GBP/USD slid sharply, while EUR/USD also moved lower. Analysts highlight an emerging political risk premium in cross rates, and ING warns that a hotter-than-expected U.S…
Asian currencies slid as investors sought safety in the U.S. dollar while crude oil remained elevated amid ongoing tensions involving Iran. The Indian rupee plunged to a record low before retracing some losses after suspected central bank intervention. Markets now focus on upcoming U.S. inflation data and a scheduled meeting between Presidents Trum…
Options market pricing on Monday showed investors trimmed wagers on a weaker New Zealand dollar for the third time in four trading days. One-month NZD/USD risk reversals traded at 0.53% in favor of puts, down from 0.67% a week earlier and 0.71% two weeks ago, matching levels last seen on February 19. While the market still leans toward a softer kiw…
Sterling slipped on Monday as markets absorbed a deadlock in Middle East ceasefire talks and braced for a crucial US inflation report due Tuesday. The dollar registered modest gains after hopes for a pre-visit ceasefire faded, while oil traded higher and risk sentiment cooled. Domestic political fallout in the UK added an extra headwind for the pou…
Bank of America examined USD/CNY behavior around six meetings between US President Trump and Chinese President Xi Jinping and found the yuan typically strengthens modestly in the weeks after such summits. The bank's analysis also notes a slight average decline in the Shanghai Composite Index in the 10 days following these encounters, while recent c…
Bank of America assesses that the Kazakh tenge is roughly 1-1.5% overvalued despite current backing from high oil prices and tighter fiscal and monetary policy. While near-term support may persist, the bank warns seasonal headwinds may reverse over the next 2-3 months, potentially exposing the currency to weakness unless emerging-market risk remain…
UBS says the South Korean won is undervalued and that robust balance of payments flows, memory-led export growth and the planned inclusion of Korean Treasury Bonds in a global bond index could push USD/KRW under 1400 in the second half of 2026. The bank highlights valuation gaps against export share and the JPY/KRW cross while estimating a material…
