Day: October 2, 2018

October 2
2018

Canadian Dollar Cannot Hold Onto Momentum in USMCA Aftermath

The Canadian dollar is trading lower on Tuesday in the aftermath of the historic trilateral trade deal between Canada, the US, and Mexico. The loonie could not sustain the momentum, especially as energy futures tumbled. The buck may now find short-term direction in this week’s September jobs report and August trade data. On Sunday, the three nations struck a last-minute trade deal that abandons the North American Free Trade Agreement (NAFTA) in favor of the USMCA. […]

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October 2
2018

Japanese Yen Strong as Risk Appetite Caused by USMCA Fades

The Japanese yen was strong today. It is unlikely that today’s Japanese domestic macroeconomic data, which was mixed, played role in that. Some market analysts speculated that the currency rallied because risk appetite caused by the trade deal between the United States, Mexico, and Canada faded. That could also explain the weakness of the commodity currencies. As for Japan’s economic reports, the monetary base increased by 5.9% in September, year-on-year, […]

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October 2
2018

Australian Dollar Tumbles After RBA Stands Pat

The Australian dollar dropped following the monetary policy decision of the Reserve Bank of Australia, even though the central bank did not make changes to its monetary policy and the statement was neutral. As was widely expected, the RBA left its main interest rate at 1.5%. The policy statement was little changed from the previous one. Overall, the central bank continued to demonstrate that it is in no rush to start raising rates. […]

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