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The Euro gives back its bounce as French bonds sell off again
Banque de France Governor Moulin said on Wednesday that the strain in French bonds is serious but doesn't meet the conditions for help from the European Central Bank (ECB). French 10-year yields went back up after Tuesday's relief.
Mexican Peso holds firm as FOMC Minutes signal further rate hikes
The Mexican Peso finishes its winning streak yet holds firm at around Wednesday’s opening price against the US Dollar, after the minutes of the Federal Reserve’s last meeting revealed that officials expect another rate hike by the year’s end. The USD/MXN trades at 17.98, virtually unchanged.
The Pound slides back to the bottom of its range as the bond selloff resumes
The low of every session since September 24 has come within half a cent of 1.3200, and Wednesday made it ten in a row. GBP/USD trades just above 1.3200, below the level Tuesday's rally started from.
Chinese Yuan: Tight ranges persist against US Dollar – UOB
United Overseas Bank strategists Quek Ser Leang and Lee Sue Ann describe USD/CNH as confined to a narrow intraday band around 6.7000, with a slightly firmer tone in the very short term.
Vietnamese Dong: Constructive but upside constrained – Commerzbank
Commerzbank’s Asia FX team highlights a constructive near-term outlook for the Vietnamese Dong (VND), supported by strong Foreign Direct Investment (FDI) inflows and robust growth. USD/VND stayed around 25,994, below its July peak, leaving VND about 1.2% stronger year-to-date.
Silver Price Forecast: XAG/USD cracks $60 as bears eye $56
Silver (XAG/USD) price extends its losses on Wednesday, following Gold’s path, as the latest Federal Reserve (Fed) Minutes showed that officials expect another rate increase towards the year-end. The XAG/USD pair trades at $59.69, down by over 1.67%.
South Korean Won: Upside risks with key levels in focus against US Dollar – OCBC
Christopher Wong at OCBC Bank notes that USD/KRW continues to trade heavy as exporter US Dollar (USD) selling and a softer external backdrop support the Korean Won (KRW), even as foreign equity outflows cap gains.
United States Consumer Credit Change below forecasts ($15B) in August: Actual ($8.28B)
United States Consumer Credit Change below forecasts ($15B) in August: Actual ($8.28B)
Gold slides below $4,100 as FOMC Minutes signal further Fed hikes
Gold (XAU/USD) price pressures on the downside on Wednesday, yet it has reclaimed the $4,100 mark as US Treasury yields erased some of its earlier gains and turned negative.
Thai Baht: Inflation rise and THB downside risks – Commerzbank
Commerzbank economists note Thailand’s September CPI rose 2.8% year-on-year, below consensus but the highest since April, bringing headline inflation close to the upper end of the Bank of Thailand’s target range. They expect headline inflation to rise further on persistent supply-side pressures, yet see demand-side forces as benign. USD/THB fell to 33.62, though downside risks to the Baht remain elevated.
Argentina Industrial Output n.s.a (YoY): -3.2% (August) vs -4.9%
Argentina Industrial Output n.s.a (YoY): -3.2% (August) vs -4.9%
Forex Today: Weekly Claims and Fedspeak on top of the agenda
The US Dollar (USD) has resumed its uptrend, advancing to two-day highs while rapidly forgetting Tuesday’s hiccup. The extra gains in the Greenback have come in tandem with the equally decent advance in US Treasury yields on the belly and long end of the curve.
China: Targeted stimulus supports growth – Societe Generale
Societe Generale strategist Michelle Lam analyzes recent Chinese policy moves, noting that new property and monetary easing should keep growth on track and help China meet its Gross Domestic Product (GDP) target at the lower end of the range.