Trading

Rate cut turns market anti-dollar

NEW YORK -- The US dollar hit three-month lows against several major currencies last week, triggering a welcome return of volatility to the markets after months of range trading.

That sinking feeling

Policy flexibility and high productivity have supported the dollar, but they aren’t enough to turn the tide of weak growth and negative technical signals, says Francesca Fornasari.

Germany: the eurozone laggard

There are several positive influences on the euro, but the German economy is holding the currency back, says Nick Bennenbroek, international economist at Brown Brothers Harriman in New York

Short-term divergence

Traders seeking to exploit medium-term misalignments in FX rates should take a close look at euro/Norwegian krone and dollar/Swiss franc trends, says Aziz McMahon, FX strategist at ABN Amro in London

Reliant on foreign inflows

Stock markets may be falling, but foreign investors are still buying US equities, says Michael Woolfolk, currency strategist and head of North America research at Bank of New York

Sterling: the big-picture view

The UK economy is looking increasingly like Cinderella among the ugly sisters of Japan, Europe and the US, says David Bloom, currency strategist at HSBCin London

Euro, yen: G3 laggards

As domestic demand in the Eurozone and Japan slumps, the dollar has shrugged off news of a current account deficit, says Richard Grace, senior currency strategist at WestLB

Real hammered as election woes bite

SAO PAULO -- The Brazilian real dropped near to its lowest-ever level last week as political uncertainty continued following the presidential election on October 6.

Misreading the signals

The US current account deficit is an overestimated factor in determining the dollar's direction, says Niels Christensen, senior currency strategist at SG in London

China FX emergence continues

BEIJING -- The liberalisation and development of China’s FX market is continuing, presenting banks with a potentially lucrative new market.

The lira: built to last

Despite political and economic upheaval, the Turkish lira has remained strong, says Matt Vogel, head of strategy for EMEA at Barclays Capital in London

ABN Amro scores CLS coup

AMSTERDAM -- ABN Amro Bank announced three clients for its third-party Continuous Linked Settlement (CLS) service last week, scoring a coup in the highly competitive market.

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