- Analytics
- News and Tools
- Market News
- A rising USD/CNH translates into more pressure on JPY, AUD and NZD – SocGen
A rising USD/CNH translates into more pressure on JPY, AUD and NZD – SocGen
USD/CNH tracks yield differentials almost as well as USD/JPY. Kit Juckes, Chief Global FX Strategist at Société Générale, analyzes FX markets – that are still watching central banks.
NOK/SEK has upside ahead of next week’s Norges meeting
Relative ECB and Fed rate paths suggest the euro remains vulnerable unless stronger European data emerges soon. EUR/GBP meanwhile, is tracking rate expectations very closely, but since we’ll get two more months’ worth of CPI data before the Sep 21 MPC meeting, a big lurch in expectations is unlikely, one way or the other.
USD/CNH tracks 10-year yields nearly as well as USD/JPY. The Chinese authorities may not want a weaker currency from here, but it’s hard to see this trend turning downwards until US yields peak. A rising USD/CNH translates into more pressure on JPY, AUD and NZD.
Finally, NOK/SEK is also tracking rate expectations closely. The Norges Bank is likely to raise rates by another 25 bps at next week’s meeting and that should be enough to keep the NOK bid.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
