Author: admin
The June Consumer Price Index (CPI) fell 0.4% on the month against consensus for a 0.1% decline, following May’s 0.5% increase, and the annual rate dropped to 3.5% from 4.2%, well under the 3.8% forecast. Core prices were flat MoM and eased to 2.6% YoY versus 2.8% expected. June’s slide in energy costs, the dividend of last month’s ceasefire, did most of the work.The broader market took the gift at face value, with the S&P 500 up 0.5% and the Nasdaq Composite adding 1% on a semiconductor rebound. The Dow Jones Industrial Average trades at 52,356, down 0.29% on the…
Commerzbank’s Michael Pfister argues recent US Dollar strength rests on increasingly hawkish Federal Reserve expectations that may be overdone. With June US inflation seen slightly weaker than consensus and Oil prices lower, he highlights that US Dollar performance has historically been negative on CPI days. Pfister sees asymmetric risks for the Dollar today, with limited upside and greater vulnerability to dovish signals from Chair Warsh.Dollar rally vulnerable to CPI risk”In light of the increasingly hawkish comments from the Fed, we have discussed at length the reasons behind the massive USD rally in recent weeks, while also making no secret of…
The rupee depreciated 62 paise to close at 96.30 (provisional) against the US dollar on Tuesday, amid a surge in crude oil prices and renewed geopolitical concerns.Forex traders said the rupee came under pressure due to a combination of factors — crude oil prices climbed on renewed geopolitical tensions, while demand for the US dollar increased as investors moved toward safe-haven assets.At the interbank foreign exchange market, the rupee opened at 95.95 and settled for the day at 96.30 (provisional), down 62 paise from its previous closing.On Monday, the rupee depreciated 30 paise to close at 95.68 against the US…
The Canadian Dollar (CAD) trades higher against its major currency peers, except antipodeans, during the European trading session on Tuesday. The USD/CAD pair declines 0.25% to near 1.4120 at the time of writing as the Loonie gains amid improvement in the appeal of currencies from economies, such as Canada, which are net Oil exporters.The United States (US) economy is also a net energy exporter, but the US Dollar faces selling pressure ahead of the Consumer Price Index (CPI) data for June release at 12:30 GMT.At press time, the WTI Oil price trades 2.73% higher to near $80.00, the highest level…
Rupee breached the psychologically crucial 96 to the US Dollar mark in early trades amid the US President Donald Trump ratcheting up his war campaign against Iran, sending crude oil prices soaring.The last time that the Rupee breached the 96 to the Dollar mark was in May 2026.The Indian currency opened 34 paise weaker at 95.96 per USD and touched an intraday low of 96.1725 in trades so far. It is currently trading at 96.16, per CCIL data.Brent crude oil spiked to about $85 a barrel against yesterday’s $79 level amid escalating US-Iran hostilities, with Trump seeking to impose a…
The Indian rupee fell on Tuesday past the 96 per dollar mark for the first time since late May as a sharp rise in oil prices this week pressured the currency after tensions in the Middle East deepened, with the U.S. and Iran trading fresh strikes.The rupee fell nearly 0.5% to 96.0775, its weakest level since May 22.Brent crude oil futures were last at $84.6 per barrel, up nearly 11% on the week. Indian equities were under pressure on Tuesday as well with the benchmark stock index, the Nifty 50, down 0.6% and tracking losses in regional stocks.Published on July…
Gold (XAU/USD) recovers slightly from a nearly two-week low, touched during the Asian session on Tuesday, and climbs back above the $4,000 psychological mark, though the upside potential seems limited. The US Dollar (USD) pauses following a strong two-day rally as bulls turn cautious ahead of the latest US consumer inflation figures and Federal Reserve (Fed) Chair Kevin Warsh’s testimony. This, in turn, is seen as a key factor offering some support to the bullion. However, escalating US-Iran tensions, along with firming Fed rate-hike expectations, back the case for a further near-term USD appreciation and should cap the yellow metal.The…
The rupee fell past the key psychological level of 96 per dollar on Tuesday, as oil prices climbed to a one-month high after the U.S. reimposed its naval blockade of Iran while the two countries stepped up attacks in the Strait of Hormuz.The rupee declined 0.56% to 96.16 per dollar, its weakest level since late May.The rupee had rallied to a month high of around 94.15 in June after policymakers unveiled measures – including incentives for foreign-currency deposits and tax exemptions on overseas investments in government debt – to attract dollar inflows.An interim ceasefire between Washington and Tehran had also…
The United Arab Emirates (UAE) Ministry of Defence said that two UAE national tankers, the Mombasa and Al Bahiyah, were targeted by two Iranian cruise missiles in the southern lane of the Strait of Hormuz, in Omani territorial waters, Reuters reported on Tuesday. The source added that one Indian crew member was killed and eight others were wounded.The UAE condemned what it called a “blatant attack” and said the country retained “its full right to respond to this escalation.” The ministry further stated that the UAE remained fully prepared to deal with any threats and was taking all necessary measures…
BNY’s Geoff Yu highlights that Emerging Markets (EM) equity positioning is heavily skewed toward South Korea and Taiwan, with the rest of EM seeing historically low allocations. China’s weakness and poor EM data have already driven valuations to price in disinflation and weak growth. Yu argues that adding EM exposure ahead of any recovery offers a more attractive risk‑reward profile than current positioning implies.EM positioning skewed to chip leaders”Rotation away from EM chip leaders is becoming a more powerful allocation theme. Semiconductor-related stocks in South Korea fell heavily again overnight, while Taiwanese peers also struggled to benefit from solid earnings.…