News

The outlook for New Zealand Dollar (NZD) is neutral now, and it is likely to trade in a range between 0.5685 and 0.5770, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.

EUR/USD moves lower for the third consecutive day on Tuesday, trading at the 1.1615 area at the time of writing, after having peaked at 1.1728 on Friday.

General Motors is set to report its third-quarter earnings before the bell Tuesday, setting the tone for results from other major automakers.

USD/JPY rallied by roughly 0.8% to 151.60. Unverified sources signal that Bank of Japan (BOJ) officials are of the view there’s no urgency to hike the benchmark rate next week. Interest rate futures quickly slashed BOJ October rate hike bets from 25% to under 10%, BBH FX analysts report.

Australian Dollar (AUD) is facing mild upward pressure and may edge higher to 0.6530; it is unlikely to break clearly above this level. In the longer run, for the time being, AUD is expected to trade in a sideways range of 0.6445/0.6555, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.

United Kingdom NIESR GDP Estimate (3M): 5.294% (September) vs 0.3%

Silver (XAG/USD) is finally correcting lower. Market expectations that the US and China will de-escalate trade tensions are boosting the US Dollar’s recovery and hurting precious metals.

The pair fell to a low of 0.9210 earlier in the day and also in overnight trading, that being the lowest in nearly a year. I’d still argue that this is the lowest since April as the pair once again finds itself in a tricky spot just above the 0.9200 mark. The figure level seems to be where “someone” is drawing the line on the bottom for the pair these days. *coughs in Swiss notes*

The SNB is already now dealing with the potential threat of deflation again and having to perhaps resort to negative rates sooner or later. The last thing they’d want is for the Swiss franc to breach a key level and strengthen further. Intervention time? Keep your eyes peeled on this one.

The 0.9200 mark is one that we’ve yet to see meaningfully broken since hanging at the lows for about a year-and-a-half now. It could mark one of the more significant moves in what otherwise looks to be a dull week.

This article was written by Justin Low at investinglive.com.

China’s exports of rare earth magnets to the U.S. fell in September, ending months of recovery amid continues trade disputes between the two countries.

The US Dollar (USD) is modestly stronger against most major currencies but remains comfortably within the range established since June, as narrowing U.S.–G6 rate differentials curb the potential for further rallies.