USD/INR – The Indian rupee opened lower against the dollar ahead of crucial trade talks between the U.S. and China. The rupee opened at 69.88 versus the dollar compared with its previous close of 69.71. Asian equities and currencies extended losses on Thursday before the U.S.-China trade talks. Chinese Vice-Premier Liu He will hold negotiations with U.S. officials on Thursday and Friday in Washington after tensions between the two countries ratcheted higher following President Donald Trump remarks that he plans to increase tariffs on Chinese shipments. The U.S. has accused China of backtracking on previous promises and Trump has said that he is considering taxing all imports out of the Asian nation. Trump said on Twitter yesterday that Beijing had informed Washington that the Chinese Vice-Premier is “coming to the U.S. to make a deal.” He added that if a deal did not materialize, he is “very happy with over $100 Billion a year in tariffs filling U.S. coffers.”
EUR/USD – Against the dollar, the euro was a shade higher at $1.1196, having spent the week stuck in a tight $1.1218-$1.1155 range. EUR/USD remains holed up in the 1.1200 region, shrugging off growing risks that might normally put bears in control. The EU Commission's downgraded outlook , heightened U.S.-Sino trade tensions and 10-year German bund yields trading near -0.05 percent are all factors that should have EUR/USD trading near the 2019 low at a minimum. Bears might be treading cautiously as economic green shoots from the euro zone keep popping up, which could keep the ECB from adding stimulus to the economy as many investors have expected. The U.S. interest rate complex could be limiting the downside as well. If bears don't gain control of EUR/USD soon, odds of an upside move will increase.
26 Jun 2019 05:41 PM
The U.S. today sought greater market access and abolition of barriers to boost trade with India, Secretary of State Mike Pompeo said as the two major economies pledged to deepen their partnership in several sectors ranging from energy to defence.
26 Jun 2019 05:25 PM
Nifty, sensex ended higher for a second day on Wednesday, with, while investors awaited cues from the federal budget due next week.
26 Jun 2019 04:11 PM
Bank of England Governor Mark Carney said the BoE would only factor the possibility of a no-deal Brexit into its economic forecasts if Britain’s next prime minister decides to leave the European Union without a transition agreement.
26 Jun 2019 03:56 PM
Th euro is trading above 1.1350, consolidating losses. The Fed's Bullard and Chair Powell have conveyed a balanced message, boosting the greenback. Treasury Secretary Mnuchin said 90% of the deal with China is done.
26 Jun 2019 01:48 PM
The British pound edged back towards five-month lows on Wednesday after the top contender to replace Prime Minister Theresa May reaffirmed his desire to take Britain out of the European Union with or without any agreement.
26 Jun 2019 12:30 PM
The less dovish rhetoric from a selection of Fed speakers overnight continues to aid the post-FOMC US dollar recovery, prompting the USD/JPY pair to retest the 107.50 level despite negative Asian equities.