Fundamental view: The Australian dollar initially rallied during the course of the trading week but gives back the gains and reached the 0.76 level. Weakness in the Aussie may have been for a couple of reasons. The first reason is the drop in iron ore prices, with the Dalian Commodity Exchange (DCE) futures contract down over 17% [...]
Fundamental view: The US dollar has driven higher during the course of the week. The greenback has rallied significantly during the course of the week to break above the ¥110 level. Treasury Secretary Janet Yellen said that inflation would remain elevated through 2021 whereas Dallas Fed President Robert Kaplan noted that improving labor markets might warrant taper talks. [...]
Fundamental view: The British pound has taken the advantage of dollar weakness in the past week but could not take full advantage due to rising UK covid cases. Fed officials have taken a long list to the stage while repeating the same message that the rise in inflation is transitory while economy has a long way [...]
Fundamental view: The Euro initially rallied during the course of the week to reach a high of 1.2266 but then ran into to selling price. Financial markets rotated around US inflation expectations and their possible effects on the current monetary policy. However, Federal Reserve officials succeeded in cooling hopes for a soon-to-come tightening, leaving speculative [...]
