Analysis

Under the combined influence of potential tariffs, growth disparities between Europe and the US and interest rate differentials, we anticipate a weakening of the euro against the dollar in the short term (0-3 months). In the medium term (3-12 months), we expect the decline of the USD Index to lead t

NEW YORK, Feb 6 (Reuters) - Corporate treasurers are ramping up efforts to guard company earnings against more dollar strength, a move that some analysts said points to increased conviction that President Donald Trump's tariff plans will help keep the U.S. currency higher for longer.

The USD/CAD pair remains on the defensive around 1.4300 during the early Asian session on Tuesday, pressured by the weakening of the US Dollar (USD).

TradingKey - Foreign exchange (FX) is a massive market. Daily, almost US$7 trillion in FX is traded, making it one of the biggest (and most liquid) markets in the world. Currencies also impact everything from businesses’ margins to trading relationships. In other words, they are impactful. The bigge

Today, we delve further into the exchange rate markets with a quantitative analysis. Our quantitative exchange rate forecasting tool is based on econometric multi-factor regression models. This approach involves identifying and analysing the key factors that influence exchange rates.

We strongly recommend taking a short position in the EUR/JPY pair to capitalize on this divergence.

NZD/USD extends its losing streak for the third consecutive day, trading around 0.5830 during the European hours on Friday.

The EUR/GBP cross gains momentum to near 0.8330 during the early European session on Friday.

EUR/USD remains on a downward trend for the third consecutive session, hovering around 1.0470 during the Asian trading hours on Friday. The pair dropped to a low of 1.0462 on Thursday, a level not seen since October 2023.

The Australian Dollar (AUD) continues to strengthen against the US Dollar (USD) following the release of mixed Judo Bank Purchasing Managers' Index (PMI) data from Australia on Friday.

The Japanese Yen (JPY) attracted some follow-through buying for the second successive day following the release of slightly higher-than-expected consumer inflation figures from Japan.

EUR/USD trimmed further into the low end on Thursday, continuing to shed weight in the near-term and falling to the lowest bids since November of 2023.

The Euro (EUR) is trading softly on the session, Scotiabank’s Chief FX Strategist Shaun Osborne notes.

The USD/JPY pair slides to near 154.00 in Thursday’s European session. The asset weakens even though the US Dollar (USD) edges higher, with the US Dollar Index (DXY) rising to near 106.70.

The US Dollar (USD) could pull back further; any decline is likely limited to a test of 154.35. In the longer run, USD is expected to trade in a range, likely between 153.30 and 156.50, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.

The immediate resistance level emerges at 107.45; the first downside target to watch is 106.00.

The GBP/JPY cross pares its recent gains, trading around 195.80 during the early European hours on Thursday.

EUR/USD bulls frayed at their ends during the midweek hump session, giving back nearly half of a percent and keeping Fiber price action hamstrung just north of the 1.0500 major handle.

Pound Sterling gathers strength against its peers early Wednesday, supported by the stronger-than-forecast inflation readings for October. Later in the day, investors will pay close attention to comments from Federal Reserve (Fed) and Bank of England (BoE) policymakers. 

USD/CAD consolidates in a range near a one-week low amid mixed fundamental cues.