Back

EUR: Trades under 1.09 after the ECB keeping rates on hold – DBS

EUR/USD dips slightly under 1.09. ECB kept rates on hold as expected and left a September rate decision ‘wide open’ and data dependent, DBS FX & Credit Strategist Chang Wei Liang notes.

ECB to lean towards caution

“EUR/USD dipped slightly under 1.09, with the ECB keeping rates on hold as expected and leaving a September rate decision ‘wide open’ and data dependent. ECB President Lagarde hinted that another cut is possible if the data ‘confirms the disinflationary process’, and market expectations had not budged from largely expecting a cut in September.”

“Meanwhile, fractious French politics and possible disagreements over the budget could weigh on consumption and investment, adding another reason for ECB to lean towards caution.”

USD/CNH: RMB unexcited post-Plenum – DBS

RMB markets were not excited at the conclusion of China’s Third Plenum, and USD/CNH is likely to consolidate around 7.25-7.30, DBS FX & Credit Strategist Chang Wei Liang notes.
Read more Previous

US Dollar gains as markets turn risk-averse

On Friday, the US Dollar measured by the DXY index continued its rebound beyond the 104.00 mark, reaching 104.30, despite persistent worries about the labor market.
Read more Next