Intra-Day Market Moving News and Views
27 Jan 2015 6:15GMT
USD/CHF -...... Both dlr/chf & eur/chf rallied sharply in Monday session, traders cited part of the reason was on a large increase in the SNB's sight deposits.
Bloomberg reported sight deposits at the SNB increased nearly 8% last week, suggesting the central bank continued to buy foreign currency after it abandoned its cap on the franc.
Sight deposits of domestic banks increased to 365.5 bln francs in the week ending January 23 from 339.6 bln francs a week earlier, data published on the SNB's website Monday showed.
Today SNB's Vice Chairman Jean-Pierre Danthine, (he said 2 week ago on Monday the central bank would maintain the peg but 3 days later, SNB unpegged the franc cap) he said in an interview on Tuesday the SNB is ready to intervene in the foreign currency market to ease monetary policy after ditching its cap on the Swiss franc earlier this month.
Dantine told Swiss national daily TagesAnzeiger "Giving up the cap means a tightening of monetary policy. We accept this, but only up to a point. We are fundamentally prepared to intervene in the FX market."
He then said it would take some time for the FX markets to balance out, but declined to give exact levels, saying the central bank was not only looking at the exchange rate with the euro but also with the dollar.
Recommended Content
Editors’ Picks
EUR/USD extends gains above 1.0700, focus on key US data
EUR/USD meets fresh demand and rises toward 1.0750 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
USD/JPY keeps pushing higher, eyes 156.00 ahead of US GDP data
USD/JPY keeps breaking into its highest chart territory since June of 1990 early Thursday, recapturing 155.50 for the first time in 34 years as the Japanese Yen remains vulnerable, despite looming intervention risks. The focus shifts to Thursday's US GDP report and the BoJ decision on Friday.
Gold closes below key $2,318 support, US GDP holds the key
Gold price is breathing a sigh of relief early Thursday after testing offers near $2,315 once again. Broad risk-aversion seems to be helping Gold find a floor, as traders refrain from placing any fresh directional bets on the bright metal ahead of the preliminary reading of the US first-quarter GDP due later on Thursday.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price.
US Q1 GDP Preview: Economic growth set to remain firm in, albeit easing from Q4
The United States Gross Domestic Product (GDP) is seen expanding at an annualized rate of 2.5% in Q1. The current resilience of the US economy bolsters the case for a soft landing.