Three-month HIBOR hits two-year low

Omkar Godbole FXStreet Contributor

The three-month Hong Kong interbank offered rate (HIBOR) has dropped to 1.52% to hit the lowest level since April 2018, according to Reuters News.

The HIBOR has hit a two-year low a day after the Hong Kong Monetary Authority (HKMA) lowered the base rate by 50 basis points to 1.5%.

The US Federal Reserve also cut rates by 50 basis points on Tuesday to contain the negative impact of the coronavirus impact on the economy and markets.

The USD/HKD pair is currently trading at 7.7726, having defended 7.765 for the second day on Wednesday.

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

EUR/USD bounces off lows, back to 1.1860

EUR/USD now manages to regain some balance, retesting the 1.1860-1.1870 band after bottoming out near 1.1830 following the US NFP data on Wednesday. The pair, in the meantime, remains on the defensive amid fresh upside traction surrounding the US Dollar.

GBP/USD rebounds to 1.3660, USD loses momentum

GBP/USD trades with decent gains in the 1.3660 region, regaining composure following the post-NFP knee-jerk toward the 1.3600 zone on Wednesday. Cable, in the meantime, should now shift its attention to key UK data due on Thursday, including preliminary GDP gauges.

Gold stays bid, still below $5,100

Gold keeps the bid tone well in place on Wednesday, retargeting the $5,100 zone per troy ounce on the back of humble gains in the US Dollar and firm US Treasury yields across the curve. Moving forward, the yellow metal’s next test will come from the release of US CPI figures on Friday.