.png){kind=logo}
Dollar strong ahead of ECB central bank forum
The dollar extends yesterday's gains, breaking key resistance versus the euro. A rise in energy prices and supply chain bottlenecks continue to worry markets amid fears that current inflation may not be transitory. The ECB is hosting its annual central bank forum starting today. Comments by ECB President Lagarde, Fed chair Powell, BoJ Governor Kuroda and BoE Governor Bailey, will be followed closely by financial markets. US stocks are opening higher and UST 10Yr yields are stable near 1.5%.
"Some painters transform the sun into a yellow spot, others transform a yellow spot into the sun.”
-
FX Rates
September 29, 2021Rates are not real time. Rates are today's indicative mid-market rates as of time of publishing, which may vary. Please contact SVB for a current quote.
EUR/USD 1.1640 GBP/USD 1.3450 USD/CAD 1.2708 AUD/USD 0.7202 USD/JPY 111.57 USD/CNH 6.4695 USD/ILS 3.2158 USD/MXN 20.4680 USD/CHF 0.9307 USD/INR 74.1500 USD/BRL 5.4350 USD/SGD 1.3585 USD/DKK 6.3890 USD/SEK 8.7570 USD/NOK 8.7400
-
USD
The dollar is higher versus G10s with the exception of the yen and Swiss franc. The USD achieved 10-month highs amid month-end rebalancing by global investors and higher treasury yields. Traders will look to today’s central bank forum for clues on monetary policies. On the domestic side, the US Senate is working to come to consensus on a temporary spending bill to avoid a government shutdown.
GBPThe pound lost 0.4% to the dollar and is at its lowest level since January as inflation fears mount across the UK.
EURThe euro shed another 0.3%, breaking below key support at $1.1663. ECB Governing Council member Makhlouf commented yesterday that the ECB needs to be cautious right now and not raise rates in response to transitory inflation.
CADThe greenback gained against the Canadian dollar amid risk-off trading, strong dollar buying interest and oil prices backing off from 3-month highs.
ASIA/PACIFICThe yen slipped slightly again, reaching an 18-month low versus the dollar.
Amid Evergrande fallout, China's central bank injected liquidity for the ninth day into the banking system.
For more analysis on FX markets or information regarding SVB's FX services:
See all of SVB's latest FX information and commentary at www.svb.com/trends-insights/foreign-exchange-advisory
Subscribe to receive the Daily FX Update in your inbox.
By providing your email address and clicking on the Subscribe button below, you consent to receive emails from Silicon Valley Bank for your chosen categories. You also consent to the terms of our Privacy Notice. If you have privacy questions, you may contact us at PrivacyOffice@svb.com. You can withdraw your consent at any time.
Thank you for subscribing to SVB's Daily FX Update.
You're almost done. Please check your email box and follow the instructions to confirm your subscription. If you did not receive an email please check your Spam or Bulk E-Mail folder just in case the confirmation email got delivered there instead of your inbox. If so, select the confirmation message and mark it Not Spam, which should allow future messages to get through. Please add us to your trusted list of senders, contacts or address book.
Please note that we will continue to send you communications that we need to send you (for example, to keep you updated on operational changes to your account, a product or a service) or that we are required to send you by law.
| Source: Bloomberg | |
This article is intended for U.S. audiences only. ©2021 SVB Financial Group. All rights reserved. Silicon Valley Bank is a member of the FDIC and the Federal Reserve System. Silicon Valley Bank is the California bank subsidiary of SVB Financial Group (Nasdaq: SIVB). SVB, SVB FINANCIAL GROUP, SILICON VALLEY BANK, MAKE NEXT HAPPEN NOW and the chevron device are trademarks of SVB Financial Group, used under license. The views expressed in this email are solely those of the author and do not reflect the views of SVB Financial Group, or Silicon Valley Bank, or any of its affiliates. This material, including without limitation the statistical information herein, is provided for informational purposes only. The material is based in part upon information from third-party sources that we believe to be reliable, but which has not been independently verified by us and, as such, we do not represent that the information is accurate or complete. The information should not be viewed as tax, investment, legal or other advice nor is it to be relied on in making an investment or other decisions. You should obtain relevant and specific professional advice before making any investment decision. Nothing relating to the material should be construed as a solicitation or offer, or recommendation, to acquire or dispose of any investment or to engage in any other transaction. Foreign exchange transactions can be highly risky, and losses may occur in short periods of time if there is an adverse movement of exchange rates. Exchange rates can be highly volatile and are impacted by numerous economic, political and social factors, as well as supply and demand and governmental intervention, control and adjustments. Investments in financial instruments carry significant risk, including the possible loss of the principal amount invested. Before entering any foreign exchange transaction, you should obtain advice from your own tax, financial, legal and other advisors, and only make investment decisions on the basis of your own objectives, experience and resources. |
