.png){kind=logo}
Global equity markets were buoyant following news that Russian President Vladimir Putin sees a positive shift in negotiations with Ukraine. European stock markets are up between 1% and 3% and the S&P 500 opened up nearly 1%. The US dollar is mixed and US Treasury 10YR yields are up 2 bps to 2.01%. Oil and gold prices are both lower. Talk of economic stagflation – high inflation/slow economic growth - flourishes in the market place.
“It is during our darkest moments that we must focus to see the light.”
-
FX Rates
March 11, 2022Rates 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 1.0983 GBP/USD 1.3083 USD/CAD 1.2702 AUD/USD 0.7323 USD/JPY 116.87 USD/CNH 6.3390 USD/ILS 3.2508 USD/MXN 20.9146 USD/CHF 0.9321 USD/INR 76.5925 USD/BRL 5.0267 USD/SGD 1.3602 USD/DKK 6.7748 USD/SEK 9.6956 USD/NOK 8.9327
-
USD
The dollar is mixed in the FX market, gaining the most value against the JPY and AUD, losing the most value against the NOK, MXN and CAD. Stocks are opening higher following Putin’s upbeat comments on negotiations with Ukraine.
GBPThe UK pound is higher on the back of upbeat economic statistics. UK GDP for January rose 0.8% MoM, its fastest growth in seven months, and much higher than 0.1% expected and December’s -0.2%. Industrial Production and Construction Output also exceeded expectations and previous figures. Traders look forward to next week’s Bank of England meeting – a 75 bps hike is expected, as the BoE is focused on rising inflation and the tight labor market. The BoE's 15 bps hike in December made it the first major central bank to hike rates and in February it hiked 25 bps to 0.50%.EURThe euro traded overnight in a fairly wide $1.0955-1.1045 range, and currently trades around $1.10, representing a small gain over yesterday’s close. There were no economic releases today. Markets are still digesting the hawkish move by the ECB yesterday when they said they will accelerate the reduction of its bond buying program.
CADThis morning’s release of upbeat employment data in Canada for February helped boost demand for the Canadian dollar. Net Change in Employment of 336.6K exceeded 127.5K expected and January’s decline of 200K. Canada’s unemployment rate fell from 6.5% to 5.5%. Canadian government bond 2Yr yields rose 8 bps to 1.62%, its highest level since January 2020.
ASIA/PACIFICThe Japanese yen fell against the US dollar – USD/JPY rose briefly above 117, its highest level since January 2017. The yen’s weakness was a result of lower demand for safe-havens following Putin’s upbeat comments and higher US bond yields, always a key driver of the USD/JPY currency pair. There were no economic releases in Japan today.
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. ©2022 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, accounting and other advisors, and only make investment decisions on the basis of your own objectives, experience and resources. |
