Safe haven assets including the US dollar and Japanese yen strengthen after Austria announced a nationwide COVID-related lockdown, the first western European nation to do so. Traders shift expectations for rate hikes based on this activity. EUR/USD hit a fresh YTD low earlier in the session falling as much as 1%.
“Live boldly. Push yourself. Don’t settle.”
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FX Rates
November 19, 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 1.1313. GBP/USD 1.3458 USD/CAD 1.2620 AUD/USD 0.7261 USD/JPY 113.90 USD/CNH 6.3885 USD/ILS 3.0921 USD/MXN 20.7295 USD/CHF 0.926 USD/INR 74.2375 USD/BRL 5.5300 USD/SGD 1.3600 USD/DKK 6.5747 USD/SEK 8.9110 USD/NOK 8.8565
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USDThe Bloomberg dollar index is trading 0.3% higher. The greenback is stronger versus all G10 peers except the safe haven Japanese yen.GBP
Sterling fell as much as 0.4% to $1.3433, the largest move lower in a week. Comments from Bank of England Chief Economist Huw Pill stated there may be some uncertainty on whether or not the central bank will hike rates in December due to challenges in the economy.
EUREUR/USD broke below 1.1300 hitting the 1.1250 level. Short-term risk reversals favoring euro calls (option to purchase EUR at these levels) have jumped to highest levels this year, this may signal that EUR/USD is settling into a new range.
CADRetail sales out of Canada were better than expected with a headline of -0.6% vs. expectation of -1.7%. USD/CAD is trading higher given the of lower oil prices on renewed fear of lockdowns in Europe and potential coordinated release of strategic reserves by the US and other nations.
ASIA/PACIFICThe Japanese yen strengthened against the USD as lockdown fears resulted in risk-off trading. USD/JPY fell 0.4% hitting a low of 113.59.
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/foreign-exchange-advisory
| Source: Bloomberg | |
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