The Russian-Ukraine crisis has not gone away and continues to unsettle global investors. Stock markets have not continued yesterday’s rally as Russian troops remain within striking distance of the Ukraine. Bond yields are slightly lower, and the US dollar is weaker across the board. Oil and gold prices have edged higher.
-
FX Rates
February 16, 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 1.1370 GBP/USD 1.3580 USD/CAD 1.2679 AUD/USD 0.7173 USD/JPY 115.41 USD/CNH 6.3371 USD/ILS 3.1925 USD/MXN 20.3525 USD/CHF 0.9234 USD/INR 75.0750 USD/BRL 5.1567 USD/SGD 1.3440 USD/DKK 6.5455 USD/SEK 9.2933 USD/NOK 8.8941
-
USD
The dollar is broadly lower as investors digest news that Russian troops remain poised to invade and that diplomacy has yet to resolve the crisis. Both January’s Retail Sales and Industrial Production released this morning were much higher than expected. Traders await this afternoon’s release of January’s Fed policy meeting.
GBPThe UK pound gained on the USD in line with broad dollar weakness and following high UK inflation data for January released this morning. CPI YoY of 4.9% was in line with expectations and slightly higher than December’s 4.8%, and Producer Prices rose 1.2% MoM, higher than 0.6% expected and December’s 0.3%.
EURThe euro is slightly higher, but well within the $1.13-$1.1450 range in place over the last nearly two weeks. December’s Industrial Production for the eurozone was much higher than expected. Traders look forward to next week’s release of eurozone PMI for February and CPI for January.
CADThe Canadian dollar rallied on the back of a weaker USD and higher than expected inflation in Canada. January’s CPI YoY of 5.1% exceeded expectations and December’s 4.8%. Traders await the next Bank of Canada meeting on March 2 with expectations for a rate hike of 25 bps following January’s meeting when the BoC disappointed traders with no hike.
ASIA/PACIFICThe Japanese yen was the only losing currency overnight, as its role as a safe haven was diminished even after US Secretary of State Blinkin said that there is no evidence that Russia pulled back any troops.
The Chinese yuan moved little overnight, putting a halt to the currency’s big rally yesterday, which saw it move from 6.36 to 6.34, its biggest gain since December. The USD/CNY is not far from January’s low at 6.3205, which was a four-year low in the currency pair. The People’s Bank of China has suggested that the yuan should weaken as major central banks tighten while it continues to ease rates to support economic growth.
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 | |
This article is intended for U.S. audiences only. ©2023 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. |
