Japan stated that the Bank of Japan may increase rates prior to hitting its 2% inflation target. The Japanese yen strengthened against all of its G10 peers on speculation of the policy shift. The US dollar index is on pace for almost a 1% loss for this week, this trend lower comes after inflation data was released earlier this week.
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FX Rates
January 14, 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 1.1437 GBP/USD 1.3694 USD/CAD 1.2525 AUD/USD 0.7238 USD/JPY 129.96 USD/CNH 6.3559 USD/ILS 3.1107 USD/MXN 20.3078 USD/CHF 0.9116 USD/INR 74.1537 USD/BRL 5.5456 USD/SGD 1.3470 USD/DKK 6.5070 USD/SEK 8.9794 USD/NOK 8.7207
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USD
The Bloomberg dollar index is trading slightly lower and on track for a 0.9% decline for the week. This is the largest weekly loss since May. US Treasury 10-year yields increased 4bps trading at 1.75%.
GBPData out of the UK showed that the economy grew 0.9% for the month of November. This surpassed pre-pandemic levels of 0.7% in February 2020. GBP/USD remains largely unchanged.EUREUR/USD is trading slightly lower. Next key resistance levels are 1.1495 (March 2020 high) and the psychological level of 1.1500.
CADThe loonie advanced on track for a gain against the US dollar for three out of the last four weeks. The Canadian dollar is supported by higher oil prices which head for a fourth weekly gain.
ASIA/PACIFICThe Japanese yen strengthened against all G10 currencies after a report showed that the Bank of Japan may consider hiking interest rates ahead of hitting its 2% inflation target. The yen is on track for its biggest weekly gain in over a year on speculation of the BOJ policy shifts.
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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