Japanese Yen Outlook Remains Bullish But for Possible Intervention
The Japanese Yen was one of the best performing currencies on the week, as expected given the continued global shift to risk-aversion. While the Yen did not stand up to its usual prowess against the other major currencies – it fell against the British Pound, Swiss Franc and U.S. Dollar – it remained significantly stronger than the commodity currency block.
Sterling Eyes BoE as Growth Concerns Take Root
The sterling continued to pare some of the steep declines seen early in ht month with a weekly advance of nearly 1% against the greenback. Although the economic calendar was rather subdued out of the UK this week, stronger than expected prints on September nationwide house prices and August Mortgage approvals helped fuel the pounds assault.
US Dollar at Critical Levels Ahead of Nonfarm Payrolls, ECB Decision
Panic stock market sell-offs set the stage for continued S&P weakness into what promises to be a critical week for the US Dollar and broader financial markets.
New Zealand Dollar Weakness To Gather Pace On Rate Expectations
The New Zealand dollar slipped to a fresh monthly low of 0.7606 and the high-yielding currency may continue to lose ground over the following week as the fundamental outlook for the isle-nation deteriorates.
Gold Outlook Remains Bearish On USD Strength
Gold traded heavy during the last week of September and the bearish sentiment underlying the bullion may carry into the following month as market participants diversify away from the precious metal.
