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27 Feb 2015
Hawkish Fed officials boost USD – UOB
FXStreet (Barcelona) - The Research Team at UOB Group, summarizes the performance of the USD and treasuries in the NA session, with USD strengthening particularly against the EUR on the back of hawkish comments from senior Fed officials.
Key Quotes
“On Thursday (26 Feb), even as most of the US stock markets headed lower, the US Nasdaq headed towards the 5000-mark boosted by Apple shares.”
“The US dollar rose markedly against the euro on the back of hawkish comments from many senior Fed officials drove US interest rate hike expectations and in expectation for the start of the ECB stimulus programme in March.”
“US Treasury prices fell on Thursday after rising for three straight sessions due to better than expected durable goods orders and firmer core inflation fueled rate hike expectations. Hawkish Fed commentary also helped yields higher and together with the US data, led to weak demand for the 7-year bond auction,the smallest bid-to-cover ratio since November 2013.”
“The US & global crude oil prices came tumbling on Thursday after the brief rebound a day earlier, as the market refocused on Wednesday’s US oil inventories report which showed that US crude inventories rose to a record 434.1 million barrels, a worrying sign of over-supply.”
Key Quotes
“On Thursday (26 Feb), even as most of the US stock markets headed lower, the US Nasdaq headed towards the 5000-mark boosted by Apple shares.”
“The US dollar rose markedly against the euro on the back of hawkish comments from many senior Fed officials drove US interest rate hike expectations and in expectation for the start of the ECB stimulus programme in March.”
“US Treasury prices fell on Thursday after rising for three straight sessions due to better than expected durable goods orders and firmer core inflation fueled rate hike expectations. Hawkish Fed commentary also helped yields higher and together with the US data, led to weak demand for the 7-year bond auction,the smallest bid-to-cover ratio since November 2013.”
“The US & global crude oil prices came tumbling on Thursday after the brief rebound a day earlier, as the market refocused on Wednesday’s US oil inventories report which showed that US crude inventories rose to a record 434.1 million barrels, a worrying sign of over-supply.”