RBNZ cuts OCR to 3.75%, signalling more front-loaded easing. We see 50bps of cuts in Q2 (25bps prior), 25bps in Q3 (unchanged), and a pause in Q4 (25bps cut prior). Output gap deteriorates sharply, reinforcing the case for further easing in 2025. NZD reaction muted, with markets largely pricing in the move, Standard Chartered’s analysts … Read more
Gold jumps higher for a third straight day in a row and hits a new all-time high on Wednesday. US President Donald Trump blamed Ukraine and committed again to several tariffs. Technically, Tuesday’s daily close above $2,910 worked, boosting the Gold price to a fresh all-time high. Gold’s price (XAU/USD) sees its winning streak going … Read more
The Pound Sterling attracts some bids after the release of a hotter-than-expected UK inflation report for January. BoE’s Bailey expects the uptick in inflation won’t be persistent in nature. US President Trump threatens to impose 25% tariffs on automobiles, semiconductors, and pharmaceuticals. The Pound Sterling ticks higher against its major peers after the release of the … Read more
EUR/GBP softens to around 0.8285 in Wednesday’s early European session. UK CPI inflation rose to 3.0% YoY in January vs. 2.8% expected. The dovish stance from the ECB might drag the Euro lower. The EUR/GBP cross weakens to near 0.8285 during the early European trading hours on Wednesday. The Pound Sterling (GBP) edges higher against the … Read more
The Japanese Yen gains some positive traction following an Asian session downtick. Bets for more interest rate hikes by the BoJ continue to act as a tailwind for the JPY. The divergent BoJ-Fed expectations further contribute to the USD/JPY pair’s slide. The Japanese Yen (JPY) builds on steady intraday ascent heading into the European session … Read more
NZD/JPY recovers swiftly after the post-RBNZ slide to a one-week trough. A positive risk tone undermines the JPY and also lends support to the cross. BoJ rate hike bets help limit further JPY losses and cap gains for spot prices. The NZD/JPY cross rebounds around 80-85 pips from a one-week trough touched during the Asian … Read more