Cromwell FX Market View

Fed & BOE Hike; Payrolls Still Strong

Last week saw both the Fed and BOE raise interest rates by the expected 75bps. The initial reaction was negative as the Fed moved its terminal rate above 5% and risk assets were sold. Despite this Friday’s trading was strong and we ended the week with some market strength.   Euro underperformed during the week…

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Cromwell FX Market View

All eyes on the upcoming Fed

Last week was less volatile as a calm before the storm could come. The UK appointed as expected Rishi Sunak as Prime Minister which had a calming effect on the UK markets. All eyes are turning to the upcoming Fed rate decision.   Euro traded well post the ECB 75bps rate rise. Generally, the market…

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Cromwell FX Market View

Truss Resigns BoJ Intervenes

Last week was a volatile week as UK politics came to a head with Prime Minster Truss resigning and a shortened selection process implemented. USD hit 150 vs the Yen which saw the Bank of Japan intervene once more. Yen moved from 150 down to 145.50 only to move back towards the 149 level.  …

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Cromwell FX Market View

US CPI Pressures Risk Assets

Last week the US CPI print was the spark that moved the risk assets lower. Year on year inflation dropped 0.1% but did beat expectations thus if the Fed continues to follow the data, then it leaves it little room other than to continue their tightening cycle. The DXY gained 0,5% to close at 113.298.…

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Cromwell FX Market View

Strong Payrolls Spur USD Strength

Last week we had the US Payrolls numbers. The strong numbers continued to push the USD higher although the level of volatility was lower than we had seen in previous weeks. The DXY closed 0.5% higher at 112.7.   Euro along with other majors had a more sideways week though still losing ground vs the…

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Cromwell FX Market View

BOE Intervenes

Last week we continued to see elevated levels of volatility. GBP came under initial selling pressure early in the week but also all currencies vs the USD were weak early in the week. The USD gave back gains later in the week despite upside surprise inflationary data. By the end of the week the DXY…

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Cromwell FX Market View

All Hail the King Dollar

Last week saw levels of unprecedented volatility in the Foreign Exchange Markets. The Fed raised rates by 75bps and committed to continue the tightening cycle as it looks to control inflation. This in turn put significant pressure on risk assets. The week finished with the UK mini budget that sent GBP tumbling.   Euro moved…

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