FxWirePro: Capital flows to intensify Brazilian currency but politics and fiscal deficit still a taboo - USDBRL topside seagull to solve the riddle

Jan 04, 2018 10:10 am UTC| Research & Analysis Insights & Views Central Banks

Even though the high-yielding currencies have become consensus trades for 2018, we maintain a more bullish stance than consensus on BRL short term. The significant improvement in capital flows linked to the growth boost we...

FxWirePro: Spot out underperformances in US sell-offs - Risk-off hedging for TWSE and TWD

Jan 04, 2018 08:17 am UTC| Research & Analysis Insights & Views

Asian equity strategists seem to be quite constructive on equities and reckon that the fundamental risks have diminished post the political events this quarter (Chinese National Congress, Japanese elections...

FxWirePro: “Euro strength or perhaps dollar weakness?” Bid EUR/USD and 10y USD ATMS dual digitals as Euro’s next phase of recovery looming

Jan 04, 2018 07:08 am UTC| Research & Analysis Insights & Views Central Banks

Are you puzzled by Euro strength or perhaps dollar weakness instead? Was the latest FX move due to Sterling? The fair elucidation of the exchange rates would always be challenging. Despite robust growth, the ECB would...

FxWirePro: WTI crude spikes through rising wedge, restrain from blowing-out-of-the-proportion, major trend retraces just 38.2% Fibos

Jan 03, 2018 12:20 pm UTC| Technicals Insights & Views

Chart pattern formed - Rising wedge, shooting stars on daily terms and Symmetric triangle resistance break-out and extension of consolidation phase by retracing upto 38.2% Fibonacci retracements on monthly terms. The...

FxWirePro: Does OPEC-NONOPEC effort go into a vein? WTI takes off 2018 with bumpy ride – A glance through demand disruption and supply glut

Jan 03, 2018 11:41 am UTC| Research & Analysis Insights & Views

The pooled Brent and WTI futures and options contracts together remain very high at 926k lots, just slightly below the record high noted in the week before at 934k lots. There was, however, a minor deterioration in the net...

FxWirePro: Glimpse through WTI and Brent OI rebalancing and hedge petrocurrency via vanilla options as crude inches higher range

Jan 03, 2018 10:12 am UTC| Research & Analysis Insights & Views

In 2018, the crude oil balance will likely tighten and inventories draw, on a likely 9-month extension of the OPEC-Russia accord and amid continued firm demand growth. The speed at which US shale responds will help...

FxWirePro: EUR/JPY valuations in sync with 1Y skews, 1y RRs highest among G10 FX space – Bid OTC indications for delta-hedges, directional and aggressive traders

Jan 03, 2018 09:40 am UTC| Research & Analysis Insights & Views

EURJPY PPP and FEER valuations are the yen bears arch-enemies, but they apply far more to the USDJPY than to the EURJPY, given that the euro, too, is significantly undervalued on a PPP basis. The PIIE puts a...