Physical Address

304 North Cardinal St.
Dorchester Center, MA 02124

How are FX investors trading currencies


Foreign currencies are advertised in a window in a window in Times Square, one of New York, New York, New York, New York, New York, New York.

Spencer Platt | Getty pictures

US President Donald Trump’s role Tariffs mode Dollar and investors want to look at another place for foreign currency (FX) trade and the investors to CNBC

The dollar index, which measures a basket value against Greenbacback’s big rivals, was changed a little on Wednesday morning. The US currency has started a continuous rise in late 2024 He climbed the summit in mid-January – However, the dollar index continued some of these gains in recent weeks.

Dollar, taking into account the status, was historically widely seen as a reliable shelter asset for investors The world’s backup currency and domination International debt, payments and businessmen. When the dollar strengthens, the US exports are more expensive, imports are cheaper. Greenback value can The effects Global monetary policy, capital flow and corporate earnings.

“The placement of the currency trader is up to dollars and is preparing to launch a large trade war of US major trade partners,” he said. Published on Monday.

The euro is expected to rise

He pointed to the trade in Bruchaelar euro As a signal of “erosion of confidence in the dollar.”

“The majority of euro accommodations until the first week of March in the late October,” said Monday. “But the net accommodation for three weeks is the euro long.”

Mizuho Bank’s head of FICC strategy and executive director Jordan Rochester, the CNBC “After this” organized “after-view”. He sees the euro, which fell between $ 1.06 and $ 1.07 before climbing 1.12 or higher by the end of the year.

“After a time when we know the details of this market tariffs, I look forward to this market ‘maximum pain’ price.”

“Tariffs (tariffs) and (EU and others) and others will be restored (likely to be restored), they will respond to their recovery tariffs,” he said.

Athanasios Vamvakidis, a global head and management director of the G10 FX strategy in the Bank of America, told CNBC that despite the immediate positive impact on GreenBBACK.

“We are still up for the dollar and for the year as a whole,” he said. “We believe that the market is already assessing the qualifying tariffs, but will receive tariffs on the board.”

CNBC told CNBC that the dollar could make the tariffs immediately in this week this week, but it would probably probably be able to sell.

“In a very short time, there are two channels that cause the weakness of the dollar,” Vamvakidis said. “The rest of the United States suffers more in the world of trade war. Second, the rest of the world offers stagflationar risks – at this time it is very concerned about these risks.”

Like Brusuel and Rochester, the euro finally predicted Trump’s trade war. The United States is likely to fight a policy mixture, which will be negative for its currency, focuses on European “Growth Friends”. Vamvakidis said.

“The German mass financial incentives plans to focus on the growth and competitiveness of European, structural reforms, which announces mass expenditure on European protection.” “These are plans, but so many plans, but also from Germany, the largest economy in the largest growth and the largest economy in the euro zone, it is really a game changer.”

Vamvakidis said that his team reached $ 1.15 this year and reached $ 1.20 in 2026.

Sterlingness

Bank of America’s Vamvakidis also argued English pound Trump’s Tariffs regime, noting that the US President is the potential for Trump’s tariffs to enter the game Tariff Tariff Threats in the EU While indicating this Britain can be saved.

“In addition, in April, there is a positive season for sterling,” he said. “So in a short time we need to see the relatively good work. We also love the sterling for the dollar as a whole. It depends on the implementation of EU reforms against the Euro.”

At the end of March, analysts in Maybank, they progressed up to the UK pound, saying that they reach $ 1.26 before increasing $ 1.31 in early 2026, said the English currency was sold for $ 1.29 than US dollars.

“We … Turn more throats in the GBP with plans to increase defense costs, maintain financial discipline and facilitate stop risks,” he said. “We protect our belief that the GBP will be more comfortable in England as a service economy.

Australia, New Zealand currencies can be increased

Maybank analysts were forecasted for this New Zealand dollarsBy the end of 2024, the foreign exchange rate for $ 0.58 to the end of 2024 – 2.1% increase in current levels.

“Maybank’s analysts said that the worldview of NZDUSD analysts is positive and facilitating the pace of facilitation.

“Both of Australia And more balance sheets from New Zealand’s other Western countries have more powerful balance sheets – especially GDP rates, “Alex King, former FX Trader and Private Financial Platform founder Generation moneyHe said via email.

“This is another factor for investors who help strengthen their currencies for potential stimulation measures, but also to create both attractive space for investors.”

He added that the economies of the two countries were less concluded to the “Trade War narrative.”

“China is looking at incentives to improve its economy to fight the impact of the tariffs, and it is positive for both Australia and New Zealand’s economy,” said King CNBC.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *