FED Fed's Powell calls 

Treasury yields, dollar gain after Fed’s historic policy shift

By Administrator_India Capital Sands   Longer-dated Treasury yields and the dollar rose in Asia on Friday after the U.S. Federal Reserve shifted its policy framework to place more emphasis on boosting economic growth and less on worries about letting inflation run too high. The 10-year U.S. Treasury yield rose to 0.7870%, the highest since June 10, which caused the yield curve to steepen, reflecting the Fed’s tolerance for higher inflation. The dollar hit a two-week high against the yen but held steady against most other major currencies. Gold prices erased early gains…

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FED Forex Trading with Capital Sands 

U.S. Economy Shrinks by Historic 32.9%; Jobless Claims Rise Again

By Administrator_India Capital Sands   The U.S. economy contracted by an unprecedented annualised rate of 32.9% in the second quarter, the Commerce Department reported Thursday, the worst decline since the Great Depression as the coronavirus pandemic hammered consumer spending. Economists had forecast a slightly larger decline of 34.1% after a 5% contraction in the first quarter, although they warned that the figure grossly exaggerates the nature of the drop. The 9.5% drop in output, in absolute terms, was the sharpest fall in output since the government started to keep records in…

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FED Forex Analysis 

Dollar finds footing as Sino-U.S. tensions escalate

By Administrator_India Capital Sands   The dollar crept off milestone lows against other majors on Thursday, and held on to gains against the yuan, as heightened Sino-U.S. tension put a bit of caution into currency markets. China has vowed to respond and the escalation in tension between the world’s two largest economies sent the yuan on its sharpest slide in nearly two months on Wednesday and has helped the greenback find support in Asian trade on Thursday. The euro  sat at $1.1571, about 0.3% below a 21-month high of $1.1601,…

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FED Forex Analysis 

Dollar Up, Boosted by Ever-Rising COVID-19 Numbers and Souring U.S-China Relations

By Administrator_India Capital Sands   The dollar was up on Friday morning in Asia, with investors turning to the safe-haven asset as the number of COVID-19 cases continue to be smash records. The U.S. recorded at least 75,000 cases over a 24-hour period on Thursday, and Brazil surpassed the 2 million mark the same day. The surging number of cases prompted investor fears over the global economic recovery, with more states re-implementing lockdowns. There are over 13.7 million cases globally as of July 17, according to Johns Hopkins University data.…

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Covid-19 FED 

Dollar eyes multi-week lows as risk assets rally

By Administrator_India Capital Sands   The dollar nursed losses against most currencies on Thursday as a rally in riskier assets such as global equities and commodities put a dent in safe-haven demand for the U.S. currency. Traders in Asia are focused on whether China’s yuan can extend gains against the greenback as investors of all stripes shift funds to increase positions in Chinese stocks. Lingering worries about the spread of the coronavirus could keep some currency pairs in a tight range, but the dollar’s losses are gradually increasing as sentiment favours riskier…

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Asian Market FED 

Asia stocks set to fall on Fed’s dour outlook

By Administrator_India Capital Sands Asian stocks were set to fall on Thursday after gloomy economic projections from the U.S. Federal Reserve sent the greenback and most Wall Street shares lower. Fed officials at their policy meeting on Wednesday said U.S. gross domestic product is expected to decline 6.5% this year. They also flagged the need to keep the key interest rate near zero through at least 2022. “The Fed is basically saying they’re going to keep the system solvent and at the macro level there’s no room for failures but…

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Business FED 

Dollar nurses losses after Fed, jump in risk appetite

By Administrator_India Capital Sands The dollar nursed losses on Thursday after the U.S. Federal Reserve left the door open to more monetary easing and dampened expectations for a quick economic recovery from the coronavirus pandemic. The greenback was also weighed down as signs the pandemic is receding in other countries and reduced safe-haven demand for holding funds in dollars. Additionally boosting appetite for riskier currencies was positive trial results of an experimental COVID-19 treatment. The euro held steady before a European Central Bank meeting later on Thursday where policymakers are…

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