Pip Diddy

The RBNZ is up this week! What are markets expecting from the central bank and how could the Kiwi react?

The U.S. elections seems to have had a positive effect of risk sentiment, driving traders away big time from the U.S. dollar.

GBP was a net loser for the week, driven by a mix of drivers including a renewed U.K. lockdown, expectations of more stimulus, & as always….Brexit headlines.

EUR gained against the safe havens while the CHF was broadly lower on the week, suggesting that price action was mainly driven by this week’s risk-on lean in the financial markets. 

It was a mixed but net positive week for the Canadian dollar, likely driven by the early rally in oil and broad risk-on lean in the financial markets. 

Kiwi bulls have a net positive week, and with no major bullish catalysts from New Zealand, it’s likely the positive vibes came from positive broad risk sentiment and counter currency flows. 

The Aussie dollar takes the top spot this week, benefiting from a rise in positive risk sentiment, a weak U.S. dollar, and positive economic updates from Australia. 

JPY took it a steady beating this week thanks to a bounce back in positive risk sentiment, mainly driven by uncertainty fading away over the U.S. elections. 

EUR/USD is locked inside a potential pennant as traders wait for the U.S. NFP release AND more clarity on the results of the election. Think we’ll see a breakout today?

Soon we’ll get the latest monetary policy decision from the Fed. Will see any surprises to spark further momentum or a big reversal in USD/CHF?