Currency markets rocked by banking sector crisis
A crisis in the banking sector infused considerable volatility into the currency market over the past couple of weeks.
A crisis in the banking sector infused considerable volatility into the currency market over the past couple of weeks.
The past couple of weeks have seen movement in the currency market grow increasingly volatile amid frequent repricing of central bank interest rate expectations.
Central bank policy bets boost the euro and dent the US dollar – Central bank dynamics have driven the currency markets over the last fortnight.
After ending 2022 on the back foot, the US dollar starts 2023 with a bang. Soaring more than 1% as currency markets reopened after the new year.
Economic uncertainty has continued over the past fortnight, with recession fears and central bank dynamics causing turbulence in the currency market.
The pound continued to trade with considerable volatility over the past fortnight amid fiscal and political uncertainty in the UK.
Central bank policy speculation has been a key driver of currency movement over the past couple of weeks and had infused the FX market with some notable volatility.
The past couple of weeks have seen the euro face significant pressure amid fears of an impending Eurozone recession.
Trade in the currency market has been erratic through the first half of June following the European Central Bank’s (ECB), Federal Reserve’s and Bank of England’s (BoE) latest interest rate decisions.