
Fundamental Evaluation Series: USD/CHF vs. 2-year yield divergence
Feb 21, 2018 12:57 pm UTC| Commentary
During our evaluation period beginning 2012, the yield spread between the US 2-year bond and a Swiss equivalent has widened by almost 200 basis points but the exchange rate hasnt followed through as much as it should have...
Euro area flash PMI indices fall in February, financial markets impact economic sentiment
Feb 21, 2018 12:55 pm UTC| Commentary
The euphoric mood in the euro area economy is likely to have been dampened by the abrupt end of the long period of nonchalance on the financial markets. The purchasing managers index for manufacturing for the euro area...

Fundamental Evaluation Series: 2-year yield spread vs. GBP/USD
Feb 21, 2018 12:50 pm UTC| Commentary
The chart above shows, how the relationship between GBP/USD and 2-year yield divergence has unfolded since 2012. The cozy relationship between the yield spread and the exchange rate, in this case, is quite visible. Back...

Fundamental Evaluation Series: USD/JPY vs. 2-year yield spread
Feb 21, 2018 12:40 pm UTC| Commentary
This one pair has been at odds with yield divergence throughout early 2016 as the yen benefited from risk aversion and due to market participants doubts on BoJs abilities to ease policies further. It had shown...

Fundamental Evaluation Series: EUR/USD vs. 2-year yield spread
Feb 21, 2018 12:36 pm UTC| Commentary
The chart above shows, how the relationship between EUR/USD and 2-year yield divergence has unfolded since 2012. It is evident that these short rates have been a key influencing factor for the pair as policy divergence...

Fundamental Evaluation Series: NZD/USD vs. 2-year yield spread
Feb 21, 2018 12:21 pm UTC| Commentary
The chart above shows, how the relationship between NZD/USD and 2-year yield divergence has unfolded since 2015. The close relations between the short-term yield spread and the exchange rate is quite visible also the...

Fundamental Evaluation Series: USD/CAD vs. 2-year yield spread
Feb 21, 2018 12:16 pm UTC| Commentary
The chart above shows, how the relationship between USD/CAD and 2-year yield divergence has unfolded since 2012. The close relations between the short-term yield spread and the exchange rate is quite visible and the...