German ZEW Economic Sentiment Indicator rises strongly in March
Mar 19, 2019 13:41 pm UTC| Commentary
The ZEW Indicator of Economic Sentiment for Germany saw a solid rise in March. The index rose 9.8 points to -3.6 from prior months -13.4 points. Consensus expectations were for the index to have come in at -11. Although...

Fundamental Evaluation Series: USD/CHF vs. 2-year yield divergence
Mar 19, 2019 13:13 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 more than 200 basis points but the exchange rate hasnt followed through as much as it should...

Fundamental Evaluation Series: USD/JPY vs. 2-year yield spread
Mar 19, 2019 13:04 pm UTC| Commentary
The above chart shows the relation between the 2-year bond spread (U.S. - Japan) and USD/JPY exchange rate. Brief background (2012-2016): This one pair has been at odds with yield divergence throughout early 2016 as...

Fundamental Evaluation Series: 2-year yield spread vs. GBP/USD
Mar 19, 2019 12:55 pm UTC| Commentary
The chart above shows, how the relationship between GBP/USD and 2-year yield divergence has unfolded since 2012. The chart clearly shows the close relationship between the yield spread and the exchange rate. Since...

Fundamental Evaluation Series: EUR/USD vs. 2-year yield spread
Mar 19, 2019 12:42 pm UTC| Commentary
The chart above shows, how the relationship between EUR/USD and 2-year yield spread (U.S. - Eurozone) has unfolded since 2012. It is evident that these short rates have been a key influencing factor for the pair as policy...
U.K. employment growth regains momentum in January, jobless rate falls to 3.9 pct
Mar 19, 2019 12:21 pm UTC| Commentary
The latest U.K. labor market figures released indicated that economic trends continued to be strong at the start of this year, in spite of the ongoing uncertainties regarding the longer-term economic outlook. Growth in...

Fundamental Evaluation Series: USD/CNH vs. 2-year yield spread
Mar 19, 2019 11:48 am UTC| Commentary
Brief background: This chart shows the relation between the U.S. - China 2-year yield spread and the Dollar/Chinese yuan exchange rate since 2013. It is visible even with naked eyes that the two has enjoyed a very...