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United Kingdom

Gertrude Chavez-Dreyfuss

Dollar inches lower vs yen, Swiss franc amid Iran sanctions

10 Jan 2020

NEW YORK The U.S. dollar edged lower from four-week highs against the safe-haven Japanese yen and slipped versus the Swiss franc on Friday as possible renewed U.S.-Iran tensions weighed on market sentiment.

FOREX-Dollar slips vs safe-haven yen, Swiss franc amid Iran sanctions

10 Jan 2020

* U.S payrolls weaker than expected in December * Yen, Swiss franc draw bids after Iran sanctions * (Recasts, adds comment, updates prices) By Gertrude Chavez-Dreyfuss NEW YORK, Jan 10 The U.S. dollar fell from four-week highs against the safe-haven yen and slid versus the Swiss franc on Friday as investors fretted over possible renewed geopolitical tensions between the United States and Iran. The yen and Swiss franc had fallen from highs hit last week after the United States and Iran, in comments earlier this week, moved away from an all-out conflict. But concerns grew after the United States imposed more sanctions on Iran on Friday in response to its retaliatory missile attack on U.S. forces in Iraq and vowed to tighten the screws further on the Iranian economy if Tehran continued to engage in what it described as terrorist acts. U.S. Secretary of State Mike Pompeo, in an appearance at the White House, said he had "no doubt" that Iran had full intention of killing U.S. forces in a missile attack on a base in Iraq in retaliation for the U.S. killing of Iranian commander Qassem Soleimani. "The fact that the U.S. is still sort of acting aggressively toward Iran and still taking a hard line, helped create demand for safe havens," said Karl Schamotta, chief market strategist at Cambridge Global Payments in Toronto. U.S. yields also fell as investors flocked to the Treasury market. The renewed U.S.-Iran tension came on the heels of a weaker-than-expected U.S. non-farm payrolls report for December. The soft U.S. payrolls number, which followed a batch of strong economic figures, was still unlikely to sway the Federal Reserve from its current neutral stance. The dollar pared gains after the jobs data. U.S. data showed that non-farm payrolls increased by 145,000 last month, lower than market forecasts of 164,000. Data for October and November was revised to show 14,000 fewer jobs added than previously reported. The economy created 2.1 million jobs in 2019, down from 2.7 million in 2018. More importantly, average hourly earnings rose three cents, or just 0.1%, after increasing 0.3% in November. Markets were expecting a 0.3% rise. "What it does mean is that the U.S. dollar would be on the defensive," said Bipan Rai, North American head of FX strategy at CIBC Capital Markets in Toronto. "Certainly, being long dollar has been a popular position for some time so investors would be looking to clear out those positions." Against a basket of currencies, the dollar fell 0.2% to 97.30. The dollar index hit a two-week high of 97.584 during the session. The dollar also eased from a four-week peak against the yen to trade slightly lower on the day at 109.49 yen. The greenback also fell 0.1% versus the Swiss franc to 0.9727. ======================================================== Currency bid prices at 12:45PM (1745 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Euro/Dollar EUR= $1.1122 $1.1105 +0.15% -0.79% +1.1129 +1.1086 Dollar/Yen JPY= 109.4900 109.5100 -0.02% +0.58% +109.6900 +109.4500 Euro/Yen EURJPY= 121.78 121.62 +0.13% -0.14% +121.8200 +121.5300 Dollar/Swiss CHF= 0.9728 0.9731 -0.03% +0.52% +0.9762 +0.9721 Sterling/Dollar GBP= 1.3059 1.3065 -0.05% -1.51% +1.3095 +1.3043 Dollar/Canadian CAD= 1.3045 1.3054 -0.07% +0.45% +1.3075 +1.3029 Australian/Doll AUD= 0.6909 0.6857 +0.76% -1.60% +0.6911 +0.6851 ar Euro/Swiss EURCHF= 1.0819 1.0807 +0.11% -0.30% +1.0829 +1.0805 Euro/Sterling EURGBP= 0.8514 0.8499 +0.18% +0.71% +0.8519 +0.8481 NZ NZD= 0.6642 0.6614 +0.42% -1.40% +0.6645 +0.6603 Dollar/Dollar Dollar/Norway NOK= 8.8829 8.8803 +0.03% +1.19% +8.9125 +8.8729 Euro/Norway EURNOK= 9.8790 9.8652 +0.14% +0.42% +9.8875 +9.8527 Dollar/Sweden SEK= 9.4955 9.4886 +0.20% +1.58% +9.5216 +9.4801 Euro/Sweden EURSEK= 10.5630 10.5417 +0.20% +0.90% +10.5679 +10.5316 (Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Saikat Chatterjee in London; Editing by David Gregorio and Dan Grebler)

FOREX-Dollar climbs to two-week peak, shrugs off weak U.S. payrolls

10 Jan 2020

* U.S payrolls weaker than expected in December * Dollar index on track for best weekly gain in two months * Yen, Swiss franc fall U.S.-Iran tensions ease (Recasts, adds U.S. non-farm payrolls data, new analyst comment, updates prices, changes byline, dateline; previous LONDON) By Gertrude Chavez-Dreyfuss NEW YORK, Jan 10 The U.S. dollar rose two-week highs on Friday, on track for its biggest weekly gain in two months, helped by easing geopolitical tension between the United States and Iran, with investors shrugging off a weaker-than-expected U.S. non-farm payrolls report for December. The soft U.S. payrolls number, which followed a batch of strong economic figures, was unlikely to sway the Federal Reserve from its current neutral stance. The dollar did pare gains after the jobs data, but was overall steady on the day. U.S. data showed that nonfarm payrolls increased by 145,000 jobs last month, lower than the market forecasts of 164,000. Data for October and November was revised to show 14,000 fewer jobs added than previously reported. The economy created 2.1 million jobs in 2019, down from 2.7 million in 2018. More importantly, average hourly earnings rose three cents, or just 0.1%, after increasing 0.3% in November. Markets were expecting a 0.3% rise. "This doesn't change Fed policy though. The Fed is quite comfortable being on the sidelines for now," said Bipan Rai, North American head of FX strategy, at CIBC Capital Markets in Toronto. "What it does mean is that the U.S. dollar would be on the defensive. Certainly, being long dollar has been a popular position for some time so investors would be looking to clear out those positions." Against a basket of currencies, the dollar gained 0.1% on Friday to 97.50, taking its cumulative gains this week to 0.7%, on track for its biggest weekly rise since early November. During the session, the dollar index hit a two-week high of 97.584. The dollar was also modestly higher versus the safe-haven yen at 109.58 yen after touching a four-week peak during the session. The greenback also rose 0.2% versus the Swiss franc at 0.9748. The yen's and Swiss franc's losses reflected fading worries about an imminent U.S-Iran conflict. "The galvanising force for the dollar rally this week was the fizzling of tensions in the Middle East with the recent U.S. data also giving investors some further room for optimism," said Ricardo Evangelista, a senior analyst at ActivTrades. The euro was also down 0.1% against the dollar at $1.1100. ======================================================== Currency bid prices at 10:01AM (1501 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Euro/Dollar EUR= $1.1100 $1.1105 -0.05% -0.99% +1.1113 +1.1086 Dollar/Yen JPY= 109.5800 109.5100 +0.06% +0.66% +109.6900 +109.4700 Euro/Yen EURJPY= 121.64 121.62 +0.02% -0.25% +121.7700 +121.5300 Dollar/Swiss CHF= 0.9744 0.9731 +0.13% +0.68% +0.9762 +0.9727 Sterling/Dollar GBP= 1.3058 1.3065 -0.05% -1.52% +1.3095 +1.3049 Dollar/Canadian CAD= 1.3045 1.3054 -0.07% +0.45% +1.3075 +1.3029 Australian/Doll AUD= 0.6886 0.6857 +0.42% -1.92% +0.6892 +0.6851 ar Euro/Swiss EURCHF= 1.0816 1.0807 +0.08% -0.33% +1.0829 +1.0805 Euro/Sterling EURGBP= 0.8499 0.8499 +0.00% +0.53% +0.8506 +0.8481 NZ NZD= 0.6620 0.6614 +0.09% -1.72% +0.6632 +0.6603 Dollar/Dollar Dollar/Norway NOK= 8.9000 8.8803 +0.22% +1.39% +8.9125 +8.8729 Euro/Norway EURNOK= 9.8790 9.8652 +0.14% +0.42% +9.8865 +9.8527 Dollar/Sweden SEK= 9.5077 9.4886 +0.12% +1.71% +9.5216 +9.4801 Euro/Sweden EURSEK= 10.5544 10.5417 +0.12% +0.81% +10.5574 +10.5316 (Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Saikat Chatterjee in London; Editing by David Gregorio)

Yen sinks to two-week low vs dollar as U.S.-Iran tension wanes

09 Jan 2020

NEW YORK The safe-haven yen fell to two-week lows against the dollar on Thursday, as the United States and Iran moved away from an all-out conflict, prompting investors to take on more risk and shift focus to an upcoming U.S.-China trade deal and a U.S. non-farm payrolls report.

Yen surrenders gains vs dollar as U.S.-Iran tension fades- Reuters Poll

09 Jan 2020

NEW YORK The safe-haven yen fell to a more than a one-week low against the dollar on Thursday as the United States and Iran moved away from an all-out conflict, prompting investors to take on more risky assets and focus more on an upcoming U.S.-China trade deal.

FOREX-Yen drops to two-week low vs dollar as U.S.-Iran tension fades

09 Jan 2020

* Japanese yen falls to two week low * Dollar index up, investors focus on U.S. non-farm payrolls * Chinese yuan rises to five-month high vs dollar * Graphic: World FX rates in 2019 http://tmsnrt.rs/2egbfVh (Adds new comment, updates prices) By Gertrude Chavez-Dreyfuss NEW YORK, Jan 9 The safe-haven yen fell to two-week lows against the dollar on Thursday as the United States and Iran moved away from an all-out conflict, prompting investors to take on more risky assets and focus more on an upcoming U.S.-China trade deal. U.S. President Donald Trump responded to an Iranian attack on U.S. forces with sanctions, not violence. Iran offered no immediate signal it would retaliate further against a Jan. 3 U.S. drone strike that killed its senior military commander. The yen, seen as a safe haven in times of geopolitical turmoil because of its deep liquidity and Japan's current account surplus, reversed the gains it made against the dollar after Iran's missile strike. The dollar was last up 0.3% at 109.48 yen, after earlier hitting 109.57 yen, its highest since Dec. 27. "Markets are taking comfort from a cooling in U.S.-Iran tensions after conciliatory words from President Trump," said Joe Manimbo, senior market analyst at Western Union Business Solutions in Washington. "The Mideast crisis going from a boil to a simmer allowed bullish U.S. fundamentals to return to the surface." Gold prices also slid, retreating further from a near-seven-year peak scaled in the previous session. Implied volatility gauges for euro/dollar are falling back toward late 2019 lows, which is "very telling," according to Reuters analysts. Three-month implied volatility in euro/dollar fell to 4.27% at the end of November, its lowest level on record. Focus is expected to shift back to the global economy, with expectations the United States and China will sign a trade deal next week providing underlying support for risk assets. China's Vice Premier Liu He, head of the country's negotiation team in the Sino-U.S. trade talks will visit Washington on Jan. 13-15, Gao Feng, spokesman at the commerce ministry said. Investors think the deal will clear one of the world economy's biggest uncertainties and help boost global growth this year, although some think that view is too optimistic. Market participants are also looking ahead to Friday's U.S. non-farm payrolls report, with forecasts of 164,000 new jobs in December, from 266,000 the previous month. In other currencies, China's yuan rose to a five-month high of 6.9175 against the dollar overnight in the offshore market, boosted by a steady inflation readout. In midday trading, the dollar index was 0.2% higher on the day at 97.458. The Swiss franc though remained slightly elevated against the dollar, which slipped 0.2% to 0.9721 . ======================================================== Currency bid prices at 12:14PM (1714 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Euro/Dollar EUR= $1.1106 $1.1103 +0.03% -0.93% +1.1120 +1.1094 Dollar/Yen JPY= 109.4500 109.1200 +0.30% +0.54% +109.5700 +109.0200 Euro/Yen EURJPY= 121.58 121.17 +0.34% -0.30% +121.6900 +121.1400 Dollar/Swiss CHF= 0.9719 0.9737 -0.18% +0.42% +0.9747 +0.9712 Sterling/Dollar GBP= 1.3062 1.3097 -0.27% -1.49% +1.3124 +1.3014 Dollar/Canadian CAD= 1.3090 1.3037 +0.41% +0.80% +1.3104 +1.3026 Australian/Doll AUD= 0.6853 0.6865 -0.17% -2.39% +0.6880 +0.6851 ar Euro/Swiss EURCHF= 1.0798 1.0813 -0.14% -0.50% +1.0833 +1.0796 Euro/Sterling EURGBP= 0.8501 0.8478 +0.27% +0.56% +0.8533 +0.8472 NZ NZD= 0.6608 0.6646 -0.57% -1.90% +0.6658 +0.6601 Dollar/Dollar Dollar/Norway NOK= 8.8766 8.8683 +0.09% +1.11% +8.9024 +8.8550 Euro/Norway EURNOK= 9.8601 9.8523 +0.08% +0.23% +9.8854 +9.8397 Dollar/Sweden SEK= 9.4873 9.4593 +0.32% +1.50% +9.5007 +9.4444 Euro/Sweden EURSEK= 10.5395 10.5060 +0.32% +0.67% +10.5471 +10.4969 (Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Olga Kotaga in London; Editing by Chris Reese)

Yen, Swiss franc fall after Trump signals no further action vs Iran

08 Jan 2020

NEW YORK The safe-haven yen slid from three-month highs against the dollar on Wednesday, as U.S.-Iran tensions eased after President Donald Trump signaled there would be no further military action, for now, with Tehran appearing to have pulled back from its threats.

Yen, Swiss franc drop from highs as markets stabilize after Iran strike

08 Jan 2020

NEW YORK The safe-haven yen fell from three-month highs against the dollar on Wednesday, as investors grew more optimistic that Iran's attack on U.S. forces in Iraq overnight was unlikely to escalate into a full-blown regional conflict.

Safe-haven currencies fall as U.S.-Iran fears wane

07 Jan 2020

NEW YORK The safe-haven Japanese yen and Swiss franc pulled back from recent highs against the dollar on Tuesday as financial markets stabilized, with investors turning more hopeful that U.S.-Iran tensions would not escalate into an all-out war.

Safe-haven currencies retreat as U.S.-Iran fears ease

07 Jan 2020

NEW YORK The safe-haven yen and Swiss franc pulled back from recent highs against the dollar on Tuesday as financial markets stabilized, with investors turning more hopeful that tensions between the United States and Iran would not escalate into an all-out war.

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