Currency Market Analysis

Mar 30, 2021 | Currency Market Analysis

Global Themes

USD jumps as markets react to Archegos Capital hit

The US dollar was mostly higher yesterday as markets reacted to early losses on news of USD20b fund liquidation.

The New York-based Archegos Capital was forced to liquidate positions in early Friday trade but the identity of the fund was only made public in Monday trade.

Initially, US shares were weaker overnight.

However markets rebounded with the US’s Dow Jones up 0.3% by the end of trading.

USDSGD higher

The USDSGD gained 0.3%.

The euro and Japanese yen both saw small gains.

The British pound fell with the GBP recently easing in most markets after a strong start to 2021.

Chinese data due

The NZ housing market is in focus early today with building consents due.

Tonight, German inflation figures, including import prices and preliminary CPI, are both released.

Tomorrow, the focus turned to key Chinese activity measures, with manufacturing and services PMI numbers both due.

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