Keep an eye on currency strength at the start of the week

Keep an eye on currency strength at the start of the week

06.09.2021

Last weekend, U.S. stock prices fell, creating a risk-off sentiment characterized by falling stock prices, rising interest rates, and lower oil prices. The Russell 2000 fell about 0.52% from the previous day to 2,292, the yield on the 10-year U.S. Treasury note rose to 1.32%, and gold also climbed to the $1,825 range. The VIX index remained flat around 16.4.

In the foreign exchange market, the euro/dollar pair surged following the decline in the U.S. dollar since last weekend. The pair briefly touched 1.190 but has since pulled back during today’s Asian trading session and is currently trading around 1.186. While the euro remains firm against the U.S. dollar, it has been trending lower against the pound, marking its third consecutive day of decline. The euro/pound pair is currently trading around 0.856.

Today’s economic calendar features German manufacturing orders at 3:00 PM, the UK Construction PMI at 5:30 PM, and remarks by a member of the Bank of England’s Monetary Policy Committee at 8:10 PM; aside from these, no other major economic indicators or key speeches are scheduled.This week, with the Bank of Canada’s interest rate decision on Wednesday, the 8th, and the ECB’s interest rate decision on Thursday, the 9th, on the horizon, attention is expected to focus on the Canadian dollar and the euro. We will first monitor currency strength and carefully assess price movements at the start of the week.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed