Sticky Registration Sticky Customer Support

Daily Currency Update

Get access to our expert daily market analysis and discover and track your currency pair using our exchange rate tools. EUR, GBP, USD & CAD Forecast.

Delta variant will impact FX & QE extensions

USD - US Dollar

As FX liquidity levels improve after Monday's US Labor Day holiday, it is time to re-assess some core themes. A dovish Fed still dominates global asset markets, allowing most equity markets to continue their gentle rallies. The second, and a central one to FX, is the outlook for domestic monetary conditions of which FX plays an important role. As central banks begin to taper, expect FX to firm up and adjust to core themes of interest rate differentials.

For today, the US data calendar remains light and we can see some more range trading before the pace of central bank meetings picks up later this week - with the highlight being Thursday's ECB meeting. Expect DXY to drift towards the lower end of a near-term range at 91.80/92.00.

CAD - Canadian Dollar

The CAD has failed to extend gains made following the USD’s slide below support in the high 1.25s last week and is virtually flat. Crude oil gains through $70/bbl helped nudge the CAD higher in otherwise quiet trade before giving up most of its gains. Crude prices look poised to extend a little more through the $70 area as OPEC+ appears to remain confident that rising global demand will keep markets undersupplied for now. Note that short-term US-Canada spreads continue to narrow as Canadian yields slip following the weaker than expected Q2 GDP report last week which may drag on the CAD’s performance ahead of the BoC policy decision & statement later this week.

EUR - Euro

European equities continue to perform quite well and despite fears about a Chinese slow-down and what it would mean for the European manufacturing sector, Chinese trade data for August surprisingly painted an encouraging picture. Both exports and imports far surpassed expectations. Equally today's release of German industrial production for July showed signs of life. EUR/USD has understandably been trading a quiet range in a holiday-thinned week but should stay supported into Thursday's ECB meeting where the pandemic PEPP asset purchase scheme is scheduled for review. EUR/USD to continue trading a 1.1850-1.1910 short-term range.

GBP - British Pound

Recently we had been warning about UK-EU tension at the end-September when deadlines expired on exclusions to the N.Ireland protocol. Yesterday we received some surprisingly good news from UK officials that these exclusions would be extended further, thus preventing new customs checks on chilled meat etc. Details on any agreement were sparse, but it does suggest that UK-EU negotiations are ongoing and presumably fruitful if the EU is prepared to extend them.

On another core topic, it does look like PM Johnson will go ahead with announcing a National Insurance tax rise later today to fund social care. This slight break on consumption will probably cement the views that the BoE terminal rate will struggle to make it above the 0.50% area - meaning that GBP receives no further support from the BoE story.

Currency Chart

Get access to our market experts and sign up to receive the latest updates on any currency with our real-time exchange rate reports.

Sign up to receive the latest market news from our experts.

Daily Currency Updates
Daily Market Analysis
Get daily intelligence and currency reports directly to your inbox.
Weekly FX Technical Analysis
Weekly Technical Analysis
Get our weekly technical analysis providing valuable insights.
Monthly Currency Outlook
Monthly Currency Outlook
Receive our monthly currency report and help improve your forecasts.

By entering your email address you agree to the MTFX Terms Of Use and MTFX Privacy Policy and agree and agree to receive sales and marketing communications. Unsubscribe at anytime.

FAQs

Individuals and businesses who need to send money in foreign currency internationally can use MTFX’s services. The beneficiary of the transfer must have a bank account for the funds to be paid into. Personal clients usually use our services to transfer money between their own accounts in two different countries. Business clients usually use our services to transfer funds to suppliers, fund international operations, or repatriate overseas earnings.
MTFX offers currency exchange rates that are 2-5% better than those offered by the banks. Personal clients usually save hundreds of dollars per transfer and for larger transfers, the savings can run into the thousands. We also offer excellent customer service, dedicated currency specialists, and a 24/7 online platform with best-in-class technology that allows you to complete transfers from any device virtually anywhere in the world. Business customers save with better currency exchange rates and proven solutions geared towards managing and mitigating foreign exchange risk. Our solutions include forward contracts, market orders, rate alert services, and much more - all backed by great technology and great people.
Funds can be transferred via wire transfer, Electronic Funds Transfer (EFT), or ACH payment services. MTFX maintains bank accounts in all major currencies with highly-rated banks. Our banking infrastructure ensures that you can transfer funds to us quickly and securely.
Our global network of banking partners allows us to get funds to virtually anywhere in the world quickly and efficiently. Most wire transfers from MTFX will be received by your beneficiary within 24-48 hours. MTFX also offers same-day transfers that are almost instantaneous, as well as low-cost in-country payment services for your less urgent transfers. For further information please speak to one of our currency specialists.