Today’s NFP release won’t have much impact on the greenback
USD: The dollar bear trend has strengthened and broadened this week. In the G10 space, European currencies have broken to the upside. This benign dollar decline is good for world growth, exporting as it does low US rates around the world and allowing the Rest of the World to run looser monetary policy. Propelling the dollar decline as well has been the fall in US real rates (nominal less inflation) where US 10-year inflation expectations, derived through index-linked US Treasuries, have pushed up to 1.87% - the highest since summer 2019. Policy makers can congratulate themselves here and progress on a smaller US fiscal stimulus – the $908bn plan seems to be gaining traction – can cement these trends. Given all this, we doubt today’s November NFP will have much bearing on the dollar. A good number firms up recovery hopes, a bad number could prompt the Fed into fresh easing.
CAD: USDCAD reached a new cycle low yesterday against the USD. Absent any major domestic developments—this week’s mini budget passed more or less unnoticed in the FX markets—the CAD will remain somewhat of a slave to the broader market tone and the general (weak) USD trend. Canada releases its employment data today.
EUR: The threat of easier ECB policy next week has been swamped by the broad dollar trend and is sending EUR/$ higher. News that the EU is preparing to write Poland and Hungary out of the Recovery Fund should help accelerate compromise here – where a deal at the Dec 10-11th EU summit would be welcome news for the EUR. December is typically a soft month for the dollar and EUR/$ could nudge up to 1.2200/2250 ahead of next week’s event risks.
GBP: Reports suggest EU:UK negotiators are in the ‘tunnel’, fishing is still an obstacle and a deal hangs in the balance. Leaders Macron and Johnson are due to meet this weekend, which sets up GBP for a lot of volatility in Asia Monday morning. Negative rate-backers, Saunders & Tenreyo, speak today.
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.
Who can use the MTFX payment service?
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.
Why should I use MTFX and not my own bank?
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.
How do customers send funds to MTFX?
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.
How long does it take MTFX to transfer funds?
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.
Please read the following update before logging in to your MTFX online account
We have updated our online dealing system to provide you with better functionality, more unique tools and an overall enhanced client experience. MTFX Online 2.0 is now available for your dealing needs. You can begin using our enhanced online portal today.
Please note that the traditional portal will be available for use until MAY 30th 2021 at which point it will be decommissioned.