USD: Despite the post FOMC meeting sharp rise in US Treasury yields and the fall in equity markets yesterday, the spillover into FX markets has been fairly underscoring the two-way risk outcomes surrounding the latest Fed decision. First, by allowing to run the economy hot and leaving the long end US Treasury yields unprotected, the risk of another sell-off in US Treasury yields is a potential headwind to cyclical FX. Second, by signalling not to rush to increase interest rates, the prospect of deeply negative USD front end real rates and the rebounding economy point to USD softness. As long as the former does not dominate, this should provide same breathing room to cyclical FX ahead of the anticipated economic recovery in Q2.
CAD: The CAD looked a little limp yesterday with significant weakness in crude oil prices driving the USD back above 1.25. Crude oil has rebounded nearly a dollar so far today, providing a lift for the CAD, and spreads remain CAD-supportive but the drive for further CAD gains may have weakened a little in the short run. Canadian Retail Sales are expected to fall 3.0% in January. Forecasts are heavily skewed to the downside.
EUR: With the AstraZeneca vaccine obtaining clearance from the EMA yesterday, downside to the already modestly undervalued EUR should be limited today. We expect EUR/USD to hold above 1.1900.
GBP: The BoE meeting didn’t rock the upbeat sterling boat yesterday and the constructive GBP outlook remains in place. With the BoE not materially leaning against higher gilt yields and the currency strength, GBP is set to continue reaping the dividend of the faster vaccination process.
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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.
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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.