During 25 years before joining the Euro Italian Lira lost 83% against Deutsche Mark. Last 25 years they have been pegged. How much value would the Lira have lost against Deutsche Mark without the peg?
Source: Bloomberg, Michel A.Arouet
Moments ago the yen spiked to a session high against the US dollar
The highest since Oct 12, after Japan's Nikkei reported that the Bank of Japan may tweak its YCC again and allow long-term yields to rise above 1% as soon as its Tuesdays meeting. Source: www.zerohedge.com
Argentina's currency has lost 96% of its value vs the USD in the past decade
In that period, the central bank has increased the monetary base by 2,046% to finance government political spending... Source: Bloomberg
The Israeli Shekel has fallen to its lowest price against the U.S. Dollar since early 2015
Source: barchart
Israel's Benchmark Index TA-35 plunges >6%, biggest drop since March 2020 after Hamas attack
The Hamas assaults mark the deadliest attack on Israel in decades and threaten to escalate into a broader conflict. Israeli shekel has slumped toward 7y low in recent days, ahead of the scheduled reopening of Israel’s parliament later this month. (HolgerZ via BBG)
EURUSD pair continues a bearish trend after ECB hike
EURUSD stays on a rather bearish EUR bullish USD trend which wasn’t helped by today’s ECB decision to increase rates by another 25bps. Shortly after the ECB’s announcement, US PPI came out slightly higher than expected which led the pair to reach a low of 1.0656 before stabilizing around 1.0675.
Support: 1.0650, 1.0605, 1.0560
Resistance: 1.0720, 1.0770, 1.0810
Source: Bloomberg
Hong Kong Dollar is on track for its biggest monthly loss against the US Dollar in 38 years
source: Bloomberg, Barchart
Unprecedented times in Argentina
- On Monday, Argentina’s central bank raised interest rates to 118%. - Forex: you now get a record 350 Argentine Pesos for each US Dollar. - Argentina 30-year mortgage is now at a record 82.2%. - For the first time since 1991, their inflation rate is above 100%. Source: The Kobeissi Letter
