Commodity currencies are making strong profits at the start of the week!
Forex traders have a comparatively high risk appetite throughout the day, despite their aversion to risk in another commodity markets, like metals and natural gas.
Where the contrast of economic and geopolitical developments, between threatening fears and positive data, led to the fluctuation of investors’ appetite for various currencies and commodities, so their fears subsided somewhat within the forex market and they stuck to high risk currencies, and therefore the Fear and Greed Index is now trading at 50 points, which expresses a moderate degree of risk appetite. today.
To come, today, Monday, and at the start of the week, three currencies among the main currencies in the forex market are slightly higher against their counterparts, led by the New Zealand dollar, which was followed by alittle difference from its Australian counterpart, and eventually the Swiss franc came after them with a simple gain rate.
The forex market data indicated that the profits of the four previously mentioned foreign currencies ranged between 0.17% and 4.33% approximately, and therefore the following is a greater explanation of the reasons for the gains of these currencies in particular:
The New Zealand dollar topped the scene strongly
The New Zealand dollar was the primary gaining currency, topping the list of gainers, and it had been reinforced as one of the most popular commodity currencies by the rise in risk appetite among investors in today's trading, to rise by an interesting 4.33% against the opposite major currencies.
New Zealand's quarterly inflation forecast data came this morning at 3.07%, and this data is pivotal for forecasting the NZD's movements over the upcoming period within the foreign exchange market.
Australian dollar earnings soar
The New Zealand dollar was followed by its Australian counterpart with a really close percentage of profits, because the Australian rose, taking advantage of the improvement in risk appetite in the forex market transactions today, bringing its total profits to an increase of 4.25% against the remainder of the other currencies.
The Australian dollar's gains come after the statements of the Federal Reserve Bank of Australia, which emphasized the exacerbation of the worth crisis and high inflation in his country, which can indicate the possibility of the central bank raising interest rates again, which is within the interest of the Australian dollar against its other peers.
Swiss Franc/US Dollar Chart
The CHF/USD chart indicates that Swiss Franc has been in a long-term bullish trend against the US Dollar. Despite this, Swiss franc has weak purchasing power. Goods in Switzerland cost quite twice as much as in the United States. The weak purchasing power made the franc widely used as a reserve currency by various parties round the world.
If you're thinking of trading USD/CHF, our analysts can facilitate your find the right time to invest and decide when not to.
Although these tendencies towards stability usually make it difficult to research the forex trades of the Swiss franc against the US dollar, they create the USD/CHF an excellent choice during periods of volatility elsewhere around the world when traders are researching for safer investments.
