Prior +2.3%HICP +2.4% vs +2.5% y/y expectedPrior +2.1%Headline annual inflation in Spain comes in as expected, though ticking slightly higher in August compared to July. The good news at least is that the core reading is seen down to 6.1% this month, compared to 6.2%...
FX option expiries for 30 August 10am New York cut
There are a couple of large ones to take note of for the day, as highlighted in bold.The first few being for EUR/USD at 1.0875 and 1.0900 but both levels don't really hold much technical significance. The charts are showing that price action has room to roam between...
ECB rate hike bets nudge higher after NRW CPI beat
And that is up from roughly 50% yesterday. The shift in pricing comes after the inflation beat in Germany's industrial state earlier here. That tends to set the tone for what to expect from the other state readings later, so we'll see how things play out.10-year...
USDCHF Technical Analysis – The pair is at a key spot
US:The Fed hiked by 25 bps as expected and kept everything unchanged.Fed Chair Powell reaffirmed their data dependency and kept all the options on the table.Inflation expectations and CPI readings continue to show disinflation with the last two Core CPI M/M figures...
Germany July import price index -0.6% vs 0.0% m/m expected
Prior -1.6%Import price index -13.2% vs -12.9% y/y expectedPrior -11.4%The main drag on the year-on-year reading is energy price developments. If you strip out energy prices, import prices were only down 3.1% compared to July last year. But with an increase of energy...
North Rhine Westphalia August CPI +5.9% vs +5.8% y/y prior
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives,...
Inflation data is back on the menu in Europe today
The dollar took a knock yesterday and in particular we saw a squeeze back lower in USD/JPY as Treasury yields fumbled after some softer US data. That will put more scrutiny on the jobs numbers this week and we will start off with the ADP employment roulette data later...
BOJ’s Tamura: Timing of easy policy exit must not be too late, but not too early too
Whether that happens next year will depend on various data at the timeEnding negative rates, yield curve control are options in case BOJ were to exit easy policyEven if BOJ abandons negative rates, that is not the same as monetary policy tighteningMonetary conditions...
Dollar bears looking for that Goldilocks scenario on the US economy
If there's one takeaway from yesterday, it is that bad news is still good news for stocks. That so long as it is not bad enough to warrant a profound economic slowdown, and that also means bad news for the dollar.In other words, dollar bears are betting on a soft...
Japan August consumer confidence index 36.2 vs 37.1 prior
Looking at the breakdown:Overall livelihood 32.9 (-1.0)Income growth: 39.0 (-0.2)Employment: 42.7 (-1.3)Willingness to purchase durable goods: 30.0 (-1.1)Meanwhile, there was a slight increase in inflation expectations as 93.7% of households responded to the question...
Dollar gets knocked off its perch
A couple of poor data points yesterday seemed to be enough to cause some jitters about the US economy. That resulted in a big drop in Treasury yields and that took the dollar down along with it. I want to say that in part there is a bit of a squeeze in positioning at...
China’s economy isn’t as bad as the mood suggests, growth moving in the right direction
Via Bloomberg comes this piece on "China’s economy isn’t as bad as the prevailing mood suggests and growth is moving in the right direction as consumer spending picks up, according to an official at the British Chamber of Commerce in China."While the recovery has...
ForexLive Asia-Pacific FX news wrap: BOJ official says inflation 2 dip but then accelerate
Tech gremlins ate the Americas timezone wrap, I've included the headlines from the session here below:OK, back to the Asia session. Bank of Japan monetary policy board member Naoki Tamura spoke and dropped this into the conversation:Japan's inflation likely to slow...
European Central Bank’s de Cos is speaking on Wednesday, 30 August 2023
Coming up at 1045 GMT, 0645 US Eastern time: Bank of Spain´s governor Pablo Hernández de Cos participates in a financial session organized by the European Central Bank in the framework of the EEA-ESEM BarcelonaAlso coming up, at the same time: Riksbank First Deputy...
Shanghai Composite & HK’s Hang Seng both trading higher, still awaiting mortgage rate cuts
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives,...
Toyota resumed operations of 25 vehicle production lines at 12 of its 14 plants in Japan
Toyota was hit by a Japan-wide production halt on Tuesday:Japanese media report now that output has resumed:Toyota resumed the operations of 25 vehicle production lines at 12 of its 14 plants in Japan on Wednesday morningA malfunction in the system that processes...
“BOJ policymaker signals chance of policy tweak early next year”
The comments today from Bank of Japan monetary policy board member Naoki Tamura were significant. I noted especially these:Japan's inflation likely to slow for time being, then accelerate moderately again Can't rule out chance inflation may overshoot...
Morgan Stanley Investment Management say US stocks set for a “strong rally” into year end
Morgan Stanley Investment Management’s managing director and senior portfolio manager Andrew Slimmon on US stocks:believes markets are set for a “strong rally” by the end of the yearbelieves the S&P 500 will be “closer” to 5,000 by thenWas speaking with CNBC, the...
BOJ’s Naoki Tamura says its appropriate to keep easy monetary policy at present
Bank of Japan monetary policy board member Naoki Tamura Personally feel sustained, stable achievement of 2% inflation target is clearly in sightAppropriate to keep easy policy now given uncertainty over prospects for hitting price goalWe are in a phase where we need...
Australian data – July building permits -8.1% m/m (vs. -0.8% expected)
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives,...