Eurostoxx -0.4%Germany DAX -0.3%France CAC 40 -0.3%UK FTSE -0.2%Spain IBEX -1.6%It's a bit of a softer start after the better showing last week. In part, the late retreat in US stocks on Friday isn't helping I would say. As for the overall mood today, it is more...
What are the expectations ahead of the major central bank decisions this week?
The three main central bank policy decisions to watch this week will be the Fed (Wednesday), ECB (Thursday), and BOJ (Friday). So, what are markets expecting and is there any room for surprises to follow?Fed funds futures are showing a near 100% pricing for a 25 bps...
FX option expiries for 24 July 10am New York cut
There are a couple to take note of for the day, as highlighted in bold.However, these are levels that don't really offer much technical significance. The one for USD/JPY at 141.29 has no technical bearings whatsoever, so at best it may just act as a bit of a sticking...
S&P 500 Technical Analysis – Bulls are getting exhausted near a key level
Following the big rally after the miss in the US CPI report, the market started to get exhausted near a key swing high level. The data is still supporting the soft-landing narrative as the US Retail Sales and Jobless Claims last week surprised to the upside. The...
US Dollar Holds the High Ground Ahead of Fed, ECB and BoJ Meetings. Higher USD?
US Dollar, USD, DXY Index, Fed, FOMC, ECB, BoJ, Hang Seng (HSI) - Talking PointsThe US Dollar resumed strengthening last week but is looking for direction todayThe Fed, ECB and BoJ monetary policy decision lie in wait for later this weekA common theme will be what...
Trade ideas thread – European session 24 July 2023
It's a big week coming up with key central bank decisions in focus. The dollar held its ground last week and that was a clear signal that traders are going to rely on the events this week before making their next move. I'm not one to want to take positions going into...
A snapshot of June inflation among major economies
The thing to note about the picture here is that it doesn't tell you the whole story. But what is evident at least is that price pressures have definitely eased as compared to what we saw last year. That at least provides some hope that inflation is on the right...
PMIs the main focus today in Europe
Major central bank decisions will take center stage this week but don't discount the impact of the PMI data that we will see today. In the case of the Eurozone, this could play a role - alongside inflation data - to manage expectations for September.The yen is...
Economic calendar in the US for Monday, 24 July 2023 – Flash PMIs will be eyed
Services have been a driver of inflation in developed markets around the globe and as such it's the services PMI that'll steal the focus in the PMIs. Flash PMIs are coming up from Europe, the UK and the US. Higher than expected will means traders begin to weigh a...
ForexLive AsiaPacific FX news wrap: Major FX tracks narrow ranges, July flash PMI kick off
Session wrap Forex news for Asian trading on Monday, 24 July 2023 <!--> --> The preliminary PMI reading from Japan for July showed at 52.1, unchanged from the month before, as business activity register expansion for the 7th month in a row. Manufacturing...
Japan’s government expects the CPI to track around 1.5% in Fiscal year 2024
Japan govt spokesperson: hope BOJ coordinate with govt on economic policy, take steps based on understanding agreed upon between govt-BOJ joint statement we will do our utmost to ensure japan achieves positive wage, inflation cycle specific monetary policy up to BOJ...
Spanish election – Incumbent PM Sánchez poised to remain prime minister
Incumbent Prime Minister Pedro Sánchez is poised to remain the Spanish prime minister as a result of Sunday’s national election.None of Spain’s major parties secured a governing majority - an as expected result. 176 seats are needed to control the Spanish...
China’s State Planner says confidence in private firms has not fully recovered
The National Development and Reform Commission of the People's Republic of China (NDRC) is China's State Planner. Confidence in private firms has not fully recovered due to weak demandSome private investors have no clear investment directionPrivate investment...
MUFG are expecting a Bank of Japan Yield Curve Control tweak at this week’s policy meeting
The Bank of Japan meet on the 27th and 28th. Goldman Sachs expect a tweak:Goldman Sachs are still expecting the Bank of Japan will tweak YCC policy this weekBut mostly expectations are for no change:Bank of Japan meet this week, July 27-28 - no change seen to yield...
China’s state planner to boost private investment in construction projects
The National Development and Reform Commission of the People's Republic of China (NDRC) has issued plans to boost private capital in key construction projects. The NDRC is China's 'State planner', its also directing institutions to provide better financial support for...
Goldman Sachs are still expecting the Bank of Japan will tweak YCC policy this week
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,...
PBOC sets USD/ CNY reference rate for today at 7.1451 (vs. estimate at 7.1795)
People's Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.USD/CNY is the onshore yuan. Its permitted to trade plus or minus 2% from this daily reference rate.CNH is the offshore yuan. USD /CNH has no restrictions on its trading...
Japan Jibun preliminary July PMIs: Manufacturing 49.4 (prior 49.8) Services 53.9 (54.0)
Japan S&P Global / Jinun Bank Flash PMIs for July 2023Manufacturing PMI 49.4prior 49.8Services 53.9prior 54.0Composite 52.1prior 52.1Commentary from the report on the Composite PMI indicator, both those on inflation, fitting with what we've been seeing for months...
PBOC is expected to set the USD/CNY reference rate at 7.1795 – Reuters estimate
Models estimating the reference rate the PBCO is likely to set each day have not been showing much accuracy in past weeks. The PBOC appears to be disregarding models, actively and substantially trying to deter yuan bears but boosting the CNY at the daily rate setting....
USD/JPY has barely moved since Kanda’s BOJ policy comments
We heard from Japan's Finance Ministry's Vice Finance Minister for International Affairs Kanda. He is the guy who will instruct the BOJ to intervene, when he judges it necessary. Often referred to as Japan's 'top currency diplomat'.Comments are here from a few minutes...