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JPY – Yield Curve Control tweak maybe not an option

And so suddenly the JPY became the star currency among the majors. The movement from 145 to today’s 139.64 reminds us a lot of the autumn of 2022 when a resounding BOJ intervention helped kick-start the temporary appreciation of the Japanese currency. In that...

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Richmond Feds Barkin: Inflation is still too high

Richmond Feds Barkin: Inflation is still too high

The 1st comments from a Fed official post the CPI comes from Richmond Fed Pres. Barkin who simply says:Inflation is still too highDemand remains elevated at the same time supply is constrained, process of getting back to balance has been slowDemand seems to be...

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US June CPI y/y 3.0% versus 3.1% expected

US June CPI y/y 3.0% versus 3.1% expected

Prior 4.0%CPI MoM 0.2% % versus 0.3% expectedPrior MoM 0.1%CPI YoY 3.0% versus 3.0% expectedCore CPI MoM 0.2% versus 0.3% expected. Last month 0.4%Core CPI YoY 4.8% versus 5.0% expected. Last month was 5.3%Shelter 0.4% versus 0.6% last month. Year on year 7.8% versus...

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US CPI will be released at 8:30 AM. What is expected?

US CPI will be released at 8:30 AM. What is expected?

On the economic calendar, the US CPI data will be released at 8:30 AM. Although the numbers are not likely to impact the July Fed decision (a 25 bp hike is pretty much all baked in the cake), it COULD be a difference between one more hike and no more hikes in 2023....

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AUD/USD gets checked back ahead of US CPI data

AUD/USD gets checked back ahead of US CPI data

The high earlier hit 0.6741 on the day before the pair is now trading at flat levels at around 0.6685 as dollar bears are being checked back ahead of the US CPI data. The greenback looked like it was poised for a meaningful break across the board but traders seem to...

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USD/CHF on the verge of a steeper drop

USD/CHF on the verge of a steeper drop

USD/CHF weekly chartThe pair has been on a steady downtrend since November last year and that run is still very much going. The recent bounces in March and June ran into resistance from its 100-day moving average, and sellers leaned on that to keep the momentum going....

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GBP/USD stays on the hunt of the 1.3000 mark

GBP/USD stays on the hunt of the 1.3000 mark

GBP/USD daily chartThe pair is looking particularly buoyed this week, helped out by a technical break above the June highs but also after the hot wages data from the UK labour market report yesterday. A softer dollar is also contributing to all that and we are seeing...

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European equities keep firmer at the open today

European equities keep firmer at the open today

Eurostoxx +0.4%Germany DAX +0.3%France CAC 40 +0.3%UK FTSE +0.4%Spain IBEX +0.2%Equities are looking for a further bounce this week after last week's losses and it's been a pretty straightforward one so far. The US CPI data later is the key risk event to watch and a...

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Spain June final CPI +1.9% vs +1.9% y/y prelim

Spain June final CPI +1.9% vs +1.9% y/y prelim

HICP +1.6% vs +1.6% y/y prelimNo changes to the initial estimates and while the headline figures are a welcome development, core annual inflation is only seen easing slightly from 6.1% in May to 5.9% in June. That's still a long way to go in the climb lower to 2% and...

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Trade ideas thread – European session 12 July 2023

Trade ideas thread – European session 12 July 2023

The dollar looks bound for another leg lower now and we might just get a confirmation of that after the US CPI data today. Here's how the charts are playing out:EUR/USD on approach to the April and May highs of 1.1075-95USD/JPY breaking back below the 140.00...

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