Euro zone flash consumer confidencePrior was -17.4Flash consumer confidence for the eurozone -16.1 versus -17.4 last month and - 17.0 estimateThe estimate for confidence remains below the EU long-term average which is around -12 (see chart above). However it is above...
US May existing home sales 4.30M vs 4.25M expected
US existing home salesPrior was 4.28MInventory of homes for sale 1.08M vs 1.04M priorSupply at months 3.0 vs 2.9 months prior (balanced is considered 6 months)Median sale price $396.1K vs $388.8K priorMedian sale prices -3.1% y/yThe US is supply constrained because...
Fed’s Bowman: Additional hikes will be needed
Federal Reserve board governor Michelle Bowman opening remarks at a Cleveland Fed conference on "Communities thriving in a challenging economy".Additional policy rate increases will be needed to reach sufficiently restrictive level and control inflationInflation still...
The USDJPY keeps bouncing off the 100 hour MA.
The USDJPY moved down to retest the 100-hour moving out for the 3rd 4th and 5th time over the last 3 trading days. Each of those tests of the moving average line currently at 141.755, has found willing buyers. That has kept the buyers in firm control.The...
USD/JPY flirts with the November 2022 high
Rising long-end US yields helped to drive USD/JPY to a fresh high for the year and above a notable resistance level. The pair is up 36 pips today and touched 142.45 in a quick spike high on broad USD buying.It's worth zooming out on the chart here because it...
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US stocks open lower. Indices down for the 4th consecutive day.
The major US stock indices are moving lower at the start of the day. The major indices are now down for the 4th consecutive days. Chair Powell will have his 2nd day of the testimony at 10 AM ET. Earlier today, initial jobless claims continued to show some cracks in...
GBPUSD buyers had their shot above the 100 hour MA after BOE hike, but they missed.
The BOE surprised with a 50 basis point hike (25 basis points expected), and the GBPUSD spiked higher on the news. However, the move above the 100 hour moving average could not extend to the high price from last week. The move higher failed. The rotation to the...
Cable hits session low as recession worries outweigh rate hike boost
cable 10 minsThe pound is under moderate pressure after the Bank of England surprised markets with a 50 basis point rate hike, taking the bank rate to 5.00%.Normally rate hikes are bullish for a currency as they boost yields but in this case a pair of things are...
BOE’s Bailey: We are not signalling what will come next on rates
We are not signalling what will come next on ratesWe are not seeking to precipitate a recessionIt was absolutely imperative that the BOE raised rates todayThe pattern of persistence and sticky inflation is seen in other countries tooWe cannot continue to have the...
EURUSD extends higher today but backs off after break of 1.1000 fails
The EURUSD moved above the 1.1000 level and the swing high from early May (May 10 to be exact) at 1.1006. The high price it today reached 1.1011 before rotating back to the downside. Initial jobs claims remained elevated at 264K. The inability to stay above the 1.1000...
Initial jobless claims 264K versus 260K estimate
Initial jobless claims stay elevated at 264KPrior week 262K revised to 264KFor the week ending June 17, the initial jobless claims were 264,000, the same as the previous week's revised level, which was revised upwards by 2,000 from 262,000 to 264,000.The four-week...
US Q1 current account -219.3B vs -217.5B expected
The current account represents the most comprehensive gauge of a nation's international financial interactions. It encapsulates not just the exchange of goods and services, but also earnings from foreign investments and payments made on investments from abroad within...
Chicago Fed national activity index -0.15 vs +0.07 prior
Prior was +0.07 (revised to +0.14)The Chicago Fed National Activity Index (CFNAI) declined to -0.15 in May from +0.14 in April, mainly due to decreases in production-related indicators. Two out of the four categories of indicators that shape the index fell from April,...
The NZD is the strongest and the JPY is the weakest as the NA session begins
The strongest to weakest of the major currenciesAs the North American session begins, the NZD is the strongest and the JPY is the weakest. The USD is mixed ahead of the Fed Chairs 2nd day of testimony on Capitol Hill, and the US initial jobless claims and existing...
ECB’s Nagel: Tight labor market could result in persistent inflationary pressures
Rates have not peaked and eventual peak must be held for an extended period until inflation is brokenOnce we've reached peak rates or near-peak rates, the debate will immediately shift to the question of how long to keep rates high. Central banks are talking tough but...
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ForexLive European FX news wrap: BOE surprises with 50 bps rate hike
Headlines:Markets:GBP leads, AUD lags on the dayEuropean equities lower; S&P 500 futures down 0.3%US 10-year yields up 2.7 bps to 3.75%Gold down 0.4% to $1,926.04WTI crude down 2.1% to $70.99Bitcoin flat at $29,983It was all about central banks today but the BOE...
Sterling jumps initially on BOE surprise but gains look limited
The BOE went and did it, delivering a "surprise" 50 bps rate hike today. To be fair, markets had already priced in a near coin toss ahead of it so this isn't that shocking. Nonetheless, it's one that is causing a bit of a stir across broader markets and sterling had...
BOE surprises with 50 bps rate hike, bringing bank rate to 5.00%
Prior 4.50%Bank rate vote 7-2 vs 7-2 expected (Dhingra, Tenreyro voted to keep rates at 4.50%)Continuing to monitor closely the impact of the significant rate hikes so farCore goods price inflation has also been much stronger than projectedBut CPI inflation is...