2023 was supposed to be the year of the dollar demise. Instead, things did not pan out that way as the greenback proved to be rather resilient. And so the narrative has been constantly kicked down the road for many months now but is yesterday the tell that we have...
European Commission cuts euro area 2023 growth forecast, looks for rebound in 2024
2023 economic growth forecast lowered to 0.6% from 0.8% previously2024 economic growth forecast seen at 1.2%, then 1.6% in 20252023 inflation forecast seen at 5.6%, then 3.2% in 2024, then 2.2% in 2025High inflation, interest rates, and weaker external demand took a...
Eurozone September trade balance €10.0 billion vs €6.7 billion prior
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Dollar steadies itself for now, US retail sales data eyed
If you compare it to the moves yesterday, it isn't much. EUR/USD is down 0.3% to 1.0847 and GBP/USD down 0.3% to 1.2460 currently. The latter owes to softer UK inflation data earlier, though it also comes amid a push back after running against the 1.2500 mark and near...
Market Update – November 15 – Technicals & FOMO adding to the moves
A strong close on Wall Street was followed by a broad rally across Asian markets. An unexpected slowdown in US inflation boosted bets that the Fed’s tightening cycle is over, which brought down yields and benefited equity markets. UK inflation numbers this...
U.S. Treasuries: from safe haven to risky asset
Last week, Moody's downgraded the U.S. credit rating from stable to negative, citing high budget deficits, deteriorating debt affordability and political polarization.It's a little strange that they are just now realizing this, isn't it?The problems mentioned arose...
Italy October final CPI +1.7% vs +1.8% y/y prelim
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Specific monetary policy up to BOJ to decide, says Japan deputy finance minister
Expects BOJ to conduct policy appropriatelyThis is all fluff at the moment, as it is evidently clear that the BOJ and Tokyo officials are prepping for a turn in monetary policy after we get to the spring wage negotiations in March next year. The question is, with all...
AUD/USD on the cusp of a stronger technical breakout after yesterday’s jump
The jump higher in the pair owes much to the dollar plummeting in trading yesterday but we work with what is given to us. And in the case of AUD/USD, it now presents the opportunity to catch a break above the 0.6500 mark and onwards to a stronger technical breakout....
European stocks edge higher with UK leading the way, US data awaited
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France October final CPI +4.0% vs +4.0% y/y prelim
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Japan visitors in October exceed pre-Covid levels
That's good news for the Japanese economy but a lot of it is also helped by a much weaker currency, which makes Japan a more attractive tourist destination these days. The number of visitors in October reached 2.52 million, marking a full recovery for the first time...
We must stay the course to continue to get inflation down to 2% – Sunak
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,...
Germany October wholesale price index -0.7% vs +0.2% m/m 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,...
UK October CPI +4.6% vs +4.8% y/y expected
Prior +6.7%CPI 0.0% vs +0.1% m/m expectedPrior +0.5%Core CPI +5.7% vs +5.8% y/y expectedPrior +6.1%Core CPI +0.3% vs +0.4% m/m expectedPrior +0.5%The pound is lightly lower on the data here as UK inflation falls more than expected in October. That being said, a lot of...
FX option expiries for 15 November 10am New York cut
There are a couple to take note of, as highlighted in bold.The first ones being for EUR/USD, which are at the 1.0850-75 region. That is likely to keep price action more compact perhaps, all before we get to more US data later in the day. That being said, trading...
BofA Global Research no longer sees another Fed rate hike in December
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,...
UK inflation the notable data release in the session ahead
It is all about the reaction to the US CPI data yesterday and for now, markets are looking calmer so far today. The dollar dropped heavily and may look to be challenged further, with EUR/USD leading the charge as seen here. Meanwhile, equities look poised to extend...
US CPI data sparks market optimism, more data releases in focus later today
The US CPI data yesterday can be characterised more about the reaction rather than the data itself I would say. But if anything else, it shows the kind of bias and positioning that markets are leaning towards at the moment. The relief from all the inflation angst and...
Stocks look poised for a potential retest of the year’s highs
The market took to the US CPI data as saying that the Fed is done with rate hikes and with inflation gradually tracking lower, it means that we could even see rate cuts on the horizon. The shift in pricing here outlines that sentiment and is a key reason why equities...