The US dollar touched the lows of the day following a dovish shift from Mester and a Beige Book that highlighted a slowdown and disinflation in the US.The fall in the dollar fits with the shift in rate differentials as Fed funds futures price in 116 bps in cuts next...
AUDUSD breaks above key resistance at 0.6656, but fails to sustain bullish momentum
The AUDUSD broke above its 200-day moving average of 50% midpoint of the move down from the July 2023 high on Monday (near 0.65824). The pair also moved above the high of a swing area at 0.6595. That area between 0.6582 and 0.6595 is now support. If the technical bias...
Oil Price Forecast: WTI Faces Technical Hurdles as OPEC+ Rumors Swirl
OIL PRICE FORECAST:Oil Continues to Advance as Market Participants Eye Further Cuts by OPEC+.Rumors Suggest That There is Still Disagreements Regarding 2024 Quotas Within OPEC+.WTI Faces Technical Hurdles While Retail Traders are Overwhelming long on WTI at Present.To...
Fed’s Beige Book: On balance, economic activity slowed since the previous report
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,...
The OPEC cut talk starts up again
OPEC+ is considering a new oil production cut of as much as 1 million barrels a day, according to a report in the WSJ published earlier. Oil has been volatile today, falling earlier in New York trade and then storming back. A similar pattern played out yesterday."A...
Fed’s Mester: Monetary policy is ‘in a good place’
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,...
More Fed talk coming up next with Mester and the Beige Book
Cleveland Fed Pres. MesterOftentimes in the past year, the amount of Fedspeak has been far too much but we're approaching a turning point in policy so it's one of the rare times where every word matters. This entire stock market rally kicked off with the Fed and if...
Reserve Bank of New Zealand hints at possible tightening to control inflation. NZDUSD up.
The Reserve Bank of New Zealand's decision to maintain interest rates at 5.5% was anticipated, but their stance leaned towards the hawkish side. They didn't dismiss the possibility of future rate hikes to manage inflation. This sentiment drove the NZDUSD price up,...
USDCHF test support and bounces back, boosting the dip buying traders confidence
In my recent video analysis of USDCHF (CLICK HERE), I discussed the pair's movement below the crucial 61.8% Fibonacci retracement level at 0.88186, coinciding with the testing of the Asian session's swing low at 0.8791. I highlighted the risk for traders of a...
European equity close: DAX rises to the highest since August 1
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,...
GBPUSD reverses a key retracement level, potential for further downside
The GBPUSD moved above the next upside target at the 61.8% retracement of the move down from the July 2023 high. That level came in at 1.27189. The price moved up to 1.2732 on the break but then backed off and when it did, the buyers turned more to sellers. Traders...
The market prices in even more Fed easing next year
Until today, 100 basis points of Fed easing remained something of a ceiling for what the market was willing to price in. However yesterday's dovish comments from Waller changed the equation and late yesterday Bill Ackman piled on, talking about a Q1 cut.Barkin pushed...
Weekly EIA inventories crude oil +1609K versus -933K expected
Expectations:Crude +1609K vs -933K expGasoline +1764K vs +229K expDistillates +5127K vs -394K expThe huge build in distillates is a big surprise and it's certainly welcome given critically-low diesel inventories.Late yesterday, the API reported:Crude -817KGasoline...
Oil turns lower ahead of weekly EIA oil inventories
WTI crude oil is down 22 -cents to $76.07 after earlier trading as high as $77.88.The sharp round of selling comes ahead of the latest weekly US storage data from the EIA. The consensus estimates are:Crude -933KGasoline +229KDistillates -394KHowever there are whispers...
Feds Barkin: I’m hearing consumers slowing down, but not falling off the table
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,...
The bumpy path to achieving 2% inflation: Insights from Fed’s Bostic
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,...
Biden Administration to revamp EV tax credits to curb Chinese influence
The Wall Street Journal is reporting that the Biden administration is expected to announce tax-credit rules for electric vehicles (EVs) on Friday, impacting the American EV market.These rules involve a $7,500 tax subsidy for new EV buyers, with a specific focus on...
J.P. Morgan’s Dimon: We as a nation should not be complacent
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,...
The Two Best Performing Major Currencies of 2023!
In 2022, the best performing currency was the US Dollar, which outcompeted the whole of the market. This was largely due to the Federal Reserve consecutively increasing interest rates for 8 months and then again in July. The US Dollar was also supported by the...
US stocks higher to start Wednesday’s trading
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,...