Author: FX
Being the first Friday of the month, the day sorta felt like it should have been an employment day. However, because of the quirks of the shortened calendar month of February, this Friday was void of the big job report. That data will have to wait until next week, when both the US and Canada jobs reports will be released (and it will be 10th of the month). We did get the ISM non-manufacturing data today which came in better than expectations at 55.1 vs 54.5. Within that report was the the employment component which came in higher at 54.0…
> Fed’s Barkin: If inflation persists we can raise rates further than forecast Adam Button Friday, 03/03/2023 | 21:17 GMT-0 03/03/2023 | 21:17 GMT-0 Labor market is still ‘quite tight’Inflation is likely past its peakInflation expectations are well-anchored but under-surface movements warrant cautionMy view is still in step with the FOMCWe still have work to doExpect no rate cuts this year ADVERTISEMENT – CONTINUE READING BELOW Tags ADVERTISEMENT – CONTINUE READING BELOW Most Popular ADVERTISEMENT – CONTINUE READING BELOW ADVERTISEMENT – CONTINUE READING BELOW Source link
Share: EUR/USD to finish the week above 1.0600 after hitting a weekly low of 1.0533. A risk-on impulse and falling UST bond yields are a headwind for the US Dollar. US ISM Non-Manufacturing data showed the US economy remains resilient. EUR/USD reversed its course and is set to finish the week with gains of more than 0.80% on a softer US Dollar (USD) amidst speculations that the US Federal Reserve (Fed) would not hike rates beyond what money market futures expect. The EUR/USD exchanges hands at 1.0635 after hitting a daily low at 1.0588. EUR/USD trimmed Wednesday’s losses…
Share: Next week, the Bank of Canada (BoC) will have its monetary policy meeting. No change in rates is seen. Analysts at TD Securities point out that the forward guidance is not expected to change significantly from the January meeting. BoC: Live to hold another day “The downside surprise on Q4 GDP should allow the BoC to look past the blockbuster January jobs number and keep the overnight rate unchanged at 4.50%. The forward guidance is not expected to change too much from January, though the BoC might want to put more emphasis on the conditional nature of…
Share: The National Bank of Canada revised its year-end target for the USD/CAD pair from 1.27 to 1.32. however, they warn that the reopening of the Chinese economy, coupled with the disruption of commodity supplies due to the war in Ukraine, will help limit the depreciation of the Canadian Dollar. Weak Canadian GDP = BoC pause “While job creation remains strong, a lacklustre GDP report and slower than expected inflation point to a divergence in monetary policy between Canada and the US. While our new spread forecast is not good news for the Canadian dollar in the near…
Thanks to a heavy economic calendar, it was a very busy week for forex traders who had to balance global business surveys, economic data updates and lots of central bank speak. It’s no surprise that we saw choppiness and a less tight correlation from the usual intermarket price patterns. The New Zealand dollar ended up being this week’s clear winner in FX, thanks to much-better-than-expected data from China helping Kiwi take the mid-week lead and overshadowing net negative updates from New Zealand. Notable News & Economic Updates: U.K. and the European Union leaders made a new deal that would tackle…
Share: GBP/USD remains near 1.2000 after US data, virtually flat for the week The GBP/USD fell to 1.1960 after the release of the US ISM Service PMI and then rebounded. The pair continues to move sideways, near 1.2000, virtually flat for the week. Read More… GBP/USD Price Analysis: Sticks to gains around 1.2000 mark, 200 DMA holds the key for bulls The GBP/USD pair attracts some dip-buying on Friday and recovers a major part of the previous day’s slide to the 1.1920-1.1915 support zone. The pair maintains its bid tone around the 1.2000 psychological mark through the…
Share: USD/JPY retreats from weekly highs amidst an offered US Dollar. Upbeat US economic data failed to bolster the US Dollar. USD/JPY Price Analysis: Bullish above 136.00; otherwise, a retest of 134.00 is on the cards The USD/JPY slides from 136.70s toward the 136.00 area on Friday amidst broad US Dollar (USD) weakness even though data cemented the US economy resilience. At the time of writing, the USD/JPY exchanges hands at 136.02. USD/JPY Price Action From a daily chart perspective, the USD/JPY is neutral upward biased, despite dropping from weekly highs toward the 136.10s area. If the USD/JPY…
Western Texas Intermediate (WTI) resumed its uptrend after a report by the Wall Street Journal (WSJ) spurred a fall of 3% on speculations that one of Source link
STOCK MARKET WEEK AHEAD OUTLOOK: BEARISH TO NEUTRALS&P 500 and Nasdaq 100 close the week higher despite rising Treasury yieldsThe Fed’s hawkish monetary policy outlook remains a key risk for stocksPowell’s testimony before Congress and the February U.S. employment report will take the spotlight next week Recommended by Diego Colman Get Your Free Equities Forecast Most Read: USD/JPY Retains Bullish Outlook, Fundamentals Undermine the Japanese YenU.S. bond yields extended their recent rally this past week despite a moderate pullback on Friday, rising across most maturities amid a hawkish repricing of the Fed’s monetary policy outlook in the wake of hotter-than-expected…