Author: FX

<ul><li>Fed needs to keep at rate hikes until inflation trend brakes lower</li><li>Says here view on the economy and inflation hasn't been changed by the latest data</li><li>Data shows inflation not yet on trend to get back sustainably to 2% target</li><li>New <a href="https://www.forexlive.com/terms/i/inflation/" class="terms__main-term" id="ad51a5a2-1afc-4f42-9e62-ea6faf6f90fa" target="_blank">inflation</a> data affirms case for rate hikes</li><li>Asked about 25 bps vs 50 bps at March meeting, declines to say</li><li>Says 25 vs 50 bps discussion misses bigger picture</li><li>Says there's more data and info to take on before debating rate rise sizes at March 21-22 meeting</li></ul><p>Again, she's passing up an opportunity to be more hawkish than previously. She has…

The calendar turns to March on Wednesday and the rule of thumb is that non-farm payrolls comes on the first Friday of the month. So why is the jobs report scheduled for March 10 instead of March 3?The short answer is that the rule of thumb is wrong. The slightly-longer answer is that it’s because February is the shortest month, so there’s not enough time to prepare.The full answer is that Bureau of Labor Statistics releases non-farm payrolls on the fourth Friday following the week containing the 12th of a given month, which in March’s case will be the 10th…

<p>The Dallas measure of core inflation accelerated to a one-month annualized pace of 6.3% compared to 4.0% in December.</p><p>There are many fans of this report on the FOMC and it highlights the stubborn path of inflation going forward.</p> This article was written by Adam Button at www.forexlive.com. Source link

More rate hikes needed to deal with ‘too high’ inflationUS central bank will need to get rates up and potentially hold them there for a long periodShe is optimistic that the Fed can get inflation down and achieve a soft landingShe is aware there are many risks, including negative economic outcomesThese comments are annoying because they don’t answer the main question: How much higher dose the Fed need to hike? Collins is still new at the Fed so it’s not fair to push too hard on the point but the question is where does the Fed stop hiking and start…

Sundry Photography/iStock Editorial via Getty Images Zoom Video Communications (NASDAQ:ZM) is scheduled to announce Q4 earnings results on Monday, February 27th, after market close. Earlier this month the cloud-based communications platform company said it would lay off 1,300 employees, or about 15% of its workforce, as its deals with a post-COVID-19 business slowdown. In late January, in response to a slowdown in user growth, Zoom (ZM) said it would enact a 7% price increase for its popular Zoom One Pro plan. However, MKM Partners cautioned of few signs of growth picking up soon, cuting its rating on the communications platform…

EURUSD dailyLast week, we published MUFG’s trade of the week, calling for EUR/USD shorts and they’ve had a good start. The euro is down to 1.0543 from 1.0684 when it was published.This week, they’re sticking with it, keeping a target of 1.0335 and a stop at 1.0855.”We are maintaining our short EUR/USD trade idea. The pair has broken back below the 1.0600-level over the past week and we expect it to fall back towards support from the 200-day moving average that comes in at around 1.0330,” MUFG notes.For bank trade ideas, check out eFX Plus. For a limited time, get…

USDJPY retests the highs for the dayThe USDJPY is testing the earlier high for the day at 136.46. Looking at the hourly chart, the pair spiked higher after the Core PCE, but then quickly rotated to the downside. That move tested the swing highs from last Friday and Tuesday before restarting the run higher. The move took the price through a topside trend line and to a high of 136.46. A modest consolidation/correction has now led to a push back higher. The 136.46 level is being retested.On a break higher, traders will be looking toward teh 38.2% at 136.658. Above…

3/3 © Reuters. U.S. Secretary of State Antony Blinken speaks, while sitting next to British Secretary of State for Foreign, Commonwealth and Development Affairs James Cleverly, during a meeting at the United Nations Security Council, to mark one year since Russia invade 2/3 By Michelle Nichols and Simon Lewis UNITED NATIONS (Reuters) – U.S. Secretary of State Antony Blinken warned the United Nations Security Council on Friday that it should not be fooled by calls for a temporary or unconditional ceasefire in Ukraine, saying a “just and durable” peace cannot allow Russia to rest and rearm. The council met to…

<p>The major US stock <a href="https://www.forexlive.com/terms/i/indices/" class="terms__main-term" id="eb50e0fb-8258-4e43-80e6-8831246f8b37" target="_blank">indices</a> are seeing a bounce higher. The comments from that Bullard were less hawkish. <a href="https://www.forexlive.com/centralbank/feds-bullard-the-current-situation-may-fall-under-rubric-of-credible-disinflation-20230224/" target="_blank" rel="follow">As Adam points out </a>if there's a Fed official who would push towards 6%, it would be Bullard. However, he is not.</p><p>Also helping is that the S&P index failed to correct below its 200 day <a href="https://www.forexlive.com/terms/m/moving-average/" class="terms__secondary-term" id="d39a8864-434f-487e-bd1e-f9b895111210" target="_blank">moving average</a> at 3940.13 (see earlier post). It reached a low of 3943.08.</p><p>The not so good news is that the NASDAQ index did break below its 200 day moving average at 11409.78. But the price of…

The market has now moved into line with what the Federal Reserve was forecasting in the December dot plot in a rare instance of the central bank being smarter than the market. But the battle begins anew on what happens next.The big question for the Fed on March 22 will be where to put the new dots. Do they want to bump up the top of the range? Leave it largely unchanged? Or push a scenario where rates hold higher for longer?The Dot plot from December 2022I think the last scenario is still the most likely but there’s plenty of…