Author: FX

3/3 © Reuters. FILE PHOTO: Somali displaced mother Binti Moalim Hassan lays beside her malnourished 3-year-old daughter Faduma in a hospital in Mogadishu, Somalia October 25, 2022. REUTERS/Feisal Omar 2/3 By Joe Bavier, Abdi Sheikh, Aditi Bhandari and Michael Ovaska MOGADISHU (Reuters) – In October, Nadifa Abdi Isak brought her malnourished daughters to hospital in Mogadishu. That day, a nurse said, 42 other children had already been checked into the emergency unit, ravaged by hunger. There were 57 the day before that. Staff at the Benadir maternity and paediatric hospital said admissions of malnourished children have more than doubled their…

Like the ECB, the BoE seems increasingly spooked by the risk of second round effects, against the background of a labor market that is tighter than the central bank factored in. The workforce has failed to expand in line with the easing of virus restrictions, and Brexit is partly to blame. Against this background, companies are forced to offer higher wages to attract and retain staff. Data from the REC (Recruitment and Employment Confederation) said its measures of demand for permanent staff declined for a second month, suggesting that upward pressure has peaked. UK CPI inflation decelerated more than anticipated.…

It’s FOMC day, fellas! Will they pivot and how might the dollar react? Here’s a setup I’m watching on NZD/USD. Before moving on, ICYMI, yesterday’s watchlist checked out USD/JPY’s ascending triangle pattern ahead of the U.S. CPI release. Be sure to check out if it’s still a valid play! And now for the headlines that rocked the markets in the last trading sessions: Fresh Market Headlines & Economic Data: U.S. headline CPI slowed from 7.7% to 7.1% y/y in Nov Japanese Oct core machinery orders recovered by 5.4% m/m after previous 4.6% slump Japanese Tankan manufacturing index down from 8…

Sees German GDP shrinking over winter before picking up againSees 2022 GDP growth at +1.8% (previously +1.6%)Sees 2023 GDP growth at -0.1% (previously -0.3%)Sees 2024 GDP growth at +1.6%The revisions to the growth projections are an uptick to their previous forecasts during the autumn. Meanwhile, the institute sees inflation at 7.8% this year, 6.4% next year, and 2.8% in 2024.ADVERTISEMENT – CONTINUE READING BELOW Source link

Markets are prepared for another 50 bp hike from both the ECB and BoE, as central banks move their focus from headline inflation rates to underlying inflation pressures and wage growth. A 75-basis point hike from Lagarde cannot be ruled out, but the hawks will likely be placated with a commitment to end the re-investment of maturing assets next year. The start of QT may in fact be more of a problem for governments that are facing rising refinancing costs than the rise in official rates, and the ECB will have to keep a close eye on spreads next year.…

The US Dollar suffered heavy losses on Tuesday after Consume Price Index (CPI) figures continued to soften in November. Economists at Commerzbank expect the greenback to extend its downtrend if inflation continues to fall in the US over the coming month. Hawkish comments unlikely to fuel the USD  “It would make sense that the Fed chair not only announces less rapid rate hikes but increasingly talks about the Fed’s rate hike cycle coming to an end soon. He might not want that, as a premature end of the fight against inflation might be a more severe one than a delayed…

The forex market could be very confusing at times. Price charts could seem like a messy puzzle which is impossible to decipher. Understanding what the market is doing, where price in going, and trading the forex market could be a daunting task for new traders. However, there are ways to make it a lot easier for traders to understand what the market is doing. One of the things new traders can do is to find tools that could help them make sense of what the market is doing based on the price chart. These tools are called technical indicators. Technical…

The USD Index dived to a six-month low of 103.50,  from 105.00 following the cooler CPI data and trades at 104.00 now. US Stocks rallied on open as high as +3.85% but lost most of their gains by close (+0.30-1.01%). Yields tanked (10-yr lost 11 bp) as Treasuries rallied but closed at 3.501%. Commodities rallied (Gold & Copper hit 6-mth highs and  Asian markets remain bid and the USD down 1.5% vs Yen, and 6-mth lows vs Euro, Sterling & Kiwi and 3-mths lows vs. Aussie. BTC spiked to 18k before, news that Binance withdrawals…

UK CPI Key Points:UK CPI Declined to 10.7% Annually, Down from 11.1% in October.The Largest Contribution to the Decrease Came from Cost of Transport (7.2% vs 8.9%), Particularly Motor Fuels (17.2% vs 22.2%) and Second-Hand Cars (-5.8% vs -2.7%).The Annual Core Rate Declined to 6.3% Vs 6.5% Expected. Recommended by Zain Vawda Get Your Free GBP Forecast The CPI and Forex: How CPI Data Affects Currency PricesUK inflation declined in November beating estimates and following last month’s record high print. The core rate of inflation dropped to of 6.3% while consumer prices dropped to 0.4% on a month-to-month basis, well…

Nick Lane, Managing Director for Consumer Customer Services at BT, said: “Our expanded partnership with Nokia is another demonstration of our commitment to providing the best customer experience by investing in AI, analytics, and other state-of the-art technology. Our partnership will help BT’s customer service agents provide the best service across all phone and digital channels and continue to make BT the only network to answer 100% of customer calls in the UK.” Source link