Author: FX
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
5/5 © Reuters. An ambulace arrives at a fever clinic at Chaoyang Hospital in Beijing, China December 13, 2022, in this screen grab taken from a Reuters TV video. REUTERS TV via REUTERS 2/5 By Bernard Orr and Brenda Goh BEIJING (Reuters) – A week after China began dismantling its tough ‘zero-COVID’ controls, the World Health Organization warned of “very tough” times ahead and state media reported some seriously ill patients at hospitals in Beijing, raising fears of a wave of infections. China last Wednesday announced sweeping changes to testing and quarantine rules, aligning with a world that has largely…
Welcome to mid-week trading, errbody! Pippo tells me that we’ve got busy trading sessions ahead so I thought y’all would appreciate short-term setups today. Who’s up for trading NZD/USD and EUR/AUD’s short-term trends? NZD/USD 1-hour Forex Chart A spike in USD weakness took briefly took NZD/USD above the .6500 psychological handle yesterday! NZD bears eventually went back in the game though, and now NZD/USD is trading below .6450 again. Will NZD/USD retest its weekly highs? Take note that NZD/USD has been in an uptrend since mid-November and that an unbroken trend line resistance and the 100 and 200 SMAs point…
The cooler-than-expected US consumer price inflation report yesterday sparked a big reaction in markets but at the end of the day, it was a case of some being more than others. The dollar was pummeled alongside Treasury yields and there were some notable technical breaks in some dollar pairs as a result. However, stocks saw its early rip higher tempered with and the S&P 500 ultimately fell back below its 200-day moving average after an attempt to get above the key trendline resistance for the year:It’s now over to the Fed to vindicate the kind of moves we saw yesterday…
Asian equities remain mildly bid as easing fears of higher rates jostle with challenges for sentiment. US inflation raised hopes of Fed’s pivot in early 2023 but Powell isn’t famous for dovish moves. ADP cuts Emerging Asia outlook, IMF’s Georgieva expects slower growth for China. Japan’s Tankan figures flash mixed signals, RBA’s Lowe refrained from speaking on monetary policy. Risk appetite remains firmer in Asia during early Wednesday, even as the Treasury bond yields remain directionless and the US Dollar licks its wounds around a six-month low by the press time. While portraying the mood, MSCI’s index of Asia-Pacific shares outside…