Forex Steadies Despite Fresh Tariff Escalations, Euro Starting to Retreat
| Action Insight Daily Report 3-13-25 |
Forex Steadies Despite Fresh Tariff Escalations, Euro Starting to Retreat |
Forex markets are holding steady in Asian session today, with major currency pairs and crosses all confined within yesterday’s ranges. This lack of movement comes despite a significant escalation in the US-led trade war, as newly effective 25% tariffs on all imported steel and aluminum products have prompted swift retaliation from key trading partners. In swift response, European Commission President Ursula von der Leyen announced that the EU would implement retaliatory tariffs of equal value, totaling USD 28B, on a range of U.S. goods beyond just metals. These measures, set to take effect on April 1, will target products including textiles, home appliances, and agricultural goods. Meanwhile, Canada—the largest supplier of steel and aluminum to the U.S.—is hitting back with USD 20.7B in countermeasures, including a 25% tariff on steel products and increased taxes on US imports ranging from computers and servers to sports equipment and cast-iron products. The UK has so far taken a more measured stance, with Prime Minister Keir Starmer stating that his government is adopting a "pragmatic approach" while keeping "all options on the table." Australia, on the other hand, has opted against imposing retaliatory tariffs for now. Instead, Prime Minister Anthony Albanese has urged Australians to support local industries in response to Trump’s refusal to grant an exemption for Australian steel and aluminum. .... |
USD/JPY Daily Outlook Daily Pivots: (S1) 147.51; (P) 148.35; (R1) 149.10; More... Intraday bias in USD/JPY remains neutral for the moment, and more consolidations could be seen above 146.52. Upside of recovery should be limited by 150.92 support turned resistance. On the downside, sustained trading below 61.8% retracement of 139.57 to 158.86 at 146.32 will pave the way to 139.57 support. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 00:00 | AUD | Consumer Inflation Expectations Mar | 3.60% | 4.60% | | 00:01 | GBP | RICS Housing Price Balance Feb | 11% | 20% | 22% | | 07:30 | CHF | Producer and Import Prices M/M Feb | 0.20% | 0.10% | | 07:30 | CHF | Producer and Import Prices Y/Y Feb | -0.30% | | 10:00 | EUR | Eurozone Industrial Production M/M Jan | 0.80% | -1.10% | | 12:30 | USD | Initial Jobless Claims (Mar 7) | 224K | 221K | | 12:30 | CAD | Building Permits M/M Jan | -4.80% | 11.00% | | 12:30 | USD | PPI M/M Feb | 0.30% | 0.40% | | 12:30 | USD | PPI Y/Y Feb | 3.30% | 3.50% | | 12:30 | USD | PPI Core M/M Feb | 0.30% | 0.30% | | 12:30 | USD | PPI Core Y/Y Feb | 3.60% | 3.60% | | 14:30 | USD | Natural Gas Storage | -46B | -80B |
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