Dollar Gains Post-US CPI, But Momentum Subdued
Action Insight Mid-Day Report 1-11-24 |
Dollar Gains Post-US CPI, But Momentum Subdued |
The financial markets' initial reactions to stronger than expected US CPI readings are relatively subdued. While there was an immediate response with Dollar and yields rising, and stock futures dipping, these movements lacked significant follow-through. The exception in the currency markets was USD/JPY, which broke through last week's high. However, this move is attributed to a combination of Dollar's strength and Yen's ongoing weakness. The restrained market response suggests that traders and investors may require more time to reassess their views on Fed's path toward policy loosening and adjust their market positions accordingly. As for the week, Euro is currently leading as the strongest currency, followed by British Pound and Dollar. However, the greenback holds potential to surpass others and take the top position. Conversely, Japanese Yen remains the weakest performer, with Australian Dollar and New Zealand Dollar also trailing. Swiss Franc is showing signs of weakness against European majors today, indicating a possible shift down in its relative market position... |
USD/JPY Mid-Day Outlook Daily Pivots: (S1) 144.78; (P) 145.31; (R1) 146.29; More... USD/JPY's rebound from 140.25 resumed by breaking through 145.97. Intraday bias is back on the upside for 61.8% retracement of 151.89 to 140.25 at 147.44. Upside should be limited there to bring reversal. On the downside, below 145.27 minor support will turn intraday bias neutral first. | |
GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
---|
21:45 | NZD | Building Permits M/M Nov | -10.60% | 8.70% | 8.50% | 00:30 | AUD | Trade Balance (AUD) Dec | 11.44B | 7.50B | 7.13B | 7.66B | 05:00 | JPY | Leading Economic Index Nov P | 107.7 | 107.9 | 108.9 | 09:00 | EUR | ECB Economic Bulletin | 13:30 | USD | Initial Jobless Claims (Jan 5) | 202K | 215K | 202K | 203K | 13:30 | USD | CPI M/M Dec | 0.30% | 0.20% | 0.10% | 13:30 | USD | CPI Y/Y Dec | 3.40% | 3.20% | 3.10% | 13:30 | USD | CPI Core M/M Dec | 0.30% | 0.20% | 0.30% | 13:30 | USD | CPI Core Y/Y Dec | 3.90% | 3.80% | 4.00% | 15:30 | USD | Natural Gas Storage | -120B | -14B |
|
|
|