Dollar Weakens as Tariff Boost Fades; FOMC Minutes and RBNZ in the Spotlight
| Action Insight Mid-Day Report 11-26-24 |
Dollar Weakens as Tariff Boost Fades; FOMC Minutes and RBNZ in the Spotlight |
Dollar is losing some ground as markets enter into US session, as the initial support from US President-elect Donald Trump’s tariff announcement dissipated. Although the greenback softened broadly, it is still holding onto gains against Loonie and Aussie, with traders as Trump’s tariffs are targeting Canada, China, alongside Mexico. Market focus now turns to FOMC minutes, with traders eager to gauge sentiment among policymakers ahead of December’s rate decision. Currently, Fed fund futures indicate a 60% probability of a 25bps rate cut, but recent commentary from Fed officials has left room for doubt. The minutes may provide insight into how aligned policymakers are on easing monetary policy further or maintaining caution. In terms of currency performance, Yen leads as the strongest performer of the day. Sterling and Euro also showed some mild strength. Meanwhile, Loonie is the weakest, pressured by trade concerns, followed by Aussie and Dollar. Swiss Franc and Kiwi are holding relatively neutral positions.... |
USD/JPY Mid-Day Outlook Daily Pivots: (S1) 153.58; (P) 154.15; (R1) 154.75; More... USD/JPY's break of 153.27 minor support suggests that correction from 156.74 is extending lower. Intraday bias is back on the downside for 38.2% retracement of 139.57 to 156.74 at 150.18. For now, risk will stay on the downside as long as 156.74 resistance holds, in case of recovery. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Corporate Service Price Index Y/Y Oct | 2.90% | 2.50% | 2.60% | 2.80% | | 14:00 | USD | S&P/CS Composite-20 HPI Y/Y Sep | 5.10% | 5.20% | | 14:00 | USD | Housing Price Index M/M Sep | 0.30% | 0.30% | | 15:00 | USD | Consumer Confidence Nov | 112 | 108.7 | | 15:00 | USD | New Home Sales Oct | 724K | 738K |
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