Risk Aversion Dominates Amid Light Economic Calendar
| Action Insight Mid-Day Report 5-29-24 |
Risk Aversion Dominates Amid Light Economic Calendar |
Risk aversion is the prevailing theme in the global markets today, with major European indexes trading in the red and US futures pointing to a lower open. Australian Dollar reversed its earlier post-CPI gains and is currently the worst performer of the day, followed by New Zealand Dollar and Canadian Dollar. In contrast, Swiss Franc is the strongest, followed by Euro and the US Dollar, while Japanese Yen and British Pound are positioned in the middle. Technically, USD/CAD failed to sustain below 55 D EMA again, and recovered ahead of 1.3589 cluster support (38.2% retracement of 1.3176 to 1.3845). Near term bullishness is maintained thus far. Break of 1.3742 resistance will argue that corrective pullback from 1.3845 has completed already, and larger rise from 1.3176 is ready to resume. Let's see if Friday's US PCE inflation data could trigger the move... |
USD/CHF Mid-Day Outlook Daily Pivots: (S1) 0.9091; (P) 0.9120; (R1) 0.9153; More.... Range trading continues in USD/CHF below 0.9157 and intraday bias stays neutral. Further rally is in favor with 0.9077 minor support intact. On the upside, above 0.9157 will bring retest of 0.9223. However, on the downside, break of 0.9077 will suggest that rebound from 0.8987 has completed. Intraday bias will be turned back to the downside for 0.8987 support. Further break there will resume the fall from 0.9223 to 38.2% retracement of 0.8332 to 0.9223 at 0.8883. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
|---|
| 01:00 | AUD | Westpac Leading Index M/M Apr | 0.00% | -0.10% | | 01:00 | NZD | ANZ Business Confidence May | 11.2 | 14.9 | | 01:30 | AUD | Construction Work Done Q1 | -2.90% | 0.50% | 0.70% | 1.80% | | 01:30 | AUD | Monthly CPI Y/Y Apr | 3.60% | 3.40% | 3.50% | | 05:00 | JPY | Consumer Confidence May | 36.2 | 38.9 | 38.3 | | 06:00 | EUR | Germany GfK Consumer Confidence Jun | -20.9 | -22.5 | -24.2 | -24 | | 08:00 | CHF | UBS Economic Expectations May | 18.2 | 17.6 | | 08:00 | EUR | Eurozone M3 Money Supply Y/Y Apr | 1.30% | 1.50% | 0.90% | | 12:00 | EUR | Germany CPI M/M May P | 0.10% | 0.20% | 0.50% | | 12:00 | EUR | Germany CPI Y/Y May P | 2.40% | 2.40% | 2.20% | | 18:00 | USD | Fed's Beige Book |
|
|
|
