Today’s calendar looks interesting as we have an ongoing Economic and Finance Ministers meeting all day and the release of EU Economic Forecasts. That said all eyes will likely be in the US with Fed Chairman Powell set to speak and a precursor to tomorrow’s CPI set for release. We have month-on-month producer prices index…
There is little in the way of fresh catalyst driving bitcoin as much of the issues surrounding the grand daddy of crypto currencies has been discussed and rehashed. The next big swing up would likely need a Fed inspiration, i.e. surpise rate cut this June. The more likely scenario of prolonged policy rates at current…
Gold continues to ignore geopolitical tensions and remain focused on the US Interest Rate story. Fed speak for the most part continue to suggest a rate cut later rather than sooner which has been weighing on Gold’s potential upside. Note that market players are always thinking ahead and are looking for an easing to rekindle…
Oil prices continue to ignore the Middle East conflict and will likely continue to as long as it remains localized in Gaza, and against Hezbollah in Southern Lebanon. For now the primary concern for the market is demand and a narrative of delays in US easing is keeping prices vulnerable along with economic weakness in…
After initial responses to the 0-2-7 vote of the Bank of England’s Monetary Policy Committee saw Cable selling off, weakness in US numbers quickly turned things in GBPUSD’s favor last Thursday though we failed to see a follow through to the rally. At this point market is focused on the US CPI release Wednesday to…
We will just touch on USDJPY with the start of a fresh week. Note that for us this pair remains to be a carry trade more than anything else though with inflation metrics for the US coming out on Wednesday the potential for price action would be attractive. The formula here remains straight forward inflation…
Euro saw a tight range Friday absent any market moving catalyst. Ahead we also have a clear calendar suggesting more of the same indecisive trading. With US inflation due Wednesday likely to be the main driver for the week. Should US CPI figures suggests pressures are easing we may have an excuse to finally push…
Kiwi could be facing a critical day ahead with the quarterly inflation expectations report. Note RBNZ policy rates are among the highest in the developed world matching the US Fed at 5.50%. The general consensus has been for New Zealand to stick to a tight monetary regime until inflation is within target. Contrast this to…
As the Reserve Bank of New Zealand (RBNZ) approaches its next policy decision, the focus is sharply on the upcoming inflation expectations report (5/13 0300GMT), particularly in light of recent guidance from international and local economic bodies, including the OECD. The report will play a crucial role in shaping monetary policy amid ongoing inflationary pressures…
Oil saw a selloff Wednesday towards the daily consolidation floor from February to March only to turnaround on poorer US inventory numbers. Following this was a tight range Thursday on a combination of holidays and a lack of market moving data. The next key event for us in oil is not until next weeks US…