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…
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…
Gold saw a sharp rally in North American trading as the increase in the weekly claimant count in the US was flagged by the market as a potential reason for the Fed to consider cutting rates. This of course would have inflationary effects and would then be potential reason for central banks to increase gold…
The immediate response for the Bank of England’s vote to hold steady and clear shift to a dovish stance in the breakdown saw the British Pound losing ground only to see a big bounce on weakness in the US weekly claimant data. While the change in policy bias for the BoE is clear absent any…
Euro saw a very tight range against the dollar Wednesday with a lack of fresh incentive to take action and a holiday in France likely sapping any interest to speculate. Ahead we may be facing more of the same given even more holidays with Germany joining the French on a break. The rest of the…
There has been little fresh catalyst to drive Bitcoin anywhere in any significant fashion with the dead cross in the moving averages keeping bulls subdued. Crypto circles continue to talk in jargon looking for a start for a push to new ATH (All-Time Highs) as in previous cases of bitcoin halving. Arguments for the upside…
The Japanese Yen has slowly been losing ground against the other majors even as in theory we actually have a closing rate gap between Japan and the likes of US, UK, and Europe. Absent any structural changes it is difficult for us to see a stronger Yen in the near term. Ultimately the Yen pairs…