EUR/USD 1.13941
0.072%
Gold 4033.63
0.127%
Oil 81.203
3.668%
USD/JPY 163.502
-0.218%
GBP/USD 1.32994
0.086%
GBP/JPY 217.453
-0.119%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On July 29th, Berenberg Bank analyst Andrew Wishart noted in a report that the Bank of England is likely to maintain its key interest rate at 3.75% on Thursday. However, the central bank may warn of a potential rate hike if energy prices rise sharply or a second round of inflation occurs. However, this warning does not necessarily mean a rate hike is highly probable. He stated that the mere threat of a rate hike, coupled with rising oil prices, would be enough to push up interest rate expectations and mortgage costs, thereby reducing the risk of inflation. Instead, Wishart believes the Bank of England may actually resume rate cuts in December, subsequently lowering the policy rate to 3.0% by mid-2027. He pointed out that wage and service sector inflation are trending downwards, and US President Trump will want to avoid rising oil prices as the midterm elections approach.Yemeni diplomatic missions: The Saudi-US attack on Iraq is a blatant violation of international law. Iraq and its people have the right to legitimately retaliate against this crime.Russian Defense Ministry: Russian troops have taken control of Svetly and Novasich in eastern Ukraine.July 29th, Futures News: 1. According to feedback from cotton regulatory warehouses/delivery warehouses in Aksu, Kashgar, and Kuitun, the transfer of Xinjiang cotton to inland areas has slowed since mid-to-late July, and the pressure on loading and shipping at storage warehouses has decreased. This is particularly evident at warehouses in Shihezi, Changji, and Kuitun in northern Xinjiang. Industry insiders believe that in addition to the start of sales of central reserve cotton, this is also related to factors such as the increasingly obvious off-season trend for domestic sales in June and July, the continued increase in the proportion of production restrictions and reductions by small and medium-sized textile mills in inland areas, and the continuous weakening supply of high-quality, high-grade cotton ("double 29/double 30/double 31") in Xinjiang warehouses. 2. According to surveys/estimations of some cotton-related enterprises in Xinjiang, as of July 20, the commercial cotton inventory in Xinjiang may have dropped to around 1.45 million tons. Moreover, the resources from Kashgar, Kizilsu, Hotan and Aksu in southern Xinjiang account for a relatively high proportion. Meanwhile, the inventory of bonded warehouses in Xinjiang, such as Western Pearl Bonded Logistics, is mainly cotton from Kazakhstan, Afghanistan and Turkey. Therefore, it is expected that more Xinjiang textile enterprises will participate in the auction of the 2026 central reserve cotton in August and September, and increase the replenishment of high-index and high-spinnability cotton such as "double 29/double 30" to safely get through the "supply gap period".Italys average hourly wage rose 2.4% year-on-year in June, up from 2.40% previously.

AUD/USD Falls Toward 0.7000 as Weak China Data Increases RBA and Fed Concerns

Daniel Rogers

Feb 01, 2023 15:36

 AUD:USD.png

 

AUD/USD accepts offers to re-establish intraday low at 0.7040 as market nervousness deepens ahead of Wednesday morning's critical Fed announcement. The Chinese activity statistics provided by the industry group may support the retreat moves.

 

However, China's Caixin Manufacturing PMI rose from 49.0 to 49.2, falling shy of market estimates of 49.5. Additionally, the sixth consecutive month of readings below 50 reinforces the negative outlook on Australia's largest consumer.

 

The head of the RBA's Economic Analysis Department, Marion Kohler, stated elsewhere that the bank expects inflation to peak in the fourth quarter of 2022. In contrast, the Wall Street Journal's James Glynn projected that the RBA will deliver a series of rate hikes and retain its aggressive stance at the monetary policy meeting next week.

 

Despite fading inflation fears and persistent recession worries, traders are preparing for today's critical Federal Open Market Committee (FOMC) monetary policy meeting. Despite recent poor inflation numbers, Fed Chair Jerome Powell's hawkish approach and readiness to defend quick rate hikes make today's Fed meeting intriguing.

 

In this scenario, S&P 500 Futures register moderate losses, while US Treasury bond yields remain sluggish and arrest their slide from yesterday. The US Dollar Index (DXY) receives bids near 102.15 in an attempt to recoup Tuesday's losses.


Suggestion