EUR/USD 1.15341
0.083%
Gold 4383.66
-0.562%
Oil 80.653
-1.236%
USD/JPY 159.321
-0.059%
GBP/USD 1.34926
-0.012%
GBP/JPY 214.973
-0.062%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
JD.coms Q2 earnings call will be held in ten minutes.On August 13th, Nomura Securities strategists predicted that the Swedish central bank would keep its policy rate unchanged at 1.75% in August and maintain it throughout 2026. Despite subdued and stable inflation expectations in Sweden, stronger economic activity data, Middle East-related energy risks, and anticipated tightening by the European Central Bank have increased the likelihood of an earlier rate hike by the Swedish central bank. The bank stated, "Furthermore, the European Central Bank has already raised rates once this year, and we expect it to raise rates again in September. While we believe these pressures will not prompt the Swedish central bank to vote for a rate hike this time, the risk to our forecast for the Swedish central banks policy rate is that the rate hike could occur earlier than our current expectation of December 2027."The Indian rupee weakened against the US dollar on Thursday, despite both the dollar and oil prices falling. The dollar came under pressure after market concerns about a near-term Federal Reserve rate hike eased following expectations of slower-than-expected US July consumer price index growth. Analysts at Brown Brothers Harriman noted that the latest US inflation data prompted a mildly dovish shift in interest rate expectations, although the dollars overall upward trend continued. They emphasized that after the US July CPI data indicated that inflation was cooling, federal funds futures reduced bets on a September rate hike from about 50% to 35%, in line with expectations. Economies like India, heavily reliant on oil imports to meet energy needs, tend to have currencies that underperform in high oil price environments.On August 13, the Hong Kong Special Administrative Region (HKSAR) government held its first large-scale drill at the Hong Kong side of the Huanggang Port, testing the overall management of passenger and vehicle flow at the ports joint inspection building and public transport interchange, in preparation for the ports official opening. The HKSAR government stated that the early opening of the port is a shared goal of both the Hong Kong and Shenzhen governments, and Hong Kong will continue to work closely with Shenzhen to expedite all preparatory work. Once both sides confirm that the port meets the conditions for safe and smooth operation, the Guangdong and Hong Kong governments will finalize the official opening date and announce it to the public in due course.U.S. Defense Secretary Hergsays: If Cuba does not comply with Washingtons demands, we will take military action against the country. As I have said before, and as we may have seen in other cases, all options, including military options, are being considered.

USD/CAD encounters resistance near 1.3580 as focus shifts to FOMC minutes

Daniel Rogers

Jan 03, 2023 15:20

 USD:CAD.png

 

After failing to surpass the immediate resistance level of 1.3580, the USD/CAD pair is exhibiting some volatility in the Tokyo morning session. The Canadian dollar is attracting bids due to a boost in investor risk appetite and a rise in oil prices.

 

As investors believe that the US Dollar Index will continue to underperform, risk-sensitive currencies are gaining traction. After giving up the crucial support level of 103.50, the USD Index saw a significant fall on Friday. In the interim, S&P500 futures have began trading on a positive note, signaling a reduction in risk.

 

This week, the Federal Open Market Committee (FOMC) report will be the focal point of attention. The minutes of the Federal Open Market Committee will explain why the Federal Reserve raised interest rates by 50 basis points (bps) in December's monetary policy meeting (Fed).

 

As they preview this week's US events, TD Securities analysts believe that the FOMC's December policy meeting minutes will shed fresh light on the Fed's policy outlook for 2023. According to analysts at TD Securities, by the time of the FOMC meeting in May, the terminal rate will be between 5.25 and 5.50 percent.

 

Investors will eagerly scrutinize the Canadian employment data that will be released on Friday. Analysts at TD Securities expect an 8,000 gain in employment in December as the labor market begins to deteriorate. The unemployment rate may decline to 5.2%, and the annual wage range may rise to 5.5%. A rise in pay growth may keep inflation at elevated levels.

 

In the interim, the price of oil has risen to over $80.50 per barrel as investors anticipate a drop in Covid-19 cases in China, which will restore economic development. Notably, Canada is the United States' leading oil exporter, and higher oil prices strengthen the Canadian Dollar.


Suggestion