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February 23 – The 9th Congress of the Workers Party of Korea continued on February 22. The meeting discussed and revised the Workers Party Constitution and elected members of the Central Leadership. The Congress expressed its full support for and endorsement of the proposal to re-elect Kim Jong Un to the highest position in the Workers Party of Korea, and elected him as General Secretary of the Workers Party of Korea. The meeting also elected members and alternate members of the Central Committee of the Workers Party of Korea. Kim Jong Un, Pak Thae Song, Jo Yong Won, Ri Il Hwan, and 139 others were elected as members of the Central Committee of the Workers Party of Korea.February 23 - Analysts say that as skepticism surrounding artificial intelligence grows, Wall Street is increasingly worried that the chip giants earnings this week will drag down its stock price. Nvidias stock has been trading sideways for months, rising only 1.7% since the beginning of the fourth quarter of last year, slightly below the S&P 500s 3.3% gain over the same period. Nvidias recent lackluster performance is largely due to increased investor concerns about spending hundreds of billions of dollars on AI development, leading to capital outflows from large-cap tech stocks. However, the stock market also faces numerous external risks, including geopolitical instability and reduced expectations of interest rate cuts. All of this puts Nvidia in a delicate position when it releases its fourth-quarter and fiscal year results on Wednesday. Investors expect its results to far exceed Wall Street expectations and raise forecasts for the coming quarters. But the company may have little to do or say to drive a meaningful rise in its stock price. Nvidias stock price has fallen after its last two earnings releases.February 23 - On February 22, local time, Greenlands Prime Minister Jens-Frederic Nielsen stated on social media that Greenland has no intention of accepting a hospital ship that US President Trump planned to send to the island. Nielsen posted on Facebook that day, "The answer here is: No, thank you." He stated that Greenlanders enjoy free healthcare, a system that is a "basic component" of local society, "unlike the United States, where you have to pay for medical care."February 23 – The Iranian Foreign Ministry stated that its foreign minister and Iraqi foreign minister held a telephone conversation on Sunday evening. During the call, they reviewed and discussed the latest regional and international situation. The Iranian foreign minister briefed Iraq on the progress of the Iran-US nuclear negotiations. The Iraqi foreign minister emphasized Iraqs support for the ongoing diplomatic process and expressed hope that the ongoing talks would yield favorable results for Iran and bring peace and stability to the region.On February 23, local time, European Parliament International Trade Committee Chairman Alain Lange announced via social media that he would propose a suspension of the European Parliaments ratification of the EU-US trade agreement due to the "chaos" caused by the US Supreme Courts ruling that the US governments massive tariff policies were illegal. Lange stated that clear stipulations and legal certainty are needed before any further measures can be taken, and he will formally propose on the 23rd that the European Parliament temporarily freeze the ratification process of the trade agreement with the US until a proper legal assessment and clear commitment from the US are obtained. The EU-US trade agreement was reached last July, with the US imposing a 15% tariff on EU goods imported into the US.

USD/JPY reaches 133.00 for the first time in three days, as US Treasury yields provide support

Daniel Rogers

Dec 26, 2022 19:18

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The USD/JPY exchange rate exceeded 132.80 and climbed to 133.15, the highest level since Tuesday. Following the release of numerous economic reports from the United States, US Treasury yields climbed, which weakened the Japanese Yen.

 

The most significant piece of news from the United States was the Core Personal Consumption Expenditure Price Index, which rose 0.2% in November, as predicted, and 4.7% from a year ago, a decline from October's 5%. The Federal Reserve monitors inflation indicators on a regular basis.

 

The decline in durable goods orders was 2.6% worse than predicted. The Michigan Consumer Sentiment Index increased to 59.7 in December, above the original estimate of 59.1. The 5.8% increase in November New Home Sales to 640K exceeded market expectations of 600K.

 

Following the release of all economic data, Wall Street stock prices are plummeting, just as they did on Thursday, when positive economic data caused a selloff. The difference on Friday is that bond yields are reacting with greater vigor, resulting in an increase in the USD/JPY exchange rate.

 

The pair is trading below 133.00 with a bullish intraday bias. The next potential level of resistance above the daily high could be around 133.50. The biggest downside support is the 132.50/60 band, which is the confluence of a horizontal level and a weekly low-drawn uptrend line. A decline in price would change the intraday bias from bullish to neutral or bearish.