EUR/USD 1.16338
0.007%
Gold 4389.71
-0.269%
Oil 94.924
0.756%
USD/JPY 153.703
0.101%
GBP/USD 1.35446
-0.010%
GBP/JPY 208.189
0.109%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On September 10th, four sources within the Yemeni government forces stated that the Houthi rebels are close to gaining complete control of coastal cities along the Bab el-Mandeb Strait, including the historic port cities of Mocha and Dhubab. The group is currently pushing for control of the entire Red Sea coast of Yemen. The Bab el-Mandeb Strait, also known as the "Gate of Tears," is a key target for the Houthis. If this narrow waterway is blocked, the main shipping routes for Gulf oil-producing countries, especially Saudi Arabia, will be disrupted, following Irans de facto closure of the Strait of Hormuz.The yield on German 30-year government bonds rose to 3.8981%, the highest level since April 2011, up 2 basis points.Pakistan stated on Thursday that, according to the Mecca Agreement, there are currently no discussions regarding Islamabads military response to Houthi attacks on Saudi Arabia, but added that Pakistan will act "when the time is right." When asked at a weekly media briefing about Islamabads plans to fulfill its obligations under the joint defense agreement signed with Turkey and Saudi Arabia, Pakistani Foreign Ministry spokesman Sajjad Haider Khan said, "There are no discussions on such matters at present… When the time is right, (we) will act in accordance with the agreement." The joint defense agreement, signed last month, stipulates that an armed attack on any of the three countries will be considered an attack on all three. This issue arises after Houthi attacks on Saudi cities and energy infrastructure this week, which, as of Thursday, have become a second front in the Middle East. Reuters reported that Islamabad has warned Iran to restrain its Houthi allies in Yemen after the Houthis intensified their attacks on Saudi Arabia. Pakistan, which is also mediating the US-Iran conflict, condemned the attacks but did not elaborate on how it might respond under the terms of the defense agreement.Statistics South Africa: South African gold production fell 7.4% year-on-year in July, total mining output fell 7.5% year-on-year, and platinum group metals production fell 13.5% year-on-year.On September 10th, according to an analysis by The Jerusalem Post, the Houthi rebels seized control of the Red Sea coastal city of Muha on Thursday. This Houthi advance is not surprising. Although the Houthis have suffered setbacks on other fronts, this offensive appears poised to have broader implications for the entire region. Located at the northern end of the Bab el-Mandeb Strait, control of Muha could mean that the Iranian-backed Houthis are one step closer to closing the strait. This would give Iran greater influence in regional affairs, despite its recent apparent setbacks on several fronts. The Houthi threat could exacerbate global security uncertainty and continue to disrupt energy markets. On September 9th, Trump stated that he expected the US-Iran conflict to gradually de-escalate after the US midterm elections, and that international oil prices were expected to fall accordingly. However, the fighting in Muha could change his assessment. In conclusion, the Yemeni government forces setbacks in Muha demonstrate that this long-neglected, relatively low-intensity conflict in Yemen still has the potential to reshape the entire regional landscape.

GBP/JPY Nears Two-Week Low Below 161.00 as Risk-Aversion Pauses During Quiet Session

Alina Haynes

May 10, 2022 10:13

Tuesday's sluggish Tokyo open makes it difficult for GBP/JPY bears to maintain control. As US Treasury yields decline from a multi-month high, the cross-currency pair advances to the fourteenth round.

 

After a spectacular display of risk aversion, global markets are idle on Tuesday morning as US bond yields look for fresh indications to extend the earlier flight to safety. Mixed comments from Fed members and China's determination to continue a "zero covid" policy may have also contributed to the correction.

 

In doing so, the cross-currency pair pays some attention to Brexit-negative headlines as well as the most recent decline in prices to its intraday low, primarily owing to market consolidation. Thus, British Foreign Secretary Liz Truss abandoned Brexit negotiations with the European Union (EU). The Times also reports that the British ambassador is preparing for the elimination of a significant portion of the NI protocol. According to Reuters, "officials working for Truss have drafted legislation that would unilaterally eliminate the need for all checks on products sent from Britain for use in Northern Ireland."

 

Michael Saunders, an external member of the Bank of England's (BOE) Monetary Policy Committee, bolstered rate-hike fears on a different page by saying that a neutral rate may be between 1.25 percent and 2.5 percent. The policymaker said that UK interest rates may need to rise above neutral if inflation expectations rise, which appeared to have supported the GBP/JPY exchange rate recently.

 

US Treasury rates fall seven basis points (bps) to 3.008 percent, after reaching their highest levels since November 2018, while S&P 500 Futures increase 0.10 percent as of press time.

 

Moving forward, a light calendar and Brexit concerns may test GBP/JPY traders. However, the bearish impulse is likely to persist amid a widespread risk aversion wave. In addition, Prime Minister Boris Johnson's address to the House of Commons will be vital to follow.

Analytical Techniques

GBP/JPY bears maintain control unless the pair breaches a downward-sloping trend line from late April around 162.25. Nonetheless, the 50-day simple moving average and a six-week-old ascending support line at 160.00 and 159.85 appear to be significant supports to watch throughout the pair's subsequent drops.

 

image.png 


Suggestion