EUR/USD 1.15991
-0.152%
Gold 4362.00
-1.955%
Oil 87.259
2.185%
USD/JPY 160.080
0.218%
GBP/USD 1.35382
-0.077%
GBP/JPY 216.726
0.147%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
The U.S. August ISM Manufacturing PMI, July JOLTs Job Openings and Construction Spending will be released in ten minutes.U.S. Treasury Secretary Bessenter: We are aware of accounts in the British Virgin Islands linked to Iran.On September 1st, European Central Bank Governing Council member Jean-Claude Nagel criticized the United States for recently selling euros to support the yen without prior coordination with its European partners. He said, "Of course, it would be better if there were prior coordination and consultation on such interventions, which has been the usual practice in the past." He is currently attending the G20 finance ministers and central bank governors meeting in the region. Japan intervened in the foreign exchange market at the end of July, and US Treasury Secretary Bessenter confirmed in early August that the US had assisted in dealing with the "disorderly" fluctuations of the yen. Subsequent reports indicated that the US intervention used euros instead of dollars, breaking with long-standing practice. Nagel said, "This issue has been raised and discussed openly here. I think it resonated—in a positive sense—because people understand why we in Europe, in the euro system, are not excited about the lack of prior coordination."US Treasury Secretary Bessenter: Received strong support from the EU, the ECB, the UK, the UAE, and Bahrain.On September 1st, European Central Bank (ECB) Governing Council member Jean-Claude Nagel stated that the slowdown in core inflation in the Eurozone in August was a positive sign. He said, "The good news is that core inflation has declined, and services inflation has also slowed." He noted that "no second-round effect is currently seen in core inflation." Nagel stated that the market outlook for the ECBs interest rate decision next week is "relatively predictable" and in line with financial market expectations. The market has already fully priced in a 25 basis point rate hike. Earlier that day, data showed that Eurozone inflation rose to 3.3% in August, further solidifying the case for a September 10th rate hike by the ECB. However, core inflation, excluding volatile items such as food and energy, unexpectedly fell to 2.4%.

USD/CHF Consolidates Around 0.9040 As Attention Shifts To US Inflation

Daniel Rogers

Apr 10, 2023 14:27

USD:CHF.png

 

The USD/CHF pair continues to trade lacklusterly above the crucial support level of 0.9036 in the early Tokyo session. Investors are shifting their focus to Wednesday's release of United States Consumer Price Index (CPI) data, making it difficult for the Swiss Franc to gain traction.

 

As tensions between China and Taiwan escalate, S&P500 futures have pared some of their gains. The market's anxiety has been alleviated by the increasing intensity of Chinese military exercises around Taiwan Island. In addition, concerns of a recession are likely to cause volatility in US equities.

 

Jamie Dimon, CEO of JPMorgan Chase, stated in an interview with CNN that the recent banking turmoil caused by the dissolution of Silicon Valley Bank (SVB) and Signature Bank has increased the likelihood of a recession in the United States.  Despite the robustness and security of the banking system, the recent turmoil in the financial system is "another weight on the scale" toward recession, he added.

 

The US Dollar Index (DXY) is protecting the 102.00 support level ahead of US Consumer Price Index (CPI) data. According to the consensus, headline inflation will fall from 6.0% to 5.2%. In addition, the headline monthly CPI would decelerate to 0.3% from 0.4% previously reported. As a consequence of oil prices remaining low in March, inflationary pressures are anticipated to become evident.

 

In contrast, the core CPI, which excludes crude and food prices, is anticipated to increase to 5.6% from 5.5%. The tenacity of inflationary pressures is maintained by the resiliency of demand for essential products, as a result of a higher labor cost index. A similar event could compel the Federal Reserve (Fed) to raise rates again at its May monetary policy meeting.

 

Regarding the Swiss Franc, Swiss markets are suspended on Easter Monday. This week, the Producer Price Index (PPI) data will have an impact on the Swiss Franc.

Suggestion