FREELAND: CANADA WON'T ESCALATE OR BACK DOWN ON US TRADE FIGHT

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: China Nov M1 Decline Narrows, M2 Slows

EZ/UK T-Bill Calendar: 8/13/28/50-Week BTF Auction on Monday

EZ/UK Bond Supply Calendar: 4.125% Jul-29 Gilt Due on Tuesday

MNI: CANADA OCT WHOLESALE SALES +3.3%; EX-AUTOS +0.5%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

EUR Corrects Higher on Hot EZ CPI Release

FOREX
  • Eurozone CPI came in well ahead of expectations, with the prelim January release hitting new record highs of 5.1% thanks to a particularly hot Italian inflation release (topping forecast by 1.3ppts). The EUR rallied to touch fresh session highs against the USD at 1.1305, while Bund futures briefly dipped to new daily lows.
  • EUR/USD now trades just shy of first resistance at the 1.1309 50-dma, with strength following the 3-day morning star reversal pattern printed at the Monday close. Nonetheless, gains for now are considered corrective, with the more medium-term trend view still pointed lower.
  • The greenback sits at the bottom of the G10 pile ahead of the Wednesday crossover, putting the USD Index on the backfoot for a third consecutive session, and through first support at the 96.10 50-dma. Dollar weakness comes alongside a further flattening in the US yield curve, with 10y yields a touch lower pre-NY hours.
  • ADP employment change data takes focus going forward, with markets expecting 184k jobs added - a material slowdown from December's 807k and supporting expectations for Friday's NFP release to come in below the prior month.
Energy BulletsCommodities
Energy BulletsCommodities

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.