MNI BRIEF: Canada Debt Management Strategy Highlights

CANADA BUDGETS 2024-25 DEFICIT OF CAD39.8B OR 1.3% OF GDP

MNI BRIEF: BOC's Macklem - Inflation Moving In Right Direction

MNI INTERVIEW: IMF's Adrian Warns Of Inflation Risk To Markets

MNI EM China Daily Summary: Tuesday, April 16

MNI BRIEF: Industrial, Service Rebound Buoys China's Q1 GDP

AUDUSD Falls To Fresh 5-Month Low, USDMXN Rises Above 17.00

EZ/UK Bond Supply Calendar: Greece, Italy, UK, Germany Wednesday

EZ/UK T-Bill Calendar: Portugal, EU Auction Wednesday

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

MNI BRIEF: Lawmakers Signal Tough Hearing For BOC's Macklem

© 1982-2023 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

EUR Making Furtive Progress Among Crosses

FOREX
  • The greenback is softer ahead of the NY crossover, although the USD Index is yet to test the Wednesday post-CPI lows. For EUR/USD, this keeps the pair below 1.0350, but strength through yesterday's 1.0368 and a close above would mark a bullish signal and could see the pair break out of the YTD downtrend channel drawn off the February high. The upper-end of this channel crosses at 1.0344 today.
  • In contrast to yesterday morning's price action, the EUR is making progress in the crosses, and is stronger against all others in G10. This sees a small part of yesterday's EUR/JPY losses erased, with the cross needing to take out 138.40 before resuming the bounce posted off the late July low.
  • Equity markets are generally firmer, extending the post-CPI strength as traders watch the waning expectations for a 75bps rate hike from the Fed in September. This points to another positive open on Wall Street, with the S&P 500 trading at the best levels since early May.
  • With the CPI event risk now out of the way, implied vols across G10 FX are generally taking a step lower, with EUR/USD 1m implied dropping below 8.5 points and nearing the lowest levels in two months.
  • Markets get another insight into the US inflation picture later today, with the PPI release for July expected to show another moderation in prices (down from 1.1% to 0.2% on a M/M final demand basis). Markets also watch the weekly US jobless claims data and the Banxico rate decision.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
Energy BulletsCommodities
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
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.