CORRECTED-MNI: Fed's Hammack-Near Or At Time To Slow Rate Cuts

MNI BRIEF: Fed's Goolsbee Sees Rates Fair Bit Lower In A Year

CANADA JOBLESS RATE +6.8% VS FORECAST +6.6%, PRIOR +6.5%

MNI China Daily Summary: Friday, December 6

MNI: PBOC Net Drains CNY288.1 Bln via OMO Friday

MNI: PBOC Sets Yuan Parity Lower At 7.1848 Fri; -1.64% Y/Y

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT PRELIMINARY DEC INDEX 74.0

CANADA NOV IVEY PURCHASING MANAGERS INDEX 52.3 SA

EZ/UK Bond Supply Calendar: Austria, UK Auction on Tuesday

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

FOREX: Greenback Returns Lower Post US Retail Sales, CHF and AUD Outperform

FOREX
  • Despite trading with a bid tone early Tuesday, softer-than-expected US retail sales placed the greenback under pressure throughout US trading hours. While the USD index unwound the entirety of the Friday upswing, downside momentum waned amid prospects of a US holiday tomorrow.
  • There are two clear standouts in G10, with both AUD and CHF notably outperforming on the session, both up around 0.65% against the dollar.
  • For AUDUSD, the RBA statement overnight was a touch more hawkish, and this has likely underpinned the strength, which has been bolstered by a moderate risk-on tone across global markets. Price action narrows the gap to key resistance, defined at 0.6714, the May 16 high. Overall, the pair remains in a range with key support remaining at 0.6576, the Jun 10 and both price points representing key short-term directional triggers. 
  • CHF outperformance comes ahead of this Thursday's SNB rate decision, at which markets remain evenly split on expecting either a rate cut or hold - but today's further strength might provide more space for easier policy ahead. USDCHF is now 3.5% below the late-May highs following the hawkish remarks from SNB’s Jordan.
  • EURJPY extended its strong recovery from the Friday lows, briefly trading within 9 pips of the 170.00 mark once more. Note that the cross did pierce a key support at 168.14, a key trendline drawn from the Dec 7 ‘23 low. The line remains intact, however, a clear breach of it would undermine a bullish theme and highlight a potential reversal.
  • BOJ minutes will be published overnight before UK CPI takes the focus Wednesday. The Bank of Canada summary of deliberations will cross in what is expected to be a subdued Wednesday session, owing to the US Juneteenth holiday.
BulletFixed Income BulletsForeign Exchange Bullets
BulletFixed Income BulletsForeign Exchange Bullets

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.