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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.
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MNI China Daily Summary: Wednesday, Dec 4
FOREX: JPY Weakness Pervades, Despite Mixed USD Performance
- JPY weakness again pervades across G10 currencies, with USD/JPY touching a new high overnight at 161.94, and AUD/JPY's winning streak extending to 108.21. JPY weakness comes as the equity rally resumes. The strong finish on Wall Street yesterday has fed into positive European performance, with the still-fading odds of a right-wing majority also helping contribute to better risk sentiment today.
- The USD is mixed, paring a small part of the gains posted across the first two sessions of this week. The USD Index remains within reach of 106.130 resistance, but a small gap is opening to start off Q3 and the month of July.
- NOK is the best performing currency in the region, firmer on the back of a better crude price and stronger local equities. This has allowed EUR/NOK to roll off the 11.5051 recovery high and snap the eight-session winning streak posted off the June low. Potentially significant is the formation of a death cross (50-dma moving below 200-dma) this week, the first since January this year.
- US weekly jobless claims data is set to cross later today - brought forward by one day from the usual schedule due to market closures around the July 4th holidays this week. ISM services data is set to follow, at which markets expect a moderation in the headline to 52.6 from 53.8. ECB's Lane, Knot and Lagarde are set to make further appearances at the ECB's Sintra conference, while the FOMC minutes are set for release after the European close.
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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.