MNI BRIEF: Larger Deficits Could Mean Higher Fed Rates-Schmid

MNI BRIEF: Germany Needs To Reform Debt Brake-Experts' Council

MNI BRIEF: BOE Needs To Hold For Longer -- Mann

MNI China Daily Summary: Wednesday, November 13

MNI: PBOC Net Injects CNY215.7 Bln via OMO Wednesday

MNI: PBOC Sets Yuan Parity Higher At 7.1991 Weds; +0.73% Y/Y

MNI: US OCT CPI UNROUNDED M/M 0.244%, CORE 0.280%

MNI: US OCT SUPERCORE CPI (CORE SERVICES EX-HOUSING) 0.314%

MNI: US OCT CPI 0.2%, CORE 0.3%; CPI Y/Y 2.6%, CORE Y/Y 3.3%

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

MNI EXCLUSIVE: German Turmoil Dashes EU's Joint-Funding Hopes -Officials

FED: Powell's Time Looks Up, Replacement Could Be Less Willing To Cut Rates?

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

FOREX: Risks for Further Greenback Strength, USDCHF Primed for Move Higher

FOREX
BulletMarketsFixed Income BulletsForeign Exchange Bullets
  • The risks appear firmly tilted to an extension of greenback strength in the aftermath of the US inflation release today, with firm readings likely to bolster the underlying trend, and softer reads merely offering an opportunity to enter at more attractive levels. One desk highlighted the asymmetric risk and described the medium-term trend of 10yr UST-Bund spreads widening as having some way to go to the 2018 peak of ~280bps.
  • As pointed out in our US CPI preview, the potential for tariffs will put more focus on core goods inflation in the months ahead: its deflationary contributions are already fading, and an outcome in line with consensus would mark a 17-month high.
  • USDCHF spot has already reached influential pivot point at 0.8820, the most notable short-term target and exponential moving average indicators highlight a bull trend. Medium-term attention now turns to 0.9050 and the key resistance zone between 0.9224/44.
  • Full piece here: FX Market Analysis - USDCHF 13-11.pdf
155 words

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.
  • The risks appear firmly tilted to an extension of greenback strength in the aftermath of the US inflation release today, with firm readings likely to bolster the underlying trend, and softer reads merely offering an opportunity to enter at more attractive levels. One desk highlighted the asymmetric risk and described the medium-term trend of 10yr UST-Bund spreads widening as having some way to go to the 2018 peak of ~280bps.
  • As pointed out in our US CPI preview, the potential for tariffs will put more focus on core goods inflation in the months ahead: its deflationary contributions are already fading, and an outcome in line with consensus would mark a 17-month high.
  • USDCHF spot has already reached influential pivot point at 0.8820, the most notable short-term target and exponential moving average indicators highlight a bull trend. Medium-term attention now turns to 0.9050 and the key resistance zone between 0.9224/44.
  • Full piece here: FX Market Analysis - USDCHF 13-11.pdf