BOC SAYS DOESN'T NEED TO ALTER PATH OF QT RIGHT NOW

this is a test, please ignore

MNI BRIEF: Text of Bank Of Canada Interest-Rate Decision

MNI China Daily Summary: Wednesday, July 24

MNI: PBOC Net Drains CNY203.9 Bln Via OMO Wednesday

MNI: PBOC Sets Yuan Parity Higher At 7.1358 Weds; -0.98% Y/Y

New Home Sales Activity And Prices Continue To Cool

US EIA: CRUDE OIL STOCKS EX SPR -3.74M TO 436.5M JUL 19 WK

Services PMI Gains Continue To Diverge From Soft Manufacturing

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

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

Greenback Swiftly Reverses Lower Following Weak US Data

FOREX
  • Early demand for the greenback dissipated during US hours, with the reversal lower for the USD index extending following the weaker than expected US Flash PMI data for August. The substantial move lower for US yields prompted the Yen to outperform and the associated rally for equities left the likes of AUD, NZD and emerging market currencies leading the charge.
  • The consistent grind higher for treasury futures underpinned the relentless bid for the Japanese Yen on Wednesday. USDJPY printed as high as 145.90 overnight before eventually sliding back below the 145 mark on the disappointing US PMI data and pushing to session lows of 144.54 in late US trade. Initial firm support lies at 144.17, the 20-day EMA.
  • Interestingly, the JPY had also been strengthening during Europe, led by a solid move lower for EURJPY and GBPJPY following similar weakness in the PMI data across Europe.
  • The broad USD weakness throughout US hours led the likes of EURUSD and GBPUSD back to unchanged levels, but the noticeable outperformers were both AUD and NZD, as lower yields enhanced the optimism for global risk sentiment. AUDUSD price action today has narrowed the gap with firm resistance seen at 0.6522, the 20-day EMA.
  • US durable goods and jobless claims are Thursday’s data highlights, however, obvious focus will be on the Jackson Hole Symposium. Chair Powell’s task in his Jackson Hole keynote speech is to reaffirm the recent turn to a meeting-by-meeting, data-dependent approach to policy while emphasizing that the Fed intends to keep rates in restrictive territory for a lengthy period of time.
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.