MNI BRIEF: Trump Likely To Let Powell Serve Full Term-Moore

MNI BRIEF: Canada Household Debt Tops $3 Trillion In 3Q

MNI BRIEF: Trump Likely To Allow Powell To Serve Term - Moore

MNI INTERVIEW2: Poland To Push For EU Defence Fund

MNI BRIEF: China To Keep Stabilising Housing Market - CEWC

MNI BRIEF: China Focus On Boosting Consumption In 2025

EZ/UK Bond Supply Calendar: Belgium ORI Facility on Friday

US EIA:NAT GAS STORAGE -190 BCF TO 3,747 BCF DEC 06 WK

MNI: US JOBLESS CLAIMS +17K TO 242K IN DEC 07 WK

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

Greenback Weakness Drags USD Index Back Below 200-Day Moving Average

FOREX
  • A weaker than expected second reading of Q2 GDP in the US prompted another session of weakness for the greenback, extending on Tuesday’s declines following similarly soft data. Broad dollar weakness has seen the USD index briefly slide back below the 200-day moving average and hit the lowest level in two weeks ahead of further key data this week.
  • Less optimistic price action in equities relative to Tuesday’s session has seen the likes of AUD and NZD trade lower, countering the theme of broad dollar weakness but extensions for EUR and GBP have been notable, both rising around half a percent.
  • Recent bearish technical outlooks for both EURUSD and GBPUSD are now being tested with the former recovery from the channel base extending and the latter piercing resistance at the 20-day EMA. Potential profit taking ahead of the key jobs data on Friday could well be exacerbating the price momentum for both pairs.
  • With the slightly backward looking US data, the impact on US yields has been more moderate than Tuesday’s significant bull steepening move. Thus, despite USDJPY briefly making a new low for the week at 145.56, actually sits a little higher on the day around 146.20 as we approach the APAC crossover.
  • China manufacturing and non-manufacturing PMIs headline the overnight docket on Thursday, before French and Eurozone CPI data. The greenback and broader currency markets will remain focused on the key data releases due later this week - NFP, Core PCE and ISM.
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.