MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: ECB Should Be Close To 2% In Next Quarters -Centeno

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: China Nov M1 Decline Narrows, M2 Slows

EZ/UK Bond Supply Calendar: 4.125% Jul-29 Gilt Due on Tuesday

MNI: CANADA OCT WHOLESALE SALES +3.3%; EX-AUTOS +0.5%

MNI: US NOV IMPORT PRICES +0.1%

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: JPY Offered, Helping USD/JPY to New Dec High

FOREX
BulletMarketsFixed Income BulletsForeign Exchange Bullets
  • JPY has cemented its position as the poorest performing currency on the day - pressing USD/JPY closer to the Y153.50 level and new December highs. Gains accelerating here on the break of uptrendline resistance posted off the Dec04 high on the 15min candle chart.
  • The JPY move certainly initially isolated to FX - evident in the spike in JPY futures volumes at 0940GMT, but is being partially aided by the uptick here in the US 10y yield, which remains below yesterday's closing high. A show above 4.3356% could bolster the move, opening 153.66, the 61.8% retracement for the Nov15 - Dec3 pullback.
  • GBP trades poorly, softer against most others and prompting a 1.2619 print in GBP/USD, after the GDP release this morning showed another month of negative economic growth. While the 3M/3M figure remains positive, the poor momentum in the early months of the government may be causing some concern in cabinet.
  • NOK trades well, supported by firmer oil prices today, helping extend the recovery off December lows for NOK/SEK, which holds just below 0.99. Both Norway and Sweden are set to hold rate decisions next week, at which the rate differential is expected to grow by a further 25bps thanks to an unchanged Norges Bank and a further 25bps cut at the Riksbank.
  • Consequential datapoints are few and far between for the Friday session, although US Import/Export price indices could draw focus. ECB speak has been plentiful this morning following the rate decision yesterday, most of which continue to point toward the high likelihood of further rate cuts headed through the first half of 2025. Centeno is still set to speak later today, but the Fed remain inside their pre-decision media blackout period. 
281 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.
  • JPY has cemented its position as the poorest performing currency on the day - pressing USD/JPY closer to the Y153.50 level and new December highs. Gains accelerating here on the break of uptrendline resistance posted off the Dec04 high on the 15min candle chart.
  • The JPY move certainly initially isolated to FX - evident in the spike in JPY futures volumes at 0940GMT, but is being partially aided by the uptick here in the US 10y yield, which remains below yesterday's closing high. A show above 4.3356% could bolster the move, opening 153.66, the 61.8% retracement for the Nov15 - Dec3 pullback.
  • GBP trades poorly, softer against most others and prompting a 1.2619 print in GBP/USD, after the GDP release this morning showed another month of negative economic growth. While the 3M/3M figure remains positive, the poor momentum in the early months of the government may be causing some concern in cabinet.
  • NOK trades well, supported by firmer oil prices today, helping extend the recovery off December lows for NOK/SEK, which holds just below 0.99. Both Norway and Sweden are set to hold rate decisions next week, at which the rate differential is expected to grow by a further 25bps thanks to an unchanged Norges Bank and a further 25bps cut at the Riksbank.
  • Consequential datapoints are few and far between for the Friday session, although US Import/Export price indices could draw focus. ECB speak has been plentiful this morning following the rate decision yesterday, most of which continue to point toward the high likelihood of further rate cuts headed through the first half of 2025. Centeno is still set to speak later today, but the Fed remain inside their pre-decision media blackout period.