MNI BRIEF: Inflation Expectations Tick Higher - NY Fed

MNI BRIEF: China Passenger Car Sales Up In November Y/Y

MNI China Daily Summary: Monday, December 9

MNI BRIEF: Mexico Inflation Down To 4.55% In November

MNI BRIEF: China To Strengthen Policy Easing In 2025: Poliburo

MNI BRIEF: China Nov CPI Slows To 5-Month Low Of 0.2% Y/Y

MNI:US OCT WHOLESALE INV 0.2%; SALES -0.1%

EZ/UK Bond Supply Calendar: Austria, UK Auction on Tuesday

MNI JAPAN Q3 GDP REV +0.3% Q/Q; PRELIM +0.2%; MEDIAN +0.2%

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

USD Index Falls An Additional 1%, USDJPY At Fresh Three-Month Lows

FOREX
  • Lower core yields are continuing to weigh on the broad greenback with the Japanese Yen a particular beneficiary, extending its intra-day strength to 2% against the USD. Slightly softer than expected US PCE core prices data adds to the most recent narrative that US inflation has peaked, adding further USD pressure.
  • USDJPY now trades below 135.49 which represented the 76.4% retracement of the Aug 2 - Oct 21 bull leg. The path of least resistance remains lower with the next targets/supports as we approach Friday’s US jobs data at 134.65 and 133.91, the Aug 17/Aug 18 lows respectively.
  • GBP also outperformed its major peers, rising around 1.7% and briefly rising above 1.23, the best levels seen since June this year.
  • As has been the case throughout the USD selloff, the Canadian dollar has remained on the backfoot, unable to benefit from the sharp move higher in higher beta plays over recent sessions.
  • AUD also underperforms the broader moves in global markets, rising just 0.4%. Potentially a spillover from Wednesday’s weaker CPI data as well as weaker CAPEX figures overnight. Furthermore, AUDNZD clearing most recent support around 1.0750 has prompted some notable weakness for the cross.
  • All focus turns to the US jobs report, where the Bloomberg median sees nonfarm payrolls rising 200k in November. With a 50bp hike almost cemented for December, the report may shine a light on the Fed’s potential path heading into 2023.
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.