CANADA MAY RETAILS -0.8% VS FORECAST -0.6%, PRIOR +0.6%

MNI: Canada June Retails Fall And May Biggest Drop In A Year

MNI China Daily Summary: Friday, July 19

MNI BRIEF: China To Boost Consumer Spending, New Industries

MNI BRIEF: China Enhances Fiscal Response To Boost Economy

MNI BRIEF: China To Promote Migrates' Rights, Reform Hukou System

MNI: BAKER HUGHES US RIG COUNT 586; OIL RIGS 477; GAS RIGS 103

EZ/UK T-Bill Calendar: Germany, France Auction on Monday

EZ/UK T-Bill Calendar: Germany, France Auction on Monday

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

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

USD Index Set to Post 0.35% Weekly Advance Amid Waning Equities

FOREX
  • Pressure on the greenback in early US trade on Friday was largely soaked up, with late equity weakness amid further geopolitical concerns providing support to the dollar as we approach the close. Despite the USD index residing in moderate negative territory on the session, it looks set to post a 0.35% advance on the week overall. Large two-way swings for US yields and weakness for equity benchmarks have been the dominant drivers for G10 pairs, however, most are in close proximity to the prior week’s closes.
  • Initial headlines on Friday suggesting that ceasefire talks may be progressing well lifted the mood in currency markets, most notably by EURUSD rising from session lows of 1.0535 to within a whisker of the 1.0600 mark.
  • However, the weakness for the equities approaching the weekend close as sentiment dampened on reports of increased ground incursions into Gaza from Israel produced a renewed greenback bid. This saw the likes of EURUSD and GBPUSD roughly 40 pips off the earlier highs before stablising.
  • Some notable divergence between notorious safe havens on Friday sees CHFJPY extend declines on the session to roughly 1%, which eats into a healthy portion of the October rally.
  • The Japanese yen is the best G10 performer on Friday ahead of next Tuesday’s BOJ decision. We anticipate that the BOJ will uphold its existing policies in the forthcoming announcement. This includes keeping the short-term interest rate at -0.1%. In a Reuters survey of economists conducted between October 17-25, 25 out of 28 economists expected no change in policy at the upcoming meeting, while the remaining three—Barclays, JP Morgan, and UBS—predicted that the BOJ would begin unwinding its accommodative stance.
  • A busy week next week kicks off with Eurozone inflation readings. The Fed and the BOE then take centre stage before the US employment report on Friday.
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.