MNI BRIEF: Canada Commits To Just One Of Three Fiscal Anchors

MNI BRIEF: German Insolvency Rate Slows, 2025 Pickup Expected

MNI BRIEF: Brazil Not Even Close To Fiscal Dominance - David

CORRECTED-MNI BRIEF: Brazil Inflation Rises To 4.87% In Nov

MNI China Daily Summary: Tuesday, December 10

MNI: US REDBOOK: DEC STORE SALES +4.2% V YR AGO MO

US Q3 REV NONFARM PRODUCTIVITY +2.2%; Y/Y +2.0%

US NFIB NOV SMALL BUSINESS INDEX 101.7

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

Volatile Session Amid US Data, Late Russian Missile Reports

FOREX
  • Currency markets traded in volatile fashion on Tuesday, with the greenback initially extending its most recent weakness before sharply reversing in late US trade.
  • Strength in equity markets was weighing on the greenback overnight with the USD index extending the most recent weakness following the US inflation data last week. A set of weaker producer price data from the US exacerbated this dollar weakness with the USD index extending its four-day decline to 5.1%.
  • Likely profit taking after moves appeared stretched on an intra-day basis prompted some moderation with the greenback edging higher throughout the US trading session. This greenback recovery, however, gained significant traction amid headlines that Russian missiles had strayed into Poland from Ukraine, potentially causing two deaths.
  • The greenback firmed across the board with EURUSD briefly trading back below 1.03 handle with a considerable turnaround from the post-PPI highs of 1.0479 earlier in the session. 1.0272/0163 Low Nov 14 / 11 are the immediate points of support before more significant support at 1.0094, High Oct 27.
  • As markets await details of the event and an emergency meeting in Poland, risk sentiment has stabilised and the USD has slipped back into negative territory approaching the APAC crossover.
  • Overall strength in equity markets continues to underpin the likes of AUD and NZD as well as Cable, that have all risen over 1% on Tuesday. Underpeforming on the day are the Swiss Franc and Chinese Yuan, remaining close to unchanged on the day.
  • Australian Wage Price Index will be published overnight before UK and Canadian CPI data on Wednesday. US retail sales report for October highlights the US data docket.
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.