Senior Economist at UOB Group Alvin Liew reviews the latest US inflation figures and the impact on the Fed’s rate path in the near term. Key Takeaways “Both key measures of US inflation came in below expectations for Jul. US headline consumer price inflation was still elevated but came off from recent highs, to 8.5%… Read More »
NZD/USD continues scaling higher on Friday and climbs to over a two-month high The uncertainty over the next Fed rate hike keeps the USD bulls on the defensive. A positive risk tone also seems to cap the USD and benefits the risk-sensitive kiwi. The NZD/USD pair prolongs this week’s strong move up and gains traction… Read More »
Oil prices are likely to rebound firmly as IEA has stepped up demand forecasts. Substitution of natural gas to oil ahead of Winters is strengthening the black gold. Trimmed odds for Fed’s hawkish guidance are also supporting oil prices. West Texas Intermediate (WTI), futures on NYMEX, has witnessed a minor pullback to near $93.00 after printing… Read More »
Gold price remains sidelined while keeping the previous day’s bounce off 50-DMA. US dollar struggles to regain traction even as Fed policymakers resist welcoming easy CPI/PPI. Yields retreat from three-week high to print the first daily loss in four. US Michigan Consumer Sentiment Index eyed to confirm receding fears of inflation. Gold price (XAU/USD) remains… Read More »
The British economic calendar is all set to entertain the cable traders in early Friday, at 06:00 GMT, with the preliminary GDP figures for Q2 2022. Also increasing the importance of that time are monthly GDP figures for March, Trade Balance, Manufacturing Production, and Industrial Production details for the stated period. Having witnessed an 8.7%… Read More »
USD/JPY is sensing exhaustion signals after hitting a high of 133.50. The impact of lower US CPI has faded away and hawkish Fed bets are hogging the limelight. The US Michigan CSI is expected to improve to 52.2 from the prior release of 51.5. The USD/JPY pair has slipped minutely after printing an intraday high… Read More »
Asian equities remained pressured while tracking Wall Street’s pattern. Fed policymakers’ resistance in welcoming easy inflation weigh on sentiment. Sino-American tussles, light calendar also act as extra trading filters. Japan’s Nikkei 225 appears the outlier while refreshing seven-month high. Asia-Pacific shares remain mostly inactive, trending lower, outside Japan as traders seek fresh clues while tracking… Read More »
USD/INR grinds higher after rising the most in six weeks the previous day. Hawkish Fedspeak, fears surrounding China challenge traders ahead of long weekend in India. Indian CPI is likely to have eased in July but the distance from RBI’s target will be the key to watch. USD/INR braces for Indian inflation around 79.65-70 during… Read More »
USD/CAD treads water around the lowest levels in two months. Global markets jitter as Fed policymakers resist cheering easy inflation figures. OPEC, IEA oil demand forecasts join cautious mood to weigh on energy prices. Flash forecasts for August month Michigan Consumer Sentiment Index will be crucial for fresh impulse. USD/CAD dribbles inside a choppy range… Read More »
Market sentiment remains divided amid a light calendar, mixed clues. S&P 500 Futures extend pullback from three-month high, yields snap three-day uptrend at 12-day peak. Softer PPI, CPI fail to reject Fed hawks, China headlines, recession also test optimism. After an upbeat mid-week, global markets remain sluggish as they await the final dossier of the… Read More »
