The path forward has been anything but smooth as bitcoin investors have consistently weathered periods of gut-wrenching volatility. For some traders, this is an attractive feature of the asset, the…
Archiv für den Monat: Januar 2022
Euro Q1 2022 Fundamental Forecast: Still No Rate Hike, Still No Euro Recovery
After dropping almost continuously for more than six months, you might think that EUR/USD is overdue a substantial rally. The problem is that it remains almost impossible to imagine a catalyst for …
JPY Q1 2022 Fundamental Forecast: USD/JPY, Fed, Labor Market Eyed
The anti-risk Japanese Yen had a mixed performance against its major peers throughout the fourth quarter of 2021. It weakened against haven-oriented currencies, such as the US Dollar and Swiss Fran…
Japan to decide on virus measures tomorrow
This comes as the country reports over 4,000 new COVID-19 cases today – the first time since September last year. Japan prime minister, Fumio Kishida, has said that the government will now decide on quasi-state of emergency declarations for parts of the country tomorrow. I would expect said measures
Gold not feeling the January love yet
January is typically the best month for gold as prices tend to rise in the lead up to the Lunar New Year. That has been the case in 7 of the last 8 years but gold is off to a rough start this time in 2022. I noted previously in December as to why this time around, things could be different for gold:
Saxony December CPI +5.1% vs +5.0% y/y prior
This just reaffirms that the national reading later will likely come in above 5.0% y/y, with the estimate likely to match the November reading of +5.2% y/y. That will just keep the pressure on ECB policymakers as inflation pressures are still elevated going into the turn of the year.
Eurozone November PPI +1.8% vs +1.2% m/m expected
Prior +5.4%
PPI +23.7% y/y
Prior +21.9%
PPI +23.7% y/y
Prior +21.9%
Another month, another surge in producer prices as cost pressures continue to tick higher. That will translate to higher consumer inflation so as long as this remains elevated, it is tough to see inflation pressures easing despite a bit of a lag
UK December final services PMI 53.6 vs 53.2 prelim
Composite PMI 53.6 vs 53.2 prelim
That’s the lowest reading since February for services activity as pandemic restrictions weighed heavily. That said, there are some positives as job creation remains robust and growth expectations are also still more positive. Roughly 55% of
the survey pan