Headlines:

• FX muted awaiting more US data later in the day
• ECB’s Stournaras says four rate cuts for this year seem reasonable
• Japan’s largest industrial union: Average pay hike offered by firms was highest since 2013
• Japanese Bankers Association head says odds of BOJ achieving price target have heightened
• Spain February final CPI +2.8% vs +2.8% y/y prelim
• Switzerland February producer and import prices +0.1% vs -0.5% m/m prior
• China’s top diplomat set to visit Australia and New Zealand in the coming week
• IEA raises oil demand growth forecast but warns of economic headwinds

Markets:

• NZD leads on the day
• European equities higher; S&P 500 futures up 0.3%
• US 10-year yields up 0.6 bps to 4.197%
• Gold down 0.4% to $2,166.93
• WTI crude up 0.9% to $79.95
• Bitcoin down 0.4% to $72,846

It was a quiet session in Europe as traders seem content to sit on their hands ahead of the next set of US data releases this week.

Major currencies were a bore with the dollar keeping rather flattish across the board. USD/JPY was a little higher around 147.90 levels early on but is now trading back to near unchanged levels at 147.75 on the day.

Besides that, there really isn’t much to comment as the narrow ranges are leaving a lot to be desired thus far.

In the equities space, European indices are still rampaging through with French stocks leading the charge. The CAC 40 is crossing the 8,200 mark for the first time with the DAX also looking to keep above the 18,000 level today.

US futures are also slightly buoyed, with S&P 500 futures up 0.3% and Nasdaq futures up 0.4% currently.

In other markets, bonds are also still in deep slumber today while precious metals are down slightly after a surging run higher yesterday.

Let’s see what how markets will take to the US data later as that will set the tone before we get to the end of the week.

This article was written by Justin Low at www.forexlive.com.

Decentralized Finance, commonly referred to as DeFi, is a
revolutionary movement within the financial industry that leverages blockchain technology to eliminate intermediaries and central
authorities from financial transactions. This innovative ecosystem comprises
various financial services including lending, borrowing, trading, investment, and
insurance, accessible to anyone with an internet connection.

Core Principles of DeFi

DeFi is built on several core principles:

• Permissionless: Unlike traditional finance, there are no gatekeepers
  in DeFi. Anyone with a wallet and an internet connection can participate
  without needing approval from a central authority.
• Transparency: All transactions in DeFi are recorded on a public
  blockchain, making them transparent and verifiable by anyone at any time.
• Interoperability: Many DeFi applications are built on compatible
  platforms that enable them to work together seamlessly, creating complex
  financial services.
• Programmability: Advanced smart contracts automate transactions and
  enforce agreements without the need for intermediaries.

How DeFi Works

At the heart of DeFi are smart contracts, which are
self-executing contracts with the terms directly written into code. These smart
contracts run on blockchain networks like Ethereum, forming the backbone of
DeFi applications (dApps).

Example of a DeFi Application:

1. Lending Platforms: Users can lend their cryptocurrency and earn interest
   without the need for a bank. Borrowers can take out loans by providing
   collateral.
2. Decentralized Exchanges (DEXs): Allow users to trade cryptocurrencies without relying
   on a central entity to hold their funds. Trades are executed directly
   between users‘ wallets.
3. Yield Farming and Liquidity
   Mining: Incentive mechanisms where
   users provide liquidity to a DeFi protocol in exchange for rewards,
   typically in the form of the protocol’s native token.
4. Stablecoins: Digital currencies pegged to assets like USD,
   providing a stable medium of exchange within the volatile crypto market.

Tips for Engaging with DeFi

• Understand the Risks: DeFi protocols are subject to code vulnerabilities,
  hacks, and scams. Always do your due diligence before participating.
• Start Small: Begin with a small amount of money that you can afford
  to lose until you become more familiar with the DeFi space.
• Keep Learning: DeFi is an evolving field. Continuously educate
  yourself about new projects and technologies.
• Use Reputable Wallets: Stick to well-known and secure wallets to interact
  with DeFi applications.
• Be Aware of Gas Fees: Transactions on blockchain networks, like Ethereum,
  require fees. Be mindful of these when making transactions as they can
  vary widely.
• Consider the Impact of
  Impermanent Loss: For
  liquidity providers, be aware that if the price of deposited assets
  changes compared to when they were deposited, you may experience
  impermanent loss.
• Secure Your Investments: Use hardware wallets for higher security and ensure
  your investments are protected from unauthorized access.

By embracing these tips and staying informed, you can
navigate the DeiFi landscape more safely and make the most of what
decentralized finance has to offer. The shift towards DeFi represents not just
a technological change but also a cultural shift toward more open and inclusive
financial systems. Whether you’re a seasoned investor or a curious newcomer,
understanding DeFi could be critical to managing your digital finances in the
future.

This article was written by FL Contributors at www.forexlive.com.

Considering how much emphasis markets have been placing on big data in recent months, this isn’t much of a surprise. Major currencies are relatively muted in trading today with dollar pairs seeing light changes overall. USD/JPY did nudge a little higher to near 148.00 but is still finding it tough to get past the figure level. The pair is now flat, similar to most other dollar pairs on the day:

After a strong showing yesterday, gold is down slightly to just under $2,170. But in the commodities space, keep an eye out on copper as it looks like it has finally broken out in trading this week.

Meanwhile, equities are slightly higher with US futures also keeping some slight optimism after the retreat yesterday. As for bonds, things are also fairly muted so far on the session.

All eyes are now on more US data to follow as we will have retail sales, PPI, and the weekly jobless claims to work through.

This article was written by Justin Low at www.forexlive.com.

Yesterday, the Dow Jones ended the day around the
highs as the market continues to look through the beat in the US CPI report.
As previously mentioned, the path of least resistance looks to be to the upside
as long as growth remains pretty much stable, and the Fed doesn’t restart
tightening. In the first case, the labour market will need to keep on being
resilient, while in the second case, inflation should not start trending higher
so much that the Fed is forced to change course.

Dow Jones Technical
Analysis – Daily Timeframe

On the daily chart, we can see that the Dow Jones broke
out of the rising wedge to the
downside recently. This opened the door for a bigger correction into the 38043
level, but the sellers failed to keep the momentum going and the buyers
eventually managed to invalidate the setup by pushing the price above the
bottom trendline. The bias
has turned bullish once again, so we can expect the buyers to pile in now and
target a new all-time high.

Dow Jones Technical
Analysis – 4 hour Timeframe

On the 4 hour chart, we can see that
the price managed to break above the downward trendline and the bottom
trendline of the wedge. Moreover, the moving averages
crossed back to the upside signalling a change in momentum. This is where we
can expect the buyers to step in with a defined risk below the downward
trendline to position for new highs. The sellers, on the other hand, will want
to see the price falling back below the trendlines to position for a drop into
the 38043 level.

Dow Jones Technical
Analysis – 1 hour Timeframe

On the 1 hour chart, we can see more
closely the recent price action with the break above the trendline and the
retest. We now have a strong support zone
around the 38950 level where we can find the confluence with
the red 21 moving average, the 38.2% Fibonacci
retracement level and the previous swing level. This
is where the buyers will look to buy from to target new highs, while the
sellers will want to see a break to the downside to position for new lows.

Upcoming Events

Today we get the US PPI, the US Retail Sales and the
US Jobless Claims figures. Tomorrow, we conclude the week with the University
of Michigan Consumer Sentiment survey.

This article was written by FL Contributors at www.forexlive.com.

Binance, the global cryptocurrency exchange, has witnessed the ebbs and flows of hundreds of
cryptocurrencies. One of the more unique entries into the crypto space is PEPE
– a digital asset that has garnered attention for reasons beyond its financial
potential.

What is PEPE?

PEPE is typically a meme-inspired cryptocurrency, not unlike
Dogecoin or Shiba Inu. Meme coins often gain popularity through social media
hype and community-driven movements. They usually feature the likeness of
popular internet memes; in this case, it’s „Pepe the Frog,“ a
character that has become an internet sensation over many years.

Understanding the Market Sentiment

Before diving deep into investments like PEPE, it’s crucial
to understand market sentiment. Cryptocurrencies can be incredibly volatile, and meme coins, in particular,
are heavily influenced by social factors and trending news. Research the
current sentiment around PEPE: Are there influencers talking about it? What’s
the community engagement like? Has it been listed recently on other exchanges
besides Binance?

Tips for Trading PEPE on Binance

1. Stay Updated: Follow Binance announcements and social media
   channels. Be aware of any news related to PEPE that could affect its
   price.
2. Understand Volatility: Meme coins can experience intense volatility. Never
   invest more than you can afford to lose.
3. Use Tools Wisely: Take advantage of Binance’s trading tools. Use
   stop-loss orders to minimize risks and take-profit orders to secure your
   earnings when trading PEPE.
4. Research Thoroughly: Don’t just rely on hype. Do your due diligence by
   researching PEPE’s whitepaper, understanding its use-case (if any), and
   examining the team behind it.
5. Community Engagement: Participate in online communities. The strength of
   its community can often be a strong indicator of a meme coin’s potential.
6. Monitor Trends: Track online trends. A surge in online activity
   regarding PEPE can sometimes precede price movements.
7. Be Skeptical of Pump and Dumps: Stay cautious as some groups might try to manipulate
   the price. Learn to differentiate genuine interest from manipulation
   attempts.
8. Diversify Your Portfolio: Don’t put all your eggs in one basket. If you decide
   to invest in PEPE, make sure it’s part of a diversified investment
   strategy.

Conclusion

PEPE on Binance represents a slice of the dynamic and often
unpredictable world of meme cryptocurrencies. It carries both opportunities and
risks, much like any speculative asset. By staying informed, using the right
tools, and approaching your trades with a mix of caution and insight, you can
navigate the PEPE markets on Binance with greater confidence. Remember,
investing in cryptocurrencies requires careful consideration and a willingness
to potentially face high levels of risk.

This article was written by FL Contributors at www.forexlive.com.