Forex news for North American trading on October 1, 2021
The US core PCE data for the month of August remain steady at 3.6%. That was the expected rate as well. Although inflation remains well above the 2% level, the expectations are that some of the gains are transitory and will come down over time. However,

Carbon capture is a major priority for Manchin
A report late today revealed that the White House had agreed to boost carbon capture tax credits to $85 per tonne for industries such as steel and concrete plants.

Dow up over 700 points at the session highs
Shares of Merck surged 8.6% on the back of a Covid drug that cuts hospitalizations by 50%. Transportation stocks like United airlines, Delta Airlines and Southwest Airlines are also higher on the back of that news. Energy was the best performing sector as oil prices move back to the

Up over 1% on the day.
The tech heavy index is currently up 1.03% or 148.23 points at 14596.81. That comes after trading to a new cycle low down at 14423.16 earlier today. 

RBA and RBNZ to announce rate decisions
It is busy week next week with rate announcements from the Reserve Bank of Australia and also the Reserve Bank of New Zealand. It is also employment week for both Canada and the US.  China is on holiday Monday to Thursday. Australia will be off on Monday.  

US futures turn positive after a rough start earlier in the day
At one point, US futures were down roughly 0.8% to 0.9% but dip buyers have stepped in over the past few hours to turn that all around now.

High inflation isn’t the main problem
But high inflation is.
I reckon that is a key distinction that needs to be made when viewing the current problems faced globally and how central banks are going to respond to that.

A quick pump in cryptos sees Bitcoin rise by nearly 10% to $47,770
After calmer tones earlier in the day, Bitcoin has shot up from just under $45,000 to a high of $47,770 and is holding that push in the past half-hour.

Minneapolis Fed president, Neel Kashkari, speaks to WSJ in an interview
– Comfortable with where the FOMC seems to be heading
– But does not believe Fed needs to raise rates until 2024
His remarks on tapering fits with what the Fed is priming for before year-end but his timeline on rates is arguably leaning more towards the

It is all about supply chain disruptions
This has been a topic that has been ongoing since the middle of the year but has grown in intensity over the past few months, especially when it comes to how all of this impacts inflation – something I talked about at the start of August .