- USD/JPY Technical Analysis – Waiting for a breakout of the range
- Dollar trades more mixed as risk sentiment holds up for now
- BOE’s Mann says still concerned about upside risks to inflation
- US data will keep markets in check for now
- OPEC slashes 2024 oil demand growth forecast on softer China outlook
- Germany July wholesale price index +0.3% vs -0.3% m/m prior
- SNB total sight deposits w.e. 9 August CHF 463.1 bn vs CHF 453.9 bn prior
Markets:
- NZD leads, JPY lags on the day
- European equities higher; S&P 500 futures up 0.2%
- US 10-year yields up 1.3 bps to 3.955%
- Gold up 0.4% to $2,440.27
- WTI crude up 1.1% to $77.68
- Bitcoin up 1.6% to $59,675
It was a quieter session with Japanese markets closed, so that already set the tone during Asia trading.
There wasn’t much to work with in the European morning either, as market players are more fixated on the key risk events later in the week. For now, it is but a waiting game as such.
The dollar is trading more mixed as risk sentiment is holding up better. The unwinding of the carry trade is easing further as traders are breathing easier again today. USD/JPY pushed higher from around 147.10 in Asia to 147.60 while USD/CHF is up 0.4% to 0.8690 in a decent move.
Meanwhile, AUD/USD is up 0.4% to 0.6600 and NZD/USD up 0.5% to 0.6025 on the day. Besides that, the dollar remains little changed against the euro, pound, and loonie.
In other markets, stocks were calmer as well. European indices opened with slight gains but are keeping guarded mostly. US futures are also just a touch higher, not really getting too carried away with any optimistic push yet.
It’s all about waiting for the big data this week to cook. And only until we get to that will markets start to pile on any moves with more conviction.
This article was written by Justin Low at www.forexlive.com.