Dollar, Swiss Franc and Yen remain the strongest ones for today. Risk aversion mode was turned on in European session and is carried forward to US session. Investors are turning cautious as expectation for Fed rate cut this month is being adjusted. Fed Chair Jerome Powell didn't comment on monetary policy today, and is saving his views for more discussion in his testimony. At this point, Australian Dollar remains the weakest one after poor business confidence data. Sterling follows as second weakest, awaiting GDP data tomorrow. Technically, EUR/GBP's break of 0.8992 suggests rally resumption towards 0.9101 key resistance. However, as upside momentum is not too strong for the moment. We'd be cautious on topping around there. With general weakness in Sterling, GBP/USD is heading toward 1`.2391 low and sustained break will resume larger down trend. GBP/JPY is also eyeing 135.17 temporary low again as recovery was limited by 4 hour 55 EMA. In Europe, currently, FTSE is down -0.26%. DAX is down -1.05%. CAC is down -0.46%. German 10-year yield is up 0.0085 at -0.356. Earlier in Asia, Nikkei rose 0.14%. Hong Kong HSI dropped -0.76%. China Shanghai SSE dropped -0.18%. Singapore Strait Times dropped -0.14%. Japan 10-year JGB yield rose 0.01 to -0.139. |
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