We make no recommendation as to the merits of any financial product referred to on this website. The information on this website does not take into account the investment objectives, financial situation and needs of any particular person. U.S. President Joe Biden said on Monday he told Chinese President Xi Jinping that the United States would enhance its security position in Asia if Beijing is unable to rein in North Korea’s weapons development programs. At a press conference at the G20 Summit, the president also reaffirmed his support for Ukraine amid Russia’s withdrawal from the city of Kherson. In a case where the USDCAD pair manage to stay firmer past 1.3530, a downward-sloping resistance line from October 13, close to 1.3730, will act as the last defense of the pair bears. USDCAD treads water around 1.3315, after bouncing off the two-month low surrounding the 100-DMA during early Tuesday morning in Asia. BOJ’s Kuroda sees a recovery in the economy as the impact of supply constraints and the pandemic eases.
The Japanese economy has displayed a de-growth of 0.3% in the third quarter against expectations of a growth rate of 0.3% and the prior release of 0.9%. On an annualized basis, the economic catalyst has displayed a negative growth rate at 1.2% against an expansion of 1.1% as expected and the prior release of 3.5%. Meanwhile, investors are punishing the Japanese yen broadly Forex on releasing a contraction in economic activities for the third quarter. Gold prices started the week in an inconclusive fashion amidst shrinking open interest and volume. Against that, the absence of a clear direction looks likely for the time being, while further upside in the yellow metal is expected to remain limited by the key $1,800 region per ounce troy.
Additional support for the Euro?
Market participants now look forward to the US economic docket – featuring the release of the Empire State Manufacturing Index and Producer Price Index later during the early North American session. Apart from this, speeches by influential FOMC members and the US bond yields will drive the USD demand. This, along with the broader risk sentiment, might contribute to producing some trading opportunities around the USDJPY pair. The British Pound, DotBig on the other hand, benefits from stronger-than-expected UK wage growth data. The UK Office for National Statistics reported that the Average Earnings Excluding Bonuses rose 5.7% from 5.5%, beating estimates for an uptick to 5.6%. Including bonuses, wages rose by 6.0% as compared to the forecast of 5.9%. This adds to pressure on the Bank of England to continue raising borrowing costs and helps offset a rather weak UK employment data.
On the flip side, momentum back above the $22.00 mark now seems to confront resistance near the daily swing high, around the $22.25 region. A sustained strength beyond will reaffirm the constructive outlook and lift the XAGUSD towards the $22.50-$22.60 supply zone. Bulls might eventually aim to reclaim the $23.00 round figure and test the $23.25-$23.30 hurdle. A break below the $21.00 https://www.tdameritrade.com/investment-products/forex-trading.html mark is needed to negate the positive outlook. United States Producer Price Index ex Food & Energy came in at 0%, below expectations (0.4%) in October… Canada Manufacturing Sales registered at 0% above expectations (-0.5%) in September… The Producer Price Index for final demand in the US declined to 8% on a yearly basis in October from 8.4% in September, the data published by th…
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Even so, the DXY buyers remain hopeful as the latest commentary from the US Federal Reserve officials renews inflation fears. Elsewhere, hopes of smaller Forex rate hikes from the US Federal Reserve , backed by the recent comments from the policymakers, also seem to have favored the GBPUSD bulls of late.
- When you trade CFDs you do so with leverage – meaning you can win, or lose, a significant amount more than your initial deposit – called your margin.
- The November preliminary reading of the Michigan Consumer Sentiment Index was 54.7 vs an expectation of 59.5 and an October reading of 59.9.
- Meanwhile, Chinese equities are enjoying significant liquidity despite the release of downbeat Retail Sales data.
- The tight labor market will drive wages and the inflation rate to grow around 3% this fiscal year.
As per the projections, the Australian economy has added 15k jobs in October month vs. the former release of 0.9k. The AUDJPY pair has witnessed an intermittent pullback after dropping to near 93.50 in early Asia. A short-term relief cushion around 93.50 doesn’t seem long-lasting citing price action and volatility https://blackchristiannews.com/2022/02/full-review-of-dotbig-ltd-forex-broker-with-basic-information-about-trading-instruments/ ahead. The release of the Reserve Bank of Australia policy minutes and Japan’s Gross Domestic Product would bring wild gyrations into the asset. The US Dollar got a boost when Christopher Waller crossed the wires and said Friday’s inflation report was “just one data point,” and that markets are “way out in front”.