US Open – 01 December 2022 (Video)
Watch today’s US Open for commentary on the prospects of a less aggressive Fed, following Mr Powell’s speech and the softer PCE Inflation figures, as well as the impact on Wall Street and the greenback
Page 47 of 98
Watch today’s US Open for commentary on the prospects of a less aggressive Fed, following Mr Powell’s speech and the softer PCE Inflation figures, as well as the impact on Wall Street and the greenback
The EURUSD has pushed higher into the daily chart's bullish channel between the upper blue and red bands. The hourly chart shows bullish developments too. Its trend-following EMAs have developed angle and separation to the upside, and the stochastic is looking to cross up (black ellipses). If the stochastic pushes above 80 and maintains, an underlying bullish momentum will be building, which may take EURUSD passed its R2 pivot level.
Yesterday at the Brookings Institution, Fed Chair Powell confirmed the slowing of policy tightening. The 14 December hike has close to an 82% probability of 50bps as opposed to 18% for 75bps. However, the Fed Chair suggested a higher terminal rate than anticipated.
November was the pair’s worst month since 1984 due to expectations for a moderation in the rate hike pace by the Fed, which were reinforced by Chair Powell’s speech on Wednesday
Fed Chair Powell is due to speak about the economy, inflation and employment at the Brookings Institution at 6:30 pm GMT. He will likely take the opportunity to reiterate the slowing of rate hikes to 50bps after four 75bps increases. However, he is also likely also to emphasise the fight against inflation. A tighter policy will continue until the Fed has managed to reign inflation in
The pair finds support today after the rejection of key levels at the start of the week, as markets brace for Mr Powell’s speech and important economic data from the US
The pair heads towards its best month of the year, but faces difficulties this week, as markets contemplate China’s Covid-19 situation and poor PMIs, ahead of key US economic data
The pair concluded yesterday’s volatile session in the red, despite setting five-month highs, but finds support today
As the real rate appreciated, gold declined (green trendlines). This trend then morphed into a sideways pattern (blue-shaded area). The cc is currently reading a robust -79%, implying a meaningful inverse relationship between the two instruments.
Market sentiment is downbeat at the start of the week, mostly due to renewed China pandemic woes, sending the pair lower
With the help of RBNZ’s recent record hike, the pair marches towards its sixth straight profitable week and the best streak in two years
Any opinions, news, research, analyses, prices, other information, or links to third-party sites contained on this website are provided on an "as-is" basis, as general market commentary and do not constitute investment advice. The market commentary has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is therefore not subject to any prohibition on dealing ahead of dissemination. Although this commentary is not produced by an independent source, FXCM takes all sufficient steps to eliminate or prevent any conflicts of interests arising out of the production and dissemination of this communication. The employees of FXCM commit to acting in the clients' best interests and represent their views without misleading, deceiving, or otherwise impairing the clients' ability to make informed investment decisions. For more information about the FXCM's internal organizational and administrative arrangements for the prevention of conflicts, please refer to the Firms' Managing Conflicts Policy. Please ensure that you read and understand our Full Disclaimer and Liability provision concerning the foregoing Information, which can be accessed here.