Will Goldilocks Continue?

Will Goldilocks Continue?

08.04.2021

Yesterday, the stock market saw narrow, directionless trading, and with no new insights emerging from the closely watched minutes of the U.S. FOMC meeting, the market as a whole entered a range-bound phase.The yield on the 10-year U.S. Treasury note remained range-bound around 1.66%, while crude oil also remained stuck around $59.50. Although the CEO of JPMorgan Chase stated yesterday that “the next two years could be a Goldilocks market,” the market did not react significantly.

In the foreign exchange market, cross-yen pairs—excluding the franc-yen—have been trending lower. The pound-yen pair, which saw the sharpest decline, has fallen by about 270 pips over the past two days, from 153.4 to 150.6. However, the pound-Australian dollar pair has stopped falling during today’s Asian trading session, so we will be watching the pound’s direction closely going forward.

Today’s schedule includes German manufacturing orders at 3:00 PM, the UK Construction PMI at 5:30 PM, the release of the ECB Governing Council meeting minutes at 8:30 PM, U.S. initial jobless claims at 9:30 PM, U.S. weekly natural gas inventories at 11:30 PM, and remarks by U.S. Federal Reserve Bank of St. Louis PresidentSt. Louis Fed President, 1:00 AM: U.S. Fed Chair Powell’s remarks, and 3:00 AM: U.S. Minneapolis Fed President Kashkari’s remarks. I intend to watch the market cautiously to see if it can break out of yesterday’s narrow trading range.

Past Market Reports

1. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

2. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

3. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

4. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

5. 15.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

6. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

7. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

8. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

9. 09.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran