Be wary of a quiet market

Be wary of a quiet market

04.05.2021

Yesterday, among the three major U.S. stock indices, all but the Nasdaq rose, while the Nasdaq closed at 13,895 points, down 0.48% from the previous day. In remarks yesterday, Federal Reserve Chair Powell stated, “While the economy is on a recovery track, it has not yet emerged from the crisis,” signaling that the Fed would maintain a cautious stance.

In the foreign exchange market, cross-yen pairs are generally trading in a narrow, mixed range. In particular, the AUD/JPY pair—which saw a policy rate announcement today—is trading within a very tight range of 84.4 to 84.8. The RBA announced it would keep rates at a record low of 0.1%, reaffirming its stance to maintain ultra-loose monetary policy through 2024. The GBP/JPY pair has risen slightly and is currently trading around 151.7.

Today’s schedule includes the UK Manufacturing PMI (final reading) and mortgage approvals at 5:30 PM, Canada’s trade balance and housing starts, and the U.S. trade balance at 9:30 PM, the U.S. Manufacturing Orders Index at 11:00 PM, and remarks by San Francisco Fed President and Dallas Fed President Kaplan at 2:00 AM.Since the Japanese market is closed until tomorrow, we should be mindful of low volatility and remain vigilant for sudden price movements.

Past Market Reports

1. 20.04.2026New

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

2. 17.04.2026New

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

3. 16.04.2026New

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

4. 15.04.2026New

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

5. 14.04.2026New

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

6. 13.04.2026

   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. 10.04.2026

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

8. 09.04.2026

   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. 08.04.2026

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

10. 07.04.2026

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