Market participants may be on guard against minor fluctuations ahead of next week’s FOMC meeting

Market participants may be on guard against minor fluctuations ahead of next week’s FOMC meeting

11.06.2021

Yesterday, U.S. stock prices rebounded, leading to a market environment characterized by rising stock prices, a weaker U.S. dollar, and lower interest rates. The U.S. Consumer Price Index released yesterday exceeded expectations, marking the highest rate of increase since August 2008 and reaffirming the resumption of economic activity. Additionally, the number of new U.S. unemployment insurance claims—released weekly—declined for the sixth consecutive week.

With yields on long-term U.S. Treasuries falling, the U.S. dollar is facing resistance on the upside.The USD/JPY pair has failed to hold the key 110.00 level and is currently trading around 109.4. Meanwhile, cross-yen pairs are trending lower, though GBP/JPY is holding up relatively well. GBP/JPY is currently trading around 155.1, with the daily 20-day moving average appearing to act as support. GBP/USD has also reached the upper end of its trading range and is currently trading around 1.418.

Today, at 3:00 PM Asia time, UK GDP, UK industrial production, UK manufacturing output, and the UK trade balance will be released; during European trading hours, at 4:00 PM, Turkish industrial production will be released, and at 5:30 PM, UKremarks by BOE Governor Bailey, remarks by BOE Deputy Governor Canrif, and remarks by BOE Deputy Governor Ramsden, and during U.S. trading hours at 21:30, Canada’s Q1 Capacity Utilization Rate, and at 23:00, the U.S. University of Michigan Consumer Sentiment Index (Preliminary).With the market awaiting the U.S. FOMC meeting scheduled for the start of the week, price movements may remain modest, so it is advisable to carefully assess the market direction.

Past Market Reports

1. 17.04.2026New

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

2. 16.04.2026New

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

3. 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

4. 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?

5. 13.04.2026New

   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

6. 10.04.2026

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

7. 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?

8. 08.04.2026

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

9. 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

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed