With markets in Australia, China, and Hong Kong closed, will it be a quiet start to the week?
14.06.2021
- Remarks by Bank of England Governor Bailey
- Canada: Manufacturing Revenue
Last weekend, the three major U.S. stock indices all rose. The market saw a risk-on environment characterized by rising stock prices, a stronger U.S. dollar, and stable interest rates. WTI crude oil has risen for three consecutive days and has now broken through the key $70.00 level, trading in the $71.18 range. Gold fell alongside the rise in the U.S. dollar, dropping from $1,903 to the $1,860 range.
The strong U.S. dollar is weighing on various currencies, causing GBP/USD to fall to around 1.410, near the lower end of its trading range. From a technical perspective, the pair found support at the 200-period SMA on the 4-hour chart once before; we will be watching closely to see if it holds this time. Additionally, while yen crosses are trading near their highs, AUD/JPY is gradually forming lower highs, so we should remain cautious about a potential decline.
Today, the following releases are scheduled: Swiss producer and import prices at 3:30 PM, Turkey’s current account balance at 4:00 PM, Eurozone industrial production at 6:00 PM, Canadian manufacturing sales at 9:30 PM, and remarks by Bank of England Governor Bailey at 10:00 PM. No other major economic indicators or key speeches are scheduled.Additionally, since markets in Australia, China, and Hong Kong will be closed today for public holidays, traders should also be mindful of volatility in Oceania currency pairs.
Author: Keisuke Sakurai
