Market participants may be wary of price movements caused by position unwinding over the weekend
10.09.2021
- Remarks by ECB President Lagarde
- U.S. Producer Price Index
Yesterday, the three major U.S. stock indices all fell again, leading to a market environment characterized by falling stock prices, falling interest rates, and falling crude oil prices. Bonds were bought, and the yield on the 10-year U.S. Treasury note fell to 1.31%.In the ECB’s policy rate announcement released yesterday, the policy rate was held steady at 0.00%, which came as no major surprise.
In the foreign exchange market, although the euro fell briefly following yesterday’s ECB policy rate announcement, the euro/yen pair recovered during today’s Asian trading session. The pair briefly dropped to 129.63 but is currently trading around 129.99. Meanwhile, the euro has fallen sharply against the pound, and the euro/pound pair is currently trading around 0.854.
Today’s economic indicators include the German Consumer Price Index, UK GDP, UK Industrial Production, UK Manufacturing Output, and UK Goods Trade Balance at 15:00; French Industrial Production and the French Manufacturing Production Index at 15:45; and the Turkish Unemployment Rate at 16:00;at 18:30, remarks by ECB President Lagarde; at 21:30, the Canadian unemployment rate and the U.S. Producer Price Index; at 22:00, remarks by Mester, President of the Cleveland Fed; and at 23:00, U.S. wholesale inventories (final reading).We will be closely monitoring how the various currencies—which have gradually begun to show some direction since the start of September—will react to today’s weekend economic data releases.
Author: Keisuke Sakurai
