Market participants may be on the lookout for comments from key figures and interest rate trends in the U.S.
20.10.2021
- U.S. Weekly Crude Oil Inventories
- UK Consumer Price Index
Yesterday, the three major U.S. stock indices all rose, creating a risk-on market characterized by higher stock prices, higher interest rates, and higher oil prices. Gold prices fell back and are trading in the $1,773 range. The yield on the 10-year U.S. Treasury note stands at 1.66%. U.S. housing starts for September, released yesterday, came in at 1.555 million units, missing the forecast of 1.615 million units.
The foreign exchange market continues to see selling pressure on both the yen and the U.S. dollar, with GBP/JPY hitting a new high for the year. It is currently trading around 158.09. The pair has already broken above the 200-day moving average on the monthly chart, and if the upward trend continues, the next target will likely be around 161.93. GBP/USD has also continued to rise, reaching 1.383.
Today’s schedule includes the UK Consumer Price Index, UK Retail Sales, and UK Producer Price Index at 3:00 PM; the Eurozone Consumer Price Index at 6:00 PM; the US MBA Mortgage Applications Index at 8:00 PM; the Canadian Consumer Price Index and Canadian House Price Index at 9:30 PM; US Weekly Crude Oil Inventories at 11:30 PM; and remarks by US Federal Reserve Bank of Chicago President Evans at 1:00 AM:Chicago Fed President Evans’ remarks, U.S. Atlanta Fed President Bostic’s remarks, U.S. St. Louis Fed President Bullard’s remarks, U.S. Minneapolis Fed President Kashkari’s remarks, at 1:00 AM: U.S. 20-year Treasury auction, U.S. Fed Chair Quarles’ remarks, and at 2:00 AM: U.S. Federal Reserve District Economic Reports.We will closely monitor the strength and weakness of the U.S. dollar relative to other currencies while remaining highly vigilant regarding its recent price movements.
Author: Keisuke Sakurai
